Department of the Legislative Assembly, Northern Territory Government

Mr REED - 2003-05-29

Can the minister confirm that the Territory government will receive $27.3m in Commonwealth tied grants for Commonwealth roads within the Northern Territory, as stated by the Treasurer in his budget speech? Could the minister give a breakdown on how much of that money will be spent on capital works, how much will be spent on widening, rehabilitation upgrades or maintenance, and how much will be spent on any other categories? Does that add up to $27.3m, and is that the total amount that the Territory government will receive from the Commonwealth this year, or is the Territory government siphoning off some of that money for its own purposes?

ANSWER

Madam Speaker, I thank the member for Katherine for his question. He said we were going to receive $27.3m in tied grants. That means that money has to be spent for the purpose it is granted, so there is no way we can take any of those dollars and use them anywhere else. However, let me tell you, yes, we are going to get $27m from the Commonwealth, but what the Territory is going to spend is $13.5m on national highways capital works, $1.5m on roads of national importance, and $15.5m on repair and maintenance - that amounts to $30.5m. That means the Territory will not only spend the $27m from the Commonwealth on the roads but, on top of that, we are going to put an extra $3m.
SUPPLEMENTARY QUESTION
Commonwealth Funding for Territory Roads

Mr REED to MINISTER for TRANSPORT and INFRASTRUCTURE

In doing so, I ask the minister to explain the extra $3m the Territory is going to put in to this program? That is to say, that they are receiving $27.3m from the Commonwealth and they are going to put in $3m to take it up to $30m. I seek leave to table a document from the Commonwealth, which demonstrates that, in fact, the Commonwealth is giving, in tied grants for Commonwealth roads in the Territory this financial year, $30m. Therefore, the Territory is not putting in an extra $3m, or if they are, they are siphoning off money from the Commonwealth’s program elsewhere. I ask the minister to explain, more clearly and concisely, just how much money they are getting from the Commonwealth and how much they are going to spend?

Leave granted.

ANSWER

Yesterday, the member quoted from the book and he said we are going to receive $27.5m. Today he says we are going to get $30m. Can he make up his mind - are we going to get $27m or $30m?

Members interjecting.

Mr Dunham: It is in your book.

Madam SPEAKER: Order!

Mr VATSKALIS: I said we are going to spend $30.5m. Even if the $30m figure the member for Katherine quoted is correct, we are still going to spend more than we are going to get from the Commonwealth.

Mr Reed: You are not.

Mr VATSKALIS: We are going to spend $30.5m. The member for Katherine just said we are going to receive $30m. There is a significant difference, and that difference is that the Territory is going to put money into national roads also.

Mr Reed: You don’t have to because you are getting $30m.

Mr VATSKALIS: It is exactly the same thing. If the member for Katherine cares to understand, our budget figures are reliant on a prediction of what we are going to get from the Commonwealth. The Commonwealth does not advise in advance how much money they are going to allocate to the Territory.

Mr Reed: I beg your pardon, they have, and I will give you the other document to prove it, because I have the document they gave you.

Madam SPEAKER: Order!

Mr VATSKALIS: On 13 May 2003, if you refer to that particular document. We are talking about that document arriving on our desk just a few days before we tabled the budget. If you think we are going to get the crystal ball and start looking at what the Commonwealth is going to give us, you are wrong. There is only one prophet in the House, and it is a bad one - that is Cassandra, the member for Katherine.

Mr HENDERSON (Leader of Government Business): Madam Speaker, I move that further questions be placed on the Question Paper.
Last updated: 09 Aug 2016