Department of the Legislative Assembly, Northern Territory Government

Mrs HICKEY - 1997-02-19

Will he admit that, over the past 2 years, the Country Liberal Party administration has increased the rate of petrol tax by 17%, increased compulsory motor vehicle insurance by 27%, increased heavy vehicle charges by $6.5m and increased stamp duty on motor vehicle transfers by 33%? In the last financial year, the Country Liberal Party administration increased its motor vehicle tax take by 23% and its petrol tax take by 36%. Is it not a fact that these tax hikes, which have increased road transport costs, are a major cause of the increasing cost of food and household items that are transported to the Northern Territory?

ANSWER

Mr Speaker, the Leader of the Opposition and the shadow treasurer continually work to put the Territory down and to paint it in the gloomiest colours possible in an attempt to cloud the successes that are occurring ...

Members interjecting.

Mr REED: You do not even want to listen to the answer to your boss's question. That is an illustration to the people listening to this Question Time that you are not committed to your own boss's question. If you want to hear the answer, have the good manners to let the people who are listening to the broadcast hear it also.

From time to time, governments increase taxes and charges. They do that for a number of reasons. Obviously, the cost of providing the services increases over time. Wages increase over time and the ability of people to pay for services increases over time. Not only governments increase charges. The same happens right across the private sector. Governments around the country do the same thing. Having done so in budgets over the last few years, this government is not alone in following that practice. What honourable members opposite fail to recognise is the level of taxes and charges that are applied by this government compared with those imposed elsewhere in the country. I do not deny that there are people in the community who are finding it difficult going. Unfortunately, that will always be the case. I believe the government's concern for people experiencing those difficulties is expressed in the level of taxes and charges it applies, and I will give some examples. Notwithstanding that an 8% increase in Housing Commission rents was applied in the last budget, the Northern Territory's is the only territory or state government to charge less than 100% of the potential market rent. Elsewhere in the country, market rents ...

Mr Bailey: Market rent in the Northern Territory is $250 a week.

Mr SPEAKER: Order!

Mr REED: The member for Wanguri may like to know that similar rents apply elsewhere in the country, both at the market level and, indeed, at the Housing Commission rental level. For example, a $250 per week 3-bedroom house in Darwin on the open market compares with the rental of a Housing Commission house at $146 per week. That is 58% of

Page 1906

what other states charge. That is an example of our taxes and charges compared with elsewhere in Australia.

Take the example of bus fares. The average fare over a 14 km distance in Darwin is $1.50, compared with $4 in the ACT. Over a 25 km distance in Darwin, the bus fare is still under $2 while Victoria charges about $5. In both instances, Darwin has the cheapest fares in the country. Do not simply look at the fact that charges may have been increased. They were increased because the cost of providing the services increased. Look at the comparative cost of the service as it applies here and interstate. Take sewerage charges as another example. The Northern Territory is cheaper than most states at well under $300 per annum. The cost of the registration of a small car in the Territory is among the cheapest in Australia at $290. In New South Wales, you would be paying $688, and that is under a Labor government. Let us look at some other charges. I have raised the example of bus fares. The green area on the left here represents what people pay in the Northern Territory. Bus charges in every state are
higher. I table that for the benefit of honourable members. That information might sink in.

If the people in the gallery take the opportunity to look at the water charges for the average home in the Northern Territory, they will note that they are the second-lowest in the country. That is represented by the green column here. Water charges in all states except Tasmania are well above those that apply here. Indeed, those applied in South Australia are close to double Territory charges. I table that for the benefit of honourable members. Sewerage charges in the Territory are less than those that apply in 4 of the states. Let us look at stamp duty, and registration on a new $25 000 car. Those charges are higher in 3 of the states. Our rates are in the medium range. For people in Tasmania, Western Australia and South Australia, those rates are substantially higher.

Let us look at some of the combined household taxes and charges. I expect that I have a relevant graph here, but perhaps I do not. Members opposite often refer to electricity charges. They say those imposed in the Territory are the highest in the country. That is not the case. Electricity charges in the Northern Territory have not been increased since October 1992. Electricity charges in Western Australia and Victoria are now higher than those in the Northern Territory. That is because, since 1992, we have not increased our tariffs. Other states have increased theirs, and 2 of them at least have marched ahead of us. It is virtually unheard of that electricity charges should be frozen for such a long period.

Why don't members opposite paint that as a positive? Why is it all doom and gloom for them? Why are they trying to talk the Territory down? Why are they trying to tell Australians and Territorians that things are bad? We have the strongest economy in the country. We have had the lowest unemployment rate consistently for months. People have a much better chance of getting a job in the Northern Territory than anywhere else in Australia. If you want a job here, you can get one. Those are things that, as Territorians, members opposite should be proud of. That is the future that they should be seeking for the children who are in the gallery today. They should not be telling them that it is all doom and gloom.

While some people might be finding it difficult, overall the taxes and charges in the Territory - and I have the taxes and fees per capita - are below the all-state average. In the ACT, NSW or Victoria, the average of the taxes and charges that people are paying is higher than people pay here. Members opposite are better off than they realise. I table those

Page 1907

2 documents relating to electricity charges and taxes and fees per capita. I ask members opposite to have a close look at them. A buoyant economy leads to more jobs and more jobs enable the maintenance of our lifestyle. That is what, with those excellent comparative charges, this government is striving to achieve. Notwithstanding the grizzling from members opposite, we can demonstrate, as I have just done, that our taxes and charges compare very favourably with those interstate.

There are many other indicators in the economy. Look at the unemployment rate. As students in the Northern Territory, the children in the gallery today can see that their future prospects are much better, in terms of employment opportunities, than would be the case elsewhere in Australia. This graph shows that the Territory has the lowest unemployment rate in the country. We have had it consistently. These kids have a chance of getting a job, and all members opposite can do is grizzle about it. They want to deprive them of opportunities to get a job. We will not wear it. For the benefit of the children in the Northern Territory, I table a copy of the employment opportunities for them here. They are far ahead of those in the states. We are proud of it and we are working hard to ensure that the children like those sitting in the gallery today have good prospects of obtaining a good job.

Page 1908
Last updated: 09 Aug 2016