Mr NATT - 2006-02-14
The recent report by leading independent national economic forecaster, Access Economics, paints a glowing picture of the state of the Northern Territory economy. Amongst other things, it describes the Northern Territory economy as ‘turbocharged’. Could the Chief Minister inform the House what else is contained in this positive assessment of our economy?
Members interjecting.
Madam SPEAKER: Order!
ANSWER
Madam Speaker, I would have thought this was probably the most important thing the House would like to hear: a third party endorsement of where our Northern Territory economy is. As Chief Minister, and probably the Treasurer as well, if we were casting around for words to describe the economy, we would not have gone as far as ‘turbocharged’. However, when you have a careful organisation like Access Economics stating: ‘How do you best describe the Territory economy – turbocharged’, then it is a great description. When you look at that Access report …
Dr Lim: Thanks to John Howard.
Members interjecting.
Dr Lim: You laugh, that is where you got your GST from.
Madam SPEAKER: Order, member for Greatorex!
Ms MARTIN: There is really no comment that you could make about such a silly comment as that.
Access Economics predicts that we are turbocharged, and the figures they are putting against that are 4.4% per year growth over the next five years. That compares with the national average of 3.5%, so it sits very well with where we are over the next four years. It sits so well that we are expected to lead the nation, and that is against the very competitive states of Western Australia and Tasmania.
They are very positive figures. However, you would have to say, given the size of our economy, they can be volatile, so you can maybe take a little of the ‘turbocharged’ out for that, but they are very strong indicators of where this Territory economy is at.
Let us look at why Access Economics said that. It is good to quote them because third party endorsement of where we are going is very important. We can hear the dynamic four over there saying that the economy and your budget is in strife. Access Economics is a third party. Access Economics is hard to convince. Access Economics does not put their credibility on the line for nothing. They have said we are in good shape, we are turbocharged and we are moving ahead. Now, why do they say it? I will quote them:
‘Brilliant’ is the word used by Access Economics. And for good measure they say, and we are a bit embarrassed about this as well: ‘Current conditions are almost as good as you can get and economic indicators suggest further to come’.
If you look at the figures supporting this, you have employment growth at 2.4%, which is only second to Western Australia growing a bit stronger in employment growth. Population growth is around 1.7%, and that is second only to Queensland, who is still getting something like 1500 new arrivals every week. That is in a context where national population growth is about 1.1%.
Access Economics also points to several major resource projects which will continue to support that important area of engineering construction. Only last week, we heard the proposal to build a condensate plant in Darwin. That is a very significant investment of $450m.
We have the biodiesel, and we have LNG II on the cards, the future of which ConocoPhillips is very confident about. We have the pipeline from Blacktip with gas coming into Darwin.
Then, of course, the Darwin City Waterfront, which Access Economics says will be a ‘mainstay of commercial construction for some time to come’. There is no point in talking down the economy against these factors. You can understand why the opposition does that, however, this is about where Territorians are positioned now. It is about job opportunities and business opportunities. We should be applauding together the fact that our economy is in good shape and all working together to keep it there.
Members interjecting.
Madam SPEAKER: Order!
ANSWER
Madam Speaker, I would have thought this was probably the most important thing the House would like to hear: a third party endorsement of where our Northern Territory economy is. As Chief Minister, and probably the Treasurer as well, if we were casting around for words to describe the economy, we would not have gone as far as ‘turbocharged’. However, when you have a careful organisation like Access Economics stating: ‘How do you best describe the Territory economy – turbocharged’, then it is a great description. When you look at that Access report …
Dr Lim: Thanks to John Howard.
Members interjecting.
Dr Lim: You laugh, that is where you got your GST from.
Madam SPEAKER: Order, member for Greatorex!
Ms MARTIN: There is really no comment that you could make about such a silly comment as that.
Access Economics predicts that we are turbocharged, and the figures they are putting against that are 4.4% per year growth over the next five years. That compares with the national average of 3.5%, so it sits very well with where we are over the next four years. It sits so well that we are expected to lead the nation, and that is against the very competitive states of Western Australia and Tasmania.
They are very positive figures. However, you would have to say, given the size of our economy, they can be volatile, so you can maybe take a little of the ‘turbocharged’ out for that, but they are very strong indicators of where this Territory economy is at.
Let us look at why Access Economics said that. It is good to quote them because third party endorsement of where we are going is very important. We can hear the dynamic four over there saying that the economy and your budget is in strife. Access Economics is a third party. Access Economics is hard to convince. Access Economics does not put their credibility on the line for nothing. They have said we are in good shape, we are turbocharged and we are moving ahead. Now, why do they say it? I will quote them:
- The resource boom has substantially strengthened population inflows, housing prices are still rising strongly while
residential vacancy rates are through the floor. Unemployment at below national rates, strong business confidence
and a brilliant business investment spend.
‘Brilliant’ is the word used by Access Economics. And for good measure they say, and we are a bit embarrassed about this as well: ‘Current conditions are almost as good as you can get and economic indicators suggest further to come’.
If you look at the figures supporting this, you have employment growth at 2.4%, which is only second to Western Australia growing a bit stronger in employment growth. Population growth is around 1.7%, and that is second only to Queensland, who is still getting something like 1500 new arrivals every week. That is in a context where national population growth is about 1.1%.
Access Economics also points to several major resource projects which will continue to support that important area of engineering construction. Only last week, we heard the proposal to build a condensate plant in Darwin. That is a very significant investment of $450m.
We have the biodiesel, and we have LNG II on the cards, the future of which ConocoPhillips is very confident about. We have the pipeline from Blacktip with gas coming into Darwin.
Then, of course, the Darwin City Waterfront, which Access Economics says will be a ‘mainstay of commercial construction for some time to come’. There is no point in talking down the economy against these factors. You can understand why the opposition does that, however, this is about where Territorians are positioned now. It is about job opportunities and business opportunities. We should be applauding together the fact that our economy is in good shape and all working together to keep it there.
Last updated: 09 Aug 2016