Department of the Legislative Assembly, Northern Territory Government

Ms PURICK - 2010-02-25

Two days ago, you called for expressions of interest to establish and run an affordable housing rental company. Nine months ago, the former Minister for Housing went on a jaunt around Brisbane and Sydney to look at options to run an affordable housing program. In January this year, you paid a Sydney consultancy company $160 000 to look at an affordable housing rental company.

Why has the Henderson government spent hundreds of thousands of dollars, and wasted almost a year before calling for expressions of interest, when there are over 1000 not-for-profit housing providers already operating in Australia? Why, in the middle of the worst housing crisis in the Territory’s history, have you approached this task at an absolutely small snail’s pace?

ANSWER

Madam Speaker, there are parts of the member for Goyder’s question which are correct. Basically, we are in the process of going out for expressions of interest for an affordable housing rental company. We need to get it right; we need to get the right model for the Northern Territory. So, as a government, we make no apology for searching for the right model for the Northern Territory. I am assured that, through this process of expressions of interest, we will get the right model: a partnership between non-government organisations within the Northern Territory and an experienced company elsewhere in Australia.

This is a very important project, because an entity such as a company we have mentioned here, will have access to Commonwealth national rental assistance for those tenants who are in assets that are owned and run by those particular companies. There is also a capacity for such a company to access Commonwealth grants to build infrastructure. There is no doubt there are a number of models throughout Australia, in Queensland, Western Australia and other states, that are very successful. We have looked very carefully at those. I believe we are equipped now to make the right selection. I am very hopeful of getting this affordable rental housing company up and running in the very near future so it can contribute to addressing many of the challenges in terms of accommodation in the Northern Territory.

I mentioned before that government does have a strategy for this. We are in partnership with the Commonwealth on many of these issues, and I mentioned a number of them. Under the stimulus package, approximately $60m in total, some of that is for repairs and maintenance; some of that, in the first tranche of the stimulus package, is for 22 new dwellings and, in Stage 2, $48m for approximately 180 dwellings.

By the end of this calendar year, there will be 200 dwellings, either under construction or completed. In Palmerston East 15% of all of those dwellings will be public and affordable housing. As minister, I am confident our public housing stock will be replenished within the next 12 to 18 months and the housing situation will be alleviated.
Last updated: 09 Aug 2016