2006-02-14
Madam Speaker Aagaard took the Chair at 10 am.
Madam SPEAKER: Welcome back to 2006, honourable members. It is my pleasure to advise of the presence in the Speaker’s gallery of Lord Faulkner of Worcester, member of the House of Lords. On behalf of all honourable members, I extend to you a very warm welcome.
Members: Hear, hear!
Madam SPEAKER: Honourable members, present in the Speaker’s gallery and the ministerial officers’ gallery are distinguished guests from the Chinese community - I have names for some but not for all, so I apologise for those who are not named: Mr Jason Lee, Mr Charlie Carter, Mr Tony and Mrs Onna Jape, Alderman Dorothy Fox, Mr Ray and Mrs Jade Chin - of course, Mr Chin is a former Clerk of the Legislative Assembly – Mr Austin and Mrs Melanie Chin, Mr Austin Snr and Mrs Ginni Chin, Mr Henry Yap and Mr Pedro Yap. On behalf of all honourable members, I extend to you a very warm welcome.
Members: Hear, hear!
Madam SPEAKER: I also draw your attention to the presence in the gallery of the former member for Nightcliff, Ms Dawn Lawrie. On behalf of all honourable members, I extend to you a very warm welcome.
Members: Hear, hear!
Madam SPEAKER: Honourable members, the students in the gallery are from the Anula Primary School Intensive English class, accompanied by Ms Rosita Kandiah and Ms Judy Evans, and members of the public visiting parliament for the opening of the parliamentary year. On behalf of all honourable members, I extend to you a very warm welcome.
Members: Hear, hear!
Madam SPEAKER: Honourable members, I have received from His Honour the Administrator Message No 7 notifying the assent to bills passed in the November/December sittings of the Assembly.
Dr BURNS (Johnston)(by leave): Madam Speaker, I present a petition not conforming with standing orders from 54 petitioners requesting a late bus at Mindil Beach markets on Thursday nights. I move that the petition be read.
Motion agreed to; petition read:
Mr MILLS (Blain)(by leave): Madam Speaker, I present a petition not conforming with standing orders from 5955 petitioners relating to the sale of the Territory Insurance Office. I move that the petition be read.
Motion agreed to; petition read:
TIO provides insurance and banking services unique to Territorians;
Mr WOOD (Nelson): Madam Speaker, I present a petition from 9167 petitioners relating to the sale of TIO. This petition is similar to the petition presented to the Assembly today. I move that the petition be read.
Motion agreed to; petition read:
TIO strongly supports local businesses; and
TIO employs 250 staff across the NT who are at risk of losing their jobs.
Mr KNIGHT (Daly): Madam Speaker, I present a petition from 135 petitioners praying that damaged windmill at Dundee Beach be replaced. The petition bears the Clerk’s certificate that it conforms with the requirements of standing orders. I move that the petition be read.
Motion agreed to; petition read:
WARRANT
Deputy Chairmen of Committees
Madam SPEAKER: Members, pursuant to the provisions of Standing Order 12, I hereby revoke all previous warrants nominating members to act as Deputy Chairmen of Committees.
I nominate the following members to act as Deputy Chairman of Committees: Mr James Burke, Mr Chris Natt, Ms Kerry Sacilotto, Mr Ted Warren, Mr Rob Knight, Mr Gerry Wood and Mr Matthew Bonson, when requested so to do by the Chairman of Committees.
Given under my hand this 14th day of February 2006.
MINISTERIAL REPORTS
Celebrating Chinese Achievements in the Northern Territory
Mr VATSKALIS (Multicultural Affairs): Madam Speaker, with the recent celebrations for the Chinese New Year throughout the Territory it is time to reflect on the significant contribution of the Chinese community in the development of the Territory in both the past and the present.
The Chinese have a long history in the Northern Territory. The first Chinese arrived in the Territory in 1874 to work in the gold fields and in the building of the railway line to Pine Creek. By 1888, they constituted a major part of the Northern Territory population. The Chinese did not limit themselves to the supply of labour to the gold fields and the railway project. They soon came to work their own mines, establish gardens, and engage in industry and commerce. By the 1930s, Chinese businesses dominated the Darwin economy.
The commercial hub of Darwin was in Cavenagh Street, or Chinatown, where the Chinese and people from other backgrounds lived and worked. Culturally, the Chinese had an enormous effect. Sporting events, colourful banners and lanterns, even visits by Chinese opera companies in both Darwin and Pine Creek were shared with the community at large.
There were, of course, ethnic tensions but we cannot say that the Chinese community were treated as equals or even treated well by the European population at this time. By 1911, and despite the White Australia Policy of 1901, the Chinese represented the largest ethnic group in Darwin and made up almost one third of the population.
In spite of the devastation of Darwin by bombing during World War II, the Chinese remained in Darwin and began to rebuild their businesses after the war. They founded the Chung Wah Society in 1949 and also the Chung Wah Cultural Centre, which was destroyed by Cyclone Tracy in 1974; it was rebuilt on the same site. The centre now houses a museum and is home to many celebrations and meetings.
In the post-war period, some Chinese joined the public service and contributed actively to Territory civic and community life in local government. Harry Chan was the first Chinese Mayor of an Australian capital city and he became the first President of the Legislative Council in 1966. A bronze bust in Parliament House commemorates his contribution. Alec Fong Lim was the first Chinese to become Lord Mayor of a capital city in Australia. Mention must also be made of the outstanding work of Charles See Kee who devoted his life to the development and promotion of multiculturalism in the Northern Territory. Members will be aware that there are now Charles See Kee awards in honour of this outstanding Territorian.
Today, the Chinese community makes up about 2.2% of the total Territory population. Chinese businesses and holdings are spread across major towns of the Territory. There are several extensive Chinese supermarkets and specialist Asian emporiums, many Chinese restaurants, as well as clubs and associations. There is a Chinese school, a Chinese language and cultural centre, and the Chinese Temple. There are now six associations which cater for the social, cultural and support needs of the Chinese communities, whether they are new Australians, or have been a part of the Territory generations.
The Northern Territory government is very supportive of the Chinese community. As an example, in 2004-05, the Martin Labor government approved a total of $245 000 to be paid over three years to the Chung Wah Society for extensions and renovations to the existing museum, community hall and associated amenities of the Chung Wah cultural centre under the Ethnic Communities Facilities Development Program.
The Chinese contribution to the economy of the Northern Territory continues to grow. One of the present major developments is the construction of the Chinatown complex in Darwin. It must be acknowledged that the Northern Territory and, in particular, Darwin owes a huge debt to the Chinese pioneers. Their active contribution in building the Territory is remembered in the beautiful 19th century stone buildings that remain, the many streets and locations named after prominent Chinese Territorians, and the active cultural and civic commitment made to the community.
On behalf of the Northern Territory government, I congratulate the Chinese community on this occasion of the celebration of their New Year and wish every member of the community prosperity and wellbeing throughout the Year of the Dog.
Personally, I would like to thank the Chinese community for giving me the great honour to welcome the lion in this House today. It is the only Parliament House in Australia that is blessed every year by the lion.
Dr LIM (Greatorex): Madam Speaker, I thank the minister for making this significant appreciation of the Chinese community in the Northern Territory. Far be it from me to say that I speak on behalf of the Chinese community, but I know that many Chinese living in the Northern Territory share my sentiments and my pride that the Chinese community has been able to contribute to the development of this fair state of ours - it may be called the Northern Territory for now.
The Chinese have contributed throughout all fabric within the Northern Territory from Darwin to Nhulunbuy to Alice Springs. Wherever you go you will see the presence and effect that the Chinese have had over the century they have been in the Territory. From humble labourers to significant business people, from sports people to senior public servants, they are everywhere.
In Alice Springs today, as we were having our Chamber blessed here, the Chung Wah lion danced his blessing on the Alice Springs community as well.
It is of great significance that in the Territory we can share this sort of culture in such a harmonious way. I am proud to be standing here in this Chamber representing the Chinese people and the culture that we bring to the Territory; enriching the culture that we have, and showing that, indeed, in the Territory, if nowhere else, different cultures, different races, people of different ethnic groups, can live together in absolute harmony. Nowhere in Australia would you see a Chinese temple, a Buddhist temple, an Islamic mosque, and a Christian church all in the one street. That is the way we show the rest of Australia how we can live in harmonious cooperation.
Let us hope that we will continue to see this for the next many, many centuries. Thank you to the minister.
Mr VATSKALIS (Multicultural Affairs): Madam Speaker, I thank the member for his contribution. He is quite right to be proud of his heritage; everybody should be proud of their heritage. I am also proud to be in a community where we do not discriminate against people – we do not live in ghettos, but we live with each other. I have Chinese, Italian, Muslim and Christian friends. I call many members of the Chinese community dear friends. I am very honoured to celebrate their celebration, and I extend a warm invitation to them to celebrate my invitation too. Let us not forget that the Chinese financed this place and the Greeks were the builders. The proof is Chinatown.
Ms MARTIN (Chief Minister): Madam Speaker, I am pleased to report to the House on recent developments in relation to a gas deal that will supply most Territorians with power until 2034. In December last year, there was a heads of agreement reached between Power and Water Corporation and Eni Australia for the supply of up to 860 petajoules of gas over a 25-year period. This is the first step in securing a long-term gas supply for the Territory beyond 2009. The heads of agreement binds Power and Water and Eni Australia to work exclusively together over six months to conclude the necessary commercial terms to develop a gas sale agreement for the supply of gas from Blacktip. If the gas sale agreement is reached, it will create significant business and job opportunities for the Territory, including the construction of another gas pipeline and production infrastructure worth around $750m. Work is well under way to reach this agreement.
There is plenty of gas in the various fields to our north. The issue has always been to ensure we get the best deal for the Territory. While there have been ongoing discussions with a number of potential suppliers of gas, it was Eni Australia which provided Power and Water with a credible and attractive supply rate from Blacktip. Reaching this heads of agreement was an important milestone and opportunity for the Territory, but there is much work to be done during the next five months.
A major part is the construction of the gas pipeline that will run from Wadeye, where the gas will come onshore, to meet the existing Amadeus Basin to Darwin gas pipeline. We are actively engaging with relevant parties concerning the construction of this pipeline link, which will run from Wadeye to join the existing pipeline near Adelaide River. This major infrastructure project is estimated to be worth, as I said, around $750m in business and jobs for Territorians.
While the gas currently used to fuel our power stations originates from fields in Central Australia and is piped north, I am advised that it is a fairly simple engineering process to get the Blacktip gas, which will enter the pipeline near Adelaide River, to flow in both directions, fuelling power stations along the way. The estimated reserves of gas in the Blacktip field is approximately 1.2 trillion cubic feet of proven and probable gas. This is a lot of gas and more than sufficient to meet the Territory’s gas supply needs in the long term.
The first delivery onshore is expected by 1 January 2009. To meet this delivery date, and to ensure Power and Water has continuous gas supplies in this interim period, government has established a steering committee made up of key representatives from Power and Water and my department, the Department of the Chief Minister. This steering committee will ensure key milestones in this major infrastructure project are met and will provide regular progress reports to the Minister for Essential Services and to the government’s onshore gas task force.
The next key milestone is the actual execution of a detailed gas sale agreement. The steering committee is working to a deadline of 30 June, and is confident of meeting this. The next major milestone is to reach a gas transportation agreement concerning the transportation of gas from the Blacktip field to link with the Amadeus Basin to Darwin pipeline, and from there into our power stations. Discussions are under way with a number of pipeline companies on the construction and operation of the gas pipeline. One of the major issues identified in building the new pipeline is securing land access. The Power and Water Corporation has recently written to the Northern Land Council to start those very important discussions.
We are in a very gas rich part of Australia and it is inevitable that the Territory will see much of its growth fuelled over the next few years from gas developments. The Territory government looks forward to Eni Australia and Power and Water concluding this exciting deal for the Territory and will be working hard towards securing this gas sale agreement over these next six months.
Members: Hear, hear!
Ms CARNEY (Opposition Leader): Madam Speaker, I thank the Chief Minister for her statement. When we all saw in the newspaper a couple of weeks ago the Chief Minister theatrically looking over the balcony down at the ship when it pulled up to get the gas, there was a look in her eyes which was ‘It’s mine, it’s mine, I did all of this.’ Not true, and the way the Australian Labor Party Northern Territory Branch rewrites history in relation …
A member: It is ours, it is ours.
Ms CARNEY: … to everything and, in particular, gas is nothing short of fascinating.
Mr Henderson: It belongs to the Territory.
Ms CARNEY: The Leader of Government Business already cannot resist having a go. Let us remind him of what he said in this place on 25 August 2005. The minister for Business said: ‘There was no gas project under the CLP’. How utterly extraordinary!
Every Territorian knows it is thanks to the vision of one Shane Stone and the CLP why we have a gas industry in the Northern Territory. I know the Labor Party is given to rewriting history but here are a couple of facts - I probably have 60 seconds left; so much to say but, oh, so little time.
The fact is that Sunrise is still dormant. This government failed to get gas onshore in a way that resulted in outcomes for Territorians; that is, their gas and power bills have not gone down. Indeed, under this government they have gone up. I note that the Chief Minister also talked about the new creation at Wadeye. Well, let us have a look at it. The fact is that the government’s solution to the supply of gas to the Channel Island power station is nothing short of farcical. Because this government was not able to secure a small supply from ConocoPhillips, not even a little, they are now planning to build a pipeline worth $350m – where will the money come from? – from Darwin to Wadeye. Now, it is within throwing distance.
Madam SPEAKER: Leader of the Opposition your time has expired.
Ms CARNEY: The government has failed when it comes to gas.
Ms MARTIN (Chief Minister): Madam Speaker, we have started another parliamentary year with the Opposition Leader, who should be better informed about gas, speaking to a full House the most amazing gobbledygook that I have heard - a scattering of half information …
Members interjecting.
Madam SPEAKER: Order!
Ms MARTIN: ... the important issue of gas supplies to the Territory, and …
Dr Lim: The pipeline from Alice Springs to Darwin.
Ms Carney: Yes, it is.
Dr Lim: Have you forgotten that one?
Madam SPEAKER: Leader of the Opposition. Order!
Dr Lim: The electricity that runs from Parliament House.
Madam SPEAKER: Order, member for Greatorex!
Ms MARTIN: Madam Speaker, there are important issues to do with gas supplies. We have just heard from the Opposition Leader mixing up Sunrise, Blacktip, and Mereenie, and not understanding the difference. I am unable, in a minute, to tackle all the misinformation from the Opposition Leader. I say that all Territorians are very proud of the fact that we have begun to be a gas exporter …
Members: Hear, hear!
Ms MARTIN: … and I am proud of the fact that I got up early in the morning and watched that LNG ship come into Darwin Harbour …
Ms Carney: Well, good on you.
Madam SPEAKER: Leader of the Opposition!
Ms MARTIN: … on behalf of Northern Territorians. Did I get a request from the Opposition Leader to join me? No!
Members interjecting.
Madam SPEAKER: Order, order!
Ms SCRYMGOUR (Parks and Wildlife): Madam Speaker, the state of the main pool at Howard Springs Nature Park, a popular spot for locals, has been the subject of much interest lately. I feel it is important that I put on the public record the reality of what is happening there and what we are doing to restore that park to its former glory.
There is no doubt that Howard Springs Nature Park, the first park in the Territory, needs a helping hand. We are dealing with a pool that is partly manmade but which largely relies on natural processes to ensure the quality of the water.
Over the last couple of decades, these processes have been compromised with increasing drawdown of the surrounding aquifer. This, combined with changing standards for acceptable water quality for swimming, means that Parks and Wildlife must take responsible action and close the pool for parts of the year.
The community has said very clearly that it wants the pool to be more accessible for swimming. Tourism operators want to be able to take visitors to see the barra and not a murky pond. Our government has listened and put in place a very specific plan to do just that. This plan has six specific elements to improving water quality. It involves improving water flow into the pool, aerating the water in times of low flow, reducing the nutrient loads going into the pool, ridding the pool of the accumulated muck in the bottom, better flushing of the pool, and establishing a water treatment regime.
All of these elements have involved specific action which I will now expand on. A bore at the reserve has been reactivated and used late last Dry Season to top up flows into the pool. This, in combination with aeration devices, improved the water quality significantly to the point where tests indicated that there was absolutely no danger to aquatic life. The turtles and barra were, and are, very happy.
In conjunction with reduced water flows, the accumulation of leaf litter in the pool has been a major cause of deteriorating water quality. There have been two factors at play. Firstly, leaf litter continues to enter the pool from surrounding vegetation. This has been dealt with by clearing a vast amount of undergrowth around the perimeter of the pool. The Larrakia rangers undertook this work late last year. Over the next couple of weeks, tree limbs overhanging the pool will also be lopped. It has taken some time to organise this because it is a specialist job and we do not want to leave the place a mess. The second factor at play is the accumulated weeds and leaf litter already in the pool which, if stirred up by swimmers, will release bacteria nutrients and foul the water. Parks has already removed large quantities of water weed from the pool and a biodegradable algicide was used to assist in breaking down organic matter. Today, a weed mulcher will be floated onto the pool to remove much more of the weed and leaf litter from the bottom of the pool, and then a sludge pump will be used to clean it up further.
The sluice gates have been opened to assist in flushing the pool and it is anticipated that this, in combination with the remaining Wet Season flow and all the other actions that I have outlined, will very considerably improve the capacity of the pool to sustain good water quality for swimming. This will be further assisted by treating the water with a product called Eco green which significantly reduces counts of harmful bacteria. Parks is confident that swimming should be allowed to recommence in the Dry but, of course, there may be times when it still needs to be closed to protect the health of all visitors.
Parks staff took me through these issues on-site last week and did the same for the community at a public meeting on the weekend. I hold the technical confidence of Parks in high regard. They advised me that this is the best option to be pursued in the Wet. Draining and excavating is not feasible at this time of the year and, while it may have been done in the past, we are dealing with a semi-natural system here and there are inherent risks of going too far with excavation work with the consequence that the pool will no longer hold water.
The facts are that all the commitments that I have made in relation to Howard Springs have been or are being implemented. Once we have the shorter term issues dealt with, we will then need to have a look at how we manage this area in the longer term. Parks is working on this; they are consulting with the community already and this will continue with a public meeting next week, and a draft plan of management to be released to the community this year.
Madam Speaker, government has taken action. Parks is doing an excellent job in rectifying this problem and I encourage all members to let them get on with it.
Mr WOOD (Nelson): Madam Speaker, I thank the minister for her statement on Howard Springs Nature Park. However, I say that it was the people who got the Parks and Wildlife Department going, not the other way round. Whilst I congratulate the department on what it is doing, it was the people who arranged the meeting on Saturday that Parks and Wildlife attended - not the other way around.
Eventually, on 22 February, we are having a public consultation meeting at Girraween Primary School, and I congratulate the government for doing it. However, let us get this very clear: nothing was being done until it was brought to the attention of the government that Howard Springs had problems. The aerators came in after a member of the public said the fish were dying - then they acted. The people had a meeting and said: ‘While the Dry Season is here and the level is low, we would like to dredge it, clean it out, etcetera’. That did not happen, and that should be taken into account because you are saying: ‘We cannot do that now because it is wet’. We know it is wet now and it is full of water, but we asked for action at that time and it did not happen.
I am very pleased that the minister has made the statement. We have to move on; we all want Howard Springs to exist as a popular recreation reserve where you can swim. Tourist brochures say it is a swimming recreation area, not just a nature park. Yet, it has hardly been swum in, except for turtles and barramundi and a few other little fish, for the last four years. It is not something that has all of a sudden occurred overnight. It is something the department should have really been doing something about a lot earlier.
Fortunately, we have people out there who take pride in Howard Springs Nature Park and they have made an effort, which has now driven the department. I appreciate what the department is now doing, and I hope they are notifying people that they are cutting the weeds today and removing sludge because that was the arrangement at the meeting. It needs to be acknowledged that this was driven by the public and that is what got this going, not the other way around.
Mrs MILLER (Katherine): Madam Speaker, I thank the minister for her report on the Howard Springs Nature Reserve. In the couple of years I have been in this House, I have heard about the problems they are having at Howard Springs, so I thought I would have a look myself in January. It is an absolutely beautiful area and, the day I was there, there were many families taking the opportunity to enjoy the reserve.
One of the things I took particular notice of was that the water was of terrible quality. I cannot understand how those fish can stay swimming there. They have beautiful, big barramundi there, the aerators were operating, plenty of turtles there. However, it is such a shame that we have a beautiful waterhole so close to the city without people being able to swim in it.
I am encouraged to see that Parks and Wildlife is going to be working on it. I am certainly encouraged to see that much work is being done. As the member for Nelson has said, this has been instigated by the people of the community who have been very distressed by not being able to utilise that area. It is pleasing to see that something is going to happen and it can be promoted as a tourism area for people to enjoy, as well as locals finally able to swim in that beautiful area.
Ms SCRYMGOUR (Parks and Wildlife): Madam Speaker, I commend the work that the Friends of the Springs have been doing and their commitment to working with Parks. It is a bit rich for the member for Nelson to say that it was driven by the public, and for the member for Katherine to say that it is good to see that government is finally doing something about it - if she had gone there before January, Parks have been and will continue to work on that park. It was 1986 when the former CLP government actually stopped any work to do with Howard Springs. All I say to the member for Nelson is keep the politics out of this, stop using Howard Springs as a soap box to get publicity. Whilst I recognise the Friends of the Springs, keep the politics out of it and allow Parks staff to do the work that they are supposed to be doing.
Reports noted.
COMMERCIAL PASSENGER VEHICLE AMENDMENT BILL
(Serial 32)
Dr BURNS (Infrastructure and Transport): Madam Speaker, I seek leave to present a bill without notice relating to the commercial passenger vehicles legislation.
Dr LIM (Greatorex): Madam Speaker, if I may ask for some clarification. I understand that the bill was to be given notice of today to be introduced tomorrow?
Mr Henderson: No, introduced today, to be debated next Thursday.
Dr LIM: It should have been due process. It is not going to be debated until Thursday of next week. Surely, we should go through due process, and have notice given today for introduction tomorrow and then we will go from there.
Madam SPEAKER: I am sorry, I had not heard the noes. Leader of Government Business.
Mr HENDERSON (Leader of Government Business): Madam Speaker, a point of clarification in speaking to the Opposition Whip’s point - there was a discussion last night, I do not know what he did not understand about that. We are bringing this in on urgency today, for the second reading today, and I do not know what the opposition’s problem is. This allows the intent of the bill in the second reading to sit on the Notice Paper on the Table as long as possible before it is debated next Thursday.
It is in the best interests of the industry and of Territorians who are interested in this legislation. It is being put through on urgency, and my colleague will explain that, but by reading the second reading today, it actually gives Territorians a longer opportunity to consider the bill and make comment if they so choose. In the interests of Territorians understanding why government is moving this legislation on urgency, it is totally appropriate to give the second reading today, to give the maximum amount of exposure of this legislation to the people particularly in the industry who would be interested.
Madam SPEAKER: Given that leave was not granted, it is up to the minister to decide whether he wishes to suspend standing orders in order to have this motion put through at the moment.
Dr BURNS: Madam Speaker, I was hoping to avoid this. My understanding was, with due deference to you, that it was carried on the voices …
Madam SPEAKER: No, I did not hear properly, minister. Leave was denied by one dissentient voice, minister.
Dr BURNS (Infrastructure and Transport): Madam Speaker, I move that so much of standing orders be suspended as would prevent me from introducing forthwith a bill relating to commercial passenger vehicles legislation.
Motion agreed to.
Bill presented and read a first time.
Dr BURNS (Infrastructure and Transport): Madam Speaker, I move that the bill be now read a second time.
The purpose of this bill is to amend the Commercial Passenger (Road) Transport Act and the Motor Vehicles Act. The amendments will strengthen the existing discretionary mechanism for the consideration of the fit and proper status of persons operating or driving in the commercial passenger vehicle industry. The government will be seeking urgency on this bill to be passed through all stages in these sittings. It is in the public interest that statutory officers have the power to be able to act quickly in removing certain people from the commercial passenger vehicle industry.
This bill I am introducing today compels a director under the Commercial Passenger (Road) Transport Act and the Registrar of Motor Vehicles to exclude those convicted of serious offences from holding a licence to drive a taxi, minibus, private hire car, tourist vehicle, courtesy vehicle, motor omnibus, limousine, special function vehicle, or special passenger vehicle on becoming aware a conviction exists. Those disqualifying offences are contained in the regulations which will be made by this legislation. Disqualifying offences are sexual offences against a minor; sexual offences against adults; and other serious offences such as murder, serious assaults and grievous harm. Offences committed in the Northern Territory, other states and territories, and overseas all qualify. The legislation addresses real concerns in relation to sexual offenders and offenders convicted of a serious offence holding licences or operating in the commercial passenger vehicle industry.
Members would be aware of community concern about sexual offenders operating or driving commercial passenger vehicles. In response to these concerns, I personally undertook to take action to ensure that there is no doubt that serious offenders and sexual offenders against minors are to be excluded from operating vehicles or driving passengers in the commercial passenger vehicle industry.
This is a new regime. It will impact on any existing operator or driver convicted of a disqualifying offence. It also sets a new standard for new entrants into the commercial passenger vehicle industry.
A particular feature of this legislation is that, where disqualifying offences are concerned, there are no grandfather provisions for those previously found to be fit and proper, in the knowledge of what is now a disqualifying offence, by the director under the Commercial Passenger (Road) Transport Act , Registrar of Motor Vehicles or the local court. There will be no exceptions. Where the director or registrar becomes aware that a disqualifying offence has been committed, that existing operator or driver will have their accreditation or licence to drive a commercial passenger vehicle cancelled.
This aspect of the legislation is retrospective but, clearly, in the public interest. Affected persons are, of course, able to appeal the cancellation on the grounds that exceptional circumstances apply to their particular offence. If an appeal is successful there is no longer a disqualifying offence for the purpose of the legislation.
The amendments are consistent with community expectations and other laws in relation to these types of people not getting access to positions of public trust. For example, the Teacher Registration (Northern Territory) Act 2004 contains similar requirements in relation to the exclusion of sexual offenders. All members of the community have a right to expect that those licensed to drive or operate commercial passenger vehicles are fit and proper.
Clauses 4, 6, 13 and 14 of the bill make it clear that the director or registrar must not grant or renew, and must cancel an operator’s accreditation or driver’s licence of a person who has been convicted of a prescribed offence. The new provisions will provide the necessary power to check on those currently in the industry and, if it is found that individuals have committed any of the prescribed offences, they can be immediately excluded from the industry. Power is also provided to suspend the licence of a driver, or the accreditation of an operator, should he or she be charged with a disqualifying offence pending the outcome of a court hearing. This will ensure that the registrar or director has the power to act immediately if a person has been charged with a disqualifying offence rather than the current situation that allows someone to remain in the industry and potentially continue to re-offend unchecked.
The provisions will enhance existing discretionary fit and proper requirements and will create a level of transparency as to what is considered unacceptable in the passenger transport industry. As already noted, a similar approach has been adopted in regard to teachers committing serious sexual offences.
Individuals excluded from the industry as a result of a disqualifying offence will have the right to appeal their exclusion on the grounds of exceptional circumstances surrounding the offence to the chief executive officer of the Department of Planning and Infrastructure. It will be up to the person to convince the chief executive officer that there are exceptional circumstances justifying their admission or reinstatement into the commercial passenger industry. Decisions of the chief executive officer will be appealable to the local court. Appeals to the court will be by hearing de novo, meaning that a court will look at all matters anew in regard to the case including reference to the legislation establishing disqualifying offences.
The bill makes it clear that the director or registrar must consider, in addition to other matters, whether a person has shown a pattern of committing offences in addition to disqualifying offences. This will serve as notice to applicants and licence holders that ongoing patterns of poor behaviour will be considered in assessing a person’s fit and proper status. The government has agreed that another unequivocal stance was required that sent a strong message to the community and the industry that these types of people should not be allowed to operate or drive passenger vehicles for hire and reward.
Accredited operators and licence holders will be compelled to notify the director or registrar immediately if charged with a disqualifying offence and when the outcome of the charge is known. Failing to inform attracts a penalty of 100 penalty units. The exercise of powers of the director and the registrar, and the offences which provide for exclusion from the industry, are consistent with both the Criminal Records (Spent Convictions) Act and the Anti-Discrimination Act.
Sexual convictions are never spent. For other offences, if the convictions are spent the director and registrar are required to have no regard to them. Our industry, generally, is comprised of people of good repute and, whilst these measures may sound harsh, they will ensure that the bar is set at the right level to protect the reputation of the industry and the travelling public. Those operators and drivers of good character have nothing to fear from this legislation.
Madam Speaker, this bill reflects the Martin government’s strong commitment to law and order and public safety, and will go a long way to protecting the good standing of the passenger transport industry in the Territory. The Commercial Passenger Vehicles Legislation Amendment Act 2006 will commence on assent. I commend the bill to honourable members.
Debate adjourned.
Continued from 1 December 2005.
Mrs MILLER (Katherine): Madam Speaker, tourism in the Northern Territory has been of great interest to me for many years, from being involved through the Katherine Region Tourist Association executive, a commissioner on the Northern Territory Tourist Commission Board, on the executive of Tourism Training, and on the committee of the Caravan Industry Association of the Northern Territory. In addition to that, with my husband and I owning the Red Gum Tourist Park for over 10 years, it is pretty fair to say that tourism is well and truly embedded in me and, also, that I not only view things through the eyes of a large corporate but those of a small business operator. It is also fair to say that I have seen some great times and some not-so-great times in the tourism industry.
The majority of operators who contribute to the largest employment figures in the Northern Territory are small businesses, and that tends to be lost very easily. They are the ones running their businesses hands-on, usually seven days a week, and put their trust in government to make the right decisions to support them.
The changes that are proposed to this legislation are, effectively, dismantling the Northern Territory Tourist Commission, previously housed in one location, and now to be moved into units scattered around Darwin. I am yet to be convinced of the benefit of this, and I do not quite understand the reason behind it. I often refer to the old but true saying ‘united we stand and divided we fall’. Unfortunately, this is the way I see this proposal. It is dividing all of the components of the tourism administration.
The renaming of the commission is something that I do not have much of a problem with; there are some people who say that calling it a commission is old-fashioned. Maybe they are right and it is time to look at another name. I would have thought that is not too big a deal. However, therein lies another problem.
When one wants to set up a business name, it is the most basic of requirements that you register a company name. It is a very simple process to do that, so how is it that this Northern Territory Tourist Commission Amendment Bill got through its second reading with the No 1 purpose of the bill being to change the name – Northern Territory Tourist Commission to Tourism Northern Territory - without somebody checking the company register? How was it that the name that was preferred was already registered to another company? How hard is it for legislators to look at the Australian Securities and Investment Commission’s web site to check this? It is not very hard at all; it takes even the most inexperienced person less than five minutes. It actually took me about two minutes to find that a private company had owned the name since October 1998. That is pretty embarrassing. To change the name is the No 1 priority and we cannot even get that right.
If we have messed that up and it has become complicated even before we have got off the ground, what does this say for the other proposed amendments? How much consideration was put into the detail of those? I hope to find that out during the committee stage.
The second and third amendments to the bill, effectively, ensure that Tourism has now lost its autonomy. As I have previously stated, the various tourism units are now scattered around Darwin, lost within other government departments to become just like any other government department – exactly the same as has happened to the Conservation Commission. We are talking about an industry that employs the most people in the Northern Territory, and it is going to become just another lost identity.
The current board is to be dismantled, to be replaced by an advisory council; the make-up of which is still unknown, except for the chief executive of the newly-named tourist entity.
I also, sadly, fear that the regional tourist associations are being further eroded from being involved in any participation in decision-making, and I feel that they have lost their linkage. The advisory board, when it is set up, to work effectively and efficiently must get independent information from all sectors of the industry, not just the big players. It is an all too sad fact that we will lose our diversity as the bigger corporates take over. Then, when the going gets tough, or it does not suit their corporate plan, they pull out. Representation from all sectors of tourism must come from right across the Territory to ensure that the information that the advisory board receives and makes decisions on is balanced and in the best interests of all. There must be a mixture of big business, small business – and not just from the large accommodation providers.
Do not ignore the many small operators who contribute so much to the tourism industry, especially in regional Northern Territory. Regional Northern Territory relies heavily on the tourism industry for its continued survival and therefore should not be, and must not be, ignored.
It does not seem that very long ago that the Northern Territory Tourist Commission was held up as the premier tourism organisation in Australia. We were different, we were special and we were looked up to. I believe the proposed amendments to this bill make the Northern Territory no different to any other state or jurisdiction. When I look back on the reasons of why we were admired, the first one that comes to mind and remains outstanding in promoting the Northern Territory was the marketing campaign that featured Daryl Somers promoting, ‘You’ll never, never know if you never, never go’. Many people started to say; ‘Gosh, that’s getting a bit boring – we need to have something new, we need to have something different’. Well, I am a believer of if something is not broke, do not try to fix it.
Some new marketing gurus decided that Daryl had become stale. It was time for a change and next came the ‘It will never, never leave you’. Well, that one certainly left me. We started to lose our different image overnight. One of the reasons was that the marketing decisions were made by people who did not understand the Territory at all, and that is where Daryl Somers had it all over them. He loved being here and it showed when he was presenting his campaigns. I will bet there are not too many people in this Assembly who can tell me what marketing campaigns have been pushing the Territory in the years since ‘You’ll never, never know’ finished. However, I will guarantee that most people here could remember that particular campaign, and that is what the Territory needs again. It needs the spark of something outstanding that puts the Territory right out there above the rest of Australia.
Another important factor in the respect that the Northern Territory had was the work the Northern Territory Tourist Commission carried out through its dedicated staffs’ commitment to promoting and improving the industry. This was achieved by ensuring that all sectors of the tourism industry were involved through consultation which led to decision-making that had achievable outcomes.
Another area I believe needs to have a strong focus if we are to attract tourists back to the Northern Territory is product development. There are many fledgling operations throughout the Northern Territory which have great potential that need nurturing and additional assistance so that they can develop. This is vitally important to the future of tourism - to foster and encourage these new businesses.
I know the Chief Minister is going to say that that is DBERD’s job. However, I make no apology for saying that DBERD is a government department that does not understand a great deal about tourism. Leave it to the people who do know, and that, I believe, is the specialised role of the Tourism Development Unit. There could also be a role for the regional tourist associations to be supportive and to assist industry development with operators through the Tourism Development Unit, trusting, of course, that that unit will still be operating independently and not swallowed up by DBERD. It is a great mistake to think that public servants know tourism better than those who are involved in the industry for their livelihood.
Over the years, the blame for declining numbers of visitors to the Northern Territory has been placed on the likes of 11 September, SARS, Bali, and the withdrawal of airline services, and they are all very valid reasons. Although much closer to home, I believe worth considering, is the very obvious lack of shopfront exposure that the Northern Territory has in other states and territories throughout Australia.
When there were interstate offices in all states - and they were called bureaus then, a pretty old-fashioned name - there was a face-to-face role with the public. I believe we need to get back to that to attract our national tourists. We need to have our product in the face of consumers constantly and the competition out there amongst states is fierce. I believe we are way behind. Sure, I know that we now have a joint shopfront in Sydney with Tasmania. I believe that the Territory has to attract the Australian traveller far more than it does and it needs to be in other states. The numbers of international visitors coming to Australia is still down, so the competition is fierce within Australia for our national market. The Northern Territory needs more of the share and one way of doing that is by having shopfronts in prime locations in each state.
The last thing I wanted to speak about today is the way this government showed its lack of respect to the tourism industry with the launch of the marketing campaign for 2006. The invitations were sent out for Wednesday morning, 8 February, at the Wharf Precinct. My invitation went via goodness-knows-where but finally arrived via fax a couple of days before the event. As I said earlier, I have a great passion for the tourism industry, and support the hard work of the people who operate in it. I accepted the invitation for two people and made sure that I was on the road from Katherine early. Arriving at the Wharf Precinct with 10 minutes to spare, it was obvious that there was no function there. A member of the soon-to-be defunct Northern Territory Tourist Commission apologised for my inconvenience and advised the event had been cancelled the previous evening and would be rescheduled for a few day’s time for which an invitation would be resent.
Madam Speaker, you may be surprised but, of course, I was not, and that invitation did not arrive.
According to the newspapers, the launch was on Sunday. The tourism industry is known for supporting launches and promotions enthusiastically, and is a pretty positive and active industry. What a smack in the face that was for the representatives of the industry who had wanted to be present at that launch, with many of those key players having left for the interstate annual muster, and with others involved in the industry not even invited.
You continually amaze me, Chief Minister, when you say how wonderful your government is with your support of tourism and, yes, the additional funding was certainly very much appreciated, not optional, it was imperative. Then you make a botch-up with something as fundamental as the launch of the marketing promotion for the year, not to mention the illegal use of a company name. If you cannot get that important thing right, I am very wary of the amendments you are proposing. Therefore, I do not support the amendments to this bill.
Before you get to your feet and say that I am bagging the industry, for which you, Chief Minister, have a great habit of doing when you have to counter any criticism, you need to understand very clearly that this is an industry for which I have the greatest respect. It is not the industry that I am bagging, Chief Minister, it is you.
Mr HENDERSON (Business and Economic Development): Madam Speaker, I wholeheartedly support the bill introduced by the Chief Minister and the Minister for Tourism. I cannot help but pick up on some comments from the shadow spokesperson and the negativity surrounding the changes that are being introduced today. In my position as minister for Business, Industry and Economic Development, I had not heard any negativity in the industry regarding the changes. Most people are either ambivalent or positive about it. There is certainly not a huge ground swell of opposition to the quite commonsense amendments that are being made here today, and the evolution, I suppose, of the tourism industry in the Northern Territory. I just wonder who the shadow minister is talking to about this great negativity that is out there.
In trying to be helpful, I encourage people with shadow portfolio responsibilities that when government does propose a significant change, if the shadow spokesperson is concerned about government’s intent or the effect of legislation, that they get a briefing to fully understand …
Mrs Miller: I have been knocked back for two briefings by your government ministers in January.
Mr HENDERSON: I am sure that the Chief Minister can answer for herself to that effect. When I was a shadow minister for a couple of years I would approach the minister’s office directly, seek a briefing. I pay tribute to the previous governments; I was never denied a briefing when I was shadow minister. It was always very helpful for me to sit there with senior public servants and CEOs and be taken through legislation. Most legislation that goes through this House - probably about 90% of it - has bipartisan support because it is commonsense. When you are an opposition spokesperson to get a briefing from senior departmental officers through the minister’s department helps prepare you for debate on the second reading.
Moving on to my comments as Minister for Business and Economic Development, with the passage of this bill, the new agency of Tourism NT will become an autonomous entity under my Department of Business and Economic Development. It will operate autonomously as a statutory authority as the Chief Minister has said. However, I can say very confidently that, through our shared CEO in DBERD, Mr Mike Burgess, those two areas are working much closer together. As the member for Katherine would know, there is a saying out there that tourism is everybody’s business, and it is. To have the mainstream offices of DBERD, the prime vehicle for government industry, business strategy and policy, working hand-in-glove with people from Tourism is absolutely commonsense, particularly with the government’s intent and aspiration to further develop our regions of the Northern Territory and look at infrastructure and new products, and how we can encourage that product to develop. Having Tourism NT working with DBERD makes much sense.
The charter of Tourism NT remains the same: to market and develop the Territory as one of Australia’s leading tourist destinations. Where is the fear there? The charter is the same. As I say, most people I speak to in the industry are pretty ambivalent about the change. This new structure will allow government to better integrate and focus its efforts of developing the tourism industry throughout the Territory.
At an operational level it will mean stronger synergies in marketing, promotion and product development, and enhanced business and training support for small tourism enterprises. My department of DBERD very successfully runs a large number of business development workshops across the Northern Territory. Integrating that in with the efforts of tourism and their understanding of the industry is going to be good for small business. It will not just be the case in the major centres, but throughout the regions. It will allow us to better focus on growing regional and indigenous tourism, and on policies related to the development of the small and medium enterprise sectors of the economy. Small and medium enterprises are, and will continue to be, our most important economic sector. They are resilient through economic cycles and make the greatest contribution to consolidating and creating sustainable jobs.
There is no more important sector from an SME perspective than tourism. This sector accounts for around 5% of gross state product, $500m in value – a proportionate contribution greater than in any other state or territory in Australia.
Tourism has created and sustained 14 000 jobs across the Territory in direct and indirect terms. For every $1m invested in the tourism industry in the NT, $1.1m worth of output is created in the rest of the economy. For every 100 jobs created in the industry, 76 jobs are created in the rest of the economy. From the econometricians, I think they are called, in my department tourism has one of the highest multipliers in jobs created in the tourism industry, and reverberates through the rest of the economy.
The benefits from the industry are more widely dispersed than any other sector of the economy, making it vital to the regional development of the Territory and to indigenous economic development. Building capacity in our regions and indigenous communities is a key priority for the government in this term. It is no secret that some of the more remote areas of the Territory are not enjoying the considerable economic growth being experienced in places like Darwin. Our task is to support these remote communities to develop and sustain local projects that will lead to economic prosperity and job opportunities at a local level.
Tourism has been identified as a key economic opportunity in every region of the Territory. Tourism will also be factored into any future regional and local development plans, and having Tourism NT within DBERD, which has the job of overseeing and supporting these plans, will allow this to occur as core business. Places like Adelaide River, Pine Creek and Tennant Creek now all have regional development plans with a focus on tourism. Just last week, the Chief Minister launched the Batchelor Tourism Development Plan. Government is supporting these projects that will open up the regions and help them reach their tourism potential.
The Northern Territory is the leading indigenous cultural tourism destination in Australia. More and more people from overseas are seeking out a more authentic Australian experience away from the major towns. The Territory can supply this in spades. Some indigenous communities already do this well. For example, the Tiwi Islands capitalises on its unique and thriving arts and crafts industry by offering art tours. For most, the potential and opportunities remain untapped. My department’s Indigenous Business and Industry Services Unit, the Indigenous Economic Development Unit and Tourism NT’s Indigenous Development Unit are working with many communities and individuals on how they can become involved in the growing tourism industry.
One project my department is helping develop is Bawaka Cultural Experience. It is the realisation of a long-held dream of Mr Timmy Djawa Burarrwanga to start a cultural tourism business at his homeland of Bawaka, Port Bradshaw, East Arnhem Land.
Mr McAdam: ‘Bawaka’.
Mr HENDERSON: How do you say it? Bawaka. I defer to the local member.
It is the type of enterprise that my department is working to try to develop across the Territory. Timmy and his family are passionate about making his business viable. They are starting small, learning the ropes, and slowly growing the business with assistance from DBERD, the Yirrkala Dhanbul Community Association, Tourism NT and Alcan Gove.
Bawaka Cultural Experience’s aim is to run tours where people are able to learn about the Yolngu way of life, their environment, culture, and sacred sites, thus promoting cultural understanding. Also, they see this as a way to employ and train local Yolngu and teach them to take responsibility for their future. Their short-term goal over the one to three years is to operate tours for Alcan Gove G3 workers. Their long-term goal, three to five years, is to expand the tours and accommodation and provide tourism hospitality and customer service training for Yolngu people at Bawaka.
Timmy and his family have provided a number of pilot tours including for a management team from Alcan Gove G3 and a group of international visitors. All were impressed with the authenticity of the experience. Regular tours for G3 workers will start next month. I have met Timmy and spoken to Klaus Helms at Alcan and they are very excited about this. Some of the G3 workers, on a recent visit that I made, were saying they work pretty hard - 12 hours a day and six days a week; many of them work overtime - and the opportunity to get out there and, for the time they are based in Gove, to experience the wonderful and unique flora and fauna and coastline of the Top End area in Gove is something the workers want to do, and they will pay to do it. It is a great local initiative. Development of this enterprise is providing to be a good model for tourism in the area and will, hopefully, be replicated.
The creation of Tourism NT will take support currently provided by government for tourism developments even further, making it core business alongside regional and indigenous developments. With the growth of the industry comes new opportunities within the sector itself and across industry sectors such as the construction industry. To take one example: the very successful Darwin Airport Resort opened last year with 130 rooms is already expanding by an additional 70 rooms.
The measures that would result from the passage of this legislation will allow us to continue to build an environment where the tourism sector is able to grow and become more innovative. As I said at the start of my contribution, this is all about evolutionary change in the structure of the tourism industry in the Northern Territory. The recognition from government and the Chief Minister that tourism is everybody’s business - to be brought into the mainstream of government working alongside the main economic driver of government in strategy, policy and service delivery, in industry development and building capability and capacity of business management - makes a lot of sense for such an important industry.
The industry is going places. We were all genuinely excited with the announcement of Tiger Airways late last year coming to the Northern Territory: 700 seats a week, a magnificent coup for the Northern Territory.
The construction of the convention centre in Darwin is very exciting. The people who will be operating that convention centre are very excited about the future. The challenge really is to spread the impact of tourism, through enterprising job creation throughout the Territory. That is, jointly, my task, working with the Chief Minister and the Tourism minister, and I can certainly see very real benefits from this change. It is evolutionary.
For the shadow spokesperson to say that the industry is up in arms about this change, well, she must be talking to different people than I am, because I have not had that sort of feedback. I fully commend the legislation that is before the House and look forward to working with the Chief Minister into the future in developing our regions.
Mrs BRAHAM (Braitling): Madam Speaker, I have no problems with the legislation. I have problems with the spirit of the legislation. Why on earth are we making a name change for the sake of changing it? We have to ask a few questions about this. Why do you want to change it, Chief Minister? What do you think changing a name is going to achieve? Let us face it, our tourism is healthy, it is vitally important. We have said much about tourism. Things have happened, without a name change, under the old banner. There are things ahead that we are very pleased about - some of the indigenous tourism ventures are great. The Centre in Alice Springs is certainly very vital and has marketed the Northern Territory very well. So, I have to say, why? Are we just making a name change for the sake of making it? What difference will it make when it is changed?
When I look at the second reading speech, the Chief Minister says that it is going to establish this organisation as a statutory authority, and it will operate as an autonomous entity under the same portfolio as DBERD. That is a contradiction – how can you be autonomous when you are working within another portfolio? You are either autonomous or you are not. Joining them together has taken away that autonomy. We also hear tell it is going to be a statutory authority, so it is a GBD. Is not that a bit unusual in the Northern Territory? The advice given to me was that there is no precedent within the Northern Territory government in respect to the proposed integration of a statutory body within another government department. So, I am asking you, what other statutory authority comes within another government department? You are confusing it.
Tourism needs to be autonomous; it needs to have its uniqueness. That is what has captured in the nature of Australians to overseas visitors for years. Part of your rationale is that it aligns with the contemporary approach taken across Australia by other tourism organisations, for example, Tourism Victoria and Tourism Western Australia. Now we are losing our uniqueness; we are just becoming the same as everyone else. Why do we have to adopt the same name as the rest of Australian states? What is the purpose? You are taking away something that has been vital to this Territory for a long time. Tourism Australia, Tourism Northern Territory, Tourism Victoria – it just conforms with everyone else, and that is something we have never done in the Territory. We have always had our own uniqueness. Why should we be conforming so that the name conforms with the rest of Australia?
Chief Minister, I believe you are doing a disservice to the Northern Territory Tourist Commission by doing that. Let us face it: there is nothing that has happened in the past that would say that it had not been a successful organisation. In your press release you say it is going to boost jobs – tourism changes to boost jobs. I am not quite sure how a name change will boost jobs. It is what happens within the department that boosts jobs. It is what happens with the marketing, it is what we present that gives us jobs, not a name change.
I am concerned about the aspect of the two departments working side-by-side. I would have thought cooperation should occur anyway within all government departments without placing them together. Should we not already have departments cooperating across the board? We have the co-ord meeting in Alice Springs where other government departments get together to talk about what they are doing. Why should we suddenly assume that there is going to be greater cooperation between DBERD and NT Tourism when that should have been there in the first place? All government departments should be working together; they should not be working in isolation.
By having your own unique department the emphasis that you want to put on it can be enhanced by your focus, rather than having to seek additional assistance from DBERD or from another government department. I just feel as though your integration of this statutory authority is taking away some of its status, its independence, its autonomy. You should think about that. I guess the proof will be in the pudding, but I do not see that it is going to create more employment, or create a better image.
What about the costs, Chief Minister? We already have literature which is branded with the Northern Territory Tourist Commission logo and I could not imagine how much literature would be still around in all our tourism centres with that brand. How are you going to change that? Every time a government department makes a change to its name there is a huge cost to the taxpayer for stationary, branding, signs, offices - you name it. I would be interested in what cost is incurred in this name change. Do you have an estimated cost of getting that name changed? It is probably going to be greater than you expect. When you think about it, all the advertising that you have in your Sydney office and everywhere is not going to change overnight, is it? Certainly, there is not going to be the name change overnight because you could not do it. You have to implement slowly. I believe there is a cost that is not completely necessary.
When you have two CEOs, who has the seniority: CEO Tourism or CEO DBERD? Which minister has clear directions? Does the Minister for Tourism have to inform the CEO of DBERD whenever you are talking to the CEO of Tourism? Will there be confusion within their roles? Will there be confusion with the ministers they refer to? Who is going to clearly delineate between you and the minister for DBERD? Will the CEO of Tourism go to the minister for DBERD, or will she only ever go to you? There is confusion there: who will be the most senior? Which of the operations within tourism will be autonomous from DBERD? Will there be any staff changes? You have not mentioned that. Will there be staff changes to lessen the staff in Tourism to go to DBERD or vice versa? Perhaps you could clarify that for us also.
The advisory board: what is in a name? There probably should have been an advisory board in the first place because that is what you expected them to do - to give you advice. Chief Minister, when you do it, you make sure the representation is across the Territory. Let us not have this Top End-heavy board that we sometimes see. I know you have had some very good people from other regions of the Territory on the commission so let us make sure that we retain it. Do not forget that in any advisory board you need to have that wide representation.
I did have a briefing, Chief Minister. We pointed out what we thought were irregularities in some of the wording and numbering of the act, but I am pleased to say that I have been advised that is all going to be covered in committee. That is good to see. I understand why people are sometimes reluctant to have briefings. I know I said this last time …
Members interjecting.
Mrs BRAHAM: It is a strange thing. I must have had a little sign on my head yesterday that said ‘Hit me! Hit me!’ because I did have three briefings. I sometimes worry about the arrogance of a government. However, you worry even more about the arrogance of minders. Their status is perhaps overemphasised for some of them. However, I appreciate the briefings I did get on this because it did clarify, even though it did not convince me, that what we were going through in this exercise, the huge change in name and everything, was necessary. I guess it is going to happen and all I can say is the proof will be in the pudding.
The proof will be when tourism is on the rise, when we have more jobs, when we have more visitors and when our economy is booming. So, in 12 months time, let us sit back and ask: ‘What has this actually achieved? Has it done what you wanted it to do, or what really do you want it to do?’
Mr BURKE (Brennan): Madam Speaker, I support the Northern Territory Tourist Commission Amendment Bill.
Before I begin, I express my condolences to the family, friends and work colleagues of the young man tragically killed on the waterfront project.
As this is the first time that I am speaking during these sittings and, indeed, the first time this year, it is fitting that I again acknowledge the Larrakia people as the traditional owners of the land on which we meet. The Chinese New Year clicked over on 29 January, as we all know, and we had the lion dance this morning, so once again ...
Mrs Braham: Is this relevant to the bill?
Madam SPEAKER: Order!
Mrs Braham: What relevance is this?
Madam SPEAKER: Order, member for Braitling!
Mr BURKE: I was going to wish you a happy New Year, but I shan’t.
Madam SPEAKER: Member for Brennan, you may wish to address the bill.
Mr BURKE: Madam Speaker, tourism is an important industry sector for the Territory. It provides jobs for fellow Territorians, injects money into our economy, and adds vitality to our communities. The Chief Minister outlined the purpose of the bill in her second reading speech. These purposes briefly are the name change for the organisation, structural change, and creation of a tourism advisory board. The Chief Minister has already spoken in relation to the change of name for the organisation. The areas I wish to address are the role of Tourism NT, the structural changes, and the opportunities for Palmerston.
I will briefly touch on three aspects of the role of Tourism NT as I see it – its marketing, its role assisting business involved in the tourism industry, and where it now sits in relation to the Regional Tourist Authorities. Tourism NT’s focus is international and interstate marketing. Members are no doubt aware that on Sunday there was a launch of the new stage of marketing campaign. This campaign involves strategically placed billboards in Australia’s major centres and advertising in national and international publications promoting the Territory. The marketing involves highlighting the letters NT in words such as ‘intrepid’, ‘entertaining’, ‘monumental’ and ‘intimate’ against backdrops of images from the Territory.
In order for the industry to flourish in the Territory, the government needs to assist in capturing more of the market share. Tourism NT is the vehicle for this to happen. Marketing is a fast paced industry whatever its product. The marketers must know their product, their industry and their buyers. What worked last year is unlikely to work this year. Travellers’ interests change. Who is travelling has probably changed. Possibly more important is the question: who is going to be travelling in the next six to 12 months and what are they looking for? These are the areas that Tourism NT addresses.
Our tourism industry operators are generally small businesses. They do not have the time or the resources to keep abreast of international and interstate trends. It is vital that Tourism NT fulfils that role. It is equally important that it makes this information available to local industry. We need to ensure that Tourism NT is in a position to identify for business the opportunity for new products, and to facilitate the creation of new products. This may result in new operators entering the industry, or existing ones expanding their capacities. Either way, it results in an expanded industry sector for the Territory.
Tourism is a hard industry; our local operators need and deserve government support. Tourism NT will not be usurping the important role played by the regional tourist authorities. Their role remains unchanged. Tourism NT will maintain its focus on international and interstate marketing, not intra-Territory marketing. That remains for the regional tourist authorities.
The Chief Minister addressed the change in the role of the board in her second reading speech. I wish to make a few comments only about this area. The board is removed from the management structure to an advisory role. Its input into directions of Tourism NT is not really affected. The change does, however, remove onerous management obligations. I say ‘onerous’ because legislation and case law place higher standards of duty on board members than ever before. We must remember that the advisory board will be made up largely by industry representatives who agree to be a member in their spare time. It is also appropriate that the Chief Executive of Tourism NT report directly to the minister without another layer of bureaucracy in between.
The tourism industry is dynamic, energetic and tough. It is also an industry that employs a relatively young work force. ‘Young, dynamic, energetic, tough’ – these words describe well the people of Palmerston. I could add others such as ‘resourceful, ingenious, and determined’. Tourism may not be the industry some members immediately associate with Palmerston. However, around Palmerston there is a rich World War II heritage. This is a market, I understand, that has been identified as one that should be developed further. A World War II trail, if you like, extends from Darwin down to Adelaide River. Many of the caravan travellers are interested in our World War II sites.
It is impossible to mention tourism opportunities and not mention Tom Finlay. I have previously encouraged members of the Assembly to visit his interpretive display gardens which highlight the different regions of the Territory. Some members are aware, no doubt, that Tom has now opened his ‘joint’, an adjunct to the garden; a wonderful new addition to the restaurant scene and in the electorate of Brennan too. Tom is a man of vision and is not afraid to pursue that vision. Needless to say, the stonemasonry is spectacular.
The Palmerston Regional Business Association includes a number of tourism operators in its membership list: Cazaley’s, the Hub, the Arch Rival, the Saigon Restaurant, the Mediterranean Restaurant, to name just a few of the places to go for a meal. In fact, I can particularly recommend the wood-fired pizzas at the Mediterranean. The PRBA does not just include Palmerston businesses, but includes businesses from all over the Top End. The Didgeridoo Hut and Art Gallery run by Janice Mitchell has long been a part of the local tourist industry. Wayne Zerbe, the President, and Ray Walton, the Secretary of the PRBA, do a sterling job attracting new members. They work ceaselessly on behalf of the PRBA members to promote their member businesses and the Palmerston region generally.
A recent example was the open day of the Life Balance Gym opened by Mr Byron Davis and Greg Oldroyd. It is a state-of-the-art facility servicing not just the Palmerston community, but obviously those passing through on the tourist trail. Wayne Zerbe was central to organising some our rising football stars, as well as past and present stars, to attend the open day. He also ensured that all local members of parliament knew about the event and attended.
One of the things that Wayne has put together to promote Palmerston is the Around Palmerston presentation. It promotes different businesses and is a wonderful tool for letting people know what is available in the Palmerston area. Ray, the secretary, may not be as visible as Wayne, however no one can question the hard work he puts in, making opportunities known to all their members and the tourist operators at Palmerston. Well done to both of them. I know that the PRBA members meet tonight at Tom’s Joint for the monthly meeting, and I am sure it will be another enjoyable evening.
One thing I would like to see Tourism NT incorporate, as it embarks on its marketing for 2006 and beyond, is promoting the Territory as your office when you are away from your office. Many business people, especially those with small to medium businesses, do not like leaving that business for too long. They cannot resist getting on the phone and the Internet to check up on things, even if they have been away only a day. I wrote part of this speech sitting outside on my patio in Farrar. As I got a bit hot, I jumped into the pool, got out and kept writing. I gazed around, looking at the birds and butterflies flit hither and thither, and thought to myself, people from overseas would probably kill to work in such a paradise as this. Maybe Tourism NT could help me lobby Telstra to expand its high speed Internet cable network to Palmerston to assist.
Ms SACILOTTO (Port Darwin): Madam Speaker, I provide comment and input to the Chief Minister and Minister for Tourism’s Northern Territory Tourist Commission Amendment Bill 2005 regarding the positive changes to the Northern Territory Tourist Commission. These changes, as already detailed by the Chief Minister, are:
My electorate of Port Darwin is a fantastic and diverse area, with residential, commercial and small and large business. By far, I would suggest, the greatest number of tourism-related, supportive and reliant businesses are located in the Port Darwin electorate. Many are directly affected by tourism. Quite simply, many businesses rely on tourism for continued prosperity and growth in the Port Darwin area, including hotels, motels, backpackers facilities, restaurants, night spots, souvenir shops, specialty stores, historically significant sites, camera shops, Internet cafes – I could go on and on – we simply love tourists.
Tourism has a huge impact on a great majority of the Northern Territory. The Martin Labor government has recognised this fact and, along with consultation with businesses and industry experts, we are confidently looking forward at new and innovative ways the Northern Territory can be marketed, not just leaving the coming seasons to chance. The promotion of our Green Season is something that has not been tackled to this extent ever before. We have a fantastic product - the NT - both blessed by nature and innovative, entrepreneurial vision by our business community and local identities.
Like many Territorians, my family and I came to Darwin for a short time in the early 1980s and did not want to leave. A large part of the Northern Territory’s appeal is the Northern Territory personalities. However, we need tourists to visit the NT before we can showcase all of the wonderful facets that make us the intrepid, monumental, vibrant, enchanting and ancient NT. The people of the Territory are a special part of the attraction to the Top End, and this is reflected in the 2006 marketing campaign Phase 2 of the Share Our Story. The marketing campaign is dedicated to bold, eye-catching visuals and inspiring stories of our unique Territorians. The initial campaign was launched last year and has yielded huge success with a 39% increase interstate holiday-makers to the Territory. The roll-out of Phase 2 exhibits the commitment of the Labor government in supporting the tourism industry with a $2.9m campaign being launched.
The time of waiting for tourists to discover has passed. We have a fantastic product and we will continue to boast about it using innovative and imaginative ideas. An award-winning web site, TravelNT.com will have extensive promotions including billboards in major Australian cities, magazine advertisements and television ads. Whilst the ‘You’ll Never, Never Know’ campaign by Daryl Somers may have been a success in its day - I am not sure; I cannot remember - we have moved on.
With fresh and innovative ideas, we are a sophisticated and vibrant city. We have grown beyond doing the same thing year after year. We are supporting our businesses and tourism industry by listening to their concerns and through planning for the future, of not only the tourism industry, but in all areas of economic growth in the Territory.
In all business training it is taught: if you fail to plan, you are set to be planning to fail. This government is planning and moving with the future, not standing still waiting for progress to arrive. I strongly believe you either get on the train or you are left at the station. Tourism NT is on the train. I commend the active and forward thinking changes that the Minister for Tourism has made with the NT Tourism Commission Amendment Bill 2005.
Mr WOOD (Nelson): Madam Speaker, I feel I need to say it: it gives the impression that this debate is being brought to you by Tourism Port Darwin, Tourism for Brennan.
Ms Martin: It is Tourism Nelson, is it?
Mr WOOD: You do not have to talk about that, it is known worldwide. Everyone knows about Howard Springs: you never, never go until you swim.
Anyway, we need to get back to the point. The point is that this bill is simply about changing a name, and changing an advisory board to a different name, and moving a department into another department. I do not want you to jump the gun, minister, but your press release says you are the Tourism Minister. I do not know whether that should be the Minister for Tourism, or is that what you are normally called? Does that fit in with Tourism NT? I am not knocking it, but I just saw the name there and I thought the minister’s jumping into the name already: Tourism NT now Tourism Minister.
Ms MARTIN: I have been calling myself Tourism Minister for about two years.
Mr WOOD: Thank you. What I would really like to ask: why do we have to have a department under your name, but it is not really under you, it is in DBERD? If I am just a normal fellow and I say: ‘I want to see NT Tourism’ as it is going to be called now, why is it under DBERD? Why can it not be under your department, Chief Minister, and your CEO talks to the CEO who is dealing with regional development? We have this in other departments where you look down the list of ministers and there is a department there, but that is not the minister’s department even though it is under him, it is another minister who looks after it when comes to estimates. It just seems like a complex way of having government. It seems to me that we make things more complicated than they need be.
The reason I did not go to a briefing is because sometimes I think you need some debate about these issues in the House because they get written in Hansard. Briefings do not get written in Hansard. If I am to ask the government about some of the things that are in the changes they are putting forward, it would be nice to have it in Hansard so I can explain it to people in the tourism industry as well.
You say the need for this is to reflect movements interstate and nationally to adopt a more commercial character for tourism authorities. What does that exactly mean: a more commercial character? It worries me a little that this is going to become a commercial enterprise. Is its job to become a money-maker of its own and set itself up that way? Why do you describe it in that way? I would imagine its job is to promote the Northern Territory as a tourist destination - simple as that. I do not think that to change the name is any big deal.
I was just thinking to myself, if I was going to the shop and I wanted to buy a nice ice-cream, I do not care if it is a Streets or a Peters; I just know it is a Magnum. I do not know who makes them, but I know it is great. So, if I want to know what is great about the Northern Territory I am not worried about the name on the bottom saying NT Tourism. I see a picture of the Northern Territory; I just want a web site that says www.nt and be able to find it from there. There is a big spin about this name change. I am not going to die over it, but I listened to the speeches about changing the name. We are going to have enormous development - you are already doing that. All you are doing is changing the name! You are already pushing projects for Aboriginal economic development under the existing name. You are already having more regional development under the existing name. There is a whopping big spin on this sort of thing that is far greater than in reality. I listened to the speeches here; they are all great and wonderful. The reality is we are changing the name and we decided to put a big spin on that to say this is why we have changed it. It is great but I am not sure that the reasons you have given can be backed up by what has been said in the second reading.
One little thing does concern me. I was going to raise it another time and I am quite happy if the government would take it on notice. I was approached by members of the Northern Territory caravanners association. They were under the impression that this year there would be no Exploring Australia booklet. They decided to bring out their own caravan booklet showing all the caravan parks in the Northern Territory, even the ones that did not belong to the association. That will be given out to interstate tourist agents wherever, and they wanted to use the words ‘sharing our story’ on the front. They were told they could not. In fact they have now brought it out using the old logo, I think, of the brolga and the sunset.
Obviously, there might be a little politics in tourism promoting the Northern Territory, but I would be concerned if the taxpayers are paying for the Sharing Our Story logo that has been developed. I do not have anything particularly against it, you will always have people agree or disagree over any logo. However, if an industry asked if they could use that logo and Tourism NT looked at it and gave it the imprimatur saying there is nothing in that book that we do not agree with, is there a great problem with that? They were told they could not use it. That is where it worries me when you use the word ‘commercial’. Are they going to start thinking: ‘Well that is mine and no one shall touch it’, or ’Yes, we are quite willing to share all the logos and some of the advertising we do, as long as we check that your material is okay, is not running against our policies’. I will just ask the minister how commercial will this department be? Is it going to set itself up as ‘that’s ours and no one touches it’ or we can share it with other tourism groups in the Northern Territory to help promote the Northern Territory? That is just one of the concerns I have.
In summing up, I am not going to go much further. I understand what the member for Braitling said; we tend to copy everybody. I do make one note that when you change things like Tourism NT it will be harder to find it in the phone book. I will give you an example. If someone said look up the Electoral Office, you used to look up ‘NT Electoral Office’, but you do not, you look up ‘E’. Sometimes when you change things, people do not know where to find them. If you are looking for something like NT Tourism you knew it was under ‘NT’. It was the first place you go. Sometimes, when you change these names, people are not sure where to find them. You might say that is a minor thing but I have noticed, with some departments, when they have changed their name, it sounds flash but, in reality, it is difficult for people to look for that name because it does not make any sense.
You might ask what is in a name. It might look a new image, but I certainly think that the spin that has been put on it is far greater than the benefits that will come from it.
Mr MILLS (Blain): Madam Speaker, I was not preparing to speak. However, some of the comments made give rise to my need to say a couple of things.
I agree with the former speaker. This is simply a name change, it is perception, creation, and it is a marketing issue - power to you. This government has shown itself very adept at creating perceptions and investing a huge amount of taxpayers’ money in glossy brochures that have the sole purpose of promotion of the politics and the politicians behind the exercise.
I just have to cast my mind back to the time when I sat over where the member for Brennan now sits as a new backbencher, and the Chief Minister was sitting on this side of the Chamber as the Opposition Leader. They were almost hysterical at the level of glossy brochures and self-promotion that was being alleged to be pumped out by the then government. They were amateurs compared to what we see now - absolute amateurs. The amount of money that is going into promotions is extraordinary. Territorians would be shocked to see the amount of effort that goes into the creation of perception.
Reality is the most important aspect that satisfies our constituents. One is a reference to Tom Finlay’s Joint in Palmerston. It is a fine facility and I do applaud Tom Finlay’s marvellous efforts over a long period of time in a very difficult environment. Stone masonry is a hard and noble profession. I have followed his progress from the very earliest days when he always spoke of what was next, and of dreams and visions which, with his hands, he has actually made come to pass. However, in recent times he was given assurances and encouragement to seek assistance in helping to use a facility that he has put in place for the benefit of tourism operators, for the profiling of the Northern Territory, particularly the Top End. He was led to believe that he was going to get some assistance.
That caused an extraordinary amount of delay as he waited for bureaucrat after bureaucrat, along with local members, to have a look at his operation, wanting to poke around the place and assure him that everything was on track. The Palmerston Regional Business Association was running around the place. It caused a local business operator to delay his development considerably while the wheels, the cogs of the bureaucracy under the leadership of the Minister for Tourism, ground away. Ministers went there and ‘oohed’ and ‘aahed’ at all the wonderful goings on there. At the end of it, the private sector then had to count it as a great wasted opportunity and then to charter on without the assistance that had been promised.
That is very sad. There was a vision there, there were assurances and encouragements offered but, in the end, it came to nothing. Once again, we see the proud Territorian just charge on and make the difference on his own without the assistance that was indicated was perhaps available, which wasted a huge amount of time.
Secondly, concerning the Top End, that is, the glossy brochure; the look, the feel, the resonance of this whole product - you need to attend to some of the things that are really basic, like the product that is on the shelf. Recently, I spent some time, as I try to each year, at Gregory National Park. I was just horrified to see the decline of that facility: signs faded, roads closed year after year, flood damage from the year before and the year before that not repaired. If all those tourists who come up the west coast and they encounter the Northern Territory for the very first time, that is a great image as you cross into the Northern Territory - it looks beautiful. However, if you go to Keep River National Park or Gregory National Park, you will find that most of the interesting places are closed.
There was some flooding there about three or four years ago now. I have not been there most recently to see some of these areas that have been opened up, but there is a lot of work that needs to be done, and this is the sort of promotion and presentation we need to attend to. Some of the World War II heritage signs have been burnt. With subsequent spear grass fires and so on, some of them are quite hard to see. It is that sort of stuff I believe we need to get stuck into and start sprucing up some of our signs around the place so that we can actually do present the product well. It is those sorts of things that I would like to see the effort go into now, that we actually improve the actual product in real terms. That requires real grunt and real effort. It is easy to have these glossy brochures and that sort of stuff, and fine, but Territorians now want a deeper effort.
Finally, it has been brought to my attention, by way of a photograph of a monument which commemorates the contribution of a Territory pioneer, Mr Noel Buntine. I ask if the Chief Minister and Minister for Tourism has had the opportunity to look at this monument. It is an absolute disgrace, an appalling presentation covered in graffiti and completely defaced. I did not prepare for this, as I said, but I will bring those photographs in tomorrow and will present them to the Chief Minister to have a look at. That is the sort of presentation and promotion that we do need to see. The basics, the little stuff, needs to be spruced up. I will present that to you tomorrow and I hope to see, in line with the intentions of this change of name, that some of the little things will be attended to like signs and monuments around the place that are in a terrible state.
Dr LIM (Greatorex): Madam Speaker, I was not going to speak to this debate either. However, this morning on my e-mail I received a full report of the Roy Morgan poll on tourism, headlined ‘Australian tourists want to go to Melbourne but end up in Sydney’. It has a full report which gives a run down of all capital cities and also a brief mention of Alice Springs. I thought it would be good to get some of this on the record to ensure that our Minister for Tourism can take some note and ensure that the Northern Territory is adequately promoted by her new bureaucratic department.
Let me read from one of the graphs from the Roy Morgan report. It is: ‘Australian residents - summary of preference/intention/behaviour for Australian capital cities’, which means Melbourne, Sydney, Perth, Brisbane, Hobart, Canberra, Adelaide and Darwin – and Darwin rates the lowest. Only 6.9% of Australians have a preference to visit Darwin. When it comes to seeing how many of them have any intention at all - 1.6% - again, the lowest of the nation. In terms of behaviour, there is a definition there - it means Australian capital cities respondents have stayed for at least one night on their last trip in the last 12 months - Darwin rated 1.2% compared to Melbourne at 9.2%.
When it came to revisitation appeal, they compared all capital cities and this is what the Roy Morgan document had to say:
There is a recognition that Darwin is a fair way away from any other capital city. The Roy Morgan poll says:
So, Chief Minister, you have a big job ahead and you have already not done too well over the last year or so that you have taken on this portfolio. You have travelled around but you have really done a poor job promoting the Territory.
A case in point, our backpacker visitation dropped by 40% in Darwin last year and 20% in Alice Springs. Tiger Airlines are flying into Darwin now. All we saw on the front page of the newspaper was: ‘Oh, great! We are going to have our second home in China and Singapore!’ That is not about tourism. This is about locals travelling out, taking money out of the Territory. What the Chief Minister should be promoting is being in Shanghai, Guangzhou, Shenzhen and Singapore, saying: ‘Let us use Singapore as a gateway to come to Darwin and use Darwin as a gateway into the rest of Australia’. That is what she should be doing. She should be doing that everyday, promoting that sort of visitation. Tiger Airlines can be of benefit to the Territory in terms of tourism coming in, rather than flowing out.
Coming back to the Roy Morgan report, it talks about revisitation appeal. I spoke about that just a little earlier. When you compare all capital cities including Darwin, the category of ‘capital city only holiday on the last trip’, Darwin recorded 0.2%. In the category ‘preference to revisit a city in the next two years’, Darwin rated the lowest at 39.6%, Melbourne rated 54.8%, and even Adelaide, which is the closest to us, is almost 41% preference for a return visit.
It is important for the Chief Minister to understand that she must continue to promote the Territory as a unique place to visit when she looks towards Asia to bring in the tourist numbers. Remember that there is only a very small percentage of people in Asia who are interested in ecotourism although it is slowly growing. Most Asian tourists want four and five star accommodation, travel in four and five star comfort whether by road or air, and want to stay in hotels with comfortable rooms and beds, and they want to go shopping. They come from the tropics. They are not interested in going to Kakadu to be stung by mosquitos and whatever. They want to have four and five star accommodation, travel facilities and good shopping facilities.
The Chief Minister, through the Tourism portfolio, needs to focus on that, otherwise you are not going to keep the tourists here, you are not going to get them to come back again, and they are not going to go back home singing your praises because they are just not interested at all.
I recommend that the Chief Minister reads this Roy Morgan report. It is not particularly long. The graphs are very easy to follow, and make sure that her CEO also looks at that, and ensures that the Northern Territory is better promoted than it has been since she took over the portfolio.
Debate suspended.
Madam SPEAKER: Honourable members, I make a brief statement about increased accessibility to the proceedings of the Territory parliament. I advise that the entire proceedings of the Legislative Assembly are now available live on the Internet. This is a new initiative of the Legislative Assembly.
Radio broadcasters are currently experiencing some difficulties broadcasting Question Time into Central Australia. This situation has arisen because of the lapse of the agreement between 8 TOP FM in Darwin and 8CCC in Alice Springs. 8 TOP FM has negotiated a new agreement with Roots FM to recommence the broadcast to Alice Springs and I am assured this will happen as soon as technically possible.
In the meantime I wish to advise members that parliament can be heard via the Internet through the NT government web site at www.nt.gov.au. 8 TOP FM also provide a web cast and Ipod facilities for the broadcast of Question Time.
I will keep members informed as to the progress of broadcasting to Central Australia.
Ms CARNEY (Opposition Leader): Madam Speaker, I move that so much of standing orders be suspended as would prevent this Assembly from censuring the government for:
1. its chronic mismanagement of the Territory’s budget and finances in times of plenty;
2. irresponsibly amplifying an economic upswing with excessive government spending;
3. having to make up for the mismanagement by trying to sell Territory assets like the Territory Insurance Office;
4. failing to reduce debt despite massive GST revenues so that the government can position itself for the eventual downturn that will eventually occur when and if the economy cools;
5. allowing Territory debt and employee liabilities to spiral above the $4bn mark; and, finally
6. for its irresponsible fiscal management.
Madam Speaker, it will not come as a surprise to anyone who heard Question Time, particularly those who are familiar with the way the $8m-worth of spin is perpetrated by this government - and haven’t those spin doctors been earning their $8m in recent times? However, we know the body language in this Chamber, and we know when we are on to something because they get tetchy, they get defensive and, indeed, some of them become aggressive.
We have, in fact, been patronised by this lot for a few years now. They would do well to look at themselves and do the job they are paid to do; namely, come into this parliament, account to the people of the Northern Territory and afford them and, indeed, the opposition and other members of the parliament the courtesy of being honest and up-front when it comes to prosecuting questions in relation to the Labor Party’s management of the budget.
The government will, of course, try to spin its way out of this censure by focusing on the economy. I have, unlike probably most of the members here, read the Access Economics report into the state of the Territory, and I agree, the economy appears to be in a healthy condition at the moment, almost despite the efforts of this government and thanks to the foundations built by the Country Liberal Party such as, let us name them …
Members interjecting.
Ms CARNEY: Well, you can laugh all you like. The railway, is one; the port, is another one. Gas - and we all know what a shocking record you have in relation to that. They are some of the things that the former government provided to Territorians and, indeed, provided to this lot. It was really funny when the Chief Minister at the Alice Springs Convention Centre, built by the CLP, negotiated by the CLP, timing is everything and the Chief Minister goes there, cuts the ribbon and almost suggests to people that it was all her idea. I cannot remember the dates, but she had only been in office for a couple of months. The acting by the Chief Minister is almost extraordinary to watch and she never lets me down.
It is important, even for government members, to understand that there is a difference between the budget, the documents that the government produces every year around May, and on which we then to got Estimates, usually about June, and government documents, not manufactured in any way, shape or form by the opposition. Indeed, in most of the budget books - there it is, signed by Jennifer Prince the Under Treasurer, and what an outstanding Under Treasurer she is.
We are talking about the budget; government will talk about the economy. They are two different things. It is delusional to suggest that the budget under Labor is in good shape. It is not. Have a look through the mid-year financial report, have a look through the Treasurer’s Annual Financial Report that we debated at length. Indeed, the government was censured in relation to that document as well. I implore the not-so-busy backbenchers to pick up those documents. Some might describe it as not very illuminating bedside reading, but the more I get into this, the much more interesting it gets. We all have a responsibility to account to our electorates, particularly those in government, when people come to you asking: ‘Can we have some money for this, can we have some money for that?’. You will be asked at some point, where has it all gone?
Let us concentrate on the budget. It is always a pleasure for me to refer to the Australian Labor Party, Northern Territory Branch, document, before the 2001 election, called Good Governance. In fact, I like this document so much it is always tucked away in my drawer here in the event that any of the Labor members want a walk down memory lane. These were the days when they were an idealistic, optimistic bunch of individuals who, like all politicians, got into politics to make a difference and a contribution to the community. There were all sorts of lofty statements in here. I have been on the Parliamentary Record for a long time quoting these people. It was put to me that this paper called Good Governance is no longer on the Labor Party’s web site. I keep forgetting to check. I suspect it has been canned.
In any case, in this document, when the Chief Minister was Opposition Leader, she had a bit of a go at the CLP. She used words like ‘the CLP has squandered the opportunities presented by strong economic growth over the past decade’. Well, right back at you, Chief Minister, because it is the Australian Labor Party that has squandered the opportunities presented by strong - you say strong - economic growth. The economy is strong, we agree with you. Everyone agrees with you that the economy is in good shape - thanks to Howard and Costello, thanks also to GST revenue.
Ms Lawrie interjecting.
Ms CARNEY: Thanks also to - you will have your turn, member for Karama. What contribution you have to make in relation to the Territory’s budget, I have no idea. I am looking forward to it when and if you find the courage to get to your feet.
The Chief Minister in 2001 made some remarks in relation to sustainable - there is that word ‘sustainable’ - debt levels. The Chief Minister referred to a debt level of $3.2bn as being unsustainable. We are now, according to this Treasury document, headed for about $4bn. The Treasurer would have to agree with that. Therefore, by Labor’s own measure, they have failed to manage the budget. That is why we asked whether the Chief Minister was a hypocrite or was she just bad with managing money.
We ask what sort of fiscal management it is when, at a boom period of the economic cycle when governments traditionally retire debt, in this case the government continues to increase debt. Absolutely extraordinary! Other governments retire debt but no, not this government. It is not retiring its debt, it is adding to it. Hundreds and hundreds of millions of dollars worth of debt is being put on the slate, put on the card, by the policies of the Chief Minister and her friend, the Treasurer.
The Chief Minister knows, as does the Treasurer, as do - I can only assume and hope - Cabinet members, that the budget has been blown. That is why the TIO was on the agenda for sale. The Treasurer alluded to it in one of his answers this afternoon. He said that before he went on leave there were only a couple of letters in the paper and he was wondering when things might start to kick in; when the people of the Northern Territory might start to say this is not good. Well, they spoke, and in volumes. They knew that the government had blown its budget and this was a grab for cash. That is also why this government undertook and paid for focus groups - not with my money, not with the Treasurer’s or the Chief Minister’s money, but with our money as Territorians.
This man, the Treasurer, knew and, by his own admission, was expecting some sort of ripple which became a tidal wave of anger and distress at the prospect of the TIO being sold. They wanted to sell it - with their $8m spin doctors trying to create the impression that was not the case. Why on earth did you have your focus groups?
In any case, we understood the razor gang was in place towards the end of last year,. Labor called it a priority review. That is, obviously, code for razor gang. They met, and the Treasurer - and certainly his colleague, the Chief Minister - will never confirm this, but we understand that they are looking at other ways of putting their hands on the money that TIO would have provided.
We assert that taxes are on the agenda. This government and their spin doctors tried their very best to strategically leak to the media before Christmas and to try to soften everyone up for the sale of the TIO, but there were 14 000 rude awakenings. They came knocking on the door and they are not stupid, Treasurer, they know that it was a grab for cash. It is a matter for you whether you come clean. It is important that you understand that Territorians understand it for what it was.
In relation to the budget, I said at the outset that there is a difference between budget and economy. Even government members should understand that the budget is the money that this parliament votes to give the government to spend on the operation of government in the Northern Territory. It is at these times that the government should start to think about being smart with expenditure.
Mr Stirling: Ten minutes and you have not said anything.
Ms CARNEY: Do not be rude, Treasurer.
The Northern Territory received massive, unprecedented income in GST revenues. Even the Treasurer, from memory, is either on the Parliamentary Record or the public record admitting that. What a boon it is for the Labor Chief Ministers and Premiers because it is money the likes of which those states and territories have never seen before. With unprecedented GST revenue, what do we have? We have a government in a grab for cash.
Since the arrival of the GST, government projected some $350m in extra income from the Commonwealth over the past four years, but that is not all this government received. In fact, they got an extra $260m bonus windfall on top of that. When we are talking about truck loads of money we are seriously talking about truck loads of money, the likes of which has never been seen before. GST revenue into this government’s coffers in the period 2001 to the end of the financial year 2005 has been $7.4bn. This figure does not include the taxes and charges that this government has maintained as part of its own source revenue base.
In opposition, people will remember that the Labor Party canned the GST but, by God, don’t they love it now? And why shouldn’t they? What we want them to do, however, is to use that wonderful revenue and the opportunities it presents to manage the budget properly and to retire debt. But no, this government just simply will not do it.
The government’s plan back in 2001 was to restrict spending, retire debt and get the budget into the black by last financial year. Territorians will remember that they created this thing called the black hole at the time and introduced the motor vehicle registration levy. Who can forget that? It was a tax to design one thing and it was, along with this notion of the black hole, an attempt to damage the economic credentials of the CLP. The stage-managed black hole was the premise upon which the motor vehicle registration levy tax was based, and the moment people began blaming the government for the tax and not the CLP, this notion of the black hole really did evaporate into a cloud of political expediency.
It is the case that this government - hence I come back to the claim of hypocrisy against the Chief Minister - are all over the place; they cannot make up their mind. Early on they said that the CLP had squandered the opportunities presented by strong economic growth over the past decade. Well, what about you blokes? You have not done well. Let us revisit TIO; I am sure Territorians will continue to do so.
The overall economy began to pick up, which is not surprising, not long into the government’s reign. The gas was here, the railway was built, and there was growth in housing prices in Darwin on the tail of an east coast boom and, of course, our port was functioning. All of those CLP initiatives were beginning to bring home the bacon. It is important to remember that the national economy has been very strong for many years and, because of those sound fundamentals in place at a national level, Australia and the Territory rode out the Asian collapse of only a few years ago. It was because of the strong foundations.
The Australian Labor Party does, thankfully, understand or has, in fairly recent times, understood the need for major projects, and they thought they should have one all of their own. Based on the original plans of the CLP, they came up with their waterfront as a project in their image and, in spite some of the misgivings that some people have about various deals that may or may not have been stitched up and been appropriate, how will we ever know because this government will not tell us. However, the word around Darwin is that there are a number of deals done in relation to the waterfront that were not kosher. In any event, they are doing this waterfront, and that is good; we support it.
It should be all sweetness and light, but that is not the case when one looks at the budget documents. Budget Paper No 2 in 2002-03 predicted that by the end of 2004-05, the budget would be in surplus. That was the prediction. I refer members to page 88 of last year’s Treasurer’s Annual Financial Report. That patently reveals that that was not the case. Indeed, government departments overspent by nearly $100m last year. The piggy bank allocation in the Central Holding Authority was drained and there was a credit card bill of some $40m on top of that allocation. This is a whopping credit card bill!
This year, in the Treasurer’s Mid-year Report which we will debate during these sittings, this document predicts an overspend in the vicinity of $80m - an overspend. We had $100m blow-out last year. This year, the mid-year report - clearly called the mid-year report because it is a report midway through the 2005-06 financial year - says they have overshot the mark by about $80m, and this is only the six monthly report. We fear and dread what is going to be contained in the Treasurer’s Annual Financial Report in six or so months’ time.
Budget predicted a surplus of about $33m and, at the midway point, there is now a prediction of an $11m deficit - an $11m deficit. It is telling that in the area of nett lending/borrowing, the government is off track by $50m and the fiscal balance is, as a result, $138m worse off for Territorians. This was the government that promised a balanced budget by last financial year! Well, they got it wrong by a country mile.
They got much more income than expected. Remember the $460m …
Mr Henderson: We did not. It was a $51m surplus. That is how balanced it was - it was a $51m surplus.
Ms CARNEY: You can yell all you like, I do not care. … on top of what they originally projected or anticipated by way of the GST truck load of dollars? On top of that, they got $260m. Notwithstanding that, government managed to overspend by $100m – read the Treasurer’s Annual Financial Report. It is not hard. We look at the very documents that the Treasurer provides to us, and it really is a matter of just following the tables, and looking down the columns. They are all here. Any Territorian can see them. However, what this government does is look Territorians in the eye and just lie - they just lie! It is our job, of course, to expose the lies and to ask them if, they are not prepared to be honest with Territorians, perhaps they might do us all a favour and be honest with themselves.
In 2001, government members and the Chief Minister said that in three years we would have a balanced budget. Patently, it is not the case. When the Treasurer was asked at the end of the three years about the budget, he had this to say on 104.1 FM on 10 February:
The only part of that gobbledygook that is intelligible is that we are going to be in deficit for the next three years because of the waterfront. Does this mean, if you follow the Treasurer and the Chief Minister’s logic, that the mid-year report, the half-yearly assessment of the government’s budget, is wrong? I ask the Treasurer this because he has told this House, on page 24 of the mid-year annual report, that he expects at least a modest surplus where departmental spending is concerned. How can he expect a modest surplus where departmental spending is concerned? What we do know is that a budget that was to be in balance by last year is not, and it will not be.
The Treasurer said that it would take another three years to be in surplus; a time, presumably, well after his retirement. The Treasurer says that the waterfront is factored in but, if it is factored in, then surely he must have been able to factor it in three years ago when he was planning the project. Otherwise, the Treasurer was deceiving Territorians years ago about being able to return a balanced budget if he knew at the time that there was going to be more spending than income. It just does not make any sense. Of course, we have the unfunded employee liabilities. That is Labor language, I suppose, for superannuation. That is a liability well into the future. These factors, as contained in the government’s own publications, show that this government is taking us further and further into debt. Of course, it is germane to revisit what Professor Percy Allan, a good Labor bloke, had to say after he was recruited from the deep south to give this government all sorts of advice.
Professor Percy Allan suggested - and the Chief Minister, of course, agreed with him, as you do when you fly up a consultant - that the level of Territory debt, $3.2bn or thereabouts, under the CLP was unsustainable. We are now heading to $4bn. If it was unsustainable then, it is, as a matter of logic, unsustainable now. If they became almost hysterical and found it necessary to levy the motor vehicle registration tax because of the unsustainable nature of the budget then, surely, heading rapidly as we are to a $4bn debt level, it also follows as a matter of logic that this government will come up with more taxes, because they have to pay for this debt somehow. It is just a matter of time. Hence, our questions today asking the Treasurer to rule out whether there would be job losses, tax hikes and so on.
The revised projections of nett debt and employee liabilities on page 7 are interesting. The Treasurer was at pains to refer to page 4. I invite him to look at page 7 of his mid-year financial report. Page 7 is a sad read. Six months ago, the government predicted a trend of those debts up to $3.6bn by 2008-09. In December 2005, two months ago, the projections were revised up to a whisker under $4bn in the same period. The Treasury or the Treasurer was out by some $400m. That is not beer money, Madam Speaker - $400m. Treasury must have been nervous, and the Treasurer should have been nervous. That is why the figures were revised up; we rely on the mid-year financial report.
No doubt, the senior contracts being provided to the $8m spin doctors on the fifth floor of this building were working overtime trying to spin their way out of this budgetary mess that Labor is taking us into, and they will continue to do it. Every time we say something about the budget, they say: ‘No, no, no, do not talk about the budget, talk about the economy’. The economy is in good shape; we are not arguing about that. We say it is because of the good financial management by the federal government and the previous initiatives of the CLP. I do not think this is rocket science. Even the Chief Minister and her Treasurer have difficulty with that.
Try as we might, the government and their $8m spin doctors try to spin their way out of it. They can spin their way out of it from a public relations point of view, but the budget books are the budget books. We look forward to the next budget books because, I dare say, they will be a fascinating read. We also look forward to watching the Treasurer over the next six months. I do not know how long he is going to be in the job. Word is he will retire. For the sake of the Northern Territory I wish he would, but we will keep an eye on this bloke. He can hide all he likes.
He can go away for a month when the issue of the Northern Territory, the sale of the TIO, is being debated. Where did he go? He went bush. He went somewhere for a month. He just disappeared. The Treasurer, when 14 000 people signed petitions, went somewhere - just not on. Not the sort of governance that we would expect from a Treasurer.
It is why they wanted to sell the TIO - they are running out of money. There is no doubt that that is the case. There is, of course, a human cost to the government’s crunching of numbers, and that is why we have referred to its mismanagement of the TIO, both in the censure and in the questions. I note the Chief Minister had to be dragged almost kicking and screaming before she said towards the end of her contribution: ‘By the way, personally, yes, I suppose I am a bit sorry’. Not good enough by half and staff and their families will remember that up to the next election.
Madam Speaker, so much to say, so little time. It is important to talk about the razor gang. Public servants are always a bit twitchy about razor gangs, as they should be. They are especially twitchy about this razor gang because public servants know how bad the books are and they know, as we know, that this Labor government has reverted to type. Big spending Labor governments cannot manage the budget and they become like Labor governments in the past that we have seen elsewhere around this country.
The TIO - we heard that there was a meeting. We would like to know what happened in there; we probably will never know. The Treasurer is continuing to play ducks and drakes and his conduct of the TIO issue speaks volumes. He was reported in the Sunday Territorian of 12 February in relation to whether he was planning to raise taxes. He says, and I quote: ‘We are in the budget formation state and we are not ruling anything in or out.’ He is on the record, and we look forward to seeing the results of this. He is under the gun, he is under the pump. We know that he will not want to be seen to be upsetting everyone because - well, maybe he might. He might use Territorians’ money to get some more focus groups. Maybe he might get some focus groups together at great expense. How much would it cost? A couple of hundred thousand dollars, I would have thought.
Get some focus groups: ask them whether they want to be taxed more. Ask them whether they want to pay more for their electricity. Ask them if they want higher motor vehicle registrations. Ask them, Treasurer, whether they want a government vaguely capable of managing the books. Ask them, Treasurer, whether they think a $4bn debt, unprecedented in the Northern Territory, is a good thing. I would suggest to you that they would say it is not. It just is not.
The GST windfalls, the stream of revenue does need to be touched upon in the context of this debate. We know we are on the Parliamentary Record and the Treasurer, if he is not on the Parliamentary Record may be on the public record, I think, confirming that GST revenue is going to fall, be reduced. It is a consumption tax, that is why it is going to fall. We understand that Treasury has advised the Treasurer of this, so what this means is less money coming into the Northern Territory. Is this bloke remotely concerned? Maybe he is because he is retiring at some point, I do not know. But this bloke does not even seem to care that budget debt is a whisker under $4m. GST revenues will fall. Even the Treasury people have told him that.
There were times of plenty: unprecedented $7.1bn, I think, in GST revenue. Where is it? Where on earth is it? In the face of all of these factors, why is it that this man – and, of course, we cannot forget that the Chief Minister used to be the Treasurer …
Mr Mills: Not for very long.
Ms CARNEY: She was not. Thank you, member for Blain. I think the Chief Minister, when she was Treasurer, to her great credit I might say, understood that she was not up to the job, not able to manage the Territory’s economy and budget and that is why she flicked it. That is why she said: ‘Member for Nhulunbuy, I cannot do this, can you?’ Territorians expect much better.
The word ‘unsustainable’ was used only a few years ago. We use it, and if Labor members were honest with themselves they would. I look forward to an answer. I know what the Treasurer is going to do. He is going to get up and go red, his veins are going to pop, and he is going to be condescending, patronising, rude and arrogant. Some people love him …
Mr Stirling: And interesting, informative.
Ms CARNEY: Interesting. Always interesting, never a dull moment with the Treasurer. Can you please, Treasurer - and I am appealing to your better nature - address this censure motion properly. Please do not fib. Do not tell whoppers. Can you tell us if something was unsustainable only a few years ago, what suddenly does make it sustainable? I commend the motion, Madam Speaker.
Mr STIRLING (Treasurer): Madam Speaker, I will say at the outset that had I been Leader of Government Business, I doubt this censure would have survived. You can get thin censures; you can get them to the point of transparency, as this one is. When you look at the costs of running this Assembly, I do not know, $7000 or $8000 an hour and the Leader of the Opposition has just burned up probably $3000 or $4000 in the biggest pile of hogwash you would ever come across in this place. If she wants to worry about cost she ought to put a bit of value on the time she spends speaking in here and put some quality into it.
I want to take the opposition through a few facts. One of the claims in this censure motion is that this government irresponsibly amplifies the state of the economic upswing at the moment. Let us look at Access Economics, an independent forecaster and probably the most highly regarded economic forecaster. They are certainly not known for their love of Labor governments, I would not have thought. They are saying that the Territory economy is turbocharged - not this government; Access Economics has said that. They are saying it is as good as it gets. They are predicting economic growth of 4.4% on average over the next five years; nationally-leading position. Access Economics: employment growth, 2.4%, second highest in Australia; predicting population growth of around 1.7%, second to Queensland, well above, of course, the national average of 1.1%.
The Australian Bureau of Statistics tells us that in the year to December - so we go right through 2005 up until December - retail trade was up 4.5%; motor vehicle sales up 7.1%; housing finance, 26.1%; residential construction value, 33.3% coming off a pretty strong base as it was; non-residential value, 7.1% up; our population to September, up 1.5% and since strengthening to 1.7%. They are outstanding numbers and each of them reflects something real in the state of our economy.
Residential construction, of course, means jobs for carpenters, plumbers, electricians, builders; new furnishings, its televisions; its Harvey Norman, The Good Guys, Chandlers, JB Hi-Fi, all of those out there selling whitegoods into this housing construction market that we have at the moment. That means more jobs across the retail sector.
Population figures: for each Territorian, our receipts from Commonwealth revenue go up between $8000 and $10 000. We welcome those Christmas Day and New Year babies and, in fact, all entrants to the Northern Territory as long as we can get the Census right in 2006 so that our population growth and actual population is as closely and accurately measured as we can, as ABS will later this year. To achieve a growth rate of 1.5% to achieve positive growth in interstate migration does have a strong effect on the receipt from the Commonwealth and, of course, it trickles down through the economy in a more broad sense. More people means more buyers out there in the market; more buyers means a greater retail spend; a greater retail spend means more jobs; more jobs means more people - and the cycle repeats itself. To be achieving that level of population growth at a time when Australia has gone through a relative period of slow growth is enough demonstration of the buoyancy of this economy.
All of those figures, as dry as they are, represent real people, real families, real jobs, and real confidence in the Territory economy.
I want to look at this idea of a budget blow-out, as referred to by the Leader of the Opposition in her speech. If you want to talk about blow-outs, we really need to understand what a budget blow-out is. Let us go back to 1999-2000 under the CLP: $100m deficit, even better in 2000-01 because they predicted, I think, a minus-$100m deficit, came in at $101m deficit. Now, there is a budget blow-out. We are going to have a deficit budget of about a $1m. That is, this government will spend $1m more in 2000-01 than it receives; that government spent $101m more than it got in. That is a budget blow-out. The year we came in, in 2001-02, the CLP predicted a $12m deficit; it was somewhere between $126m and $134m. It was only with a great deal of work and pain on behalf of this government and the Territory that we got that deficit down to $83m.
That is what we inherited - absolute three blow-out budgets in succession - and that was what was driving nett debt up behind these deficit figures. That is what we have turned around, and that is what a budget blow-out actually is.
Our first term fiscal strategy, of course, was to return the budget to at least a balance, if not surplus, from the parlous state it was in. By 2002-03, we did that and it remained there throughout our first term; we had three successive surplus budgets. The member for Greatorex said: ‘Oh, debt, debt, never gone down. I have not seen debt go down’. He has to have a look at the figures. In fact, when we came in it was, I think, $1.723bn. We got it down to about $1.623bn. Of course, it came down because that is what surplus budgets do. If you have surplus budgets, you are not out there in the marketplace borrowing extra money to get through that year and adding to the nett debt.
Regarding the blow-out, it is almost a waste of time providing the opposition with budget books. One wonders why we go to the trouble and expense of printing them. Perhaps we will just put them on disk for the Leader of the Opposition, because she said: ‘Now we have it. Your Treasurer admitted that you will not get back to balanced budget until 2008-09’. Well, hello! It was in the budget books of May 2005, the mid-year reports, and the Treasurer’s Annual Financial Report. I do not know how many times it has been publicly reported what we will have going forward.
The books do not show anything like an $80m blow-out as suggested by the Leader of the Opposition. What it does show, as I mentioned, are the surpluses in the previous years, the deficit targets of 2005-06, $68m; 2006-07, $53m; 2007-08, $21m; and a balanced budget in 2008-09. That is the strategy that government has embarked upon. There is no secret there; it is out in the public arena. Yet, she launched onto a statement I made that we will be in deficit over the next few years. Well, hello! I suggest she reads the budget papers next time we put them out so she is not taken by surprise by some of the things I quote from them.
The papers also show that we are on track to achieve those totals. What the mid-year financial review shows on page 24 - and this is, in fact, where the $80m is coming from – is an increase in expenses from the May 2005 budget to the mid-year review in November. They show a figure of $2718.239m jumping to $2798.667m. That is around about $80m. This is what she claims is an $80m blow-out. In fact, what page 4 of the same report shows are the reasons for all of those variations. There are two columns. One explains the cash position of the government at the mid-year. That shows that we received $35.1m in cash extra and above, and it shows we anticipated spending an additional $35m. The 2005-06 budget surplus deficit on page 4 says that the May budget said we would have a deficit of $68.1m for 2005-06, and the mid-year report or the revised budget figure for 2005-06 says $68.2m - so, a total difference there of $100 000.
With the $80m difference, what the Leader of the Opposition does not understand is that things change throughout the year - both expenditure but, most importantly, what comes into government by way of revenue. If one balances the other, you do not change the picture overall. If you did not have those variations, what the Leader of the Opposition would be saying here is that, when Cyclone Ingrid went through the north islands and Warrawi, I think, lost its school is: ‘No, no, no, sorry, you are going to be without a school for about 18 months because we could not possibly spend it this year because that would throw our budget out. So, we will see that you get the $2m for your school in 18 months time. Over the next 18 months, you are just going to have to sit under a tree and be educated’. That is absolute nonsense. Budgets, of course, change over the course of the year for a whole range of reasons. If the Leader of the Opposition read these reports that we trouble to provide them with she would understand it.
Increased receipts from taxes, and increased specific purpose payments from the Commonwealth are responsible for a big part of the additional revenue. Additional revenue from sales and, of course, additional expenditure on the expenditure side - a whole range of policy decisions and some announced in the election campaign; for example, the increases in stamp duty concessions - have to be paid for.
If you go to the right column on that page 4, you get the accrual position. It shows one additional factor - an increase in employee liabilities for superannuation. That figure is in there because the government’s actuaries have changed their assessment of what the government’s final superannuation payments will be over time, because they now have a view that with people living longer, government’s liabilities for superannuation are extended in an accrual sense. However, what will be realised in a cash sense over time is that they add a significant hit to the bottom line. Governments have funded superannuation liabilities on an emerging basis - always have, and we will continue to do so. Of course, over extended time the superannuation liabilities will even out. The baby boomer lump caused by the introduction of superannuation will be worked through and eased out.
There is no blow-out there, but we do know now where that $80m alleged blow-out comes from. It is an accurate reading of the figures on page 24. Does that mean the government is going to produce a deficit of $80m more than was predicted? Well, if that was the case, then we would be looking at $148m deficit. No, we are not - $68.2m.
Territory nett debts are fairly stable. When we came in, in 2001, it was $1.753bn. The member for Greatorex says we have not done anything at all about reducing debt. In 2002-03, it was $1.723bn. Well, I do not know what that $30m means. To me, it means that we lost $30m worth of debt. Again, the member for Greatorex is an educated person who ought to be able to read these figures. In 2003-04, it was $1.638bn. That is a further $55m down. In 2004-05, it came back up to $1.656bn. In 2005-06, it was $1.723bn, still better than we inherited in 2001-02. However, of course, these modest deficits over these next few years do add to that debt.
There is another important way of looking at debt. Before I get to that, the huge jump in debt prior to that, which really jumped up from 1999 on, was caused by those massive deficits I was talking about - $100m in 1999-2000, $100m again in 2000-01. Of course, they were by the CLP government and the railway contribution. We always supported the railway, but it was more than just the railway adding to that $100m. We were talking then about recurrent expenditure going on plastic, adding to nett debt, and that is exactly what was happening. There was no growth, there was no wealth creation in that debt - it was simply paying the wages and salaries of staff.
That debt has reduced because we have produced those three surpluses, and those surpluses have gone to the bottom line. At the same time you have a surplus you do not have to go out and borrow more money and, of course, further add to debt. Over the next few years, as I have said, that debt increases slightly with the government contribution to the waterfront, but it is a wealth gaining asset over time. We have never hidden that fact.
On the issue of gross debt, that includes nett debt plus employee liabilities. I have already explained why that is increasing – it is the increased superannuation liability assessment by the actuaries. The most accurate assessment to be made, though, is the debt to revenue ratio. That really tells the story of how government is travelling. When we came to office, debt to revenue was around 134%. Today, it is around 119% and will stay around that figure until the end of this term. As I have said, it would have reduced significantly further than that but for that new actuarial assessment around superannuation liabilities.
It is still heading in the right direction. In 2001-02, the actual outcome was 134% nett debt, employee liabilities to revenue; 2002-03, 131%; 2003-04, 118%; 2004-05, 119%; 2005-06, 120%; and on top, in 2006-07 at 121% before coming back down over the succeeding years. There is no blow-out there.
We get to the conclusion that it is really just a question of trying to get a smart political headline: that there has been a massive blow-out, and that government has to sell TIO in order to get themselves out of debt. I understand the political game. I understand why the opposition would try to prosecute such a case, but they have to have facts. They have to be able to substantiate their case in here, and that is the reason why I would have been loath, if I was Leader of Government Business, to take this censure on because it was a stupid statement. It is a statement that shows that the Leader of the Opposition has never read the budget books, has never read the mid-year report, except what has been put in front of her.
Ms Carney: I love it. Of course I read it.
Mr STIRLING: Well, it is quite clear that you have not read it when you said: ‘Now we have it! The Treasury admitted we are in deficit until 2008-09’. Go and have a look at the 2005-06 budget and you will see it all there.
It is an absolutely stupid statement that could not be backed up. The down side of these sorts of debates, and the side they do not like, of course, is that the opposition, in order to try to get something out to the Northern Territory News or the media to take away, talks down the Territory economy, and that is the sad side of this debate. Such as: ‘We are artificially inflating how the economy is going’. No such truth in that. Access Economics is saying all of those things about our economy.
In terms of the budget, I would suggest the Leader of the Opposition and the shadow minister get a briefing so that they do understand these reports, the mid-year report, the Treasurer’s Annual Financial Report, the 2005-06 Budget, so that you might have some greater understanding when we get to the 2006-07 budget. To come in and say: ‘Now we have it!’, just really puts the lie to it all.
Mr Deputy Speaker, I move that the question be put.
Ms Carney: Gagging us. So you are so arrogant you would deprive the opposition, the great numbers that we are, of having our say. That is outrageous. You are outrageous, you are offensive, you are absolutely disgraceful and you should be ashamed of yourselves.
Mr Deputy SPEAKER: Order, order! Order, Leader of the Opposition! The question is put.
Motion agreed to.
Madam SPEAKER: The question is that the censure motion be agreed to.
Motion negatived.
Mr Stirling: I did not hear any ayes.
Madam SPEAKER: Order!
NORTHERN TERRITORY TOURIST COMMISSION AMENDMENT BILL
(Serial 30)
Continued from earlier this day.
Ms MARTIN (Tourism): Madam Speaker, I believe everyone who wanted to contribute to this debate has, and I thank all those who did. Tourism is one of the most exciting aspects of economic development in the Territory. It is a delight for me to be Tourism Minister. We face challenging times in tourism, and the whole tourist framework has changed. The tourism industry and how people travel has changed quite considerably in the last four years. I know for those who work in the industry it is not as predictable as it was. Certainly, with the range of discount air fares and the other aspects that have contributed to the industry, it makes it much harder for those who work, particularly in accommodation, and for tour operators to know exactly what their market it is. It is a challenging area.
As far as being the Minister for Tourism, or as the member for Nelson was saying, Tourism Minister - is there something I should interpret in this? It is an either/or, member for Nelson. You can either be the Minister for Tourism or the Tourism Minister depending on which description you feel in any one day.
It is a most important industry for the Territory. I take it very seriously. These changes today, although in many ways they are simple changes to how tourism operates, are quite fundamental and really reflect how this government views the importance of tourism in our economy. It is the second largest contributor to our economy. As an industry, it employs the greatest number of Territorians – 14 000 plus; that is, more than 14% of our work force is dependent on tourism. It is not something that this government takes lightly. Maintaining the tourism numbers we have and growing them for the future is critical to my government’s strategies for the future.
I will respond to some of the issues raised throughout the second reading debate. I say to the opposition spokesperson, the member for Katherine, that if you are going to contribute to a debate - and I do not mean to be patronising - it is important to have a briefing first. Much of what you contributed to the debate was inaccurate because you did not have a briefing. We are very open to having a briefing. I would expect anyone in the House to ask for a briefing about changes to tourism. Most members in the House did have a briefing and it saddened me greatly that the opposition spokesperson did not ask for one.
Your first comment about these amendments to the act was that we are breaking up tourism. That is what you said – we are breaking up tourism and we are taking people and scattering them through the public sector – which is simply wrong. Walk along Mitchell Street and all those people who are in the tourism area will still be there. Let us get that point right.
We are not breaking up tourism. Of all the changes that will happen with this new association with DBERD, it is not a swallowing up by DBERD, it is a working with DBERD that will actually have the corporate services functions of Tourism NT and DBERD integrated. They are two smallish departments and there are real synergies to be gained from that. Maybe there will be a small number of people who might move but, in the integrity of who works in tourism, that will be maintained. There was nothing said, there was no intention of doing that and if it was going to happen I might have reflected it in the second reading. However, it is not going to happen.
The claim that Tourism will somehow lose its autonomy – I do not know how that was sustained either. A statutory authority, which is what Tourism NT will be, means that it has that statutory authority. It is an independent organisation working within what is the driver of our economy and that is the area of DBERD – Business, Economic and Regional Development. If tourism is not about regional development, I do not know what it is about. We have to make sure that our tourists who come here for that experience of our environment, for Aboriginal culture which is in our regions predominantly, that is what they are going to get. There is a real logic in bringing Tourism more closely working with DBERD so that the work that is being done on regional development can work closely with tourism.
We have a growing Tourism Development Unit in Tourism, but they are also working very closely and there are business development, regional development, and Aboriginal development issues that are all being dealt with in DBERD. Tourism is working closely with that.
I want tourism to work. I want tourist product to expand. How do you do that? You bring tourism and make it closer to the broader workings of government, with every aspect working more closely with an area like the Department of Planning and Infrastructure. The member for Blain was talking about getting down to signage and getting away from glossy brochures. It is exactly those kinds of things that we want - closer relationships between the signage that the Department of Planning and Infrastructure is responsible for along our roads and what Tourism is doing. It makes a lot of sense.
Tourism’s major responsibility is marketing. That is what we asked Tourism to do: market the hell out of the Territory; be out there, put our name up in lights! They are doing a great job - so great a job that, if we compare September 2004 on September 2005, we have a 39% increase in domestic tourists. That is a fantastic result, and it is a real tribute to the work of Tourism. We also have an increase in international, which is our difficult market, of 7% in that same year on year.
That is what Tourism is charged with: the development issues are there in Tourism, but to work and use the resources right across government. The first point is at DBERD, but also right across government: talk closely to the natural resources area, where Parks and Wildlife is, and to all other areas such as the Arts and Museums people, and every aspect of government. We are determined, as government and as a Territory, to grow tourism. That is the rationale for these changes.
Tourism, as a statutory authority, can work effectively in the marketing area, and that is why it still maintains its status as a statutory authority. I believe we have the best of both worlds. We have it working together with others aspects of government, but also maintaining its independence as a statutory authority. I am confident - I cannot say absolutely - we have the mix right. That is what this legislation is about.
The member for Katherine raised the issue of getting the name wrong. Yes, we did – we made a mistake. I call it a glitch. It will not be Tourism Northern Territory, but Tourism NT. It is actually a glitch that will work, because the second stage of Share Our Story has a really strong emphasis on ‘NT’. NT is recognised as us right around the country, very clearly. The new second stage of Share Our Story is using that very effectively, I believe. There will be billboards in Sydney and Melbourne, free-to-air advertising, and magazines and newspapers all with the new NT focus, in those wonderful words we are using, ranging from ‘vibrant, monumental, adventure, intrepid’ - all words that really describe the Northern Territory. While we might say it is a glitch, yes, we got it wrong the first time around. However, the solution has been a great one.
Tourism NT will work well as the name of the former commission going into the future. The member for Braitling said: ‘Why change it? NTTC is a good name; it is something we have grown used to. Why would you want to change it?’ There are two aspects of that. One is that every other part of Australia has gone to Tourism Queensland, Tourism Western Australia, Tourism South Australia. It is a more contemporary name.
The Northern Territory Tourist Commission reflects what the commission used to do. It had a board - and this legislation changes that - that effectively ran the commission. It is really the organisation and structure that is probably out of date, predominantly, around the country. It is an older name and practice. Now, we have a board, as this legislation reflects, that is an advisory board. I believe it is important to change the ‘commission’ name because it no longer reflects what a commission used to do. There are two aspects of that: to more honestly and accurately reflect what Tourism NT will do, and to move on with a more contemporary name that will work very well with our advertising.
It is interesting about the changes. The board actually initiated a review of their governance last year. They wanted to look at best practice in corporate governance. They got in Robert Smith, the Chancellor of the University of Ballarat, who has a specific expertise in corporate governance. His key recommendations were that the role of the board change to an advisory one. I listened. That was supported by the board; that it should not be a board that did day-to-day operations of the then commission, but be an advisory board.
What we have to get right in that advisory board is to reflect a balance of the advice I am going to get from the board. You have to have people who understand our local scene, the difficulties and the joys of being an operator in the Territory, along with advice on national and international strategy. Unless we get that balance right, we will not have an effective advisory board. It is very important to make sure that we are getting that national and international advice in our advisory board, because we work in a national and international market and we have to be able to match it with other states which are spending a lot more money on tourism; for example, Queensland, which has a bigger budget,. Considering the increase we put in the budget, I believe we are doing extraordinarily well.
The new marketing strategy is smart, it is targeted, and it is actually getting people thinking about the Northern Territory. What we want to do in this second stage of the Share Our Story rebranding is to get people who say: ‘Oh, I know about the Northern Territory, I will go there one day’, to say: ‘I will go now’. The advisory board is going to be very important, and we are going to be calling for expressions of interest shortly. However, we want to get that balance right; a reflection of working in the industry in the Territory - and that does not mean Darwin, it means, for the member for Braitling, in the Centre also - and also that international and national perspective.
To pick up another point that the member for Katherine made, she said that the halcyon days of Territory tourism were when we had Daryl Somers and ‘You’ll never, never know if you never, never go’, and people loved that. It was right for the time. One of the things that we did discover about the charm of Daryl Somers and that tag was that it did not actually convert people from saying: ‘I might go to the Territory one day’ to actually do it. It was a recognition factor. I am not saying he was not great. I am saying it was terrific, but you cannot stay with something that is not achieving what you need to achieve. That is why we have moved on. All credit to Daryl - thank you for doing that, hope we paid you enough. However, it was time to move on. The member for Katherine said: ‘If it is not broke, you do not need to fix it’. However, we have changed. We have seen, over the last 12 months to September, a 39% increase in domestic visitors to the Territory. Therefore, even if you say we should have stayed with ‘You’ll never, never know if you never, never go’, the new marketing is working. It is reaching our target marketing, and it is getting people to come here. We have to keep it, keep it going and modifying what we are doing, and further honing in on those travellers who will come to the Territory.
Just to put on the record that the member for Katherine again said that the RTAs have been gutted. Simply wrong. The RTAs are there, they are well, we are working with them, and we see their role as most important and effective – and the Katherine RTA is going well. Well done to the Katherine community. There is nothing in this legislation that says we are going to gut the RTA. If you had come for a briefing we certainly would have been able to answer that question.
I cannot let your comments about public servants go unanswered;. that you have to listen to the industry more because, basically, what would public servants know about working in the tourism industry? I am going to defend my public servants because they do know. They work very closely with the industry, and they certainly are committed to doing that. They listen and they respond. To my people who work in Tourism, you do a great job. Many of you have worked in the tourism industry and understand it. It is that balance of working with the industry, but being able to step back from it, from the day-to-day, and work effectively to get tourism numbers to grow. I have the feeling that the member for Katherine did not mean to be offensive, but I wanted to put on the record that I stand by my public servants who work in Tourism and do a great job.
I thank the member for Braitling for her mostly positive comments. Raising the issue of why would we move Tourism to DBERD, I believe I have answered that. The member for Braitling also questioned the cost of the name change. That will go through the system as letterheads get used, as brochures need to be replaced, those things will change. There is going to be no immediate cost to having the name changed from the Northern Territory Tourist Commission to Tourism NT.
The member for Nelson raised the issue of why not put Tourism in the Department of the Chief Minister. The Department of the Chief Minister is a coordinating agency and DBERD is where that economic and regional development is happening, particularly regional development. It makes good sense to put it there. It is not in the agency; it is just working more closely with the agency. Because of the importance of tourism to our economy it needs to be closely aligned with one of those big drivers of the economy and the big development areas. That is what I have tasked the minister to do which is …
Mr Wood: He should be the minister then.
Ms Carney: He wants to be Chief Minister, actually. It is just a matter of time.
Madam SPEAKER: Order!
Ms MARTIN: I am very happy being the Minister for Tourism and there are very clear lines of responsibility. The clear line of responsibility it will have now with an advisory board is that from managing director to me as minister is a very clear line that you have with every other department of government.
The issue about the caravan association, we will get back to you on that one, member for Nelson.
There was just a final contribution from the member for Blain who was very critical of glossy brochures and wanted more signage. I believe one of the things we have to accept that Tourism does well is produce those brochures and they are not all super glossy. Take this one which was distributed in other parts of Australia. These are very effective and very attractive. They get people in our target areas to think about it, and to convert thinking into coming to Darwin. If the member for Blain was suggesting that we should have black and white photocopied sheets of paper put out there, it will not work.
You have to have attractive marketing in a world where everyone has to have attractive marketing and find the niche. Brochures like this one, Darwin Share Our Story, are the ways to do it, and also attractive billboards, attractive advertising in magazines and newspapers around this country and the world. I thought it was also a very fatuous thing to say that Tourism NT, as it will be known, spends too much time working on glossy brochures. That is what I tasked them to do. They are not party political numbers. There is nothing in these that says party political. They are about advertising the Territory, about marketing the Territory.
I take his point that we have to do more on some of the signage and that is what we are doing, we are working on it. There are strategies in place. John Coleman, who now heads up our Tourism Development Unit, is very aware of that. Having come recently from the Department of Planning and Infrastructure, he is on to it. He is a great addition to Tourism and that whole development area is really starting to move.
All aspects of what we are doing in Tourism are strategic. These amendments to the act I believe will reflect that and that is what they are intended to do: reflect that tourism is not just an add-on to our economy but fundamental to our economy; reflect that the commission might have been something that worked in the past, but now we need an advisory board that effectively advises me as minister. That was the board’s own recommendation to me as well.
I thank all members for their contribution, even though there was some criticism of the enthusiasm of the members for Brennan and Port Darwin, I was very pleased to see it and thank you for your support. Even though the opposition cannot support these amendments I certainly hope they have the enthusiasm of this House and that, in their small part, they play a part in really growing tourism in the NT.
Motion agreed to; bill read a second time.
In committee:
Mr CHAIRMAN: The committee has before it the Northern Territory Tourist Commission Amendment Bill 2005 (Serial 30) together with schedule of amendments No 7 circulated by the Minister for Tourism.
Clauses 1 to 3, by leave, taken together and agreed to
Clause 4:
Ms MARTIN: Mr Chairman, I move amendment 7.1.
Amendment agreed to.
Clause 4, as amended, agreed to.
Clause 5 agreed to.
Clause 6:
Ms MARTIN: Mr Chairman, I move defeat of clause 6.
Mrs MILLER: No, I wish to make some comments about clause 6 and ask some questions. Minister, you have omit ‘Northern Territory Tourist Commission’ and substitute with ‘Tourism Northern Territory’ …
Ms MARTIN: Tourism NT.
Mrs MILLER: Okay. Well I have ‘Tourism Northern Territory’ in my copy.
Ms MARTIN: Do you not have the schedule of amendments?
Mrs MILLER: The schedule of amendments? Okay, so it is Tourism NT.
Ms MARTIN: All these amendments are about changing the Northern Territory Tourist Commission to Tourism NT.
Mrs MILLER: Okay, just a moment and I will have a look. I will get them. Thank you. So you have Tourism NT. Now, we are all very well aware that there was a botch up with this name. I have already done a check on this. I did a check on the company again today, and when I put in Tourism NT it still comes up as Tourism Northern Territory. It still comes up as the same owner. Is that right?
Ms MARTIN: When you put in Tourism NT?
Mrs MILLER: Tourism NT still shows that it is owned by the same person who owns Tourism Northern Territory. Is that correct?
Ms MARTIN: That is definitely not the case. Tourism Northern Territory is owned by Northern Gateway but Tourism NT is specifically kept for us in the Northern Territory in this context.
Mrs MILLER: Okay. Before this amendment was put through it was substituted for Tourism Northern Territory and that was obviously owned by Northern Gateway. How much did the Northern Territory government have to pay?
Ms MARTIN: To purchase a registered company name, you do have to pay. But Tourism NT is not a registered company name and that is available. We are using that.
Mrs MILLER: So Tourism Northern Territory now remains with the Northern Gateway?
Ms MARTIN: Yes.
Mrs MILLER: Right. So it did not cost the Northern Territory taxpayer any money at all to register this new name?
Ms MARTIN: No.
Mrs MILLER: Right. Thank you.
Ms CARNEY: Chief Minister, in relation to a comment you just made, you said Tourism NT, if I took the note correctly, is kept for you - meaning government. What did you mean by that? What do you mean by ‘is kept for government’?
Ms MARTIN: I will give you the technical description of this. The name Tourism NT has been secured with the Business Names Register. It is now currently listed as part of their listings and is actually called an ‘objectionable phrase’. Anyone else applying to use that will not be able to. It is now quarantined for use by us for Tourism NT from government.
Ms CARNEY: When you said it was part of their listing, the reference there is, I take it, to Northern Gateway?
Ms MARTIN: No. It is part of the Business Names Register.
Ms CARNEY: Oh, I see. Okay.
Ms MARTIN: It is nothing to do with Northern Gateway.
Ms CARNEY: Perhaps going back a step, government independently obtained this name, registered it in the way these names are ordinarily registered. Is that correct?
Ms MARTIN: Absolutely.
Mr CHAIRMAN: The minister has invited defeat on this clause. The question is that clause 6 stand as printed.
Clause 6 negatived.
Proposed new clause 6:
Ms MARTIN: Mr Chairman, I move amendment 7.2.
Amendment agreed to.
Proposed new clause 6 agreed to.
Clause 7:
Ms MARTIN: Mr Chairman, I move amendment 7.3.
Amendment agreed to.
Clause 7, as amended, agreed to.
Clause 8:
Ms MARTIN: Mr Chairman, I move amendment 7.4. I propose to omit proposed Part 2 heading and substitute it with Part 2 - Tourism NT.
Ms CARNEY: Mr Chairman, is that in relation to clause 4?
Mr CHAIRMAN: No, this is in relation to clause 8.
Ms MARTIN: Clause 8.
Amendment agreed to.
Clause 8, as amended, agreed to.
Clause 9:
Ms MARTIN: Mr Chairman, I move amendment 7.5
Ms CARNEY: Chief Minister, I guess I could have asked this question earlier, but there is no reason why I cannot ask it now. When the bill was initially presented, which I think was the December sittings last year, the bill that you laid on the table contained the name ‘Tourism Northern Territory’. You now seek to amend that. Is it not the case that Tourism Northern Territory was owned by Northern Gateway? Is that how I understood your answer before?
Ms MARTIN: Yes.
Ms CARNEY: When did you become aware that Tourism Northern Territory was owned by someone else?
Ms MARTIN: I assume the Leader of the Opposition was listening to my reply in the second reading debate. We made a mistake. Okay? We made a mistake; those checks were not made. We became aware of it after the bill had been introduced, and now these amendments are correcting that. As I said, it was a glitch, but it is a glitch with a very fortunate outcome because the name Tourism NT works better for our second stage of advertising under Share Our Story than maybe Tourism Northern Territory would have.
Ms CARNEY: I say, in passing, I agree that the outcome is much better. I am happy to revisit the debacle with Power and Water, if you like. Can you assure Territorians that you, your office, routinely checks when you want to rebadge or rename something, when you are talking about the names and/or the logos? Does your office check? Do you check?
Ms MARTIN: This is not rebadging a logo. This was a business name and it was possible to purchase that business name. I am not apologising; it was a mistake. You could stand in here and say: ‘Yes, you have made a mistake’, and go on and on about it. I am saying we have made a mistake and it has been rectified; therefore, we are going through with these amendments to correct that. As I said before, yes, we made a mistake. This has been an opportunity that gives us a real win/win. That is the case of it.
Ms CARNEY: Of course, in matters of this nature, it is not the first time a mistake has been made, when we think about the logo that was plagiarised in relation to Power and Water. Can you give Territorians an assurance that before presenting legislation in this parliament that you, as Chief Minister - ie, the boss - will check that the most fundamental searches and checks are done? You are laughing, and that is important to put on the Parliamentary Record, but this is pedestrian stuff. Do you take responsibility for this mistake?
Ms MARTIN: I am the minister; of course I take responsibility. However, in this House we introduce legislation and there are often amendments. You could run the same argument for every time we have an amendment. Many people contribute towards producing that legislation, and there is a lot of hard work and, yes, sometimes mistakes are made. I take responsibility, Opposition Leader. We are correcting that, and there were different ways to do that. The way we have chosen is to change the name and put in Tourism NT. I do not think it is a big deal. I could fall on the sword, it is not particularly useful in terms of development of the Territory. The former commission, soon to be Tourism NT, already own the URLs of TourismNT.com and TourismNT.com.au. So really, overall, it made more sense to have Tourism NT.
Ms CARNEY: Thank you, Chief Minister. I will not - no pun intended - labour the point. However, we are not talking about the garden variety amendments that are made to legislation when, for instance, the Attorney-General and others come under the pump. This is a change of name to the Northern Territory Tourist Commission, an organisation of which you and every Territorian is very fond. This is serious stuff. The fact that you or your office did not even check, I believe, is a worry. There are only four of us, and we have seen evidence today of government gagging us whenever it pleases them. You make our work and, indeed, the work of all Territorians very tough, Chief Minister, when you come into this Chamber, put legislation on the table and say: ‘This is what we are going to do’, and then months later say: ‘Oops, we forgot to check’.
Nevertheless, in relation to the name that you intended when you laid this bill on the table only a few months ago, was there any marketing undertaken by the commission in relation to the proposed name as it was, Tourism Northern Territory? If so, could you outline what that marketing was and how much it cost?
Ms MARTIN: I can understand the Opposition Leader sees an opportunity here to do her courtroom presentation and say: ‘We have you here’. I have said, and I do not know how more up-front I can be, that there was a mistake. There is an assumption that when we put legislation in the parliament for a period of time it is so that you can actually do those double and triple checkings. To assume that we would start some kind of change of marketing based on a bill that was in front of the parliament, and not an act, is extraordinarily poor form.
The Opposition Leader should understand that we had put the amendments into the House, they have not been passed. Of course, we would not be taking any action on that, so no. To say that somehow or other we had changed marketing names or anything like that, no, we had not. This is really a corporate name. We are Australia’s Northern Territory out there in the wide world, and this is the name of the organisation within government which does all that work. As I said in the previous debate, we are not going to race out and throw all the letterheads and everything else away. This will work through the system. It is a corporate name, and it will not change how we market the Northern Territory.
Ms CARNEY: I am not sure whether the Chief Minister deliberately misunderstood, or whether it was inadvertent, but since Christmas was fairly recent, I will give you the benefit of the doubt and put the question again. Perhaps I could put it differently, more simply, so that you will be able to understand it.
Chief Minister, in relation to the name Tourism Northern Territory, was there marketing undertaken in relation to that name? I can elaborate if you like. You are changing a corporate name of a significant entity. In the normal course of events - and I have heard you talk about tourism marketing whenever it pleases you - surely you would get either focus groups, consultants, whatever, and say: ‘We are planning on changing the name to Tourism Northern Territory. What do you think? Is it going to be catchy? Will people in Queensland and Western Australia think this is a good thing? Is this a good thing for the Northern Territory?’
That is what I am talking about. Did you undertake any marketing in relation to the name Tourism NT and, if so, what was it and how much did it cost?
Ms MARTIN: No.
Ms CARNEY: Thank you. That was not hard at all.
Ms MARTIN: I also say in response, Opposition Leader, that in terms of the corporate name, I do not undertake marketing when I am looking at how we might change DBIRD from the ‘I’ in the name to the ‘E’ in the name. This is a corporate name. What we do …
Ms Carney interjecting.
Ms MARTIN: Listen, listen. It is important that, if you have asked me a question, you actually give me a chance to answer it.
Ms Carney: It is important you answer it.
Mr CHAIRMAN: Order, Leader of the Opposition.
Ms MARTIN: Moving on.
Ms CARNEY: Thank you, Mr Chairman. I will assume from the conceit demonstrated by the Chief Minister and from the basis of her answer that there was no marketing in relation to the proposed new name; that is, Tourism Northern Territory. I wonder then …
Ms MARTIN: We market the name of Tourism NT.
Ms CARNEY: I wonder then …
Ms MARTIN: Tourism NT.
Ms CARNEY: Are you finished? I know you are a bit theatrical but ‘come back to me; look at me; look at me’.
Mr CHAIRMAN: Leader of the Opposition, get on with the question, please.
Ms CARNEY: Given that you were going to change the name to Tourism Northern Territory, why was it that you chose that name? Were you, Chief Minister, sitting at home one night and thought: ‘That is a good name for it’. What was the basis upon which you came to the decision to come up with Tourism Northern Territory? Where did it come from?
Ms MARTIN: Mr Chairman, it is not rocket science. If you go around Australia, in Tasmania they have Tourism Tasmania; in South Australia, they have Tourism South Australia. Guess what they have in Victoria? Tourism Victoria! It is not a rocket science name. If you had been conscious of what I said during the second reading debate that we were moving on from the structure of a commission, the nature of the board had changed, the nature of the board’s relationship with the organisation had changed, and the name should reflect that. We have Tourism Australia and the last time I looked we were living in the Northern Territory; it seemed like a good thing.
Ms CARNEY: Your arrogance continues to astound me, Chief Minister. I am terribly sorry we are taking up the resources of the Legislative Assembly by asking, on behalf of Territorians, questions. I know you do not like to be questioned. I know you cannot stand it. We will occupy our time asking quite simple and innocuous questions. We asked was there marketing? ‘No’, you eventually said. We asked: ‘Where did the name come from?’ You said: ‘Oh, everywhere else’. So now we are left in a position of saying: ‘Well, if you were happy with Tourism Northern Territory, notwithstanding the mistake - stuff-up some people might say - that you made when presenting this bill here, you are now satisfied with Tourism NT’, and that is a very fortunate outcome.
Chief Minister, when did you discover Tourism Northern Territory is owned by someone else?
Ms MARTIN: Mr Chairman, after we had introduced the bill into the parliament.
Ms CARNEY: When was the bill presented to the parliament, Chief Minister?
Ms MARTIN: You have already said that, Opposition Leader; that it came in the last sittings of parliament. That is not rocket science and I thought you realised that.
Ms CARNEY: Indeed, I do. My question was: when did you become aware that Tourism Northern Territory was owned by someone else? Your answer was: ‘Since it was brought before the parliament’. I want to know when. When did you find out about this? When did you become aware of it? A simple question; do us all a favour.
Ms MARTIN: I answered that; after these amendments had come into the parliament.
Ms CARNEY: After the amendments, did you say?
Ms MARTIN: After we had presented these amendments into the parliament did I become aware of it. So after the last sittings.
Ms Carney: Sometime between – what? It would have been late November, early December and we are now at 14 February. How did you become aware of it?
Ms MARTIN: I am struggling to see the relevance of this. We became aware of it. I was informed by Tourism that somebody else owned the name. There were negotiations and discussions following that, undertaken by the commission, and the final resolution of it was that we would go for another name - Tourism NT. There is no conspiracy here.
Ms Carney: I am not suggesting there is.
Ms MARTIN: There seems to be some implication from the Opposition Leader, Mr Chairman, that there is some conspiracy here.
I have been up-front and I have said yes, there was a mistake. That mistake was only discovered after the legislation came into the parliament. We had discussions after that. They were backwards and forwards as discussions are, iterations, and the final outcome was that we would use the name Tourism NT because it was not owned by anyone. We owned the URLs that were appropriate to that name - TourismNT.com - and it works perfectly well. If there are any other aspects that you think I have hidden up my sleeve, please ask me, but I think it is straightforward.
Ms Carney: Yes, straightforward questions often warrant a straightforward answer. Your twitchiness and slipperiness is always very entertaining to watch. It would save us - and the Treasurer is obviously worried about the cost of the lights and everything - a great deal of time if you would simply answer either yes or no, or add a bit here or there. You are making the process tortuous for some; thoroughly enjoyable for others.
I am wondering, Chief Minister, whether in the course of the negotiations to which you just referred, you made an offer to the owner of Tourism Northern Territory to buy the business name. If so, how much did you offer?
Ms MARTIN: We have commercial discussions with people who own business names. I do not think it is important to discuss that; it is a commercial discussion. What is important to know is what the outcome is. The outcome is that we have a name that we own. I suppose if you want to find out what those discussions were, go to the owner of the name. We have not paid any money, so it is not relevant.
Ms Carney: I thought that we on this side of the House, Chief Minister, if it is all right with you, might decide what was relevant and what questions we might like to ask. We always appreciate your wise counsel, but we thought that we might take this opportunity if it was all right with you to question you. I know again that you do not like it, but please do us all favour and get on with the democratic process.
Mr Chairman: Leader of the Opposition, please ask your question.
Ms Carney: Thank you, Mr Chairman. You have refused to disclose whether an offer was made for the name Tourism Northern Territory.
Ms Lawrie: She thinks she is in court.
Ms Carney: Well, I am happy. I am not going anywhere. I live in Alice Springs and we can take all night long. If you want to be provocative, stupid - that was the word used by …
Mr Chairman: Leader of the Opposition!
Ms Carney: … the Treasurer only an hour or so ago, then we can do that. I love this stuff …
Mr Chairman: Leader of the Opposition! Please ask your question.
Ms Carney: Mr Chairman, I do ask for some level of courtesy to be shown by government …
Mr Chairman: I am asking you to please ask your question.
Ms Carney: Thank you, Mr Chairman. You said, Chief Minister, that there were certain commercial discussions. You have refused to let us know whether an offer was made and, therefore, Territorians do not know how much you were prepared to pay.
Do you admit that it, therefore, follows that as a result of a mistake - you can pull all the faces you like, but stay with me, work with me, Chief Minister. Do you admit that on the basis of the mistake that you have accepted responsibility for, the mistake you made, that you then entered into discussions of a commercial nature and that you were prepared to pay the owner of that business name for that business name, for that entity and, therefore, you were happy to put your hand in the pocket of Territorians to pay for what was a stuff up? Is that the case?
Ms MARTIN: Mr Chairman, the Opposition Leader is in her courtroom manner; she thinks she is some high-flying lawyer. I am admitting something. What I said quite clearly - and this is the end of the matter, and not being arrogant - but the Opposition Leader is simply repetitive, and it is a waste of this parliament’s time.
We had commercial discussions. That is not appropriate; we had commercial discussions. Any lawyer would advise you that they are kept commercial. Of course, government has commercial discussions many times. The ultimate result of those commercial discussions is that we now have rights to a name. There has been no cost to the Northern Territory. We have rights to a name that is very usable and works well with our marketing strategy. Of course we had discussions with the company that owned the previous name. The resolution of those discussions is that we now have a different name. That is the answer to your question. We have not spent money; we have not marketed the name. We have not focus grouped the name. We have not tested, we have not gone out to the market because it is a corporate name. We have marketing strategies for the Northern Territory and they are under the Share our Story, the new branding, the whole effort that we have put in. This is a corporate name for what we call the agency which does the work. That is what it is.
There has not been money spent; we did not purchase a name. We did not have to purchase URLs; we owned the URLs. I believe there has been a good solution.
Mr CHAIRMAN: Leader of the Opposition, before you ask your next question, I indicate that the Minister for Tourism has indicated that she considers these questions to be repetitious and that she has answered them as fully as she is going to. I will just flag with you that if it is considered that the next question is repetitious, I shall seek to move on to the amendment as foreshadowed for 7.5.
Ms CARNEY: Thanks for the courtesy, Mr Chairman; I do appreciate that. I will leave it there in any event, because the Chief Minister has pretty much dug herself in. I will go off and take the obvious course of action. Thank you.
Mr CHAIRMAN: Minister, you have indicated that you will be pursuing amendment to 7.5?
Ms MARTIN: Where are we up to, Mr Chairman?
Mr CHAIRMAN: Clause 9, amendment 7.5.
Ms MARTIN: Mr Chairman, I move amendment 7.5.
Amendment agreed to.
Clause 9, as amended, agreed to.
Clauses 10 to 21, by leave, taken together and agreed to.
Clause 22:
Ms MARTIN: Mr Chairman, I move amendment 7.6.
Amendment agreed to.
Clause 22, as amended, agreed to.
Clause 23:
Ms MARTIN: Mr Chairman, I move amendment 7.7.
Amendment agreed to.
Clause 23, as amended, agreed to.
Remainder of the bill, by leave, taken as a whole and agreed to.
Bill reported with amendments; report adopted.
Ms MARTIN (Tourism): Madam Speaker, I move that the bill be now read a third time.
Motion agreed to; bill read a third time.
Madam SPEAKER: Honourable members, I table the Auditor-General’s February 2006 Report to the Northern Territory Legislative Assembly.
Ms MARTIN (Chief Minister): Madam Speaker, I move that the report be printed.
Motion agreed to.
Ms MARTIN (Chief Minister): Madam Speaker, I move that the Assembly take note of the report and that I have leave to continue my remarks at a later hour.
Motion agreed to.
Madam SPEAKER: Honourable members, I table the Northern Territory Electoral Commission Report 2004-2005.
Ms MARTIN (Chief Minister): Madam Speaker, there is no doubting the strength of the Territory economy. In fact, in its latest business outlook, Access Economics, one of Australia’s most respected economic analysts and commentators, describes the Territory economy as ‘turbocharged’. Access has also forecast that Northern Territory gross state product will average 4.4% over the next five years. This compares with a national average of 3.5%, which ranks Australia highly among developed nations around the world.
Access backs its assessment of our economy by saying:
This external assessment of the strength of the economy is very welcome. Not just because of the obvious - that we are going well - but because it helps to get the message out to investors, job hunters and families, that there is real and sustainable opportunity here in the Territory.
Let us look at where the economy stands today. In the year to September 2005, our economy grew 7.9%, compared to a national growth of 4%. In January 2006, there were 97 700 Territorians employed; 3.3% more than in January the previous year. More jobs are being created for Territorians with the ANZ job data showing that job advertisements have increased by 13% in the year to January 2006.
In the last year, our population grew 1.5%, compared to 1.2% nationally. Our exports for 2004-05 were $2.2bn and imports were $1.99bn. In the last 12-month period to September 2005, business investment increased 16.3%, while dwelling investment increased 22.6%.
This is a major turnaround from the economy we inherited in 2001. All Territorians will recall that back then our economy was flat-lining, with no growth, high unemployment, very low business and consumer confidence, no new investment, and limited prospects for any sort of recovery. The situation was dire. Where we are today, though, is no accident. It reflects a concerted effort over a considerable period by government, business and the wider community to work together to drive the economy forward.
Yes, we know and understand that economic management is a work in progress. However, what Access Economics is confirming in their five-year forecasts is that the fundamentals necessary for strong growth in the years ahead are firmly in place.
It is particularly pleasing to see the current levels of business confidence. Local business confidence has recorded new highs over the past 18 months. The November 2005 Sensis Business Index reported a significant pick-up in capital spending. The confidence of SMEs regarding prospects for the next 12 months also remained high with a nett 67%. The key reasons cited for this high level of confidence include plenty of work down the track, improved business performance and strong forward orders and contracts.
The Northern Territory government also recorded the highest approval rating, a nett 10%, among Australia’s small businesses. This was the second successive quarter the approval rating has increased and ranks Territory business confidence as the highest in the nation. Sensis report author, Ms Christena Singh, said: ‘Small business has stamped their approval on the Northern Territory government’s economic policies’.
Consumer sentiment also remains high in the Territory, supported by employment opportunities and the strength of the property markets. Median house prices rose across the Territory in the past year, with Alice Springs median house prices rising 11.8%; Tennant Creek up 17%; Katherine, 7.4%; and overall Darwin rising by 26.2%. Even larger increases were experienced for units, townhouses and flats, with Alice Springs median prices up 11.4%; Katherine, 42.7%; and Darwin 38.3%. Similarly, vacancy rates for houses and units remain at very low levels with December 2005 rates at 3.5% for Alice Springs; 3% for Katherine, and 4.4% for Darwin.
Other signs of consumer confidence include a solid increase in private sector investments up 17% over the past year, increasing trends in retail sales, and solid increases in new car sales. Comparing the 12 months to November 2005 with the previous year, retail turnover increased by 4.8% compared to 2.9% nationally, and year-on-year growth to December shows vehicle sales grew 7.1% compared to 3.3% nationally.
In 2001, this government hosted the first ever Northern Territory Economic Development Summit. More than 100 leaders representing the broad spectrum of interest in the Territory attended that first event. Without a doubt, it cemented the ethos of economic partnership, and the collective passion, debate and discussion we saw, fed directly into the Territory’s first economic development strategy. That strategy contained more than 350 initiatives to drive the economy forward: initiatives in transport, infrastructure, land, Aboriginal development, regional development, and for all key sectors of the Territory’s economy. It included major steps towards improving the business environment through lower business taxes, our Jobs Plan, and a commitment to the development of major projects such as Darwin LNG, Alcan G3, the Darwin City Waterfront, and the Mereenie Loop linking Uluru with Alice Springs.
Lower taxes, increased investments in training, and major new private sector investments are the core of why this economy is performing as it is today.
This government’s contribution to the economic partnership that continues to drive the Northern Territory economy is based on the tenets of a competitive business environment; a strong investment in infrastructure; a commitment to increase the skills of our work force and educate our people; strong development credentials with an increasing emphasis on regional development; and an inclusive model based on partnerships.
After almost four-and-a-half years in government, it is pleasing to know that the buoyant conditions of our economy are based around the partnership between government, business and the wider community. We are committed to providing a business operating environment that allows new and established businesses to thrive; and we are backing local business and Territory households with almost $40m dollars in tax cuts, including record payroll tax cuts. The Territory is now the lowest taxing jurisdiction in Australia for businesses employing fewer than 100 people.
A modern competitive economy is heavily dependent on a productive and highly capable work force. With the demographic shifts that are occurring throughout the developed world, a skilled work force is fast becoming the major challenge to economic management and a potential competitive advantage to those economies that can get it right. In equal measure, all Territorians rightly expect their government to provide them with opportunities through access to quality education and training. Against that background, we are investing for the future with major commitments to boost skills and training and an ongoing campaign to attract further skilled workers to the Territory.
The Northern Territory has more trainees and apprentices in training than ever before, and the 2005 intake ensures that we are on target to achieve 10 000 commencements over four years.
Additional funding has been provided under Jobs Plan 1 and 2 to support the following new initiatives or programs: financial incentives for employers to increase the uptake of apprentices or trainees in skill shortage traditional trade occupations and in the small business sector; funding to assist existing workers to access qualifications; support to trainees and apprentices to offset costs on commencing apprenticeships and traineeships; expansion of pathways from school to work; and 40 scholarships for Territorians wishing to undertake VET at Level 3 and above.
In a further strategy to respond to skill shortages, we have injected approximately $3m into training provided by Charles Darwin University. This funding will predominantly be used in areas of traditional trade apprenticeships in skill shortage areas.
The Territory is investing for the future with significant funding towards capital works and repairs and maintenance budgets. Since 2001, the capital works and repairs and maintenance budget has totalled some $2.2bn. Our capital works investment and commitments are directed towards further building and broadening the base of this economy. We have sought to leverage government capital expenditure to capture new private sector investments. The Darwin City Waterfront project will leverage almost $1bn of private investment and further develop our tourism sector. The development of the Meerenie Loop, the Red Centre Way, is another example of infrastructure leverage in economic and regional development. The loop will open up the new Red Centre Way linking Alice Springs and Uluru and creating the right environment for new product investment from the private sector, Aboriginal investors, and partnerships between the two.
The Darwin Business Park is yet another example of our drive to leverage economic development by strategic investment in infrastructure. Already, Toll has developed its facilities and Vopak has constructed the new Darwin Industry Fuel Terminal. Natural Fuels has commenced work on their facility, and last week we heard the announcement of Darwin Clean Fuels new processing facility at the park.
This government has committed to broadening the economic base of the Territory. We are working to lessen the inherent volatility in our economy by building breadth and resilience across our economic sectors. It is the private sector that will do this by investing in equipment and projects, but government does have a key role in guiding, attracting and managing the development forces. From time to time, it also drives development through the public/private partnership model. Darwin City Waterfront and the Alice Springs to Darwin railway are two outstanding examples of that.
Major projects play a pivotal role in the Territory’s economy, and government has a significant responsibility to create opportunities for and facilitate projects which will build our economy into the future, in some cases for decades to come. The benefits from the construction phase of those projects will continue to flow throughout the economy in direct contracts won by businesses and indirectly through the cash flow they generate. Equally, as each project shifts from construction to operations, the permanent benefits of jobs and contracts will remain along with a quantum shift in overall economic output.
Alcan is currently investing $2bn to expand their alumina refinery in Gove. Alcan is using a construction technique known as PAMs or preassembled modules for the project. These PAMs are being constructed in Darwin, Newcastle, Indonesia, Thailand and Malaysia, and then transported to Gove for installation. The value of PAMs constructed in Darwin is expected to total $40m and, to date, Alcan has placed $70m in purchase orders and contracts with Territory businesses. The project is ahead of schedule and forecast to be complete by the end of the third quarter 2006. At present, there are approximately 1400 workers on-site and living in the construction camp. The project will further add to the productive capacity of the Territory and will also increase gross state product by about $200m per annum; increase the value of alumina exports by approximately $420m per annum; increase Alcan’s operational expenditure on local goods and services by more than $100m per year; and create an additional 120 jobs directly and even more indirectly.
The construction of the Darwin LNG project is all but complete. The facility has the capacity of 3.24m tonnes per annum and has contracts totalling $3m tonnes per annum for at least the next 17 years to supply Tokyo Electric and Tokyo Gas, adding almost $1bn to Territory exports each year. At its peak there were almost 2400 construction workers on-site. Employment levels will now realign to the needs of the operations of the plant with 80 new direct jobs being created and spurring more new indirect jobs in the sheds of Winnellie, Berrimah and Palmerston. Some of the other benefits to the Territory from this $1.6bn project include: in excess of 8900 purchasing activities have been issued to more than 430 Territory vendors; 25 major subcontracts have been awarded to Territory companies; and almost half of the trades people employed on the site were Territorians. Importantly, ConocoPhillips and their joint venture partners have committed to basing their offshore operations at Wickham Point alongside the LNG plant. This means a further 30 to 40 permanent positions in Darwin.
Construction of the new $75m biodiesel plant commenced in October last and is expected to be completed by September this year. It will produce biodiesel from imported palm oil, a renewable resource for use in diesel-powered vehicles. Already, trials are under way with major fleet operators to demonstrate the effectiveness of this new and friendlier fuel. The project will see over 100 jobs created during the construction phase, and 20 permanent positions once operational. Biodiesel can be used for everything traditional diesel is used for: running machines, cars and generators. Between 25% and 35% of the fuel is expected to be sold here in the Territory. The rest will be exported to southern states and Asia.
The $1.1bn Darwin City Waterfront is one of the Territory’s flagship new investment projects that will transform Darwin and its connection to the harbour. This multi-dimensional development will deliver a new convention and exhibition centre, recreational facilities including the new wave pool, considerable public parklands, a new cruise ship terminal, tourism facilities, and a new residential precinct. Over the next 10 to 15 years, we will see a world-class precinct emerge from the old industrial site; one that will well and truly establish Darwin in the region. Construction of Stage 1 of the waterfront project is under way with the pad for the Darwin convention and exhibition centre ready for the commencement of building works. Dredging for the sea wall and other site works are also under way. Territory workers will reap major benefits from the waterfront development, with approximately 1000 construction jobs created and an 85% local content component required in the project contract.
Another major project for the Territory is the Desert Knowledge project in Alice Springs. It is designed to be the catalyst for the development of knowledge industries in the Territory, with a particular focus on the Territory’s desert regions. Government has committed $30m towards the development of the Desert Knowledge precinct just south of Alice Springs. It has also committed $11.5m towards the Desert Knowledge Cooperative Research Centre, a project centred in Alice Springs but reaching out to all the mainland states.
A key trade route development will be the commencement of the bulk mineral exports to China from the Bootu Creek Mine near Tennant Creek. Our investment in new bulk handling facilities at East Arm has made this trade possible. The construction of the bulk loading facility at the Darwin Business Park is estimated to cost $19.2m, which includes rail infrastructure and unloading equipment for ore trains and stockpiling conveyers, port infrastructure to receive and unload ore trucks, conveyers and travelling gantry ship loader. The first ore train from Bootu Creek is schedule for next month, and the first shipment from East Arm to China in April. It is anticipated that this project will see 650 000 tonnes of manganese exported each year for the next 10 years. Overall, Bootu Creek means an additional four trains per week travelling northbound from the mine, and a ship shuttling through East Arm Port to China every fortnight.
Work commenced on the Chinatown project last year, and the total project construction cost is estimated at $70m. Proposed completion date for Stage 1 is 31 August 2007, and will consist of the council car park and office tower of approximately 7000 m2, and retail shops on the ground floor.
Looking to the future, there are number of exciting projects under development which will provide significant support to the economy and create additional opportunities for employment in the years ahead. Work on the proposed $33m helium plant at Wickham Point, which will extract helium from LNG plant vent gas stream, is expected to start in 2007 with an anticipated completion date of mid-2008. The plant will have an annual production capacity of 100 million cubic feet and will generate 15 to 20 jobs during construction and 10 jobs during operations.
The proposed $450m DCF condensate processing facility will produce high-quality fuel for road transport. It is currently entering the design engineering feasibility phase, including the commencement of the environmental assessment process. Eventual construction work force is estimated to be 250 over two-and-a-half years and, once operational, the permanent work force is estimated to be 60.
Late last year, Power and Water and Eni Australia signed a heads of agreement that will see Blacktip supply gas to Power and Water from 2009. Commercial negotiations between the parties is expected to be concluded in June this year. The Blacktip agreement will also require the construction of a new pipeline from Wadeye to a point between Adelaide River and Pine Creek, where it will join the existing Amadeus to Darwin pipeline. Work on this project is anticipated to commence in 2007, and be completed the following year in time for the first gas flows at the start of 2009. Together, both projects will require approximately $700m in new investment in the Territory.
Timor Sea gas is an important component of the ongoing development of the Territory. The development of world-scale reserves in the region has the potential to significantly broaden the Territory’s economic base. Bayu-Undan, and shortly Blacktip, are the first two examples of that, with more to follow in the coming years. On 12 January 2006, the Australian and Timor-Leste foreign ministers signed a revenue sharing agreement in Sydney covering the development of the Greater Sunrise field. The conclusion of the treaty comes after several years of negotiations and was a further milestone in the development of this significant resource. The next step is for both parliaments to ratify the agreement.
Sunrise, as we know, is a massive opportunity. It has known reserves of 7.68 trillion cubic feet, plus 300 million barrels of condensate. Its development would unlock $20bn in oil and $30bn in LNG over 20 years and, importantly, it potentially might supply a second train at an expanded Wickham Point site.
Caldita was a new discovery in September last year, around 265 km north of Darwin and 55 km east of the existing Evans Shoal field. This is an exciting discovery which is to be followed up by further exploratory drilling in the third quarter of this year at Evans Shoal South and Lynedoch. While much still needs to be done, it could potentially be part of a larger development supplying gas for either LNG expansion, or downstream petrochemical, or both, in Darwin. The Caldita discovery is regarded as significant by the industry. The results obtained during drilling are now being evaluated and assessed for further appraisal work and potential development. Until this process is completed, it is premature to speculate on the reserves or development. However, it is most encouraging that such evaluation and appraisal is under consideration. The proximity of the Evans Shoal field is also of significance as it provides the potential for fields to be combined in a development project.
As Minister for Tourism, I have witnessed the continuing rebound of tourism in the Territory first-hand. Tourism plays a crucial role in our economy, contributing more to GSP -$441m - and employment – 8000 and, indirectly, over 14 000 people - than any other state. The Territory’s unspoilt natural beauty and its Aboriginal culture are key attractions for visitors. Cruise and Defence ship visits and exercises also make a significant contribution to the Territory’s tourism and hospitality sectors.
In 2004-05, the Territory recorded the highest spend per visitor anywhere in Australia. The latest figures show visitor numbers to the Territory were also strong at 773 000. This included a 7% increase from September 2004 figures in international holiday visitors, and a 39% increase in Australian holiday visitors.
In October last year, I outlined to this House our key strategic directions for the industry. This included:
We increased our budget allocation for tourism to $34m in 2004-05, and again in 2005-06 to $37m. That investment has delivered:
Tourism infrastructure projects now under way include the building of additional rooms at the Darwin Airport Resort; a new backpacker lodge in Mitchell Street at the old dental hospital site; new developments such as Pandanus and Evolution; and, in Central Australia, the reopening of the Ross River Homestead and the development of the Red Centre Way, which we formerly knew as the Mereenie Loop Road. The Red Centre Way has the potential to become a must on the local and international tourist agenda, as has the Larapinta Trail, which is fast becoming one of the best walks in the world.
With the securing of the Tiger Airways services, international airline capacity into Darwin for January 2006 was 39% higher compared to the same time last year. The new services between Singapore and Darwin provide an extra 720 international seats per week into the Darwin market. The headlines in last weekend’s papers highlighted just how important competitively priced services into the Singapore hub are for this market. The announcement by Tiger that it will commence services into southern China from Singapore opens new linkages for the Territory into the rapidly growing Chinese international travel market. Discussions continue with other domestic and international carriers to further increase aviation services into and around the Territory.
The Ghan also continues to prove popular with visitors to the Territory. The total number carried in the first 20 months was a significant 124 197 people.
New servicing and provisioning opportunities are also emerging as cruise ship traffic increases. For example, the luxury cruise ship Orion now does regular cruises during the winter months. In 2005, there were 22 large cruise ship visits to Darwin and, this year, 32 large cruise ship visits are scheduled to arrive - a 45% increase.
The tourism industry will be an important catalyst for regional economic development and importantly for Aboriginal participation in our economy. Three new Aboriginal-owned tour operations started in 2005 and two more Aboriginal-owned tour operations are to start trading this coming tourism season. We are supporting nine new Aboriginal tourism business opportunities through the feasibility and business planning stage.
The Territory is very much an export-oriented economy. A significant proportion of the total Territory output is now traded in the global marketplace which will only expand in years to come. Investments in new productive capacity from projects such as Darwin LNG, Alcan G3 and Bootu Creek will all add very significantly to the total value of Territory exports. In addition, new shipping services, such as the recent decision by Hai Win to commit to a regular service between Shanghai and Darwin, bode well for the development of regular trade in and out of the Territory. Government is working with industry to attract further services into places like Surabaya in Indonesia.
This government also continues to support trade by Territory SMEs in the region with a combination of financial support via our trade support scheme and business delegations into key markets. We will continue to work constructively with industry to build our export performance among SMEs, particularly in our engagement with the Asian region. The Territory continues to enjoy success on a number of fronts and government will continue to focus on building relationships, opening doors for business and promoting the Territory in the region.
The Territory economy is exhibiting real strength across the board and my ministerial colleagues who follow me today in this statement will lay that strength out in detail. In brief, the mining industry continues to be the major contributor to the Territory economy accounting for 20% of our gross state product in 2004-05 compared to 5% nationally. Exploration expenditure for both minerals and petroleum has increased substantially from June to September 2005 quarters reflecting the very positive outlook for commodities. Our major current mines are expanding and a number of new projects are at various stages in their development cycles with an eye cast firmly on the current key markets in the region.
Construction work remains at very high levels influenced by private sector investment for Bayu-Undan Stage 2, the Alcan G3 expansion, and the commencement of the Darwin City Waterfront. Construction activity has also been supported by solid growth in residential construction activity. A state comparison shows the Territory reported the strongest growth in construction work done in the year to September 2005 with an increase of 17.2% ahead of Western Australia at 12.3%. Nationally, growth was reported at 5.5%. At $2.3bn in the year to September 2005, the value of total construction activity is at an all time high.
The Defence sector is an increasingly important component of the overall economic activity in the Territory. The wages of personnel, the day-to-day operational purchases, and the continued capital expansions all contribute to the wellbeing of the Territory business community. Importantly, Defence will also base new platforms in the Territory in the next few years, opening up completely new opportunities for Territory businesses. Names like Tiger helicopter, Abrams tank and Armidale Class patrol boat will be the key elements of the new Defence Support vocabulary.
This government has a strong commitment to the development of our regions. It is fundamental to the development of the Territory that government invests energy and innovation along with resources to the challenges of regional development. It is also essential that the benefits from our strong economic fundamentals and performance flow out to all corners of the Northern Territory.
We are a thinly spread population covering 1 300 000 km of widely differing geography and climate. This brings in challenges as well as opportunities. However, projects like Desert Knowledge, Alcan G3, the Wadeye gas plant and pipeline, Bootu Creek Mine, Territory Iron, and the Mereenie Loop project all demonstrate the potential for our region. These projects will supplement the continued importance of the key industry sectors that have supported the development of regional Northern Territory over the long term. Industries like pastoral, tourism, mining, defence and transport. Continued growth of our traditional industries, coupled with new injections from significant projects, is the best mix to drive regional and Aboriginal economic development.
One particularly important project under the regional development banner is Alice in 10. Alice in 10, which began in 2000, has already fostered the development of the Desert Knowledge project, the Alice Springs Convention Centre and the establishment of Alice Springs as a mining service centre along with a range of community projects based around the built environment, community safety, and the management of the Todd and Charles River. Late last year, we relaunched Alice in 10 - 2005-15 and this government remains focused on a broad agenda of economic and community-based projects to further develop Alice Springs. Some of those projects are Desert Knowledge together with important tourist developments such as the sealing of the Red Centre Way, the building of a visitor centre for the West MacDonnell National Park and its world heritage listing, and further development of the Desert Park.
These developments will all contribute to the expansion of jobs and business opportunities in Alice Springs and the region. Initiatives and development of plans are now under way to grow our regions across the Territory. The Minister for Regional Development will outline these in further detail during his contribution to this statement.
In 2001, we first chartered a new direction for our economy by working in partnership with the wider community. The 2001 Economic Development Summit was, without a doubt, one of the most important events to achieving that end. In 2005, the next chapter in the partnership was written with the Economic Development Summit focusing on driving development through to 2015. The contributions from that summit and the five regional forums are currently being worked into the NT Economic Development Framework 2005-15. This framework will be released in March as a green paper on the partnership for economic development.
The Territory economy is moving ahead at a rapid rate. Why? Because the fundamentals, the building blocks for the long-term economic prosperity, are firmly in place. While the economy is growing and business is busy, there is still much to do, like finding solutions to critical issues such as skill shortages. We are taking big strides in that area too, and it is encouraging that right now there are more people in training in the Territory than ever before. Importantly, business and consumer confidence is strong, built on the back of good policy and strong investment in growing the productive capacity of the Northern Territory economy. We will continue to invest strategically in our future in important infrastructure and critically in the economic development of our region.
The economy is, indeed, turbocharged and delivering jobs and new opportunities across the Territory. Let me assure you, we will continue our sound economic management and build on the strong foundation we have laid.
Mr Deputy Speaker, I commend this statement to the House. I move that the Assembly take note of the statement.
Ms CARNEY (Opposition Leader): Mr Deputy Speaker, I thank the Chief Minister for her statement. We well understand why it is that the government wanted to talk about the economy and, in particular, today, the first day of the sittings. It is to try as hard as they can to get away from the difficulties we touched upon in our Question Time and in the censure debate which was gagged by this government.
I note with interest that the Leader of Government Business, when we elected to talk about the budget - something which the government and certainly the Treasurer does not want to do - at the beginning when it was obvious that the censure motion was going to be undertaken, the Leader of Government Business said that he looked forward to participating in the debate. He said: ‘Bring it on. We look forward to putting the arguments against the opposition. Rah, rah, rah’. I do not know, perhaps the Leader of Government Business and his Treasurer have had a falling out. It seemed to me the hissy fit that amounted to the Treasurer throwing in the towel, was done without consultation with the Leader of Government Business. I suggest it is suggestive of the Treasurer being keen to ensure that the opposition and other Territorians talk about the shortcomings in the budget as little as possible.
However, we will persevere. I did say during the censure debate, short though it was, that there was a fundamental difference between budget and economy. We know why it is the government wants to talk about the economy and, in many respects, why wouldn’t they? There are all sorts of reasons to talk about the economy. In a political sense, the government wants to talk about the economy because they are still suffering, I suggest, from the way they handled the TIO matter, even though the right decision was ultimately achieved. They also are hell-bent on talking about the economy every time we talk about the budget.
I would like to think that members on the other side do know the difference between budget and economy. We will not be perturbed. We will continue to raise these matters because, unlike members of the government, we take our job somewhat seriously.
In relation to the Chief Minister’s statement - which I noticed was a lengthy one; it is always good to pad out the day when there is not much other government business on - it could be said that for the most part it was an insult to the professionalism and intelligence of journalists and other people who watch current affairs in the Northern Territory. It is a smokescreen that has been generated by government to hide its budgetary problems - nothing more, nothing less. It assumes that the people of the Territory do not know the difference between general economy and the Territory’s budget – and there is a big difference.
If the government insists on running the line that all is well in government because the economy is doing well, then they are kidding themselves. It does not necessarily follow that because you have a good economy the budget is in good nick. All is not well in government and people are beginning to see through what is increasingly being described, amongst other names, the ‘fifth floor hype’ - their $8m dollars worth of spin. People are realising, and public servants in particular understand, where this government is taking us in budgetary terms.
The government has limited input into the general economy. Certainly, governments are big spenders making it a contributor to the economy. However, government in the government books is not the economy. To suggest otherwise is fanciful. Government may reorganise things such as tax arrangements, or build infrastructure that will have a downstream effect on the economy, but it does so in the normal course of events within its own budgetary constraints. The infrastructure and projects that this government relies upon to proudly boast of their economic management are the projects that were started long before they came to office, with the exception of the waterfront.
It is their baby and, if it works for them, good on them and good on Territorians. If it does work, this government will not just be dwarfs standing on the shoulders of giants; they may, in fact, be a little taller themselves. I am not sure that it is likely to assist in the way they conduct themselves because we have seen astonishing, astounding levels of arrogance fairly early on. We have another three years of this. I do not mind, it is a good job, I am very happy, we will try our best. However, the arrogance of this government is certainly incredible and it will be their undoing. They have become everything they said they did not like. You were very happy to get stuck into the CLP every time it suited you; you have become the very worst of what you described from this side of the Chamber. Who knows? I may never see the other side of the Chamber, but I can see from here how you lot are looking and it is not good.
In any case, the state of the economy in the Territory is due mostly to the health of the national economy – Howard and Costello – not, as the Chief Minister would have us believe, as a result of anything she has done. In fact, the case is quite the opposite. Today is a perfect example of the $8m spin machine working in overdrive and over time. They know that they have a massive budget problem, which is why the TIO was put on the agenda for possible sale. That is why the Treasurer …
Mr Stirling: We heard all this, this morning. It is repetition.
Ms CARNEY: And there he is again making a noise. I am not always vocal, Mr Deputy Speaker …
Ms MARTIN: A point of order, Mr Deputy Speaker! We heard this speech earlier in the censure motion. This is repetition.
Mr Stirling: This is about the economy.
Mr DEPUTY SPEAKER: There is no point of order, Chief Minister
Ms Martin: Sorry, Mr Deputy Speaker, I just thought I had heard it all before.
Members interjecting.
Ms CARNEY: Finished? You finished?
Ms Martin: What are your ideas for developing the economy, come on, what are your ideas?
Ms CARNEY: You finished?
Ms Martin: Come on, what are your ideas for developing the economy?
Mr DEPUTY SPEAKER: Leader of the Opposition, please continue with your contribution.
Ms CARNEY: Mr Deputy Speaker, I know the Chief Minister, in particular, does not like anything in the way of a contrary argument. She saw how Territorians voted in the last election; some of her colleagues have very marginal seats. They see this sort of arrogance in the way the Chief Minister carries on; some of you will be oncers. I am sorry that the Chief Minister finds it so offensive and distressing to be questioned, but questioned she will be and I will continue to do it. I tend to enjoying watching the Chief Minister go off because I always know when I am on the right track.
In any case, the TIO was part of the government’s agenda for possible sale – 15 000 people, in essence, knocked on the Chief Minister’s door and, after the focus groups, of course, the proposed sale did not sell the public pub test.
The government knows its debts are out of control. They are well above their own stated unsustainable levels and they continue to rise. I direct the Chief Minister and her colleagues to this fascinating document, Good Governance. This is how you blokes used to be. Where has your soul gone? You actually believed in this stuff and I believed you. Some of it was not a bad read. You attacked the CLP and you said it was unsustainable. Well, look where we are now.
The government and spin doctors will try their best to deflect attention from the state of the Territory budget and from their failed programs as they attempt to hide behind economic windfalls generated by the policies of the federal government and the platform of infrastructure that was developed in the 1990s, in particular by former CLP governments.
Let us look at an example of this government’s economic management. Let us look at gas supply for electricity generation - something held out proudly by the Chief Minister today in her statement. It could be said that the government has been outmanoeuvred in respect of getting gas supplies to meet its power needs, and now it wants to celebrate having to build a pipeline over 300 km, costing over $350m, because it failed to get gas just a few kilometres away in one of the world’s largest gas holdings. Pretty incredible stuff. If it was not so serious it really would be a joke. Unfortunately, it will not be a joke when the people get their power bills after 2009. Or will this be yet another project that this government slips on to its $4bn credit card?
As much as this government tries to claim the glory of the work done by others, we all know that the state of the economy is good by virtue of a healthy national economy. I refer again to Messrs Howard and Costello. It is a healthy economy for the moment. I stress for the moment, because any prudent financial analyst will tell you that economies operate in cycles. That is why federal governments around the world introduce monetary policies so that they can manipulate interest rates to offset overheating economies.
The Access Economics report into the state of the Northern Territory warns of a cycle in resource development. I quote from the report which I, unlike many others it seems on the government’s side, have read and understood:
It is telling because, in times of economic expansion described as at a turbocharged level, there needs to be a sober driver at the wheel. That is not the Treasurer, nor is it the Chief Minister. If you tie that in with the number of people who are superannuants who have tapped into the housing market, for instance, especially the unit market in Darwin, it could be said that there are reasons for concern. Certainly it is the case that over the past few years, superannuants on the east coast have paid out because their baby boomers are reaching the age of retirement. The Treasurer will be well aware of our baby boomers because a huge slice of his debt is owed to them in the form of unfunded superannuation liabilities. That $4bn debt is just around the corner. These superannuants could not get into the property markets on the east coast because their housing boom happened a few years ago and they were priced out of the market.
Financial advisers have spent the last years looking for places and they turned to Darwin, and good on them. Great! We welcome them with open arms. A growing economy with good prospects. Those investors came and their money was invested with great promise, a robust rental return to cover the cost of their loans, or simply to provide a healthy income for a couple - say a couple of baby boomers – then, as the price went up, good returns on investment in the form of our capital gain. Almost too good to be true and it is here where the adage that if something is too good to be true, it probably is, most sadly carries some weight if consumer advocate Neil Jenman is to be believed. On Sunday, this gentleman was quoted in the Sunday Territorian as saying:
He continued:
In other words, he is worried about a downturn in the cycle of the housing market.
Access Economics in its report says that we are exposed to risk in the medium term, and points out on page 24 of the report that our resource dependency exposes us as Territorians to a particular risk which is the dependence on the growth markets to our north. These markets are clearly resource hungry. We are economically resource dependent in terms of exports. This means that if there is a downturn, or a price correction in China particularly, the Northern Territory will be badly exposed to a sudden and serious slowing within our economy.
Along with this come significant budgetary implications about which the opposition and other Territorians have been speaking in recent times. It is the government’s duty to find a way to protects us from such a downturn. We have discovered that they are not at all ready for such a downturn and they have taken us to a place where it may even now be too late to position ourselves should something happen in the short term.
People would be aware that China has been expanding with double digit growth. A decade ago they were the Asian tigers. Then one day, because of a run on the baht caused by some questionable banking decisions, the tigers collapsed. They collapsed because their fundamentals were not in place; too much investment in stocks that were not worth what was being paid for them. The underlying strengths of those stocks was not there to support the price. Of course, if a situation like that occurs in China, it can happen elsewhere. If it happens to our north - let us say Japan, Thailand, Malaysia, Indonesia and any other Asian countries for that matter - we need to be ready. We have certainly seen difficulties in those countries cause correction to our markets.
I quote from the executive summary of the Access Economic reports as follows:
That is why we need a sober and sensible government. That statement alone should ring alarm bells or at very least make the Treasurer and his colleagues think of words such as ‘caution’ or ‘restraint’.
The message that this government should be sending is that we are very happy to have a strong, local economy. We would like strong, sustained growth to continue but we need to send a signal to investors that there will be a steady hand on the tiller. This means that the government of the Territory understands that it may be all rosy now; however, that the rosy state of affairs may not continue. Government spending does not reflect this sober, steady hand. Government’s failure to reduce debt is not the sign of a steady, sober hand. I refer once again to the contents of the 2005-06 mid-year report as well as the Treasurer’s Annual Financial Report – their figures; not ours.
Put simply, the economy in the Territory is an engine that tends to run on two fuel tanks. The first and primary source of fuel is the private sector and its investment money. Pretty basic stuff. The second source of fuel is in the reserve tank and it is in the form of Territory government spending. If you keep a steady flow of fuel to the engine, it works well, generates power and the Territory moves forward. Restrict that flow of fuel and the Territory slows down. The problem that we are concerned about is that both fuel tanks are supplying money to the engine as quickly as they can. There is no doubt that the engine is screaming along ‘turbocharged’ as the Chief Minister has said. Indeed, she seized on that word as though there were no other. The difficulty is that when the fuel tanks run dry, there is no reserve tank. There is a big credit card, but I do not want to be living in the Northern Territory where we as a community have unprecedented debt levels that our government may not be able to sustain.
We urge government to start leaving some fuel in the reserve tank. Use the GST revenue as a source of reserve fuel. That was your own policy. That is what you said in your fiscal policy in 2002. It is clearly not government policy now. That is a change. We are not critical of government changing as the government should change according to the circumstances. However, when you come into this parliament and beyond and proudly talk about your fiscal policy and what you are going to do, and now you seek to run away from it, there will be serious questions asked. You do not just like us asking these sorts of questions, but we will continue to do it. The steady hand that we are looking for should be reflected in the language as well as the spending habits of government and it is reflected in neither. Yelling out the word, ‘turbocharged’ in the first sentence of the ministerial statement is not reflective of a sober attitude.
I remember a media release some time ago where I was accused of having a go at someone for spending ‘like a drunken sailor’. I had not heard the expression ‘spending like a drunken sailor’ for a while, but it does have particular relevance here. Priming in the economy at the top end of the cycle by running budget deficits and increasing debt can only further exacerbate the depth of any trough. There should be a time to repay a debt and invest as well as paying for the future. That represents good, strategic fiscal management, something which the Australian Labor Party Northern Territory Branch held so dearly only a few years ago. Instead, the government continues to bring out its credit card and rack up more and more debt.
Sober organisations survive even the worst of the times and they send strong messages of security to investors. There are numerous companies throughout the world from which this government can take some examples and look to and say: ‘We are a big corporation’, if you want to adopt that analogy. How do the big boys cope when there are peaks and troughs?. What do they do? I will tell you what they do. They will put some money away; they retire their debt.
The unfortunate reality is that this government is apparently refusing in any significant way to retire its debt. Yes, we are in good shape in the Northern Territory, but it has nothing to do with the Chief Minister. It has nothing to do with the Treasurer. It has much to do with a whole lot of other factors. For the Chief Minister and her colleagues to perpetrate the myth and try to suggest that it is all down to them, I do not think will even be bought by a Territorian who does not have an interest in the economy or politics of the Northern Territory. It is just farcical.
We understand the spin. The government pays a lot of money for its spin - $8m - and we can well understand why it is that it wants to position itself in the way it does. If the economy is in good nick, it tends to ensure the electoral prospects of governments - we all know that. However, we are concerned that this government is not able to look to the future to say: ‘What is going to happen if there is some sort of correction in the Asian markets; if something goes wrong in China? How are we positioned to deal with those potential difficulties in the Northern Territory?’
Given that government gets its money from voting itself money in the budget which comes out every May, it only has to go to its budget. In the event that the economy slows, this government will need to say: ‘Oh dear, where do we get the money from?’ Now they warmly embrace the Territory climbing up towards $4bn or a whisker under that at this stage, despite the government’s assurances we would not get to that, and saying that $3.2bn or thereabouts was unsustainable. That is not sound financial management and the government should be cautioned.
We know that when I sit down one of the government members will get up and have a bit of a say. They will take the mickey, and will say, as the Treasurer does: ‘You do not know what you are talking about blah, blah, blah’. I doubt they will have the hissy fit which the Treasurer had by saying: ‘It is all too hard; I do not want to talk about this, see you later’. That is politics and we all understand that. However, at the very least you might like to consider, even amongst yourselves or at home tonight, some of the matters we have put. Do we want the Territory to do well? Absolutely we do; everyone does whether you are in politics or not. We, as Australians, want our economy to do well. However, we are also concerned to ensure that our government does its bit to look after all Territorians, the economy and, in particular, its budget books.
That is my response to the ministerial statement. I noticed earlier on the Chief Minister said it was repetitious. I could keep going; we have folders and folders of stuff. However, I believe the ears have fallen off government members. They used to have them, I recall, but they do not have them anymore. Therefore, to a large extent we are going through the motions. The government got its headline; they are going to talk about the economy. The Chief Minister was on the news last night all turbocharged. Well, so be it. However, can you at least, in your own minds, consider sobering up and not spending money which you do not have? Please do not get us into any more debt, as that is not in anyone’s interests. I am not talking politically. I am talking on behalf of everyone who lives in the Northern Territory and the aspirations they have for the Northern Territory, certainly from an economic point of view and also in a more global sense.
With those remarks Mr Deputy Speaker, I conclude.
Mr STIRLING (Treasurer): Mr Deputy Speaker, it is disappointing to find such depths of cynicism in one so young as the Opposition Leader. That is patronising and I will make no excuse for that. To walk in and claim anxiety and worry about the level of debt! The level of nett debt today as I stand here is less than that inherited when we came to government in 2001-02. Look at it any way you like; that is a fact.
It is going to grow over the next couple of years in a modest fashion as we have deficit budgets, which was news, apparently, to the Leader of the Opposition because I happened to talk about coming back to a balanced budget in 2008-09 at a recent press conference. If it is news to the Leader of the Opposition that, too, is a worry given that those forward estimates have been published in any number of publications since the budget containing those figures was brought down in May last year.
The Chief Minister today has highlighted the broader economic issues of the Territory. She has pointed to how healthy the economy is at the moment, and to its future prospects. She has also identified issues which we do need to tackle on an industry-by-industry sector. I want to focus today on the more specific fiscal issues and the statistics underpinning the economy as it stands today. I also want to correct a few of those quite scurrilous myths perpetrated by the opposition, in that they always try to talk the Territory down.
For the first time in Territory political history, during the 2005 election, this government placed before the people a clearly costed program of election commitments matched with a strategy outlining our fiscal targets over four years. We were able to do that because of the effective and prudent management of the budget by this government during its first term of office. Prudent management combined with strategically-focused expenditure meant that we were able to commit to quite detailed spending on our key priorities of better education outcomes, a healthy Territory and a safer community, as well as the Darwin City Waterfront and convention centre project and a comprehensive Territory-wide capital works program.
Never have we seen a Territory government so frank in revealing their commitments, nor has the level of costing detail provided by this government ever been provided before to the media and the public prior to an election. Our commitment to our four-year fiscal targets was also historically unmatched. I will put those targets on the record again: 2005-06, a deficit of $68m; 2006-07, a deficit of $53m; 2007-08, a deficit of $21m; returning to a balanced budget in 2008-09. In addition to the openness that we displayed, we also placed before the Treasury of the Northern Territory our commitments and their costs and, under the Fiscal Integrity and Transparency Act, a pre-election financial outlook statement was issued clearly identifying all the financial issues before the government. It was a comprehensive and unprecedented level of information to put before the people.
Including the healthy economy, every indicator we receive, either from ABS or from other independent sources, show that the economy is in a robust condition. The most prominent, of course, is Access Economics, the independent commentators, and the Chief Minister outlined the comments of this independent group. They are predicting economic growth at around 4.4% on average over the next five years, and that puts us at the forefront of all Australian jurisdictions. Employment growth predicted at 2.4% - there is only one higher in Australia and that is Western Australia. Access also predicts population growth of around 1.7%, second only to Queensland, against a national average of just 1.1%. Interestingly, Access also predicts the working age population over 15 will increase at a rate of 2.1%, compared to 1.2% nationally, and that bodes well for our work force into the future.
In their own terms, Access Economics has said current conditions are almost as good as you could get, and forward indicators suggest further to come. The ABS, of course, collects data and publishes a regular series of statistics on the state of the economy. While the government accepts volatility in the figures taken over small sample sizes, some of these statistics reflect real and tangible total outcomes and cannot be distorted. For example, engineering construction activity and general construction activity - in the year to September 2005, the engineering work done increased by 15.9% over the previous year. That is a pretty healthy growth figure coming off what was a pretty healthy base in the first place. We are not talking about coming off a low base. We are sustaining a very high level of increase over what was a strong year, mostly influenced by the 78% increase in work done on heavy industry, the LNG plant and the G3 expansion at Nhulunbuy. The construction growth, highways and subdivisions also show strong signs - a 27% increase - reflecting the high level of government capital works and significant private sector subdivision activity supporting that growth in residential construction.
General construction activity in the same quarter reflected a significant 17.2% growth over the same year to September 2005. Activity is evident, and reflects both major projects such as the gas and residential building levels. Building activity and housing finance figures provided by the ABS in January show that building activity in the Territory to September 2005 grew by 22%, the strongest in the nation. Residential building work reported a 24.7% jump and non-residential building growth at 18.6%. Housing finance is also at national highs; the number of approvals for finance to buy a home increased by 26.1% in the year to November 2005 compared to a national increase of 8%.
Strong growth in retail trade has been evident in the Northern Territory economy since late 2003. Government has been expecting the rate of growth to slow at some point as the base for comparison gets higher and higher but, while this has started, growth is still at long-term average rates and there are good short-term prospects associated with the strength of local residential construction and property markets.
In the year to November 2005, retail trade increased by 4.8% in the Territory, significantly stronger than national growth of 2.9%. We expect a growth figure to moderate due to the fact that we are already on an extraordinarily high base. Motor vehicles continue to reach high levels. In the 2005 calendar year, motor vehicle sales increased 7.1% following again a large increase last year. The sale of utes, trucks and buses increased to 15.2% over the year. Strong consumer sentiment reflects confidence in the economy; people start putting away their dollars if the economy looks shaky in any way. That simply has not been the case.
While getting a consistent message about the state of the labour market from the available data is, and will continue to prove, difficult, most of the available evidence suggests that businesses are employing staff and, if anything, the labour market is characterised by skill shortages across some industries. There are currently around 98 000 Territorians in work according to the ABS but, of course, that figure does not include Defence personnel at around 5600, and those who classify their home base as in another state or overseas. That is very much the case for the construction labour force teams both at G3 and at Bechtel on the fly-in/fly-out basis. Their home base is recorded as where they spend their recreation time during these projects.
The ANZ Bank also publishes a series of figures that reflect a short-term employment outlook on the Territory and they come from ANZ job advertisement series. In the most recent figures for the year to January 2006, the number of jobs advertised in the Territory increased by 13% compared to a national decrease of 5%. Again, that suggests the employment market is growing and confirms the optimism of the Access Economics report suggesting strong employment growth over the next five years. Through a big part of 2005, those ANZ job advertisement series were running at rates of 28%, 29% and 30% on the year before. We have already built a pretty high base through 2005. Therefore, it is no surprise to see those figures moderate coming off a high base as they are. It is interesting that we are still running at 13% where there is a national decrease of 5% on the year before. Of course, that does underline the optimism of the Access Economics report suggesting strong employment growth over the next five years.
One of the important indicators for the Territory is population and population growth rates. Over the first few years of the government’s time in office, figures were very large, the number of people departing the Territory was higher than the number of people coming in, and it reflected the poor economic circumstances of the Territory at the time matched, of course, by quite buoyant economies in other states - the outcome of extremely poor management and planning by the CLP in the lead-up to 2001. There are three sources of population growth: natural increase in births over deaths; overseas immigration; and interstate migration. Since the late 1980s - and it is a fact not well understood - with the exception of that very narrow period of 1995-97 when the military was moving to the north in truck loads, the nett interstate migration figure has always been negative.
However, last year, we had two consecutive quarters of interstate population growth and we expect it to move around a bit. This boost has meant annual population growth has shot up from 0.3% to 1.1%; now 1.5%, and predictions to 1.7%. That is a tremendous sign of the health of the economy in its own right. People are coming here to find jobs and staying here as they find them and then going on to purchase homes and call the Territory home. Population growth results in increased GST receipts, greater levels of expenditure in the community and, of course, trickles down through the whole of the economy. It also places pressure on governments to provide increased services.
What do the statistics all add up to? I would suggest that the Territory has a growing population who have jobs, quite comfortable incomes and are spending their money in our local economy. They are buying and building houses. They are shopping at Casuarina, Target, and the Yeperenye Centre; they are generally confident about their future. It is noted in the December 2005 Sensis report and the Consumer Confidence Report, Territory households had the highest nett confidence balance of all jurisdictions with respect to financial prospects. Further, Sensis reports in its most recent business index, Territory business confidence is at its highest in six years supported by strong level of sales, profitability and capital expenditure.
These things do not happen by chance. It is a partnership between the government, industry and the people. However, the government’s role cannot be simply dismissed even by an opposition unwilling to look at government’s role. In a small economy the government’s hand is vital. When we came to office the deficit, the climbing debt and out-of-control recurrent expenditure combined to prevent the CLP administration from priming the economy when it desperately needed it most.
We set about putting in record capital works budgets, working hard to attract interstate and overseas investments, particularly in gas and minerals. We placed tight controls over the recurrent expenditure to get the budget back under control and that has been successful. Our economic blueprint took shape over the four years of our first term, which is still in place for the opposition to scrutinise. We have set targets and we act to ensure that we stick to those targets. Members would be aware that we have made it clear to all agencies that they have to live within their means and we are working with agencies to ensure that that occurs. We are also examining the priorities of government to make sure that our publicly stated priorities are where the money is being spent.
As the mid-year report shows, and in every report and update I have seen since, we are on target to achieve our fiscal outcomes. It is, therefore, extremely disappointing when the opposition and others are running around saying the government is broke. Nothing could be further from the truth. The opposition and the opposition spokesperson on Treasury matters really needs to look at page 4 of the mid-year report where it clearly shows that the May 2005 budget introduced in the parliament said that we would have a $68.1m deficit, and the mid-year report shows that we are going to have $68.2m deficit. In our budget that is going to spend something like $2.8bn to get within $100 000 of your May prediction halfway through the year, I would have thought that breathtaking in its accuracy, as opposed to the deceit of a government that said we will have a budget deficit of $12m and, within eight weeks, it was revealed to be something between $126m and $134m. A great deal of difference there in terms of predictions and outcomes.
We are a careful government. We are pragmatic. We have also increased police numbers by 200, teacher numbers by well over a 100, nurse numbers by 100, four record capital works budgets, increased tourism expenditure and, in those three immediate past years, returned surplus budgets. I would have thought those economic credentials would stack up against any government, anywhere. In that time, we have also reduced payroll tax, reduced stamp duty, have a five-year program of abolishing a series of taxes, and are currently the lowest taxing jurisdiction in Australia for any business up to 100 staff. In the next four years, we will have small deficits as we put in place continued high levels of funding to services capital works, as well as funding the most significant construction project of its type ever in the Territory, the waterfront.
Mr Deputy Speaker, that is a strong financial position. I am not going to stand here and boast about it; I would be declared arrogant by members of the opposition. However, it is a record they would love. They would just dearly love to have their name behind it. I challenge the opposition to prove the contrary to any of the information that I have put forward.
Mr VATSKALIS (Primary Industry and Fisheries): Mr Deputy Speaker, I will add to the Chief Ministers’ statement on the economy and emphasise the Northern Territory government’s ongoing plans in a vision to deliver more opportunities and benefits for Territorians from sustainable development of the Territory’s mineral, energy and primary resources.
Before that, let me take a trip down memory lane. Let us compare the economy of the Northern Territory in February 2006 with the economy of the Northern Territory in February 2001. In 2001, there was one only multi-storey building under construction in Darwin - that was Mitchell Centre - only one crane in the sky. At the same time, many building companies had collapsed leaving hundreds of contractors and workers unpaid. It was a time when you could go down to the Galleria and you would not find a place to sit because it was full of Greek Italian, and Chinese contractors who had no work to do. That was a time that hundreds of Territorians left the Territory to go to other states to get a job. It was the time that my colleague, the member for Wanguri, met some of his constituents who were selling the assets that they had accumulated in previous good years just to survive. The Territory economy was in the doldrums. Later, when the change of government took place, I recall very well the then Leader of the Opposition, Denis Burke, shouting from the other side of the Chamber: ‘Spend, spend, spend, do not worry about the debt’. That was the situation with the Territory economy in 2001. The Leader of the Opposition would have us believe today that the Territory economy is really in bad shape, which is not the truth.
As politicians we travel often, and some of us sometimes spend our time reading the inflight magazine. I recall in the past few months, in the Qantas inflight magazine, a Colliers Jardine insert that described the investment opportunities and the property market around Australia and the world. The Territory economy and property market were described in glowing terms. That is not the only magazine that describes the Territory in glowing terms. There are other investment and property magazines around Australia - you can go to the local newsagent here and you will find that all the magazines describe the Territory’s economy as a strong economy, and the property market as a growing market in contrast to most of the markets down south.
I would like to focus on primary industries, mining and fisheries. Some of Australia’s biggest resource developments are in the Northern Territory: the Bayu-Undan development, the LNG plant at Wickham Point, and the massive Alcan expansion at Gove. Additional major gas developments are likely in the next few years, which will further develop Darwin as a major global gas hub. Some of these are Caldita, Petrel, Tern, and Greater Sunrise. For a number of years, the Greater Sunrise was in a twilight zone that has only recently been resolved. It was resolved because the federal government adopted a suggestion made a few years ago by the Chief Minister of the Northern Territory for the governments in East Timor and Australia to disconnect the dispute about the sea boundaries and also to increase the allocation of royalties to the East Timor government from the Greater Sunrise.
Last week, I was in East Timor and visited the East Timorese parliament. By coincidence, the Minister for Foreign Affairs, Jos Ramos-Horta, was informing his parliamentary colleagues of the agreement between the Australian and the East Timorese governments with regards to Sunrise. I did not understand much of what he was saying as he was speaking Portuguese; however, the atmosphere in the House was very friendly and optimistic. That was confirmed later by Ramos-Horta when I met with him and he told me – which was confirmed later in the Australian Ambassador’s briefing - that the East Timorese government intends to bring the agreement to the East Timorese parliament at the end of February for ratification. That has opened the way for the development of the Greater Sunrise. It is difficult, if not impossible, to take a pipeline from Greater Sunrise to Timor due to the very deep trench. More likely, Greater Sunrise gas will find its way to Darwin and will provide benefits to Timor and Australia and, certainly the Northern Territory.
As well, there are major projects and ongoing developments proposed for our major mines. Some of these mines are McArthur River Mine, The Granites and GEMCO. There is a range of other mining projects at various stages of development and approval. Several of these are expected to come on stream over the next one to two years. Of course, the resource sector is booming because of China. China currently buys everything that they can put their hands on, and that will be further assisted by the decision of India to restrict the export of some of their strategic minerals such as iron ore, manganese and some of the resources that they want to utilise for their own development. As a result, China would focus more on Australia and that will be a unique opportunity for Australia and the Northern Territory to reverse the trend of the past few years with the declining development of the resource sector.
Today, we have a number of mines in the Territory in various stages of flux. The Bootu Creek manganese mine north of Tennant Creek will come into production in March 2006, and the first planned export of 600 000 tonnes per annum through the East Arm Port soon afterwards.
Other projects are the Browns polymetallic project near Batchelor operated by Compass Resources. The project is in the final approval stages and Compass anticipates commencing operations later this year. Mining has commenced at Tom’s Gully gold mine near Mt Bundy, and I have been advised that the first ore has been mined and is being processed on-site. Matilda Minerals on Melville Island is in the final stages of environmental assessment and is expected to commence operation later this year. Territory Iron just completed a multimillion dollar drilling program at Frances Creek and proposes to export iron ore from late 2006. Arafura Resources has a number of projects under study development, and I am currently advised that they are testing the metallurgy of the ore body in the area.
In Pine Creek and Katherine, we will again see the reopening of a significant number of mines. With the price of gold passing A$728, we will see a number of small and big mines reopening in the area. North Australian Diamonds have commenced diamond production and test works at the Merlin Mine, and Olympia Resources has submitted a development proposal for a garnet sands project at Harts Range. However, the latest news is that Sweetpea Corporation will be exploring for gas and oil between Katherine and Elliott, and the exploration program is worth $20m. Some of these projects have been mooted for some time and it is important that government and industry take advantage of the current high commodity prices and investor interest to convert these potential developments into operations.
It is also important that the Territory actively promote its potential, and competes with other jurisdictions to attract exploration investments to underpin the long-term future of the mining sector. A few years ago, the Territory was behind Tasmania in exploration; we were the last of the states in exploration expenditure and mine development. I am pleased to announce that for the last quarter we have found out that the Territory is only a few thousand dollars behind South Australia and Western Australia; third in exploration expenditure and mine development in Australia - and that at a time when Australia still does not have a significant share in exploration. I have to say that this is the best result we have had since the beginning of 1990 when exploration and mining development in the Territory was at its peak.
I am also pleased to say we played a significant role in promoting the Territory as an exploration and mining destination. Last year, I undertook a road show travelling around Australia, meeting with hundreds of people, promoting the Territory. Some of the comments I received were very surprising. Some of the people did not know we had no problems with native title or land rights; we actually could process titles very quickly and there was no backlog. Some people did not know the potential for exploration in the Territory; or that the department could provide information, maps and geophysical data free of charge. As a result, we have received a significant number of inquiries and many of these have translated to people coming and lodging exploration applications in the Territory.
We have to promote the Territory as an exploration and mining destination, and that is why I intend to travel to Canada for the Prospectors and Developers Association of Canada exhibition and conference in Toronto in March 2006, then to Denver, Colorado and then continue to London and Madrid. In London, we will meet with potential operators and miners, such as Newmont, Xstrata, Cameco, Vista Gold, GBS Gold, ERA and Rio Tinto.
The Territory has granted over 800 exploration licences over the last three years, the highest level since 1988-89. The grant of exploration licences on land affected by native title is now largely routine. The Aboriginal Land Rights (Northern Territory) Act land is more problematic. However, recently announced federal government reforms will help. There is plenty to do to further facilitate land access by miners and explorers; however substantial progress has been, and will continue to be, made in conjunction with all stakeholders.
I note that successive Territory governments have invested heavily in infrastructure to support resource sector development, mainly port and rail. We have invested over $500m, and that will pay dividends in the near future.
Another long-term initiative is the development of geothermal energy; the member opposite is very interested. A task force has been established to facilitate exploration for, and development of, a geothermal energy resource in the Northern Territory, member for Nelson, and we aim to have appropriate legislation for geothermal development and the development of geothermal energy resources by late 2006 as an element of the Northern Territory energy policy.
The Territory government welcomes all constructive input into further development of the Territory’s resources, and I can assure the House that we will continue to promote and facilitate responsible development for the benefit of all Territorians.
I turn now to the primary industry sector. In November 2005, the Economic Development Summit identified the need to broaden the economic base of our economy. The primary industry sector provides an ideal vehicle to broaden that base, particularly the regions, with employment and economic flow-on effects. Additionally, primary industry also provides real opportunities for Aboriginal communities to enter the mainstream economy in pastoralism, horticulture and forestry.
The pastoral, horticulture, cropping and forestry industries have a combined value of $360m, employ 1600 people and constitutes nearly 800 regional enterprises. This sector continues to develop in the face of increasing global competitiveness and relatively high labour costs.
The Chief Minister has already commented on the increase in live export of Northern Territory-sourced cattle through the Darwin wharf this year against a national trend that has faced many challenges. We had 30 000 cattle more last year than the year before. We have exported cattle for the first time in a long time to Brunei and to Sarawak, and we continue the export of live cattle to Brunei, Sabah, Sarawak, Philippines and Indonesia. The challenge of market share and public perception for the trade will continue to rise and, with the strength and professionalism of the pastoral industry supported by my department, they will continue to answer the current and emerging hurdles.
The Chief Minister referred to the need for government to look to foster effective partnerships with industry to drive the economy forward. The Primary Industry group of my department has nurtured close working relationships through representative bodies regionally and in Darwin. I intend this year to do exactly what I did with the mining sector last year: foster and develop information and promotion of Northern Territory products here and overseas. We have good quality products, clean food, no chemicals, no pesticides, no disease, and we should promote the high quality food we produce here in the Territory - from Asian vegetables to cattle. We can foster relationships with interstate interested parties or overseas interested parties.
In my recent trip to Sarawak, I found out that the national herd in Sarawak was about 10 000 animals and their efficiency in meat production was about 6% to 8%. During an informal meeting with the Deputy Chief Minister of Sarawak, who happened to be my counterpart, we have agreed that we would have a delegation visit Sarawak to promote the live cattle export from the Territory. Why not develop partnerships with business and the government of Sarawak to foster the development of the trade between us, and to assist them in the development of their meat processing centre in order to increase their meat efficiency?
I mentioned before that the pastoral and horticultural industries are industries that can provide employment opportunities for indigenous people, and the indigenous pastoral programs have done exactly that. We have a significant number of young indigenous Territorians participate in pastoral projects, to work actively as members of the pastoral industry and to have agreements with pastoralists to lease properties to the pastoralists for grazing cattle. In another case, we have seen Aboriginal properties coming back into production and we intend to continue supporting indigenous Territorians in the development of the pastoral industry on their land.
The litmus test of business confidence is private sector investment. The primary industry sector has continued to back itself with infrastructure and operational investments. An example of this includes the significant planting of 255 000 Calypso mango trees by the end of 2007 by Timbercorp Limited from Darwin through to Katherine and Mataranka. The table grape growers of Ti Tree have demonstrated clear confidence in that industry’s future by replacing 50 ha of grape vine affected by nematodes, and expect that 200 ha will be replaced within four years returning the total planting to around 400 ha. Great Southern Plantations is continuing to invest in the 15 000 ha forestry enterprise on Melville Island and expect to spend $76m this year alone. It was only a few days ago when we saw a Chinese ship arriving at Melville Island to load some of these logs for export to China.
Cashews NT is investing up to $10m in developing a 1600 ha cashew venture at Wildman River. This enterprise already employs 14 seasonal workers and provides development options for other regional producers. With the advent of the biodiesel refinery mentioned by the Chief Minister, the cropping industry is working with the department to investigate biofuel options for the Northern Territory. Cassava, soya bean and sugar cane are potential renewable energy sources for ethanol or biodiesel.
The recent sale of Scott Creek, and East and West Mathison pastoral leases west of Katherine are good examples of business confidence in the pastoral sector. Northern Territory land has attracted significant interest from interstate investors and these recent sales have set a new benchmark for pastoral land prices. Whilst the focus is on economic development in this statement, such development is balanced with the environmental sustainability of the Northern Territory.
Primary Industry recognises that economic development and environmental sustainability are interrelated and each cannot survive in the long term with out the other. Areas of research in primary industry production and focusing on the utilisation of natural resources that maximise productivity whilst preserving life conditions and biodiversity is essential from both today’s increasing accountable environment and from a business cost of production of point of view. Primary industry is the custodian of large tracts of our Territory’s land and resources, and the industries are working responsibly with government to ensure that our natural resources are preserved for our children. In order to underpin primary industry development and to continue market access for our livestock and produce, this government is taking the lead role in biosecurity planning, preparedness and response.
Protecting the health status of primary industries and the environment is of prime importance to the Northern Territory. The only reason we sell live cattle to South-East Asia is because our cattle are foot and mouth disease free unlike Brazilian or Argentinean cattle. If, by any chance, foot and mouth disease gets hold in Australia, the Territory would kiss good-bye to a $150m-a-year trade with South-East Asia. Our government is determined to work very closely with anybody in Australia and the industry to make sure that this does not happen. This is the reason why, in the past 18 months, I have been calling on the federal government to do something about illegal fishermen incursion in our northern waters. My fears are not only that they would deplete our fishing resources, which I will mention later, but also it may introduce diseases that currently do not exist in the Territory such as foot and mouth, tuberculosis, cholera, malaria or even rabies.
I would like to add to the Chief Minister’s statement on the economy and update the Assembly of the government’s ongoing initiative to deliver greater opportunities and benefits for Territorians from the sustainable development of our valuable aquatic resources. The harvesting of resources from the aquatic environment, along with the burgeoning aquaculture industry and increasing recreational and fishing tourism sectors, all contribute strongly to the economic development and social fabric of the Territory. In 2004, the revenue generated from the wild harvest fisheries and aquaculture industries was $32.3m and $28.8m respectively. The annual value of production from the commercial fisheries sector is between $100m and $110m. However, the multiplier effect to the community, usually a factor of three or more for commercial fishing, demonstrates the overall significance of the industry to the Territory. According to industry figures, in 2005 some $1.4bn was invested by Northern Territory commercial fishers in licences, vessels and facilities. Further, around 1250 people were employed directly in the seafood industry generating wages of about $90m per year.
In addition to our wild harvest fisheries, the Northern Territory has a growing aquaculture sector. In 2004, the total production from Northern Territory aquaculture was valued at just over $28.85m. That represents an 8% increase in industry value compared with 2003. The fastest growing sector was barramundi farming which in 2004 increased by 30% to a value of $9.4m. In 2004, the Northern Territory aquaculture industry provided direct employment for over 325 people. The aquaculture industry in the Northern Territory is on course for a combined industry value of $120m per year by 2010.
As is evident by these projects, we work very closely with the indigenous communities and, for the first time ever, to farm mud crabs. We have an experimental farm at the Kulaluk community in Darwin and we have another experimental farm near Maningrida using juvenile mud crabs produced by the department’s Darwin Aquaculture Centre at Channel Island. As is evident by this project, Fisheries within my department continues to seek opportunities for the greater inclusion of the indigenous sector in generating economic activity.
As many of us here today are aware, recreational fishing is one of the most popular leisure pursuits in the Territory with up to one in every two Territorians fishing each year - that includes me and my colleague, the member for Johnston. The variety and abundance of fish stocks, coupled with the pristine nature of Northern Territory waters, draws more than 100 000 visitors to the Territory each year. The most recent survey suggests that more than $26m was spent directly on recreational fishing in the Northern Territory. Our government is committed to support recreational fishing. That is why we have put fairly significant resources to licence buy-backs, improving fishing infrastructure, and adding on the fishing infrastructure.
The economy in the Territory is doing very well, thank you very much. You can read any magazines you like about investments, about property, about housing. You can read the comments from Access Economics or other people analysing the economy and provide focus on the Territory.
The best evidence about the growing Territory economy I heard this afternoon. I went to the local Greek barber to have a haircut and, while I was there, there were two Greek gentlemen talking to each other. The talk was about what is happening in the Territory. One of them said to the other:
Nobody would work during Christmas holidays. I have been in the Territory for 14 to 15 years; every Christmas period was a dead period. Everybody was lying back relaxing, not working. This year has been a very busy year. I had some work done in my house. The work to be done was agreed to be done in October. I came back from holidays at the end of January and they had just finished the work because they could not do it as they had six projects at the same time.
The Territory economy is doing very well, thank you very much. The indication is from not only the building sector but also the retail sector. This is the first time we have seen a significant number of retail outlets opening in Darwin. Before we only had Retravision and Harvey Norman. If you take a trip up the Stuart Highway, you will find Harvey Norman, Carla Furnishers, WOW, and Chandlers. If you go to Casuarina, you will find another two retail outlets. As I was advised, for the first four days of this particular retail outlet opening in Casuarina selling DVDs, videos, and electrical equipment, they had a turnover of $0.25m - in four days. People would not spend if they did not have the money. People will not spend on luxury items or the small items like DVD players and home entertainment centres. When people spend this kind of money it means people have confidence in their future, in the economy, and in the Northern Territory economy.
I am very proud to be part of this government. We found some really hard times when we first came to government, but we have now seen the Territory economy blossoming, a significant increase in development, and it has become the envy of the nation.
Mr WOOD (Nelson): Madam Speaker, I thank the Minister for Primary Industry and Fisheries for his contribution to this debate. I wish it was a ministerial statement. I am not trying to be rude, minister, but sometimes it is difficult to hear what you have to say. However, I know within what you said there was an enormous amount of information. It is time we had a ministerial statement on primary production. I would like to debate some issues on primary production with you. I find it more interesting than worrying about some of the stuff such as if the climate is right. I can talk about bananas and cotton and that sort of stuff much more easily. I hope you make a ministerial statement on that as primary industry is an important part of the Northern Territory’s development.
You mentioned about some work going on with geothermal. I will have to get the Hansard to read it. If you are moving down that path, that is great. As an aside - I was going to talk about it at another time – it is interesting to see the Clean Fuel company is going to produce hydrogen. Hydrogen is the fuel of the future for vehicles. I had a briefing with the CEO of Clean Fuels. Perhaps this government could look at running its fleet of buses on hydrogen produced by this company. There are buses throughout the world which run on hydrogen and, if we were one of the first places in Australia to run a full fleet of buses on hydrogen, that would be great – perhaps even some of your own fleet. I know that buses do run, I think, in San Francisco and parts of Germany.
I will just make some general comments. One can pick up this document and see the word ‘turbocharged’. Of course, you know that it comes from the government side. Naturally, the economy is going to be turbocharged. We need to hear some other points of view to balance what has been said.
There is much talk about the growth in residential areas. I cringe a little, especially when it comes from the Labor Party, when they praise the rising of median house prices by 11.9% in Alice Springs, 17% in Tennant Creek, 7.4% in Katherine and, in Darwin, by 26.2%. I know the Treasurer spoke about HomeNorth and how that can help people who are trying to buy into housing. I still believe we are missing the point. The higher prices we pay for housing and land, the longer we put people into debt. They can get their loan from HomeNorth, by all means, but they will be paying off that debt for a very long time, with probably both people working very hard and families not being looked after as well as they should be simply because the debt is so high.
We might be lower in the scale of affordability from other states, but we have a higher cost of living, generally speaking, because of where we live. That should not be a comparison we should look at. We should say: how much does it cost for a family to buy a house and land in the Northern Territory? A reasonable house - not a little hot box. A house where you can play cricket or rounders with your son or daughter in the backyard. Something where a family can enjoy life – a reasonable place to live. It is beyond my comprehension to see the Northern Territory with a land mass a fifth of the size of Australia, with a population of 200 000 people, and we do not have enough room in which to put people. It just does not gel with me.
I say to the government: you have a booming economy, surely you can develop some land of your own? There is quite a bit of Crown land. There is Palmerston – it does not have to be developed by a developer. You can go back to the old-fashioned way of the government developing itself. There is quite a lot of land in the Litchfield area. House prices in my area, Howard Springs, are just extraordinarily high. To get a reasonable house and five acres is now about $400 000. That is way out of reach for the average young family starting off, and yet the rural area is a great place to bring up kids. I believe there is a role for government to really start to look at opening up land for first home owners. If they believe in helping families, that is the way to go. If you release a certain amount, you are not going to affect the booming market we have at the moment. What you will do is help the economy because those families will have more money to buy a decent-sized house. If you are building a house, you are helping the economy. If you are buying a block of land, you are doing nothing; you are helping the real estate industry. But, so what? Industry is probably not the right word there. Real estate is only interested in cutting up land. The things that really help the economy are buildings. If we have money to put up decent houses, we are helping the economy. You can say it is great, however, we need to do a lot more.
We know that the place is growing. Have a look around Darwin - you will see these great big units. I get thrilled to bits when I see them. Governments can say: ‘Whackadoo, look at that, we are booming along. Isn’t it great to see all these units?’ I say there is nothing wrong with units per se, but do not let development make us lose sight of what sort of city we are building. I fear that we are not putting enough emphasis on what our city will look like in the future. I say that from an architectural point of view. I have said it many times before. I was having a look today at the Crowne Plaza, which was built -- oh, it must be nearly 25 years ago. It stands out, to some extent by itself, in Mitchell Street as a beautiful building. Someone has made an effort to make that building look very special. I have said that about the Marrakai, and the Saville. There are certain buildings that look good. There are certain other buildings that if they fell down tomorrow I would not cry in the least.
When you go past the NT News building at the moment, you look up and ask: ‘Am I in Hong Kong?’ I believe we have just developed ourselves the version of the six-pack which was built near the Casuarina Shopping Centre, which was a block of flats with concrete all around. What we have now done is the same thing and taken it up 20 storeys. We have not moved on to try to develop an architectural style to help our city look good. There is definitely a need, especially with larger public or private buildings, for the government to set up some sort of evaluation of their architectural merit. It may be that a company that comes along and says they want to build this building, has to give you three designs. They are not designs built to the nth degree; they are designs so that you can get a rough idea of what they would look like so that we can at least try to promote a city that is something to be proud of.
I am happy that the city is booming along. That is great. People are getting plenty of work - building, tilers, plumbers, you name it, they have plenty of work. However, what we should be doing is ending up with a beautiful city with room to move, trees around, and space; not clustered.
Wastage: when the TIO debate was on I was asked why the government wanted to sell the TIO. The statement that the Treasurer gave at the time was if we were to sell TIO it would be a good reason to get rid of some debt, a good one-off opportunity. I was asked: ‘If you are not allowed to sell TIO, how else would you save money?’ I believe we have to look a lot more at wastage. I am not trying to pick on the Minister for Planning and Infrastructure, but there is an area where it would be good to have a private auditor - and it may not just be for your department, minister, but for other departments - to assess many of the projects undertaken to see whether they were estimated at the right amount when the budget went through, to see what went wrong if they went wrong, did they have overruns and why, and to look at whether we are wasting lots of money.
I will give you a couple of examples. I went to the port the other day and they probably wanted to know why I was sneaking down there. This is the picture of the front gate before you get in there. It is on the causeway as you go out towards to the port. This is the third gateway they have built. They built one some years ago right near the port and they must have said: ‘Well, that is no good, it is too far’. Beg your pardon! They saw there were kids fishing on the rocks on the causeway and the trucks going up and down so they decided to bring the gateway back near the East Arm Boat Ramp. So the East Arm Boat Ramp gate was No 2. Then they got rid of that and they moved this one about 100 m or so away from that one and built this very nice one, beautiful architecture. I admit that this is meant to be a functional building. I am not sure we needed to spend that much money. They built it high off the ground, so high that when a car goes past the person in charge of the gate puts a rod down with a net on it to pick up their licence so that he can look at it, and passes it back the same way.
That might have been all right for a truck but someone has not designed it correctly for all vehicles. So much so, they have built a small shade house at the front here where they are now doing it on the ground level. I have to ask: why has this been designed this way? Trucks you can reach up to, cars you can look down. The disadvantage of this system is that you cannot see every person in the car because you are looking down at the roof of the car. So, they have now had to spend some money on a shade house at the front.
If I go to Robertson Barracks; I see a small gatehouse where there is a bloke on that side and a bloke on that side, down at ground level. They have trucks, tanks; everything goes past there. They look at the ID, they look at the licence, they look at the registration, they write it all down, then they go back inside. Simple. But here, I do not know how much money we spent on this but it seems to me we have built something that does not really work the way it should. I say we should get an independent person to ask how much money we spent on gatehouses, why we have this one, two, three, and was this a silly design and why.
Another area I have mentioned is the Stuart Highway past Noonamah. I think it was meant to finish last June; it finished in December. The water pipes had to be shifted – the Commonwealth government gave us $1.2m to assist shifting them. I was told by the person who put the pipes underground that the design the department had given him was wrong. In fact, he could have probably designed it himself because he has been welding those pipes on the Stuart Highway for about the last 20 or 30 years. He is the regular welder. We are all now using the road past Noonamah but the overhead lights are not on. I was told that some of them are in the wrong spot. That may not have all been the fault of government, but it was the fault of something. Was there a cost to the taxpayer?
There is a need for an efficiency auditor who can check on these things, not just to criticise government, but see where we can improve. Do we need to employ people? Have we lost all our engineers, for instance? Are we doing a lot of work privately? Have the people who once worked for us gone? It is an issue that when we are talking economy and, as the minister said $2.2bn in construction, the more we can use that efficiently the better our economy is.
There are two issues raised by the Auditor-General which I believe need some comment. He raised his concern that the GST increase is slowing down. If it is, then I would be asking the government if we are slowing down too. It is no good having big projects if you know that money is not going to come. Are we making sure that we are not starting to bite off more than we can chew? He says here: ‘Heavy capital outlays signal current or future call on savings of other sectors’. I presume he is saying that if you have some big projects and we do not get the income from the GST, then we might be looking at a little from this department and a little from that department to pay for it.
He also mentions public employment. This is an area which really needs a bit more time to look into. He says: ‘… employment related costs rose by $112.8m’. I ask the question: how many extra people have we put on in the public service this year? I thought we had our 100 police and 100 nurses, and we had our EBA for the teachers. However, I am told that an extra100 people moved into administration in Health, for instance. Why are they there? Haven’t we reached some sort of levelling out? It appears as though we have employed about 900 more people - which is a substantial cost. Someone told me that Health has become so big they have moved into the AANT building. Why? What is going on? It is something we should be keeping an eye on. The Auditor-General said: ‘Employee costs and nominal interest on super and depreciation comprise 49% of total expenses in the general government sector’. That is a huge amount to be put into employee costs. I am interested to know from the Chief Minister how much has public service employment gone up this financial year, and where has it actually gone - that is an important factor.
We have been talking about tourism today. There is no doubt that in some areas tourism has gone up, and in others, tourism has gone down. I mentioned before that we need to look at why tourism to our national and conservation parks has gone down. I had some figures from the Estimates Committee last year which showed that nearly every park had a decrease in numbers.
The member for Blain mentioned getting better signage and that may have something to do with it. However, I wonder why we are losing people in our parks. The government should be investigating that side of it. We spend a lot of money on our parks, and if people are not visiting those parks as much as they should be, why not? I had half a holiday, half work time during Christmas thanks to TIO and a few other things. I took a day off and went to Nitmiluk National Park and went on two of their small walks. I nearly died of heat exhaustion, but I had plenty of water. The escarpment was beautiful; the plants were out in flower. I took photograph after photograph and had a swim in the southern rock hole. It was a lovely day out. It would be sad if people are not recognising that we have these beautiful parks and are not visiting them. I do not know whether Tourism or Parks are investigating why there has been a decrease in visitor numbers.
There have been many good things said about gas, and we have the LNG, and biodiesel. I would like to have a debate sometime about biodiesel as I would like to know a bit more about its viability and its future as a real alternative to oil. We have the Clean Fuel project, and the helium, which are all great projects. However, I would say the same things as I said about buildings in Darwin: we need to be careful about how we develop. You sometimes get all the glossy brochures, as I have, and we need to see below that and make sure that this development does not ruin our harbour and our skyline.
One of the tanks at the port has been beautifully painted by the Larrakia people and it is a great work of art. I looked at the other tanks and thought not so much whether they too could be painted but if anyone had thought to do some landscaping around them. All you see from this side of town is the big white tanks standing out. Is there is any way of breaking those industrial developments using landscaping? You will not hide the tank completely, but you might be able to break it up. I wonder whether we should investigate a little more when we are putting in industrial development whether it can be broken so the skyline is not just a great clump of tanks and industrial development.
The Minister for Primary Industry and Fisheries spoke about agriculture and horticulture. They are ongoing industries for the Northern Territory, and they are good industries. I say to him that we have a good picture of those things. Go to Katherine; you have all these big empty silos. Go down to Fleming in the Douglas Daly, you have a great number of silos - empty. Broadacre agriculture is just about dead. I know we have issues with the Douglas Daly and the water, but here we have what we thought would be an industry for the Northern Territory - dead.
I was in the poultry industry. Some of my grain came from the Douglas Daly and some from Kununurra. It would come through those silos in Katherine, but not anymore. They sit there idly rusting away. I have to ask: does the government really have a commitment to broadacre farming?
The Defence industry is very important. I was surprised to hear the minister talking today about the development out near the piggery. If I had the chance, I would have asked if you have to put those industries just south of the barracks, are they going to move the piggery? The two are going to …
Mr Henderson: The piggery will be fine.
Mr WOOD: The piggery will be fine? There will probably be a great supply of pegs going out to all those people working nearby, because it can be a bit high sometimes. It is good to hear that industry is being developed there. I hope the government also sees that there is good reason for putting industry out there, and may still reconsider using the middle of the harbour. That is the area where you want your industry - close to Palmerston, the barracks, and the port. Maybe I can convince them, after seeing this industry developed, that that is a good place to go.
Madam Speaker, I am not going to go through the rest because I do not have time. I just thought I would raise a few points that I hope the government would take some notice of.
Mr HENDERSON (Business and Economic Development): Madam Speaker, I have been advised, member for Nelson, that the piggery will be fine and, hopefully, not too much disturbance for the good animals out there.
I speak in support of the Chief Minister’s statement on the Territory economy. One of the government’s greatest priorities and challenges is to help spread the benefits of economic growth to regional and remote communities. We need to get regional and indigenous economic development right, in partnership with the communities. That is one of the key foci for the government over this term.
We will be putting together, as a result of the economic forum held in November, an economic development framework which is going to be a 10-year blueprint for growing our Territory economy. It is going to form the backbone of government economic policy over the next 10 years. The concept of a 10-year road map of the key issues, challenges and opportunities for our economy has been well regarded by industry as a very solid innovation of government. We look forward to debating that blueprint in March/April this year.
My other priority as minister is continuing support for small to medium enterprises so that they can grow, and attracting new business and investment to the Northern Territory. The economy is only going to continue to grow with new investments from the private sector.
I spoke just a minute ago about the Economic Development Summit, the second one for this government. The summit was not just about Darwin; we travelled throughout all major regional centres. I attended all the regional forums and a number of members attended those regional forums as well. This gave business an opportunity and a chance to express their views on the Territory’s future and the opportunities and challenges of developing business in our regions.
The consistent theme at the summit and forums was the importance of engaging with regional and remote areas in the economic development of the Territory. Addressing these issues will assist in overcoming skills and labour shortages that are the major impediments to fulfilling the Territory’s economic potential. We all understand that the key brake on our economy at the moment is finding the skills and the people to take part in the opportunities that are here at the moment.
Key issues identified at the summit and regional forums will become part of the development of 2015 - Moving the Territory Ahead Economic Framework. The major focus of the framework is strengthening partnerships, government, industry, regions and communities and ensuring the shared sense of direction. The framework is going to be structured around five principles: investing in our future, developing our people, building a more cohesive society, integrating development with the environment, and improving private and public sector effectiveness. The framework’s green paper, to be completed in March, will give us long-term, high-level economic development objectives, and will add to industry, regional and community development, especially indigenous economic development.
Speaking about regional development, the new portfolio of Regional Development is now part of my Department of Business, Economic and Regional Development. Regional development comes from stimulating economic growth and ensuring that prosperity flowing from that growth is shared by all Territorians. Government’s strategic approach to regions, centres on the development of sustainable regional economies through identifying opportunities; negotiating governance arrangements which support regional, social and economic development; and the provision of physical infrastructure that fosters sustainable development. This approach is encompassed in the Building Stronger Regions, Stronger Futures strategy which is the framework for our efforts.
As part of this, Regional Development Boards were established in 2003. With the creation of the new DBERD, it was considered timely to review the existing boards, looking at their operations, activities and future. Government is now considering the recommendations out of that review process with a view to strategically strengthening regional economic opportunities and partnerships with local communities and other government agencies.
In the meantime, government is changing the way we do business in the regions, playing a more direct role in facilitating regional development. Staff will be applied directly to assist communities and regions to develop their capacity. For example, DBERD has introduced a bi-monthly service in Mataranka that offers business a range of Territory Business Centre business development services. Under the initiative, staff from the Katherine Regional Office set up a shopfront in Mataranka twice a month and visit local businesses to assist with a range of issues. This is part of a DBERD strategic priority to expand coverage and services of the Territory Business Centres into regional areas.
Another DBERD initiative, the Regional Development Fund Community Projects 2005-06, provides $200 000 to stimulate and support community involvement in regional development processes, and support innovative projects and initiatives that have positive regional development outcomes and significant benefits for communities.
Recent projects approved include:
the Katherine Regional Aboriginal Health and Related Services Inc: $25 000 for a feasibility study for the construction and operation of an indigenous health precinct in Katherine. If the precinct proceeds, economic benefits will flow into the Katherine community during the initial construction phase but, more importantly, through the employment of specialist health practitioners and the ongoing training of medical students; and
Another area of my portfolio is overseeing development of the Desert Knowledge Precinct, a major regional development project for Alice Springs. Government has committed $30m to complete Stage 1 over three years, up from the original commitment of $27m. The Desert Knowledge Precinct will offer business, training and job opportunities for Alice Springs and Central Australia. I will be attending the first Desert Knowledge Board meeting in Alice Springs on Friday as part of ongoing consultation with them on the roll-out of the project. It is expected the construction of the Business and Innovation Centre and the first stage of the Desert Peoples Centre Administration Building will be completed by the end of 2006.
Nothing is more important than indigenous economic development. The Northern Territory Indigenous Economic Development Strategy was launched in May 2005. It identifies opportunities for development in 13 industry sectors: aquaculture and fisheries; arts; community services; construction; forestry and agribusiness; government; horticulture; knowledge and culture; mining and production; natural resource management; pastoral resource management; pastoral retail services; and tourism. The indigenous development task force made up of government, business and community representatives has developed a work plan and reporting framework for the strategy against the 13 industry sectors.
The Australian government launched its own Indigenous Economic Development Strategy in November. Strong synergies between the two strategies and priorities have been aligned: indigenous wealth, employment, and entrepreneurial culture. Collaboration has led to funding of four economic development officer positions in Darwin, Nhulunbuy, Katherine and Alice Springs, and discussions are continuing over a fifth position for Tennant Creek. The first appointments at Larrakia Development Corporation in Darwin will start next month. Collaboration and cooperation between both levels of government, indigenous organisations, and the private sector has generated noticeable success stories. For example, Tangentyere Constructions and Amoonguna Council construction teams completed new houses in 2004-05, with new house construction planned for 2006; expansion of MENTIS supported indigenous pastoral trainee programs; and a range of new business start-ups through the Territory Indigenous Business Development program.
My department is also involved in regional networking workshops bringing together staff involved in indigenous business development and job creation to work collaboratively. The first meeting was held in Alice Springs in December attended by around 45 representatives from Commonwealth and Territory agencies and community organisations. The key outcome was the establishment of a planning committee which has been asked to examine pathways from training to employment, and options for business development and job creation in Alice Springs. This is a good example of community groups, the private sector and government agencies working together to develop strategic opportunities.
The Indigenous Business Development Program is a program we established in the budget last year with a budget of $300 000 per annum. Since that time, there has been engagement with over 75 individuals with business interests, which include a diverse range of ventures such as tourism, aquaculture, horticulture, cultural activities, arts and craft, community stores, media, and entertainment. The program aims to assist indigenous people start their own business, support the formation of partnerships and joint ventures between indigenous organisations and other corporate entities, and provide business support services to indigenous business. Preference is given to business proposals with joint venture opportunities and the potential to attract funding from Australian government agencies such as the Indigenous Land Corporation, Indigenous Business Australia, and the Department of Employment and Workplace Relations.
The program has funded eight applications totalling $114 224 so far. An example of some of these programs is Jinup Entertainment Promoters and Consultants in Alice Springs. Mr Mark Manolas and Ms Sharon Cole have a partnership trading as Jinup Entertainment Promoters and Consultants. Both partners have many years experience in the Central Australian indigenous music industry, indigenous management, event organisation, and both have extensive industry networks. Mr Manolas and Ms Cole will provide a communication service in freelance audio and recording involving television, radio, live broadcasts, and outside broadcasts, in and around Alice Springs and remote communities. This could enhance possible employment outcomes for indigenous people. Funding received has been $8269 to purchase equipment required for the business.
Another example, and the Larrakia Development Corporation is doing some great work here in the Top End, has been the development of Salt Water Constructions. Salt Water Constructions received $10 000 funding for tools and equipment for property maintenance in conjunction with LDC and Wolpers Grahl to improve its construction capabilities.
North Barkly Indigenous Development Trust at Tennant Creek, the traditional owners of land in the Northern Barkly region of the Northern Territory, have decided to establish a business trust to operate for the benefit of them and others affiliated to them by participating in commercial business, especially those undertaken in the Northern Barkly region. This trust was granted $30 000.
Aboriginal Air Services in Alice Springs were interested in acquiring, and has acquired, a stake in Air Ngukurr and has received funding to assist them undertake a feasibility study, business plan and due diligence.
These are just a few examples of the $114 000 to date under that $300 000; seed money to help small start-up businesses to get up and running across the Northern Territory. Eighteen other applications are currently being considered. An additional proposal will emerge from the field visits and proponents approaches in the coming months.
Another important area of my department is to continue to work with small to medium enterprises across the Northern Territory, the backbone of our economy, and assist them with their business growth planning and capacity. We as a government are committed to supporting SMEs to grow further. These initiatives include the Territory business centres which are the first contact for business through the TBC web site. Businesses can obtain all licences on-line, download relevant licences and permits and obtain information on industry sectors, regional economic snapshots, and skills development programs. The ‘up skills’ workshops offer a range of information and free business improvement programs to enhance the capability of NT business operators to manage their businesses in an increasingly competitive marketplace.
Free introductions to small business workshops provide information to participants in important areas relating to starting a business. I think there is one this week here in Darwin. I attended one of these introductions to small business workshops last year and it was very well attended.
October Business Month is a huge success. The theme in 2005 was ‘Taking Care of Business’, and over 100 events were held throughout the Territory. The department has a new position of a procurement liaison officer - a big issue for business. My colleague, the procurement minister, will be announcing further changes in the not too distant future. The department now maintains a procurement liaison program aimed at improving business understanding of government procurement requirements, and acts as an interface between the private sector and government agencies in regard to procurement complaints.
Other business support includes assistance for home-based business; women in business; franchising; and indigenous business, as I have said before. Government also supports the Business Enterprise Centre, the Top End Business Development Centre, and the NT Industry Capability Network. The shortage of skilled workers is a major issue for employers as our economy grows. My department promotes opportunities for employment in the Northern Territory at relevant trade fairs overseas and assists employers by guiding them through the immigration processes which can be a significant maze for small business.
Defence support: my department assists industries to develop proposals to maximise returns to the Territory for major Defence-related contracts including Through Life Support for Abrams tanks - I have advised the House today of the proposal for a Defence hub and industry park adjacent to Robertson Barracks; the Tiger helicopters, Armidale Class patrol boats, and other major defence platforms.
Manufacturing is an emerging sector taking advantage of the growth in oil and gas, and in the Defence sector. The manufacturing strategy which I announced about 18 months ago is assisting industry to continue to grow and develop. Government is also working to improve the Territory’s operating environment for business to attract increased investment and encourage jobs growth. For example, DBERD was recently successful in gaining a $360 000 Commonwealth grant for a project aimed at reducing red tape for home-based and small business in the Territory.
I have also taken the opportunity to meet with the NT Business Council, the Chamber of Commerce NT, and other business association representatives, as well as individual business owners and operators, to ensure that I and my department are across a range of issues important to industry. Importantly, I am not just talking to those major industry associations. I am getting out and about and talking to individual business operators about what they are doing out on the ground. There are some tremendous people out there who are committed to the Territory and doing the hard yards and getting good returns at the moment.
The efforts and initiatives of my department are aimed at meeting the basic principles the Chief Minister spoke about in her statement: creating a competitive business environment; making strong investments and infrastructure, particularly industrial infrastructure; building strong development credentials; and taking an inclusive approach to business and economic development based on partnerships.
The government is not resting on its laurels. The economy may be turbocharged as Access has said, but there is much more to do to ensure that we develop a sustained and vibrant economy for the benefit of all Territorians no matter where they live. When we talk about the economy, when we talk about those economic growth figures and all the economic jargon, at the end of the day it is all about people out there who have jobs, who are earning an income, who can provide for themselves and their families. A strong economy means that people have those jobs and are providing for themselves and their families. That is something that is going to be a key priority for the government into the future.
Madam Speaker, I proudly support the Chief Minister’s statement.
Dr BURNS (Planning and Lands): Madam Speaker, it is a pleasure to speak in support of the Chief Minister’s statement on the Territory economy.
The Access Economics report makes very interesting reading for everyone. Indeed, some of the language used in the report can only be described as exuberant. It says that times are great and current conditions are ‘almost as good as you can get’ as it forecasts annual economic growth in the Territory of 4.4% over the next five years. This leaves the Territory as the fastest growing jurisdiction in Australia.
Just prior to the election last year, Premier Peter Beattie visited the Territory and said that he likes to go around Australia boasting that Queensland is the fastest growing state in Australia. However, he said that always in the back of his mind is the knowledge that he is aware that the Territory is actually the fastest growing jurisdiction in Australia. He certainly paid many compliments to the Territory and to the Territory government, and highlighted a great future for the Northern Territory. I believe that is high recommendation coming from someone like Peter Beattie who has driven economic development in the great state of Queensland.
Access Economics is not alone in being bullish about the Territory economy. I was particularly interested to read in a recent copy of the Australian Financial Review a report on the Territory’s real estate sector. That particular newspaper draws a direct link between the state of the real estate market and the health of the Territory economy. Indeed, the Australian Financial Review is far more optimistic about the Territory economy than the opposition members who contributed, particularly the Leader of the Opposition. I quote a few of the relevant paragraphs from the Australian Financial Review. It said:
Further, it went on:
The article then quotes Mr Mick Smith of Mick Smith First National Real Estate. Mick is a very well known real estate man around Darwin, and very successful. It quotes Mick as saying that Darwin house prices are going about twice the pace of Perth. The article concluded:
That is certainly an optimistic outlook from the economic press, as well as someone who is very senior within our real estate industry.
I listened very carefully to the member for Nelson. As usual, the member for Nelson has raised some very interesting points in relation to a whole range of issues. He had reservations that land prices and house prices were escalating in the Darwin region and surrounds. He pointed to what he believed was a need for cheaper housing, particularly for first home buyers. While it is a noble aspiration, I suppose, from the member for Nelson, life and the economy is not as simple as that. First of all, government is not in the business of development. I do not think we are going to be getting into it, as suggested by the member for Nelson. We make Crown land available to developers. Developers then go ahead and develop that land. There are fairly hefty costs involved with developing proposals, and also ensuring that the headworks and infrastructure are there and available to promote and support development.
Therefore, it is not just a matter of saying: ‘We are land rich, let us just knock off X blocks out in Litchfield Shire’. There are costs incurred with that sort of development. As the member for Nelson should also be aware, there is a thing called the Litchfield Area Plan which sets block sizes and the zoning that can occur in development in that area. We do not want development willy-nilly. There are proposals in various parts to develop ordinary Darwin-sized blocks out in that Litchfield area, and I do not think the Litchfield community would really welcome that sort of development. They are out there for rural development.
Another cost that has been raised in terms of the sort of development that the member for Nelson is talking about, is in other states when this sort of development has been tried, speculation and profit takers move in and defeat the whole idea of what he is suggesting. It is a laudable idea but there are practicalities that the member for Nelson really needs to take stock of and, as minister, I am certainly well aware.
There is also the effect on others. I am sure there are people in that Litchfield area who invested in their property and would not take kindly to a cheap or more affordable option next door to their property which could bring their property price down. That is another issue the member for Nelson needs to be considering, particularly in his own electorate and for those people who have property there.
We are turning off land. We are encouraging people to get into affordable housing through the HomeNorth scheme. Others have outlined the success of the HomeNorth scheme. I, too, point to that scheme as a way of young people, in particular, getting into housing and accommodation and starting to build up their asset base.
The member for Nelson also raised issues to do with unit development around Darwin. To some degree I share his concern about the way that development looks and the effect it is having on the amenity of our city. Last year, I took a trip with members of the architects’ society and they raised a whole range of issues with me along the same lines as the member for Nelson.
Certainly, this is a government that is going out to consultation about the planing scheme. I know the Chief Minister feels strongly about these sorts of issues and about having open space and green areas, particularly within the city. These are issues, I can assure the member for Nelson, we are trying to address.
There are important developments going on, not only in Palmerston, but also at Lee Point with the Defence Housing Authority development there. The first blocks in the mixed Defence and private residential subdivision will be available for building in the second half of 2006. That is a development that is proceeding quite well, and there is much interest from Darwin residents about investing and living in that Lee Point development. There are over 650 blocks to be developed there. It is certainly a very important development, also for builders within Darwin. That is certainly something rosy coming up on the horizon. In Central Australia, there are the Larapinta developments which, of course, government is supporting.
It was mentioned previously about the gas industry being a driver for our economy, and the completion of the LNG plant at Wickham Point being, indeed, a day that marked the transformation of the economy of the Northern Territory. Hot on its heels came the announcement of the Darwin Clean Fuels proposal to construct a $450m condensate processing facility at East Arm. This broadening of the Territory’s economic base will result in jobs and business opportunities for Territorians. The proposed condensate plan is expected to increase the volume of trade over the new bulk liquids berth at Darwin’s East Arm Port by three to four times. The new bulk liquids berth only opened in September last year. I was proud to be there with the first petroleum tanker discharging via this facility to the new storage tanks operated by Vopak.
A new customer of the bulk liquids berth will be the biodiesel plant, with vessels offloading palm oil through the facility. Indeed, the port is at the heart of some exciting developments for the Northern Territory. As you would be aware, Madam Speaker, the Darwin Port Corporation is building material handling facilities at the East Arm Wharf to accommodate the export of bulk products.
First we had the construction of the railway which made the transport of bulk materials overland economically viable. Then we had a record demand from the Asian steel industry. Next came Bootu Creek Resources; their proposal to mine 600 000 tonnes per year of manganese ore from deposits near Tennant Creek and transport the ore via the railway to Darwin for shipment to China. The government’s commitment to constructing bulk loading facilities at East Arm Wharf was the final piece in the jigsaw. Proteus Global Solution is the managing contract for the approximately $20m project while Cliffton Coney Group is the project management consultant.
The first shipment of manganese ore is pencilled in for next month and in the meantime more bulk export opportunities are arising. Territory Iron is considering the export of 1 million tonnes per annum of Frances Creek iron ore while other potential exporters are examining the feasibility of garnet sand and other iron ore shipments. These types of ongoing cargo streams have the capability of underpinning the longer term viability of both the port and the railway. Indeed, one or two committed mining operations will support ongoing development of the port.
The Access Economics report referred to by the Chief Minister highlights the importance of the resources sector to the Territory economy. This government’s investment in infrastructure at the port is crucial to supporting and expanding this vital sector.
In my offering tonight, I would just like to give a few snapshots of various things that are happening. I have foreshadowed the bulk shipping through the port. Once again, I draw attention that in January 2006 there was a visit by a Hai Win Shipping line vessel. It was the eighth call of this particular company’s vessels trialling the Australasia Trade Route. This particular vessel discharged a record 213 containers from China. It has been on the record that the managing director of Hai Win, Mr Frank Guererra, has been quoted as saying from an operational and logistics perspective the land bridge trial worked extremely well and that the cargo was delivered in Adelaide in excellent condition and on time. That is approximately six days faster than delivering it via Melbourne. He did acknowledge that, from a cost perspective, the trial was more expensive than the Melbourne option; however, on a total logistics cost basis, the land bridge was comparable. It is very important to note that the port’s container trade is growing and there are operators coming in and taking advantage of that particular infrastructure.
The Access Economics report also highlights a role to be played by the development of the Darwin waterfront as the mainstay of commercial construction for some time to come. I went on-site to the convention centre last week and the mud has been dredged away and, in its place, some 250 000 tonnes of landfill and more than 16 000 tonnes of armour rock have been placed. Macmahon NT, the Darwin Cove Consortium’s civil works contractor, has spent four months working on the pad which has now reached the stage of practical completion. It was great to go down there, inspect the pad and see the practical completion. It is ready to hand over to Barclay Sitzler Mowlem and they will take possession of the site. They will establish their offices there and will start putting the poles in very soon. I am incredibly enthusiastic about the waterfront project. It is a great project and I know there will be a statement on the waterfront later in these sittings; however, it is important for me to mention it in terms of economic development within the Territory.
I was going to mention also, as a bit of snapshot, there are headworks planned for McMinn Street in Darwin, so there are ancillary works going on there as well. Stage 1 has been awarded to Wolpers Grahl at $1.9m and that includes a roundabout at McMinn Street; a carriageway; augmentation of the water main; a rising main for the sewer; and ducting of power and communications. Then there is the road works of Stage 2: $2.5m is programmed for 2006-07. These are important ancillary works and supporting works, if you like, for this fantastic development of the waterfront.
As the Infrastructure minister, I was particularly pleased to read the recent policy paper released by the Australian Council for Infrastructure Development. The paper examines infrastructure expenditure by jurisdiction placing the Territory second behind Western Australia in spending growth. I have outlined that there are many projects occurring in the private sector. Once again, it is important to emphasise that, as a government over the past four to five years, we have had record total infrastructure programs in the Territory and record cash against them. This has been the real foundation and undergirding of our economy, and I know it has been particularly appreciated by the construction industry.
What is noteworthy, apart from the public infrastructure, is the surge in private infrastructure expenditure since 2001: a near sixfold increase which the paper attributes to major projects such as the railway and the construction of the underwater pipeline from the Bayu-Undan gas field to Wickham Point. This is testament to the private sector’s confidence in the future of the Northern Territory and its economy. The paper also points out with projects like the $1.1bn waterfront development, public and private outlays on bridges, railways, and harbours will continue to increase.
Once again, some snapshots – I am running out of time but I know if push comes to shove someone will allow me to finish my remarks. I do not have too much longer to go. However, I would just like to mention the beef roads. That has been an important development in the regions. We allocated $10m over two years; that is in the 2004-05 and 2005-06 years. This was a very constructive use of GST revenue coming into the Territory. It provided employment and continues to provide employment opportunities and significant benefits to many sectors of the community including tourism, and mining, apart from the beef roads.
However, just looking at the 2004-05 program, the Barkly stock route is completed; Rankine Road is completed; Central Arnhem Road is completed, the Roper Highway is completed and there is substantial completion of a number of other projects. In 2005-06, Larrimah Western Creek link, Point Stuart Road, Ringwood Road, Maryborough Road; these are all important projects. We developed this program in consultation with the Cattlemen’s Association …
Dr TOYNE: Madam Speaker, I move that the member’s time be extended pursuant to Standing Order 77.
Madam SPEAKER: Have you finished your speech, minister?
Dr BURNS: No, I have not. I have asked for an extension of time.
Madam SPEAKER: You cannot ask for an extension until the time has expired, minister.
Dr BURNS: Okay, thank you, Madam Speaker.
Madam SPEAKER: You have 1 minute, 46 seconds.
Dr BURNS: All right. However, I will say on a regional level - and I know the member for Wanguri has also talked about regional development, IHANT, and the indigenous housing construction budget. I know the Minister for Housing is very enthusiastic and keen on this project and providing housing within the regions. I suppose in my portfolio area, I have responsibility for managing the project. However, in this particular area for the 2005-06 year, the budget is $28.7m and work in progress currently totals in excess of $33m. I could detail the regions, but this is having a benefit in the regions and we are continually looking for ways to engage with the Aboriginal communities and get that remote work force and training going in those particular areas. I still have more to go.
Madam SPEAKER: Yes, very good. You have 43 seconds.
Dr BURNS: Madam Speaker, it is very important to note that within our infrastructure budget there has been a lot of activity. Building costs and construction costs have climbed. It is very important, as the member for Nelson suggested, that government takes stock of our spending and looks to the future, looks to a counter-cyclical pattern of spending that we are complementing what is happening in the private sector.
I have outlined tonight that there is a lot happening in the private sector …
Mr HENDERSON: Madam Speaker, I move an extension of time which would allow my colleague to conclude his remarks – very quickly – pursuant to Standing Order 77.
Motion agreed to.
Dr BURNS: I will be quick, Madam Speaker. However, it is important to note here that the government is listening to industry. The construction industry is saying the same thing: that government needs to look to the future. We do not want those boom and busts in our economy, particularly in our construction activity, which we have had before. Government is working with industry to have a counter-cyclical approach to our capital works budget and target our spending to those areas which need it.
Another important area in which there has been significant progress, in consultation and partnership with industry, is in procurement. The member for Wanguri outlined earlier that there will be some announcements made. However, I can foreshadow that there has been a lot of work done within the departments, in consultation with industry, about simplifying and consolidating procurement directions, making it easier for industry to bid for government work, and also simplifying and streamlining to ensure it is not difficult for local businesses to get work. There will be some very positive announcements made in that particular area.
There is more I could say; however, I have already used up my time. To summarise, this is a government which has invested significantly in infrastructure development over the past four years. We have had record capital works programs, record cash against it, and we have supported the construction industry and carried out a lot of capital works throughout the Territory. Some of those thumbnail sketches which I have given of various projects going on throughout the Territory show we have been doing a lot. I have also foreshadowed and outlined some of the private sector infrastructure developments which have been going on. The economic future of the Territory is very bright. This is a government that has a strategic approach regarding infrastructure development, and we will be continuing that.
Madam Speaker, I commend this statement to the House.
Ms SCRYMGOUR (Natural Resources, Environment and Heritage): Madam Speaker, I support the Chief Minister’s statement. It is probably not immediately obvious to most people how my portfolio areas of Natural Resources, Environment, Heritage, and Arts and Museums, contribute to the strength of the Territory’s economy. However, I will point out how these areas of government do contribute, both directly and indirectly. In fact, I can go as far as saying that economic growth would be considerably more difficult to achieve without the ongoing efforts and commitment of my various departments.
The Chief Minister talked about tourism and the fact that unspoilt landscapes and Aboriginal art and culture are key attractions to visitors. The link is clear and direct here. The Parks and Wildlife Service does a wonderful job of maintaining our parks and reserves and making visitor experiences enjoyable. Our parks management contribute to the economy through more than the provision of memorable tourist experiences; it is a major driver of indigenous economic development. The flexible employment program provides traditional owners with training and employment in land management activities on jointly owned parks. In the short term, this $200 000 program offers both on-the-job and formal training to improve skills, and introduces participants to the operation and culture of the Parks and Wildlife Service. Operating across the Northern Territory, the program prepares traditional owners for employment within the parks service.
Enormous long-term benefits will become evident as joint management progresses and traditional owners become more skilled and experienced as management partners. There is huge potential to reap economic and social benefits through the development of commercial opportunities, as are in place in Nitmiluk National Park. The Chief Minister emphasised the importance of partnership, and the benefit of this approach to economic development is seen clearly in park management.
A direct relationship with the economy can also be clearly seen in my Arts and Museums portfolio. The role of arts as an economic driver is well recognised by economists. Nationally, the arts account for nearly 2.5% of gross national product, with around 850 000 people per year employed in the cultural sector. Although the figures are difficult to derive from national data, the economic impact of the arts in the Territory is likely to be similar to that of the national economy. On this basis, Territorians in the cultural sector number around 8000 people. Indeed, the strength of the indigenous arts sector might suggest that in some areas of the arts industry we might punch well above our weight in economic terms. With around 5000 Aboriginal artists and craftspeople working in the Northern Territory alone, participation in the cultural sector extends across regional and remote areas in ways unmatched anywhere in the nation where creative industry tends to be concentrated in major towns and cities.
However, despite our cultural wealth, we are a very small jurisdiction with the nation’s smallest population scattered across one-fifth of the continent. In the arts, this means we must be smarter than the rest of Australia and maximise the economic benefit of the sector. For this reason, this government is committed to utilising our competitive advantages in indigenous art in particular but, more generally, in the general area of cultural tourism. A good example of this is in the way the Top End’s various arts organisations have got together in recent years, as there is now a well-established best arts and festival circuit which is attracting greatly increased tourist numbers at a time of the year which has been traditionally viewed as dead for the tourist industry. For example, the Fringe Festival in July/August is followed by the Darwin Festival, the Garma Festival and the National Aboriginal and Torres Strait Islander Arts Award, productively extending the tourist season by nearly a month. The Territory’s competitive advantage is nowhere better seen than in the indigenous arts sector.
Arts and cultural activities are major generators of income for indigenous people, especially important in our more remote communities. The indigenous visual arts industry, especially fine arts sales, generates a considerable income for the Northern Territory. It also underpins cultural maintenance in communities, the foundations for a healthy community. In 2005, for example, Desert Mob and Desert Mob Marketplace returned nearly $300 000 to the artists in their communities. The arts program directly funds many community groups through grants funding for a wide range of activities, investing in Territorians, exposing Northern Territory industry professionals to the wider industry, and attracting investment into the Northern Territory.
The NT Film Office provides seed and development funding for Territory projects, which allows crew and cast to be employed, and which can return dollars to the Northern Territory in sales and increased exposure which, again, feeds back into tourism with the benefits that brings to the economy.
Many other projects are funded through arts grants - theatre, music, visual arts, dance and so on - which all contribute in direct employment as well as through multipliers through the broader economy. It is well documented that new residents often consider the lifestyle challenge in deciding on a location to settle down, and the cultural activity is the key marker in this decision making. I would like to think that the huge variety of cultural activity that is provided in the Territory plays a part in attracting new Territorians to live here and older Territorians into staying.
As this government broadens, intensifies and diversifies the Territory’s economic base, and attracts new value-adding industry to the Territory, it is also very mindful of the need to balance this with other considerations, to protect our unique environment and our lifestyle. Our environment and lifestyles are a major asset in attracting the type of work force required for the new economy. While it is impossible to fully predict the suite of impacts that may be associated with economic development, a healthy scientific and technological capacity can assist in managing the development. This is a key role played by the Department of Natural Resources, Environment and the Arts in our economic development. We provide scientific and technical capacity to enable development to be managed in a way that maximises benefits for all Territorians, at a minimum cost to our natural and cultural resources.
Water monitoring and management keeps our rivers and coastal waters healthy - essential for water-based recreational activities that bring big economic benefit. Our clearing controls provide the framework by which the sustainable development of rural industry can happen in an environmentally sound manner. The provision of soil, water, weed, feral animal and other services and advice guide developers, pastoralists, horticulturalists and others with the best information on which to make investment decisions in terms of natural resource base.
The Department of Natural Resources, Environment and the Arts is diverse and contributes in many ways to our economy and lifestyle, maintaining our natural parks system which showcases our environment to visitors, our cultural and quirky festivals, from our crocodile management to cane toad control, from weed eradication to environmental impact assessment. All are covered and all are essential to the sustainable development of the Northern Territory.
Madam Speaker, I commend the contribution of my department to the healthy Territory economy.
Ms LAWRIE (Family and Community Services): Madam Speaker, I support the Chief Minister’s statement on the economy. As someone born and bred in the Territory I have seen economic booms and busts in the Territory before. What I particularly like about the Chief Minster’s statement, and the approach of the Martin government, is that we are building our economy sustainably. The groundwork is being laid for long-term growth rather than just a quick boom. As the Chief Minister pointed out, the government strategy of broadening the economic base of the Territory economy is the key to achieving long-term growth. The economic indicators in the Territory at the moment really are quite staggering. The figures that the Chief Minister quoted are on a scale that other states can only dream about. The Chief Minister talked about the sectors of the economy such as tourism and mining that are normally associated with growth in the Northern Territory.
Today, I would like to touch on a sector of the economy that, perhaps, is not talked about quite so much but its contribution to the economy is much undervalued. I am talking about the community services sector. Obviously, the primary role of the community services sector is not economic advancement; its primary function is social not economic. However, a by-product, I guess you could call it, of providing these community services is, indeed, a contribution to the economy. I regularly meet with the Northern Territory Council of Social Services, NTCOSS, and they have drawn my attention to some ABS figures that demonstrate this economic contribution. In the Territory, the community sector directly employs more than 3500 people. Almost 2000 of these are in regional Northern Territory. The sector is the largest employer of indigenous people in the Territory with more than 1300 employed, roughly half in the regions.
The Martin government has made a massive investment in the community sector. My Department of Family and Community Services has increased its budget by 78% since 2001. That is about $70m extra going into the sector annually. The result has been a dramatic increase in employment within the sector. In the five years since 2001, there has been a 46% increase in employment. ABS figures demonstrate that, for every dollar invested in community services, an additional $1.65 is added to the economy. As I say, the sector’s primary role is the provision of the vital social services but an investment in community services does help the economy.
Last year, we saw the CLP opposition announce their policy position that all of the money going towards tackling petrol sniffing should be cancelled and redirected towards supporting businesses. Our investment in tackling petrol sniffing is about saving lives; it also helps business and the economy. A reduction in petrol sniffing drastically reduces ongoing health costs that the community ultimately has to bear, and a reduction in petrol sniffing will lead to a reduction in crime and in antisocial behaviour. This clearly also helps business. The CLP policy is a callous and heartless policy; it is also short-sighted.
In a jurisdiction the size of the Territory, you cannot have a strong economy without strong financial management from government. Strong financial management has been a key feature of the Martin Labor government and has allowed for massive funding boosts while still staying within budget. Within my department, there have been some huge increases in spending.
You only have to look at the budget books and compare the CLP’s last budget in 2001 and our budget for this year. Alcohol and other drugs: we have doubled the funding up from $11m under the CLP to $22m under Labor. Child Protection: the CLP allocated less than $8m in 2001; we have more than tripled that to more than $24m this year. Aged and Disability Services: up from $33m to $58m. Mental Health: again more than doubled since the CLP allocated only $13m; we now put in $29m each year. In my other portfolio of Sport and Recreation funding is up from $12m annually in 2001 to $22m now. The CLP continues with their accusations that we spend too much money. In other words, they want to wipe out these increases and services and the essential programs that they fund. They want to go back to the days of less than $8m for child protection and wipe out the 61 new child protection staff. They can continue to implore us to spend less on education, health and community services. We will ignore them and will continue to invest in these vital areas.
The Chief Minister has outlined the high business and consumer confidence levels in the Territory. In response to these figures, the opposition has embarked on a very risky strategy telling Territorians they are wrong. They are trying to tell Territorians that they are wrong to be optimistic about the future of the Territory. This is a futile exercise. The government has had a massive task in rebuilding basic services in the Territory - rebuilding health, education, the police force, and building our community services sector. We have done this. We have put in the money and the policy to areas that were simply ignored for so long, often resulting in social tragedy that became Australia’s shame. The fact that the government has addressed the needs, whilst at the same time overseeing such impressive economic growth and development, is the hallmark of the Martin Labor government. I commend the Chief Minister’s statement to the House.
Mr MILLS (Blain): Madam Speaker, I commence this statement by saying that there, obviously, is a misunderstanding on the other side of the House because we are in opposition and are making noises which appear to be critical of the way our budget is being administered in light of underlying economic issues, that we are being directly critical of the people who are espousing the position that is being put forward in this statement. There is a great degree of sensitivity and defensiveness. I trust that this be understood.
The first sentence in the Chief Minister’s statement I will say that I fully support and the opposition fully supports. There is no doubting - these are the Chief Ministers own words - there is no doubting the strength of the Territory economy – none at all. That is not the issue. That is not what we are discussing. There seems to be a difficulty in dividing between the administration of a strong economy which is caught up under the term of budget and management of the economy.
Of course, the Territory economy is strong and if you think for a moment that the opposition is in a position of saying the economy in the Territory is very poor at the moment, you are barking up the wrong tree because we agree that the Territory economy is strong. These are times of plenty, times of growth; it cannot be denied. I am not going to try to assert the opposite; it is not the case. The assessment of Access Economics makes sense. It is a strong period of growth.
However, to leap to the next position and create the perception that because the economy is going well in the Northern Territory it is directly related to the efforts of the current government, is taking it too far. It is about as smart as the old story of General de Gaulle walking down the sunny streets of Paris, stopped by a young person who said: ‘Lovely day. Isn’t it a beautiful day, General?’ The General nodded and said: ‘Thank you very much’. What we have here are strong economic indicators. We have a lot of growth occurring in the residency sector, in construction, and in the resources sector. All these things are occurring - not just in the Northern Territory but in Western Australia, and in Queensland - particularly those states which have an economy strongly supported by a growth in the resource sector.
Mining plays a major part in this. Why is the mining sector so strong? It has something to do with China. The effect of China on the global economy has an effect on the Northern Territory. Let us be very honest about this: we are experiencing a strong economic climate which is largely driven by international factors. It is just so fortunate that the Northern Territory is a resource rich region. As a result, we are now experiencing the flow-on benefits of that resources boom. Last weekend’s Australian Financial Review clearly states the issue.
How long will this boom continue? That is underneath the concerns that are raised by the opposition. The resources boom will not continue forever. There are times of plenty and there will also be times of leanness - difficult times. It is in preparation for those difficult times that we need to pay attention. We could easily get seduced. What irks me more than anything is that government appears to be so easily seduced by the proposition that because things are happening so well around them, they have had a part to play in all of that, when it really is driven by global factors.
Any analysis would have seen this occurring. In fact, in 2001, the then Treasurer Mike Reed, if you go back - any of the honourable members here who nod so sagely when they hear the Chief Minister and the Treasurer speaking about the wonderful things that they are doing and the great, fantastic growth they see around them, and say: ‘Yes, yes’, please read the documents. Please read them honestly. You are elected by your constituents to represent your community. These documents are pretty hard to understand at first glance. We need to dig a little deeper if we are going to serve our community properly.
This was foretold. These predictions were made by Treasury some time ago. Where we have good times, times of plenty, we then have a particular way we must manage. Ask a farmer what you do in times of plenty - go out and increase your debt, extend your home, employ more people? Or do you do the opposite? Retire your debt, prepare for the other cycle that is coming too. Get ready for the other cycle so that when the lean times come you are prepared. That is the central proposition of the opposition. Warning: these are good times but you need to know how to manage in good times.
Why there is also a lack of confidence and a heightened sense of concern from opposition is this chart here, which I managed to find in my office. This was held up probably 18 months or so ago. It shows in white the estimates put forward breathlessly by the Chief Minister and the Treasurer saying: ‘Yes, we look ahead and we see this tremendous growth for the Northern Territory’. The estimate in the case of 2001-02, we applauded and wished you well for, was just shy of 5%. That was predicted. Then, the actual growth, however, was just over 2%.
This is not just scoring a political point. What that means is you had an estimate; you calibrated your fiscal strategy on that basis of what you estimated. Such as if you had a school; you estimated you were going to get this many kids in your school and you arranged your budget on that basis, and you had half that number turn up; you have a problem. Well, that is what you had 2001-02.
Then you went to the next year: ‘My goodness, we did not quite meet that target. Let us just lower the rhetoric just slightly, but we are very confident, nonetheless’. You dropped your estimate down slightly, recalibrated your machine, but you knew, still you believed, you asserted it was still going to grow. That is like the farmer who says: ‘We thought we were going to have this much in our silos at the end of the season, but we have actually quite a lot less than that’. ‘This year we are estimating we will get a little less, we will aim lower, so we are going to aim for a growth of about 4%’. These are your own figures, comrades. You estimated you were going to get that level of growth. What happened? You ended up with less than nothing, that was the actual outcome. ‘Oh dear! What are we going to do? We will drop down the estimate the following year’, which is now 2003-04. You proposed your estimate, settled your rhetoric on that estimate, did the rounds, spoke to all the stakeholder groups, boomed them up, and now you are looking at a growth rate of just over 3%.
If you go back, as honourable members will, and check all these things in all the beautiful documents that are put out, and you attended the little groups which were held all over the countryside such as the Chamber of Commerce, Palmerston Regional Business Association - oh yes, Treasurer; my goodness, we are expecting great things. Well, what actually happened that year is you had some growth. You actually got a harvest but it was not enough to provide seed for the next year, and that was just over zero – 0.5% growth. This is a fact. This is what actually happened - difficult times. We had some robust debate in here, very defensive over there, explanations, times when the Treasurer is most compelling, when he really lowers his rhetoric down to a new level and says: ‘Yes, I know, people are hurting out there’.
That story there might have been a bit painful and discomforting for the members opposite. However, it tells a tragic story out in Winnellie, Palmerston, Tennant Creek and the regions. That was the reality borne out and carried by the small business sector when people left the Northern Territory. They packed up their utes and went to Queensland, and you said the population was increasing. We blow the chaff away and we find it is actually just a birth rate, an increase in babies being born. That is a tragic story there, but then we get to the next one.
‘We have actually upgraded this, so stay tuned as you are going to hear more on this’. In 2004-05, you then had this colossal estimate. ‘I know we have been abject failures in the past’, said government, ‘I know we have not made anywhere near the predictions we proposed and the expectations we raised. I know we are responsible for dashing the hopes of Territorians, but do not worry, next year it is going to be colossal’. That was 2004-05 when you projected nearly 6% growth. Did you get it; did you make it, did you get the target? No, you did not. You got about half of it, but there is more to come.
That is a true story that has affected the Northern Territory community. It tells a lot. You might get away with your smart comments during Question Time for the cameras, and laugh and joke at the opposition. However, there is a certain element of truth here. Some of you, if you read carefully and think sensibly, and think your own thoughts, will know there is some truth behind this. We have to be prepared for difficult times ahead. Are you prepared for it? Our assertion is, no, you are not because of this. Once upon a time, the Chief Minister said ‘unsustainable debt’, and there was a figure which was termed ‘unsustainable’. She spoke it so well that we were all shocked: ‘Oh my goodness, what lies ahead if we continue with this level of unsustainable debt?’ It is terrifying for the average person to think: ‘My goodness, that is a lot’. For such an important person to say it is unsustainable and look so earnestly at the camera, you believe it.
Then you find the rhetoric changes. We now have what was once ‘unsustainable’ and is now ‘colossal’ - it is $4bn - and there are unfunded liabilities. I guarantee you, if you were over here in opposition, you would be outraged. There would be veins sticking out everywhere, there would be hysteria, there would be censure upon censure. Totally unsustainable. You are such good actors that you would probably convince everybody. Now the good actors are in government and are convincing everyone that everything is hunky-dory; the sun is shining, it is a wonderful economic climate. ‘Thank you very much, look at what we have done. We have created a strong global economy that is focused here on the Northern Territory. Yes, we got it all started in China, we have caused China to grow which has caused a resource boom here in the Northern Territory and we are all benefiting from it’.
That is about as substantial as it is. In fact, underneath this we are concerned about some aspects. If, in times of plenty, debt is increasing, do not just rush off and say: ‘Oh, that is the waterfront, it is the waterfront’. If in times of plenty, debt is increasing, we have a concern. How do you manage debt? How will you pay your wages bills in times to come? You have been able to pay for your wages - this is your growing public sector - by courtesy largely of a GST stream that has flowed through. By the way, member for Karama, you forgot to reference your comments on the basis that GST revenue flowed into the Northern Territory only under the watch of the current Labor government - only during that time. Rivers of cash have flown through the NT Treasury and it has increased at unprecedented levels, unexpected levels, and what has this good Labor government done? Acquired its default position: spend it, spend it, spend it. As my good Dad always said: ‘Son, Labor governments are really good at spending but they are no good at making money’.
You have been able to spend it; the facts are there. Your increased recurrent spending has increased at about the same rate as the GST revenue. What happens then if the GST revenue drops off? Oh dear, that is going to be very difficult. You have programs in place, you have people with a vested interest in arguing that that program should remain in place, but: ‘The tide has gone out, sonny, we cannot afford to pay the wages’. You are going to have a very difficult position to manage because you are not prepared for it. You are going to have to cut back and there will be pain.
Mark my words. You look at the figures, your recurrent spending has increased, GST is to decrease …
Mr Stirling: No, it is not.
Mr MILLS: All right, smarty, even …
Madam SPEAKER: Member for Blain, withdraw, please.
Mr MILLS: What? Smarty?
Madam SPEAKER: Withdraw, thank you.
Mr MILLS: That is not quite as bad as buggerlugs but …
Madam SPEAKER: Member for Blain!
Mr MILLS: Sorry.
Madam SPEAKER: Member for Blain, you will withdraw that comment, thank you.
Mr MILLS: He is not a smarty. Sorry, I will withdraw that. Okay.
Once upon a time, this Treasurer screamed that Treasurer Costello had stolen money from the Northern Territory. In that time, the story suited the position that the Treasurer was trying to establish, that being: ‘We thought it was actually going to be this much and because it is only that much …’. Like, I thought I was going to get a Mercedes for Christmas but I only got a Jag. Oh, ripped off! That was the position then; that we were ripped off. The Territory got ripped off by $46m but, on the other side of the mouth, in other circles, probably around the Cabinet table, we actually got more than we thought we got but we got less than we predicted that we would get - which means that you got more but not as much as you thought you would.
Mr Stirling: That is right. You got there.
Mr MILLS: Now we have a situation where, no, no, not true, GST is not in decline. You are going to get less than you predicted, it is still …
Mr Stirling: The gross is in decline.
Mr MILLS: … to grow but not at the same rate, it is going to turn down. There is no …
Madam SPEAKER: Order! Treasurer, order!
Mr MILLS: … your current recurrent spending is going up like that; GST is going to taper. It is going to taper off but your spending habit is enlarged. Very difficult to turn it back, Treasurer. At about that time when those two lines intercept you might be looking at retirement, I reckon. I will give you the tip: that would be the time to go because it is going to be very difficult to manage that one. Away you go and they will erect a little monument to you saying: ‘The greatest Treasurer the Territory has ever seen’, and the next poor bloke comes in there and says: ‘Oh my goodness, how did he do it?’ Go and see …
Members interjecting.
Madam SPEAKER: Order!
Mr MILLS: The difference between exponential growth and linear growth: what we are talking about here and you have seen it in these figures that your recurrent spending is proceeding exponentially. It explodes. It is not linear, line up and line down; it is exponential. Be careful.
You are so good at this, you know. The old TIO story, as the member for Wanguri said, was a dead issue. The Treasurer said: ‘Look, even if we did not have the 14 000 or 15 000 names on petitions, we probably would have made same decisions’, with a straight face - unbelievable. If all that is true help me make sense of the focus groups.
Why were Territorians driven from one of the town to the other to go and sit in little groups, and ask the key question? The key question was TIO. I had so many reports from these focus groups. The agenda within the focus groups was to ratchet up the argument for the sale of TIO. Oh, is that the case? Yes, it is the case. Those who ran those focus groups were arguing the case for the sale of TIO. That was the No 1 question. In case you are not aware of the other questions that were floating around in the focus groups, that was the main one, and was given the greatest level of focus. The second one was middle years of schooling and then the road toll.
Dr LIM: Madam Speaker, I move that my colleague be granted an extension of time pursuant to Standing Order 77.
Motion agreed to.
Mr MILLS: Thank you, Madam Speaker. I appreciate that, member for Greatorex, I do not have much more to go.
We are expected to swallow this as a community: ‘Oh no, it is just due process, due diligence, any responsible government would do this’. Terrify 250 public servants, activate people right across the community. What a strange time to do it - just before Christmas. I wonder who picked that. It was a terrible time to pick because people were not ready to be involved or engaged in this community debate. It was a time when their minds were elsewhere. I wonder if he deliberately chose that time - could have been - and so, heightened cynicism. At the end of this: ‘No, honestly, we probably would have made the same decision’. As if! I cannot accept your story; it does not stack up.
Then: ‘No, no, no. The economy is going gang busters. We are broadening the base, it is sustainable’, those types of words. Then help me understand why you have turned back $10m in Palmerston and said: ‘Oh, Palmerston is not growing as much as we thought it was’. Go and a have a look. Why are there public sector cutbacks? ‘Oh, no, there is not’. Get out there and have a listen to people. They are talking about it all over the place. In fact, Chief Minister, while you were making your statement today in parliament, I received an e-mail from a contractor who went to lodge his application for a contract and said that he has just been advised that all the money has been cut. That just came through while you were talking.
The Desert Knowledge Centre, there are real dramas down there - cutbacks. Member for Karama, there will be a lovely story about the Arafura Games cutback reducing the number of sports. You will explain that away breathlessly. Many people will believe you. It all adds up to one story. Why? The expo. Why get rid of the expo? I will give you a good reason for that.
Members interjecting.
Madam SPEAKER: Order!
Mr MILLS: Oh well, what a coincidence. I noticed that in the Chief Minister’s comments throughout the day there was no differentiation between budget and economy. There is a distinct difference between those two. We noticed that there has been no attempt to refute the claims that there could well be tax increases. You never really addressed the Percy Allan issue, that once there was a position that was unsustainable debt and now we have much more debt, in fact, nearly $500m more debt now. That has not been touched: ‘We will just skirt around that one’. ‘No, there is no such thing as a razor gang’, as if that is true. ‘Well, let us not call it a razor gang’. As if you would call it a razor gang. ‘That would be its official title. No, we will call it a priority review’. Okay, that is quite a different thing.
The apology to the TIO staff was lame and insincere and the whole thing does not quite stack up. Let us get this clear: the statement on the state of the economy is fine. The economy in the Northern Territory is going well. However, what we are talking about is the application of fiscal strategies to ensure that we can manage in the times to come. That is the point. Growing nett debt is not a way of doing that. Increasing recurrent spending is not the way of doing that. No business operator will operate in that way because when the difficult times come, they may have to leave town.
I commend my words to honourable members.
Mr KNIGHT (Daly): Madam Speaker, I support the Chief Minister’s statement. I will provide a regional perspective on this statement. However, I will just pick up on some of the comments by the member for Blain. I thought he was retreating at a rapid pace away from the previous argument that the sky was falling. It seems like he just went straight into the light again like a moth. Late last year, the CLP was running down confidence in the economy by claiming that the government was broke. This continues today, where they are continually talking down the prospects of economic development in the Northern Territory.
This act of the CLP was actually turned into a movie over Christmas called Chicken Little. Chicken Little had four main characters: the feisty little Chicken Little, Fish Out of Water, the Runt of the Litter, and the Ugly Duckling. You can draw your own conclusions, Madam Speaker. Chicken Little, just so the CLP are a little heartened by this, actually found that the sky was falling. The sky was falling because a bunch of aliens were invading the earth. Perhaps this is the basis for the CLP arguments that the Territory is going broke: the Territory is going to be invaded by a bunch of aliens.
I will move on. In giving a statement in respect of regional economic development and the economies happening out there, there are three main areas: investment in infrastructure by both the private sector and by the government; the partnerships between the community, the government and the private sector; and also the focus of government in those regional areas.
With the Labor government investment in the regions, there has been a massive injection of funds into the regions to kick-start these local areas. Within my electorate, we have $6.5m which was provided to the Dundee Beach area to run a powerline there. Anybody who has any knowledge of Dundee Beach will realise that is the catalyst for further development of businesses and land development down that way. That community has waited 15 years for some sort of recognition and investment by government. It has been delivered and is going to be the catalyst for a whole range of developments there.
We are putting $10m into the Port Keats Road and that will again stimulate activity along that road and be used as a leverage, hopefully, in the future for other funds to come through the private sector and, perhaps, the Commonwealth government. That will provide access to markets and a better lifestyle for people out that way. We have spent $1.2m on power at Wooliana Road. We have tourism operators down there who are now able to operate more effectively and efficiently, stimulating their businesses, and attracting new ones. All the work that has been done in the Douglas Daly area is good work which, in the future, will pay dividends. We will have a sound, sustainable development strategy down that way and that will be recognised by the private sector and will create a great deal of interest. There has been a whole range of other infrastructure, like boat ramps, around the regional areas which are, obviously, benefiting recreational fishing and tourism fishing as well.
We have had quite a lot of business investment in the regional areas. In mining, we have GBS Gold in the Pine Creek/Katherine area which has quite a number of tenements, and other companies. They have spent $100m in acquiring Terra Gold and Northern Gold Ltd, and they have secured those. They believe that over the 10 year operation of their mine they will spend in excess of $1bn in equipment and services to support these mining operations, and they believe they will contribute $100m in salaries and wages into that local economy. The government and I have been working very closely with GBS, and quite successfully, in stopping fly-in/fly-out. They will be accommodating their workers in Adelaide River, in the workers camp at Cosmo, Pine Creek and Katherine. That stimulus is driving the housing market in Katherine at the moment. The Maud Creek Mine, which is one of their mines, will employ up to 60 people in total. GBS will be employing about 120 people in the mines north of Katherine, and about 60 in Maud Creek.
Also in that region, we have Territory Iron which bought the Frances Creek Mine. They have invested significant funds into drilling operations, $3.5m over the last few years, and they will be investing another $2.6m more in exploratory drilling. Here you have companies putting money into the economy and we are actually helping them keep it there. In the Katherine region, we also have a proposal for a $13m hotel at the Gorge, so outside of the resource sector we also have a stimulus in tourism as well.
The cattle industry is, obviously, a major part of my electorate. They are still producing good numbers for live export, although they are slightly down just recently. The prices of the cattle stations have gone through the roof at the moment which will, obviously, generate more income for the Territory through that area.
With the mining boom, it has been quoted that it contributes 20% to the gross state product for the Northern Territory, which compares to only 5% nationally. That is certainly a major stimulus for us. With the other mines in Batchelor, we are looking at probably about 60 employees, predominantly housed in Batchelor - some will drive from the outskirts of Darwin to work there. Obviously, the mining industry is attracting good wages at the moment and it is good to see local money going back into the economy there.
The government has also focused very strongly on developing the regions within the Pine Creek area. We have programs and cooperation between the mining companies and DEET to put in training programs so as to enable local people to upskill so they can work in these places. There has been unprecedented cooperation between GBS Gold and Territory Iron in this respect, to provide figures and job descriptions, so that we can get training courses in place to do this. You have the government chasing these mining companies to get ahead of the game, to get programs in place so local people can get these high paying jobs and keep the money in the local economy.
There are, obviously, financial incentives that we have heard a lot about with the apprentices. It is certainly an emphasis that we want to apply to those trade positions in the mining industry and something we will continue to talk about with the mining companies. There is a lack of uptake of apprentices in the mining industry and if the life of this mine goes for 10 years, at this stage, the mining companies would benefit from these apprentices and it would keep those young people who grew up in those great little towns along the track there.
One of the areas that government is working very strongly in is developing local strategies for those global communities in the regional areas. The Adelaide River Economic Development Steering Committee works extremely hard. They draw upon a cross-section of the community and they have been working very hard at looking at branding the Adelaide River community. They are looking at getting a true theme of the town, marketing it properly, getting events on the Territory calendar, and to take every opportunity they possibly can for that town. That has been assisted by the Territory government.
Just recently, I had the pleasure of attending the launch of the Batchelor Tourism Development Plan. This is yet another initiative of government whereby there will be a focus and stimulus for tourism activity in a regional town so that it can develop in a very strategic way and take up a market that comes to that township. This plan has been worked through and supported by the local community. The Chief Minister came down to launch it. There is a lot of support within government for that initiative.
Pine Creek went through a similar sort of initiative under the previous Minister for Local Government and Regional Development, Mr Jack Ah Kit, and that community has benefited from that government engagement, pulling agencies together, working with the community, providing a consultant to come on-board to work with the community, and see where they want to go and how they could stimulate the economy.
The member for Blain talked a bit about the resource sector but, here, we have the community working on other things outside of the mining industry. They want to get tourism going and getting other activities in the town to draw on an economy outside of the mining industry. That is a community which knows about booms and busts in the mining industry. They want to have their economy at a higher level outside of that mining industry when the mining industry does dip in the future.
There are quite a number of future economic development opportunities in my electorate. The Blacktip project was very high on the agenda last year and, unfortunately, did not go ahead. However, it is very encouraging to hear that that project will actually come to fruition. That will certainly provide a stimulus for activity within the communities in that area, particularly Wadeye, and also places along the track.
The whole region of the Daly River reserve is an untapped economic development opportunity. You have some of the most fantastic beachfronts in the Northern Territory. You have some of the best country for pastoral, horticultural and agricultural activity. It is an untapped resource of economic activity that I will be certainly pushing. I hope that things develop quickly in the future. I am sure that everybody will be behind it. This has been done with a great deal of cooperation with the Northern Land Council and there are a number of projects that are just about to commence.
There has been much said about the Douglas Daly and Edith farms area. There has been talk about silage operations, and a whole range of issues in that area. Once the issue of the water allocations is finalised, we will have some guarantees for investors to go in and operate on some great land for agricultural production.
The Dundee area which I mentioned before is something that will kick off in the future. It has been described to me as the Broome of the Northern Territory. The power reticulation will continue this year, $6.5m, and that will stimulate more business in that area. There are, obviously, a number of other issues to deal with, but we are facing a huge township there in the future. The other area is the Channel Point area which offers, again, another beachfront for recreational fishing for all Territorians, and holds real promise in the future.
Madam Speaker, I support the statement of the Chief Minister. I am very appreciative of the government in its efforts to develop the economy of the regions, not just Darwin, and also to put investment of infrastructure in to the regional areas which will come into fruition in the future.
Dr LIM (Greatorex): Madam Speaker, whilst it is fine and fair for the government to sing its own praises, and nobody would take an exception to that, you would expect that a government would be truthful with information that it provides to support their statement. When the Chief Minister uses information that is wrong and liberally interpreted, then there is every reason for Territorians to say they do not believe in the Chief Minister.
It is great; Access Economics tells us that we will have a GSP of 4% or 4.4% over the next five years. Access Economics has been predicting growth for the Northern Territory of over 4% every year since this government came to power in 2001, and not one year have they matched Access Economic predictions; not one year. You saw the diagram which the member for Blain held up earlier where all the predictions that this government has made have never ever been matched by the performance. How then can we expect to believe that they will perform this time around?
The Chief Minister said: ‘Isn’t it fantastic, in September 2005 our economy grew by 7.9%’. I am not sure where she got that figure from. I went back to the Treasurer’s Mid-Year Report for 2005-06 on page 10 - I refer the Chief Minister to the page so she can look it up for herself - what does it say? ‘GSP – Initial estimate for 2004-05 was 7.3% and the revised estimate for 2004-05 was 3.6%’. Those figures were signed off by the Under Treasurer on 26 November 2005, and here we have the Chief Minister saying that in September we had a growth of 7.9%. That is unbelievable. It has to be fabrication. Here is an Under Treasurer who signs off on it - this must be from the Fiscal Integrity and Transparency Act - and says whatever she signs off must be true. Who is now misleading us? The Chief Minister or the Under Treasurer? I ask the question and someone had better respond.
It is well and good to say that the Territory is doing well - it is doing well. The economy is doing very well, thank you, John Howard. Had it not been for the resource development that is going on with the many uranium exploration licences that have been granted and all the other oil and gas deals which have been done federally with international buyers, we would not have that here at all. Therefore, you cannot say that this government has done anything to contribute to the growth of the Northern Territory.
I will just go over a few points the Chief Minister made throughout the statement. She talked about regional development. What has been done about regional development south of the Berrimah line ? Absolutely nothing. The Alice Springs Desert Knowledge Centre: for goodness sake, all you have is a cul-de-sac of knowledge to nowhere. As much as the Chief Minister says: ‘We are getting that going. We have put lots of money into it’, nobody in Alice Springs believes it. We have seen nothing for it. We have seen no effective construction. All we have is a lot of words. The member for Wanguri said earlier that he is going down at the end of this week to attend the first board meeting. Funny that! He is going to attend the board meeting. I understand that there was no board for the Desert Knowledge Centre between March and June of this year. Under its constitution it was not allowed to happen, but it did happen. Is it legal? I wonder. It has not had a board meeting since late last year. Technically speaking, the Desert Knowledge Centre is an illegal entity. What has this government done about it?
That is the sort of problem the people in Alice Springs and the regions have with this government. They keep taking their eye off the ball; they do not know what they are doing and people just muddle on - whether it be the Desert Knowledge Centre, hospital management, or whatever. The professionals and the public service try to hang on in spite of this government. Time and time again, they fail Territorians because they just do not know what they are doing.
Another type of regional development is the Mereenie Loop Road. Now, the Chief Minister wants to re-label that – to what? - the Red Centre Path or something like that, whatever it is. It is a re-label to say that it is now a Labor Party initiative. You promised millions of dollars for the Mereenie Loop Road, and what have you got? Not 1 km of bitumen has been put down. When is that going to happen? Is it because you have run out of money that you are not doing it? Do not mislead Central Australians. Do not tell them one thing and then not do it.
You do not see much of all your pre-election promises. Only yesterday morning, staff walked out of the community health centre because the airconditioning has continued to fail. The Health Minister has said: ‘We will fix it; we fill fix it straightaway’. In fact, he wrote me a letter which was delivered under my door yesterday morning at the same time that the staff were walking out of the community health centre. He wrote me a letter, and signed it, saying: ‘Everything is fine, we have fixed it’. Well, obviously not. These are small problems; vexatious little things. However, each one of these little things adds up to a massive indication of this government not being able to manage properly.
They also said: ‘We are doing a fantastic amount for tourism’. Isn’t it strange - was it before Christmas I said that Jetstar was coming to the Territory? There were great denials everywhere. Yesterday - lo and behold! - you see the Chief Minister on television, saying Jetstar is coming in, but we will make sure it does not displace Qantas, or at least displace a better level of air service with a no-frills service. This government must be on the ball; try to anticipate these sorts of issues and go out there and prevent it from happening. Once it has happened, it is really too late; you cannot change it now. All you have to do is try to work around it as best you can.
The minister talked about Territorians being given opportunities to access quality education and training. Quality education – the Irrkerlantye community is complaining bitterly that this government came in and unilaterally decided to close them down - not one word of consultation with the community. That is the Labor spirit? Oh, geez, if it is I think whoever was your Labor leader will be turning in their graves. That is not how you do things. If you truly believe in the welfare of people you would at least consult them.
Regarding the 10 000 commencements of traineeships and apprentices: it is strange, on the night of the election, the Chief Minister said on television that we are going to have 10 000 apprentices. Over the course of the last seven months, the reference changed. Now it is 10 000 commencements. You are not going to get 10 000 apprentices in the next four years, you are going to get 10 000 commencements of trainees and apprentices. How many are going to pass each year, out of the estimated 2500 who will commence? We do not know, no idea at all, but that is how she is going to improve the economy of this Territory.
Talk to the nurses. Charles Darwin University, says: ‘Half of our nursing courses are not filled’. They cannot find students to recruit for a nursing course, and the hospitals are all crying out, ‘We do not have enough staff’. I recently spoke to a nurse from the Royal Darwin Hospital. She had been working at least one double shift every week. If she is doing that, you have to assume that all the nurses in her group or in her ward will be doing the same thing. There are huge shortages but this government does not do anything about trying to improve the situation. The Country Liberal Party offered the government a way around this through the provision of HECS fees reimbursements. It would be a win/win for everybody – for the nurse and for the government through a savings in recruitment. They will save in the vicinity of $10 000 to $15 000 per nurse recruited. What has the government done about it? Pretty well nothing.
In regard to oil and gas, this government has to really think hard and long about what you have done. You can sing the praises of Eni Australia and Blacktip, and what you are going to do for Port Keats. For goodness sake, we have an LNG plant within kilometres of Darwin and we cannot even get one skerrick of gas from them. Again, it is a failure of this government to negotiate in a business-like manner to ensure that gas which comes from the Territory comes to Darwin, benefits us forever and a day, for as long as the gas lasts. Nothing like that at all.
The Chief Minister was quick enough to mention that gas and also the Amadeus Basin to Darwin gas. Who did that? Who did that for the prosperity of the Northern Territory? Who built the Alice Springs to Darwin gas pipeline? Now, that is a vision, and it was built in a time when there were some capital funds available in the Northern Territory. The Northern Territory government of the day used those funds to build infrastructure. Five years in government, GST coming in by the truck load and not a single bit of infrastructure has been built – not one. The only thing they are going to look forward to is the waterfront. One day it will happen - robbing Peter to pay Paul so that something could happen in their name.
Let me come back to the issue of the so-called economic parameters that this government has been so excited to claim as their own. As I said before, Access Economics has predicted over 4% growth every year for the Northern Territory, and yet this government has never been able to achieve it. For the government now to claim that it is going have 7.9% this year is just beyond belief. In 2001-02, and I quote again from page 10 of the mid-year report 2005-06, signed off by the Under Treasurer in November 2005: ‘2001-02 GSP was 1.2% …’ and then it went down in 2002-03 to 0.1%. Then, for 2003-04, while the government was estimating 4% or 5% - let me get the exact figures. When the government was estimating something in the order of 3.4%, they actually got 0.2%. For 2004-05, when they were estimating 7.3%, the reality is – it was only an estimate, they have not quite finish the figures - was only 3.6%. Therefore, how can we believe this government who said they are going to achieve 7.9%? How are we going to believe that? There is no way in the world this government can get anywhere near that. If they are that confident then I say to the Chief Minister put up a wager to see whether you can get anywhere near this figure. Bet with Centrebet; say we are going to meet 7.9%.
Ms Martin: We have already achieved it to September last year.
Dr LIM: You have not achieved it. I pick up the interjection from the Chief Minister - if you have achieved it why did the Under Treasurer sign off on that? No way in the world. On the same page, in the same document, the Under Treasurer records for GST budget forecast 2005-06 6.2% and in November - I will give you the exact date, 26 November 2005 - the Under Treasurer revised forecast 2005-06 was 5.8%. That is two months after the figures the Chief Minister quoted of 7.9%. Who is right? Who has fabricated these figures? The Under Treasurer or the Chief Minister?
The Under Treasurer on 26 November 2005 gave a revised forecast for 2005-06 of 5.8%. Yet this Chief Minister had the audacity to get up and say: ‘We have achieved 7.9% by September 2005’. Somebody has to be wrong. What I believe is that the Chief Minister does not understand economics. That is the reason why she did not hang on to the Treasury portfolio. As soon as she could rid of it, she flick passed it to the Deputy Chief Minister. She does not understand. To confuse the management of the economy with the management of the budget clearly shows that this woman has no idea whatsoever.
The budget is about $2.5bn to $3bn that you have to manage for the Northern Territory and you have gone into greater debt than ever. Well and good. You can say: ‘Oh, nett debt has decreased’. However, you have increased your borrowings. You borrowed from your cash reserves to reduce your debt. Overall, you are getting poorer, you are owing more. You are not getting to a better fiscal situation. In fact, you are causing yourself to go deeper into debt.
The member for Blain said before - and it is worthwhile repeating - when the debt was $3.2bn the Chief Minister had just come into government and accused the CLP of irresponsible management and causing this debt. The debt is now going to be a billion dollars more under this government in five years. The Country Liberal party was in government for 25 or 26 years. Let us say that $3.2bn is high but not excessively and, as the Chief Minister said before, we can afford that debt. We could afford $3.2bn debt in the time we were in government, but to raise $3.2bn debt with the creation of all that infrastructure that was there in the Northern Territory over 25 years is much better than this government increasing that debt to $4.2bn without creating any new infrastructure.
Not one new school; Desert Knowledge not built; Mereenie Loop road not built; the repairs and maintenance on the Stuart Highway is poorly maintained; the roads in the municipalities which are the Territory government’s responsibility have not been well maintained; and failure to build the Palmerston Secondary College. These are clear indications of this government failing the Territory, spending the largesse the GST has provided, and we get nothing for it. This government needs to understand that, while welfare is a very desirable thing to have, the best form of welfare is the creation of employment, and this government has not done that. It has failed badly and the money that is spent is just extortionate.
Members interjecting.
Dr LIM: In the last 50 seconds I have, and I wish for no interruptions, the Northern Territory government between February 2001 and August 2005 has increased its public service by 3600 according to the ABS. It is no wonder we do not have any money; 3600 public servants extra in those four-and-a-half years for the period February 2001 to August 2005. This government, without a doubt, will have to start bringing in the razor gang to start trimming to ensure they have enough money to see themselves into the future.
Ms MARTIN (Chief Minister): Madam Speaker, I will be brief. I thank everyone for their contribution to this debate. I cannot thank the member for Greatorex; I have never listened to a greater load of drivel in my life. I will make a couple of points to the member for Greatorex. When I said that our economy had grown 7.9%, the figures I gave were from September 2004 to September 2005; that was clearly stated in the speech. No equivocation about that. The Treasurer was giving a different figure for the 2005-06 years. That is not apples and apples.
It is a symptom of the kind of response we have had from the opposition in this statement today - a very important statement about the economy of the Northern Territory. They are arguing over figures they are not understanding, and trying to make some spurious point that the economy is not growing and we are not seeing jobs growth and, somehow, we have the figures wrong. I say to the opposition members: we have budget papers, we have speeches and statements with good figures in them, and for heaven’s sake take a look at them.
We have the member for Greatorex saying that we are not creating jobs, yet the figures – and these are established figures – say we have grown the work force by 3.3% between January 2005 and January 2006. I am pleased about that. Government is not taking every single bit of credit. This was a statement to mark where the Territory economy is at, some of the things the government has done to leverage the kind of investment we are seeing, and also the contribution of the private sector; most significant.
When we came to government in 2001, the private sector had withdrawn its investment in our economy. That was one of the biggest problems. We had to increase our investment of taxpayers’ dollars to make up for that withdrawn investment from the private sector. They had lost their confidence in the economy. We have seen that confidence turn around. The private sector is investing significant dollars in our economy. We have seen it with the LNG plant; we see it now with G3 at Gove; all the proposals coming up, and the private residential development right across the Territory.
Very carefully through the statement I have said we have been doing this in partnership, and yet we have opposition saying government’s trying to claim every single success in the economy. No! We are saying we have been strategic, we have a plan, and we are using the dollars very carefully to leverage that private sector investment. I gave many examples and other ministers talked about that. Yet, what you get from the opposition is consistently knocking: trying to bring down the economy and business confidence, and not recognising when there has been a pick-up, and that we are seeing all the indicators working in the Territory’s favour.
At least you would expect the opposition to say: ‘Yes, that is going well’. In a statement like this, at least have some comments on whether the strategy was good, whether there were other things we should be investing in, whether you like the balance of Darwin and the regions. Not a constructive word, just all kind of mindless criticism. It is very disappointing. We know that the lines had been worked up for the censure debate this afternoon about we are broke and have major debt problems. Can I just put the facts of debt on the record? The offence that we got from members saying: ‘She …’ I love it when they do ‘she’. ‘She does not understand, that woman does not understand, the difference between the budget and the economy’.
In Question Time, I talked very clearly about the fact that Access Economics had done a report, and had described the Territory economy’s position in very strong terms, and that business confidence was high. I made the point that Access would not say that if they thought our budget position was dodgy. They would not be saying that - that is a part of their assessment. The response I get from the opposition is: ‘She - she - does not understand the difference between a budget and the economy’. I say very clearly at least I can read the budget papers. At least I understand what they say as opposed to members of the opposition who simply make it up.
On the issue of debt, the debt to revenue proportion is the critical thing. When we came to office that was 134%. This is fact. It was 134% - that is what the CLP had left us. Today, it is at 119%, so it has reduced. Of those factors of debt to revenue, the proportions are getting less. They have come down from the high proportions left to us in 2001-02 to 119%. That is the fact. That is what analysts like Access Economics are judging. While we would love to see debt at a much lower level, we are a jurisdiction that has to grow. We have many needs, we have a large land mass, a very spread out population. To get the benefits for our community now, we need to spend. There is no point waiting another 20 years. It is like saying I am not going to buy a house because I have not saved up $350 000. You take on a debt and you manage that debt over time, and that is what the Territory is doing. Someone like Access Economics says that we are doing that adequately. For all the protestations you hear from members of the opposition, we are managing the debt and are spending effectively into the economy. The result of that effective spend into the economy is that we are delivering services in critical areas much more effectively - into police, health, education and training. We have put record amounts into the capital works budget - $2.2bn over the last four years.
It is disappointing that when we bring a major statement about the economic development, the future plans for our economy, the focus on regional development, for Territorians living in the regional remote areas trying to build their job and business opportunities, that there really is not any attempt from the opposition to make a decent response.
I thank my colleagues for their response to this important debate. I thank the member for Nelson. I am disappointed that the only thing the opposition could do was stay with their mantra of: ‘You guys are broke; somehow the figures are all dodgy; Access has it wrong; and the budget is a mess’. It is not. We came down with three surplus budgets as of last year. This year, we are on target to meet our deficit, and that deficit is, very strategically, to build the waterfront. I make no apologies. We know what we are doing.
Yes, the GST is not going to grow as strongly as it has been growing, and what we have to do is make sure we manage within that lesser growth. It is not as though the GST is going to fall away, but the growth we have seen over the last two to three years is not going to continue at that level of growth. We are managing within that and delivering services. The challenge for government is to make sure that where we are spending money in our economy - whether that be through departmental expenditure or through contracts with the private sector - that that is well focused and that that money is delivering results.
That is our challenge and, Madam Speaker, it is a good one.
Motion agreed to; statement noted.
GENERAL BUSINESS DAYS
Mr HENDERSON (Leader of Government Business): Madam Speaker, I advise honourable members that the following sitting days for 2006 are proposed as days when precedence will be given to General Business pursuant to Standing Order 93, those days being Thursday, 30 March, Wednesday, 23 August and Wednesday, 29 November 2006.
Ms MARTIN (Chief Minister): Madam Speaker, I move the Assembly do now adjourn.
Madam Speaker, I would like to take this opportunity to congratulate Judy Boland on receiving the Darwin City Council’s Citizen of the Year Award for 2005. Judy has many strings to her bow; she is a teacher, an environmentalist, an historian and an emergency volunteer. She is also a never-ending source of inspiration to many people, particularly her students, past and present, at Darwin High. It is well known that Judy is responsible for having the Darwin High School icon, the Tank, included on the Territory’s Heritage Register. She has also served as Executive Officer of the Duke of Edinburgh Awards and is currently the chair of the Fannie Bay History and Heritage Society.
Even though Judy is now at an age when many might have retired, she has not and she still gets immense satisfaction from her two passions - working with young people and improving our understanding of Darwin history.
Judy was presented with her award by Darwin City Council Lord Mayor, Peter Adamson, at a reception on 20 January this year. My warmest congratulations to Judy. She is a most inspiring woman and I wish her all the very best for the future.
On 9 December last year, Darwin High School students commemorated the first flight from London to Australia at the memorial at East Point. Judy Boland gets another mention - mention history in the Fannie Bay area and it is hardly ever that Judy is not part of it. Judy Boland who, as I said, is Chair of the Fannie Bay History and Heritage Society, was the driving force behind the commemoration.
The historical arrival of brothers Ross and Keith Smith in Darwin on 10 December 1919 saw them share a prize of 10 000 offered by the Australian government; an astronomical sum for the day. Australian Prime Minister, Billy Hughes, had realised that flight was the transport of the future and could also lessen Australia’s isolation. He was also aware that many servicemen had skills that would be lost if air transport was not encouraged. So his government put up the prize money for the first British-built plane, flown by British personnel, to fly from London to the vicinity of Port Darwin in less than 30 days. The brothers made it in 28 days.
The commemoration ceremony was a great success. The Principal of Darwin High, Marion Guppy, gave the official welcome, and Josephine Tchia delivered the oration on The Great Air Race. Steven Hardy was master of ceremonies and Alex Mee played the national anthem on the trumpet. The Royal Australian Air Force marked the anniversary with an honour guard, led by Commanding Officer of RAAF Base Darwin, Wing Commander Jan Marinic. Society members and local residents, Wendy McDonald, Jean Vickery, Mavis Lindon, and Ray and Jean Taylor also attended, as did students from Parap Primary School. Other attendees included Darwin RSL President, Ray Chin, Hon Austin Asche AC QC, Professor David Carment from Charles Darwin University, Sharon Morrison from National Archives, Darwin City Council Waters Ward Alderman, Allan Mitchell and President of the NT Aviation Historical Society, Peter Radtke and his wife, Jennie. Kerry Sacilotto, member for Port Darwin, was also there.
My congratulations to Judy and everyone who was involved in the commemoration. It is an extraordinarily important commemoration for Darwin. Over the last few years, we have had them annually and it really is most significant. I suppose my ambition is to see our role in aviation further enhanced.
I would also like to talk tonight about some of the wonderful Australia Day celebrations I attended this year. Celebrations kicked off at 7 am at Mindil Beach with the Australia Day Fun Run/Walk hosted by the Australia Day Council. Participants had the choice of either a 3 km or 5 km run or walk - I opted for the walk. Over 3000 joined me on the starting line, and around 2500 finished the race. That is a great effort and I hope to see even more people there next year.
Australia Day is also a time we acknowledge the achievements of young Australians with the presentation of the Australia Day Student Citizenship Awards. This award is given to one student from each school, and that person is selected by their principal for their contribution to the school community.
I take the opportunity to congratulate all the award winners. The Darwin based students who received their awards were: Carina Abrantes from O’Loughlin College; Nia Basyaruddin from Millner Primary School; Nick Browning from Alawa Primary; Virginia Cardona from Ludmilla Primary; Shasa Chadderton from Karama Primary; Alice Coburn from Saint Mary’s; Hayley Cowan from Wanguri Primary; Joshua Cripps from Holy Family Primary; Madelaine Cvirn from Parap Primary; Bianca Daniel from Marrara Christian School; Sienna Dupe from Nightcliff Primary School; Daniel Enniss from Anula Primary; Mark Errington from Malak Primary, Rebecca Hell from Nermarluk Primary; Rebecca Keeley from Manunda Terrace Primary; Jessica Lee from Henbury Avenue School; Nadia Lim from Wagaman Primary; Alexander Mitson from St Andrew’s Lutheran School; Isaac Sciberras from Holy Spirit School; Sonia Vaikyl from Leanyer Primary; Elleni Vassilarkoglou from Stuart Park Primary; Michael Andersson from Dripstone; Maxine Castillo from St Paul’s; Primary and David Creeper from Nightcliff High - and the list goes on.
There were a lot of awards this year and they were very proud of it: Danny Doyle from Sanderson High; James Farnell from Darwin High; Maximiliana Gonzales-Finestone from St John’s College; Rhys Griffiths from Larrakeyah Primary; Briana Harding from Moil Primary; Tahlea Hendy from Wulagi Primary; Joshua Kimm from Jingili Primary; Grace Ness from the Essington School; Theo Skonis from Nakara Primary; Micah Thorbjornsen from the NT Open Education Centre; Jared Thwaite from Casuarina Street Primary; Rebecca Willoughby from Kormilda College; and Stephanie Woodger from Casuarina Senior College.
Also at the ceremony I presented the Australian History Award for 2006 to 18-year-old Alison Farquhar from Casuarina Senior College. Alison scored the highest mark in the Territory for Year 12 Australian History - an impressive 19 out of 20.
Speaking of awards, I had the pleasure of presenting the Northern Territory Achiever Award to J Easterby-Wood at the Australia Day Gala Ball. J won the award for his outstanding work in the development of MARVIN, one of the most successful initiatives ever undertaken in the Territory. MARVIN is a software-based communications platform which allows users to quickly and easily create presentations that reflect the cultural, linguistic and social attributes of their target audiences. MARVIN has been used by us as government for communicating important health and education information to remote indigenous communities with unprecedented success.
Other major award winners on Australia Day were: Australian of the Year for the Northern Territory - Peter Fannin; Young Australian of the Year - Alice Chang; Senior Australian was Kathleen Mills; and our Local NT Heroes for 2006 were Peter Cornell and Beryl Mayanini. Congratulations to all our Australia Day Award winners.
Also tonight I would like to talk a little about the 2005 Chief Minister’s Round Table of Young Territorians. For those who are not familiar with the round table it is the government’s principal youth consultative and advisory body. Its members are aged between 15 and 25 and they come from all over the Territory to represent their communities and talk about the issues facing young people. The round table is a one-year commitment and weekend residential meetings are held several times a year as well as teleconferences and web-based communications. The year culminates in the presentation of research projects to government which are the result of research into issues affecting young Territorians.
The round table members also have the opportunity to input into government policy and programs, to represent young people at official functions, and to be actively involved in community initiatives. It is a wonderful thing for these young people to be involved in but the workload is hefty and many have school and work commitments, not to mention social lives. The final meeting of the 2005 round table was held in December. Findings from their research projects were presented to members of government as well as an overview of their work during the year including direct consultations with over 800 young people across the Territory.
I will give you a brief summary of each project. The Education Employment Team of Sarah Manning, Ramesh Jeffery, Hailee Skinner and Christine Cottle investigated the transition of young people from school to work. The Health and Well Being Team of Chloe Smith, Pru Gell, Owen Strathie-Murray and Alice Chang explored young Territorian women’s views on violence against women and how to break the silence surrounding this pervasive issue. The Youth Participation Team, Felix Allsop, Catherine Murray and Jarrad Newman, investigated tools to help young people to get more involved in decisions affecting their community. The Safe and Secure Communities Team of Michael Pearson, Joel Bruce, Dwain Westbrook and Rebecca Weller researched the relationship between young people and the police and they investigated ways it can be improved.
These reports are the result of a great deal of hard work by the 2005 members, and I encourage members to take time to read them. The reports are available on-line from the Territory’s Youth web site, www.youth.nt.gov.au, or by contacting the Office of Youth Affairs.
I thank the 2005 members for their commitment and determination to make a real difference to the lives of all young Territorians. They are an impressive group of people and make wonderful ambassadors for the Territory.
The incoming members of the 2006 round table will be meeting for the first time at the end of the month and, on behalf of government, I welcome them to their new roles and wish them well. The members are from Darwin, Robert Dalton, David Johnson, Kevin Kadirgamar, Justin Murphy and Hannah Watts; from Palmerston, Vanessa Matsen and Tammy-Jane Reece; from Darwin Rural, Jaimie McIntyre; Batchelor, Lisa Deveraux; Katherine, Perri Fletcher; Jabiru, Louisa Bayne; Tennant Creek, Chee Lean; Alice Springs, Kelsey Rodda and Emily Ryan; Nhulunbuy, Rose Sadleir; and Alyangula, Annalise Durilla.
I wish this group all the very best for their time on the Youth Round Table for 2006.
In January, I was asked to speak at an orientation day in Darwin for some of our new teachers. Afterwards I met them and was taken by their passion and enthusiasm for their work. For many of these new recruits, it was their first time in the Territory, but they all seemed to be settling in to our tropical lifestyle pretty well and looking forward to the challenges ahead.
Not all of them were new to the Territory; some were returning home after working down south. Otto and Helen Eijkman were among those lured back, and this husband and wife team will teach at Marriyanga. It is a really good sign that some of our former teachers who left to work elsewhere have now decided to return to the Territory. It is a great place to live and we have worked hard to make it an attractive place to teach.
Territory teachers have been given improved professional learning opportunities, competitive pay and conditions and, importantly, laptop computers. Territory schools have become more flexible places to work. The Teach for a Term program is a very successful initiative and there are opportunities to live and teach in remote communities. We are also producing more Territory-trained teachers; over 40 graduates from Charles Darwin University have been recruited to our schools. All these improvements help to explain why on the first day of school there were just six teacher vacancies across the Territory.
By working hard to make the Territory a great place to teach, we are finding we keep more of the teachers already here, and it is easier to replace those who leave. Since the end of last year, we have recruited 115 new teachers and, judging by the ones I have met, I am encouraged by the quality of those we are attracting. This low vacancy for teaching positions is good news for our 42 000 Territory students, and a great time for the future.
Ms CARNEY (Araluen): Madam Acting Deputy Speaker, I want to talk about an issue close to my heart, which is my town of Alice Springs.
I have lived there for 17 or so years and many people have lived there for longer than me. I announced last week what I would do - more so as a local member than anything else - by way of my contribution to trying to improve Alice Springs. I advise from the outset that I propose to send a copy of my comments tonight to a number of interested people. I also wish it to be made abundantly clear, if it has not been clear already, that comments I made when I made this announcement on 8HA and the ABC radio the following morning were very measured and constructive. I note that a bit has gone on since I made those comments and I will deal with that later.
The purpose of me making this announcement, which we have called Alice in Five, is that there is a feeling in Alice Springs among, in my view, the bulk of the population that Alice Springs is not reaching its potential. This is not about talking down the town; this is about acknowledging the potential of our town and, as a citizen who lives there, wanting our town to reach its potential. We all know that people come to the Territory for all sorts of reasons. People go to Alice Springs because it is a fascinating place. It certainly has its challenges - and I will come back to that - but it is a place that, traditionally, has attracted people from elsewhere. I know this because I was one of them.
The direction I propose to take is this: I am calling for interested people, regardless of how they voted or where they are coming from, to join with me to see if we can have a go at finding some solutions to the many problems that Alice Springs faces. We want to get to a situation where people stop saying things like: ‘I have had enough, I want to leave town’. I do not want to be one of those. My constituents tell me that they have had enough; they identify very specific issues. Standing back from it, the fact is that there are a number of issues and it is the feeling in town itself that is causing growing alarm in Alice Springs. I am not alone in wanting Alice Springs to achieve its potential. I am distressed to hear so many people - and it goes across how people voted, ages, gender; and across just about everything. I feel that there is a mood in town of ‘Why on earth should I put up with this? I want to go’.
We have called it Alice in Five because we need a vision for Alice Springs: where we want our town to be, what we want our town to look like in five years from now. As I said on radio, people are increasingly thinking about only being in Alice Springs for three to five years. I guess every local member will say: ‘Yes, I am in touch with my electorate’. I am one of those politicians. I believe I am reasonably in touch with my electorate in a general sense. I cannot ignore the phone calls, the faxes, the e-mails, the talk in clubs and pubs that I get. Why are people talking to me? Because I am their local member. All of us as politicians are community leaders, and it is appropriate that we step up to the plate and do what we thought we might have a go at when we were all standing for parliament; that is, to make a difference and to make a contribution to our community.
It would be very easy for me to say government is doing nothing. That is not the case. Politics is politics, but I know that government is not ignoring the difficulties. I know that government is putting in resources. What I also know, however, is that results are not being achieved - the results are just not there. I do not want to make this into a political argy-bargy. I do not want to appeal to the extremists in my community, whom I find as revolting as, no doubt, members on the government side. Whilst acknowledging the efforts of government, I want to be honest enough to say they are not working for a number of reasons. Anyone who goes to Alice Springs on a regular basis from this Chamber will see that they are not working.
It would have been very easy for me, as a politician, to jump on all of the publicity. I know these things go in peaks and troughs, but there has been much publicity in relatively recent times about the state of our town; there have been letters to the Editor and so on. As a politician - particularly an opposition politician - there was an easy out, and that was call a public meeting. Get 300 fired-up people to come along and get the proverbial off their liver. That is not an outcome I want because I do not think it is productive, and I do not think it is going to achieve the results that people who have a longstanding commitment to Alice Springs actually want to see achieved
I am not into grandstanding. I could say that the government is and, no doubt as one government member said today when going through what was happening in Alice Springs, government will do its fair share of grandstanding. However, I urge them to remember that the results simply are not being achieved. It is easy for a politician – again, particularly for an opposition politician - to talk about antisocial behaviour. It is okay to talk about antisocial behaviour, it is not being inflammatory, it is not being provocative in any sense. It is about being honest and identifying some problems that my town faces. However, I do not want Alice in Five to be all about antisocial behaviour. I want Alice in Five and those contributing to the process to look at where we want to be in five years’ time, what sort of town do we want Alice to be, and what sort of solutions will we, as a group, come up with.
At that point, after we have filtered through some ideas, we may put it out to a public meeting or some form of broader public consultation. It may be, as I predict it will, then be a case of engaging government, in particular the Minister for Central Australia, in a spirit of goodwill because, despite our political differences, I know that he also has a deep commitment to the future of Alice Springs.
I can play politics just like everybody else, but it is not something that I want to do with this issue. I do not believe it is in anyone’s interests. Yes, there will be some political brownie points along the way. However, the issues confronting all of us in Alice Springs are so serious that we do not have time to muck around.
Antisocial behaviour – yes, we need to be honest about that, we need to come up with strategies to deal with it. We might fail. I might get half a dozen really profoundly, stupid ideas, but you do not know unless you try. As I said on ABC radio, as a politician I could just sit back and take the money, but I elect not to do that. I do care about my town and that is why we will be advertising and calling on people to participate in a process. At the very least, it is worth a go. I could, like lots of other people, just sit by and say,: ‘Yes, Alice has gone downhill, hasn’t it?’ However, I do not believe I would be doing the right thing by myself and my friends and the commitments I have made to Alice Springs or, indeed, to my constituents or the people of Alice Springs in a more general sense. I want Alice Springs to be a better place for everybody.
Alice has unlimited potential, and yes, we have a number of serious issues. We need to embark on this process in such a way that it is embracing and inclusive, that it includes contributions from Aboriginal Territorians as well as non-Aboriginal Territorians. From the feedback I have received, I know that I do have Labor voters who are willing to hop on board. I do have Aboriginal people who want to hop on board. I do have Aboriginal people in the electorate – they vote for me just like non-Aboriginal people do.
The reason I am saying all of this in parliament tonight is to outline my intentions to try my best to achieve better results for Alice Springs. I hope that government members and, in particular, the Minister for Central Australia, will accept the sincerity of what we are proposing to do. I say again, as a politician I could have called a public meeting and potentially had 300 people attend whose views he does not share and I do not share. We do not want that, life is too short. We want to have a go.
I did say on 8HA local radio last week that I was concerned that when the government received a copy of the transcript of my comments they would say something like: ‘Stop talking down our town, don’t be inflammatory’, all that sort of thing.
Presumably, a phone call was made to one their failed candidates, the Mayor, Fran Kilgariff, and she was provided with a transcript. She had a bit to say. She said: ‘We do not need people talking down our town, we need people to work together’. Being honest about the difficulties we experience in Alice Springs is not talking down our town, and I would not be one of the people who talks down our town. I utterly reject any assertion that I would. My comments, for those interested - and I know Labor will have gone through them - were deliberately very measured. The process as I have said is inclusive. I refuse to simply stand by, take my money, and do nothing.
I am very aware of what I can and cannot achieve, not just in a personal sense but in the job I have. I am not nave about what an opposition of four can achieve. I am equally not nave about what I as an opposition leader from Alice Springs can achieve. But we reckon that we should have a go. Someone said to me after I announced Alice in Five on 8HA that Alice Springs looked like a town that did not care about itself. I have some sympathy with that. It does not necessarily look like a town that cares about itself. The streets are dirty. There is chewing gum all over the footpaths. There are drunks on the streets. There are some appalling public housing houses sprinkled throughout my electorate and other parts of Alice Springs.
We want to try to get some pride back into the town. I am hopeful that the people who will participate in the process will share my commitment to improve outcomes and to address those sorts of issues, but not for a moment will we hide behind these issues. We have to be honest with them. My concern is that for political reasons only, government so far in their last term and, indeed, their most recent term, has been less than honest. We are not about sweeping stuff under the carpet. We want to have a fair dinkum go.
I am proud to be a resident of Alice Springs. It is appropriate on the first sitting day of 2006 that I state that for the Parliamentary Record and that I give my commitment that I will work for the community and those who want to engage with me in this process. You never know unless you try. Certainly, I need to be receptive to other people’s views; I invariably have my own. For my part, I will do my best to listen to the views of others. As I said, if we can get to a situation where for instance we might have a 5- or a 10-point plan, to address some, I doubt we will get to all, of the issues in Alice Springs then that will be a good result.
I thought I would place those thoughts on the Parliamentary Record. The response has simply been overwhelming, and I am not just saying that. Seriously, it has been overwhelming. I thank the people who have offered to participate in the process so far. I look forward to working with them and I also look forward to reporting to the parliament in due course.
In the very short time I have left, can I stress how measured I have been, how measured I will be in this process. This is not a time for people to become hysterical. This is about getting together a group of people with a genuine and long-term commitment to improve life for everyone in Alice Springs.
Dr TOYNE (Stuart): Madam Acting Deputy Speaker, before I begin my contribution I will say I found the Leader of the Opposition’s speech most interesting. I would say to her that I will always judge a tree from its fruit. If the member is prepared to stand against dog whistling and divisiveness in the Alice Springs community, to listen to all opinions around our community and contribute constructively to ideas to improve the town, I will always work in a bipartisan way. I welcome a constructive relationship with her. It would be good to see that constructive dialogue in our community.
The start of the New Year in my electorate was an interesting one with heavy rains and flooding in the north of my electorate making things very difficult for the communities there. I have heard one story of our new school principal at Kalkaringi CEC, Jean Loke, being stranded at Camfield Station for a few days due to the heavy rains. She made it back okay and the school has made a positive start with good attendances.
Kalkaringi is a particularly important school for its secondary program. It has been pioneering senior secondary, both attendances and graduations, and it is great to see Jean taking up the work that George and Robyn Hewitson so brilliantly established there. I welcome her in the new role and look forward to meeting her and the rest of the new staff at the school during my visit to the Victoria River region in early March.
Pigeon Hole residents are well acquainted with very deep water rushing down the Victoria River. They were totally flooded out in 1995 or 1996 and the water levels actually reached the peak of the houses in that community during that earlier flood. You can imagine their feelings when they saw the Victoria River turning on big water flows again and watched the water levels get to within 1 m of overwhelming their community again. This year, luckily, that is where the water stopped and the community was spared being flooded again.
Gary James of the Darwin NT Emergency Services flew down to Katherine and worked with the police with James O’Brien Superintendent of the Katherine Police to coordinate an excellent evacuation of the Pigeon Hole residents, particularly women and kids to Kalkarindji. The Kalkarindji Police were also involved in helping to settle people on arrival. Everyone worked with speed and efficiency resulting in a job well done.
The new airstrip that has been budgeted for by government, I understand, is going out to tender in March. That will make a huge difference there because it brings the airstrip up on to the top of the escarpment overlooking the river valley. That will make it much more accessible during heavy wet weather. I look forward to going to Pigeon Hole to inaugurate that airstrip once it is finished. We are also moving the power house up the hill so that it does not get destroyed with these occasional floods that the community suffers.
Lajamanu also had its share of flood waters and it became an island, but because it is a very large community there was no evacuation required. The store is always well stocked with plenty of good food including fresh nutritious food. Jim Butler is one of the people I really admire in my electorate for the quality of the store operation that he runs there. It really comes into its own when the community is cut off like it was this year. I also welcome Frank and Gina Atkinson back to the Lajamanu CEC, and look forward to catching up with them again in March.
Welcome back also to Peter Achurch and Robyn Freeman. Robyn has just come back from long service leave and both have started at Utopia delivering education programs to the member communities in the Utopia area. Zania Liddle is back at Ti Tree school; Sue McAvoy is back at Willowra School; Anne Pollack, an indigenous teacher, is back at Pigeon Hole school; Wendy Jones is going back to Nyirripi school; Deb Williams at Laramba; Paul Unsworth at Yuendumu; Geoff Warren at Yarralin; and Michael Kinnane at Mt Allen School. We have an almost unprecedented stability in the leadership of schools in my electorate. That has to be translated into improving education outcomes. That is a real feature at the moment that we are recruiting both teachers and leadership into the schools and retaining them out bush.
We will continue to work through that stable platform to get better educational outcomes especially in extending up to secondary. Yuendumu CEC is the second in the four existing delivery points for secondary education out bush and it is a particularly significant program as well.
In the south of my electorate the Warlpiri from Yuendumu were heavily involved in ceremonies at both Willowra and Papunya. The Papunya ceremony was a huge gathering of people from Warburton, Yuendumu and many other places. This gathering of different language groups at ceremonies reinforces the strength of cultural traditions in my electorate and the surrounding electorates.
I had the pleasure of going to Yuendumu last week as local member and also to represent the Minister for Housing, Elliot McAdam, to open the Yuendumu safe house. It was well attended by people from various organisations. Pam Malden and her committee have done a fantastic job in coordinating the establishment of the safe house and the event I attended. When you open something like the safe house, it gets you thinking of the sadness of having to have a safe house in a community to protect women from domestic violence, but also of the enormous hope that you had so many senior strong women attending the opening and also, probably as easily as significant, many of the senior men. It was quite clear that the entire community has banded together with the police to make a stand on any ongoing domestic violence in the community.
The early operation of the safe house has been very encouraging. I certainly pay tribute also to the Ali Curung Law and Justice Group, Kurduju, which has now extended its process to the Warlpiri communities at Lajamanu, Willowra, Yuendumu, and Nyirripi. It is Kurduju law and justice process that has enabled the successes that were achieved at the safe house at Ali Curung, to be now duplicated at Yuendumu. That is the best possible way of working towards crime prevention out bush; to allow communities to trial successful innovations and then to share it with other communities around them. That is very much what I saw at Yuendumu with the opening of the safe house.
I had also very good reports about the Mt Theo inhalant abuse programs extending its activities into running holiday programs for the age group that they are particularly servicing in Yuendumu. Now that they have taken petrol sniffing out of the community, they are now creating programs in the community to stop the same factors coming together that caused the petrol sniffing in the first place. In other words, if you have kids who are fully occupied during the times when school is not operating, it reduces the possibility that boredom and other peer group pressures will bring them back into inhalant abuse.
The program was a great success. There was only one incident in the community involving a break-in at the store. Those kids went straight out to Mt Theo. There is only one petrol sniffer currently at Mt Theo, although that program is now taking kids from Willowra and other surrounding communities such as Nyirripi. They are really freeing a whole region from petrol sniffing. That is a great hope for our inhalant abuse programs Territory-wide: that we have these working examples of programs that have not only halted of the critical activity of large groups of kids sniffing in a community, but they have also now started to work on the roots of the problem, trying to cut off any further outbreaks of that practise.
The Yuendumu family feud mediation was also a factor at Yuendumu to the hugely positive start that that community is making to the year. For many years, several of the families at Yuendumu have been in conflict over a series of incidents and counter incidents that have led to quite a lot of violence between those families at Yuendumu. Then it was spilling over into violent incidents in Alice Springs. For the sake of both Yuendumu and Alice Springs, and our attempts to curb levels of violence in the town there, the settlement of this feud is a real breakthrough. It was done through the intervention of the community into offending. We have always said the relationship between community-based crime prevention and the police as the frontline enforcers is important. This was an absolutely classic example of it, where the police and senior family members of those feuding families got together, with mediation provided by John Baskerville, Barbara Weis, Sue Korner and Andrew Spencer who is a Warlpiri man who has worked as an ACPO at Kintore for many years.
They were able to carry out a mediation, which involved six senior family members from each of the family groups that were at odds. While the mediation was going on in a very formal setting, almost like a court setting, at the Liquor Commission hearing room in Alice Springs, over 100 of the family members from those families were camped around the building in contact by mobile phone with members of the family who were participating in the mediation.
That is a real breakthrough. It combined the formal setting and the formal authority of the government and its instrumentalities with the ability to fully share the decision through the families, so technology played a very positive part in that. That is a model we will certainly look at to tackle some other feuding situations where families have reached a feuding relationship.
That translated straight into Yuendumu: more kids at school, particularly in the secondary program, because those family members were not going to school. They were too afraid to be in the one spot where there would be further incidents, so that has now enabled the school to reassemble its student body. The community, generally, has moved on into really positive activities. Wherever I went around there it was full steam ahead into 2006 and everyone was really happy with the way the community was going.
Lastly, I would like to welcome Gary Cartwright, who has popped up as the new CEO at the Urapuntja Council. I have had much to do with Gary over the years, and I know his commitment to communities and to people that he has worked for over the years. He will be a real asset in getting some of the things going in Utopia that we are trying to work on as part of the Alyawarra regional development plan and other processes. I look forward to seeing him in my first trip through there. It is great to see him in my electorate to help out.
Dr LIM (Greatorex): Madam Acting Deputy Speaker, tonight I speak about the Chinese New Year. Each year at the first sittings of the year, I speak about the Chinese New Year, and tonight will complete my full cycle of the 12 animal symbols represented in the Chinese horoscope.
This year is the Year of the Dog. As you know through your experience with the Chinese community, the Chinese calendar has 12 animals. Legend has passed down stories – one says it was a Chinese emperor, and another says it was Buddha, who allocated these animals to each year. The stories have been told in my 11 previous adjournment speeches for the last 11 years of our time in this parliament.
This is the Year of the Dog, and I was surprised when the member for Stuart came up to me in Alice Springs and said: ‘I was born in the Year of the Dog’. I checked today and found out that he was, in fact, born in the Year of the Rooster.
The Dog and what it means: when you look at a dog, man’s best friend as we call him, certainly there are many characteristics of the dog that pertain to people born in the Year of the Dog. Normally, I would quote from a book by Neil Sommerville, which many members would have seen in previous years when I have bought it into the Chamber. However, this year I thought I would use this one by Jonathon D S Well. There are many photographs in the book about the Chinese horoscope.
First of all, people need to understand that the Chinese calendar follows the lunar cycles. Many people think that when they are born in 2006 it means they are definitely born in the Year of the Dog. But because the Chinese New Year starts on 29 January, those born prior to then are born in the Year of the Rooster, the year before. As you go back over the years, people born in 2006 have to be born after 29 January. If you were born in 1994 then you have to be born after the 10 February and so on. You have to be a bit more careful when you check the dates.
The characters of the dog personality, and I will read from Jonathon D’s book called Your Chinese Horoscope:
Because this year is the Year of the Fire Dog, I thought I should describe what the fire dog is like:
Neil Sommerville has other things to say: that dogs are protective of property rights and very focused on matters of security. Therefore, this coming year will be one where nations will also look after their security, tighten defence and protect their borders. Because the dog is also interested in the rights of people, there will be a lot of national and international tensions in terms of each nation looking after their own rights. However, the best grace of this year will be the care of humanitarian matters and this will feature strongly, according to Neil Sommerville, in the Year of the Dog. Because of this humanitarian support, the underprivileged, the suffering and those in need of support will actually get support this year.
Economically speaking, however, it is only slow and steady growth. It is a year for those who will work hard, definitely not a year for the slacker; a year where materialistic things are not seen as important as family bonds or quality time with loved ones, and just generally improving the home environment. This dog year is also one of harmony for the home and a favoured year for marriages. Many Chinese couples get married during this next 12 months.
It will be interesting to say something about the prospects of every other sign in this year of the dog. For instance, next year will be the Year of the Pig and, in fact, the pig can fair well this year. Although Neil Somerville cautions that the pig needs to keep his or her expectations modest, but aim to build steadily on his or her present position. The year after next will be the commencement of the new cycle of the Chinese calendar and it will be the Year of the Rat. A person born in the Year of the Rat during the Year of the Dog generally will be cautious, will need to keep their wits about them, but be thorough and liaise closely with others. It is not a year for the person born in the Year of the Rat to be pushing his or her luck too far. For the person born in the Year of the Rat, be very careful.
For the ox - and my wife was born in the Year of the Ox - it is not particularly good either. There will be pressures, challenges and problems to deal with. By doing his or her best, the ox will add considerably to his or her experience, although it may not be an easy year for the ox, the year will bring many long-term benefits, and good luck and good fortune to the ox who is prepared to work hard in this year. As I said, this is not the year for the slacker.
For the tiger: with clear objectives and careful consideration of the prevailing situations and advice for others, the tiger can achieve a great deal. This is very much a time for action. Actually, in the Chinese horoscope the tiger and the dog get on very well in the compatibility stakes. The tiger and the dog have a business relationship that is rated 2 out of 5 for instance, and in personal relationships is rated pretty well at 1, so they do get on well.
For people born in the Year of the Rabbit, which is February 1999 to about February 2000, and back every 12 years from there - so the previous years were January 1987 to February 1988, February 1975 to January 1976, January 1963 to February 1964. For the rabbit, according to Sommerville, a much improved year compared to last year, the year of the rooster, but the rabbit will need to seize the initiative and be bold. For the active, keen and enterprising amongst the rabbits, the dog year holds great potential.
For the dragon: this is not the year for the dragon to take risks or hurried or impulsive action. The dragon needs to plan carefully and act with the support of others will lead to more being accomplished otherwise you can end up being very scattered and a wasted effort.
The snake: I understand there are quiet a few snakes around amongst us. The snake is generally cautious and likes to take his or her time in setting about his various activities. However, for the snake, this is a year to be bold and to move forward. With this aspect on his side or her side, a lot can happen for the snake.
The horse is another personality that has great affinity with the dog so, in this Year of the Dog, I expect the horse to also benefit. According to Neil Sommerville, this will be a busy and eventful year for the horse but, throughout, he or she does need to draw on the support and advice of others rather than to do too much on his or her own.
This will be a very demanding year for the goat. He or she will face both pressures and problems. For the monkey, this year will be a year of great change and opportunity, but the monkey will need to liaise closely with others. Finally, for the rooster who had the year last year, this year will be challenging for the rooster and he will need to remain mindful of prevailing situations and show some flexibility.
Happy new year to everybody, or Gong Xi Fa Cai, as I would say in Mandarin.
Mr NATT (Drysdale): Madam Acting Deputy Speaker, it gives me great pleasure this evening to talk about the schools in my electorate on this, the first adjournment for 2006. Over the past few weeks, schools have returned to face yet another year of education. I have been actively visiting the five schools in my electorate to wish staff and students a welcome back to the new school year. I am extremely lucky to have involvement with these five exceptional schools. Staff of each of the campuses are dedicated individuals with high ideals, which build wonderful partnerships between their schools, the community and most of their students.
Cindy McGarry is the principal of the Gray Primary School again this year. The school has achieved some wonderful outcomes over the past couple of years and their future is bright. They have had an increase in staff, and I would like to welcome Miranda Yokowo who has come over from Moulden, and also Tracy Woodroffe who has come from Howard Springs. They have an exceptional oral and English program for indigenous students and that is achieving some wonderful results. They are the only NT school this year to be selected for the Interactive White Board Program. Deputy Principal, Sue Beynon has secured a $10 000 Crime Prevention Grant to further develop the boys mentoring program of which I was involved last year and which I greatly enjoyed. Julia Morgan has been lucky enough to be chosen to visit Korea on a Study of Asia Tour. It is a 12-day cultural, history and education tour of that country, and we wish her well over there.
Kormilda College is, as everyone knows, an exceptional education institution based in Darwin and recognised for their fantastic achievements over the years. The former Principal, Stephen Kinsella, left at the end of 2005. Currently, Julianne Willis is the Acting Principal. This year, the school has close to 1000 students, with an excess of 200 students from remote communities boarding at the college. I welcome 12 new teachers to the school: Belinda Wethers, Andrew Boukaseff, David Hickey, Judith Hickey, Jacinta Mooney, Caroline Pericles, Michelle Jones, Kay Pisel, Melissa Hall, Amanda Palmer, Janie Andrews and Sarah Caldwell. The school was recognised late last year by the Council for Internationally Accredited Schools and accepted into the association which was a wonderful accolade for the college to be recognised at an international level - the only school in the Territory to have done so. The school has some big plans for 2006, one of them being plans to build new dormitories. They are working to try to raise funds to ensure that happens.
The Good Shepherd School is a small Lutheran school, again based in my electorate. The former Principal, Peter Eckermann, retired to the Riverland in South Australia at the end of 2005. I wish him well and all the very best in his well-earned retirement. In doing so, I welcome the new Principal, Julian Denholm. Julian has had stints in South Australia and Western Australia, and has some wonderful visions for the school in the years to come. Year 2 teacher, Alison Kendrick, has also commenced at the school, and we wish her well also.
Pastor Lester Reinbott is a hard worker and loyal supporter of the school. His wife, Kaye Reinbott, has been appointed to a new position of the Information and Communication Technology, and we wish her well in that position.
At Driver Primary School , the Principal, Rod Presswell, has returned to the school after a short stint working for the department on a specific task in 2005. The school has a wonderful environment, with dedicated teachers striving to give their students the best they can offer. The school celebrated their 20th birthday last year, which was a great achievement for a school in the area. They have a new transition teacher, Kristy-Lee Gilbert, and a Year 5/6 teacher, Megan Lake, and Katherine Hancock has been included as an inclusion support assistant, and an early interim support teacher, Ann Thomas, is also a newcomer to the school. We wish them well. The school has some big plans for the year, and I look forward to working with them throughout 2006.
Durack Primary School has had a change of principal in the last two weeks. Peter Collins has unfortunately had to take sick leave – I will elaborate on Peter in just a few moments. The school has had a solid start, with numbers overflowing, so much so that the school will have transportable classrooms installed within the next few months. There is a new Year 5 teacher, Renee Reynolds, and a Year 1, Tina Fluri, and it is great to hear that Peter Moore will be stepping in as principal at that school next week.
The Durack Primary School has a large number of Defence Force children attending the campus, so I would like to mention the valuable work that Defence School Transition Aide, Corinne Hunt, does at the school for Defence mothers and their children. It is particularly difficult for some Defence families to settle into new surrounds, particularly with children. Corinne’s work is invaluable, and the difference that this position makes can be noticed. It is wonderful to see many of the children enjoying their time at the school, having settled in smoothly with Corinne’s help and guidance - a wonderful comfort, I am sure, for the Defence families, particularly the mums.
As I mentioned earlier, I will elaborate a little more on Peter Collins. Peter has shown strong leadership skills and has had a very successful track record in building strong partnerships between schools and their communities. After gaining a certificate in teaching at Kedron Park Teachers College in 1962, Peter taught in Queensland schools until 1974. He then moved to the Northern Territory, where he taught at Yirrkala School until 1976. After that, he worked in teaching, as a senior teacher, assistant principal, and principal positions at Nightcliff, Kalkaringi, Katherine South, Borroloola and Howard Springs Schools. He also taught in Alberta, Canada for part of 1988.
Peter was the inaugural principal of the Bees Creek Primary School, from its beginning in 1997 until 2004, when he was Acting General Manager of Schools for the Arnhem Cluster and the Palmerston and Rural Clusters for that term. Peter has an extensive, solid, successful education and management experience in a wide variety of settings. Staff, students and the school community of Durack Primary School are very sorry to lose Peter due to his unfortunate circumstance, and it will be a major blow to his lifestyle and career. I thank Peter for his support during my short term in this position, but, more importantly, wish him good health and a long life in his life after teaching.
While we are talking about schools, I would like to mention the voucher system. It is pleasing to hear, just talking to the headmasters over the last couple of weeks, that the voucher system has worked very well. The initiative was to provide a $50 voucher per child attending school and, as I said, it has worked exceptionally well and will continue in the years to come. My visits to my electorate schools have indicated that all of the schools have managed to obtain 100% school uniforms. One particular school which struggled to get conformity last year had all but four students wear their uniforms with pride at the first assembly of the school. This initiative will be ongoing, as I have said, and the families have welcomed the initiatives and are responding accordingly.
There is a wonderful initiative that has been instigated in Palmerston - you have probably read about it in the local papers - it is called Palmlesstonnes. It has been initiated as part of the safer communities program and I acknowledge Dallas Frakking from the Palmerston Sun who instigated this wonderful initiative in conjunction with Mayor Annette Burke and the Community Service Project Officer for the Palmerston City Council, Justine Glover. It is an initiative that encourages members of the community to sign up to a program. It is based on a program that has been run, I understand, in several other country communities throughout Australia. Over a period of 12 weeks, they have set a target of collectively losing one tonne in weight. Obviously, that will go towards having a healthier and safer community.
The reception of this amongst the community has been outstanding. We have had over 300 enrolments and, unfortunately, they have had to close the books. They still have people knocking on the door wanting to enrol but they have had to cut it off at 300 for ease of control. It is fantastic to see. I went to their weigh-in last Sunday which was held at the Palmerston High School basketball stadium and the stadium was chock-a-block. It was a fun day; basically to roll up and get your T-shirt and water bottle and have a weigh-in. They measured your girth and those measurements will be taken over the next 12 weeks. I think there are three measures over the 12 weeks. It was a great day and incorporated on that day was a fun afternoon. They had the dance in the afternoon. They had various types of dancing such as belly dancing and ballroom dancing, and everyone got involved. At one stage, the basketball court was chock-a-block full of people dancing. It was just fantastic.
I went out at 6 am yesterday morning and did a 3 km run – sorry, a 3 km walk; I will do the run later. We had about 50 people on the initial walk. The interest it has created, and to see people get behind this initiative, is fantastic. I again acknowledge the work that Dallas Frakking has done, together with Mayor Burke and Justine Glover, who has been tirelessly working to try to makes this all happen. I congratulate the people of Palmerston who have put their hand up to have a go at this. They are really keen to do something for the community. I congratulate them for getting involved and look forward over the next 12 weeks to pounding the pavement with them.
Mrs MILLER (Katherine): Madam Acting Deputy Speaker, tonight I wanted to put on record how gratified I am to see the Territory Insurance Office is going to remain in Territorians’ hands. That, I believe, is thanks to the dedication and commitment of the Friends of TIO who have put a lot of hard work into collecting signatures and making people of the Territory aware of what was the potential loss of 250 jobs and the potential loss of businesses in the Territory.
The reason I say that is because I am speaking specifically for Katherine where I know that there were two businesses where one employs over 15 people, which was definitely - despite the rhetoric in the paper and what we heard on the television - unable to get insurance for flood from anywhere but TIO. Both those businesses I referred to are car dealers and one of those had said that she was not prepared to go through the stress of all that again. She not only went through the stress of the 1998 flood but, last year, in January 2005, and in 2004, she was also inundated with flood water or waters from the drains that ran behind her business in Katherine. There has been a lot of pressure on her and her partner, and they decided that if TIO was sold there really was no alternative for them but to leave. That was very gratifying to see because Katherine could not afford to lose such good businesses, as both of those car dealers employ many people. We could not afford to lose any more economic industries that we have in our regional areas.
Seeing that TIO has been in the news and is going to be here for a long time now, one of the reasons I wanted to talk about it is that TIO is held in such high regard throughout the Territory, and especially in Katherine. That regard is due mainly to the Katherine floods of 1998. Before then, we accepted that TIO was the insurance company of the Northern Territory, but that is when they really came to the fore in their support of the people of Katherine. I have to admit that my house was not insured by TIO at that time. My husband was a bank manager and they used to promote another insurance company. It is most unfortunate that we were not covered by insurance – and that was a fairly big strain. The difference in other members of the community and other residents throughout Katherine who were covered by TIO, in their attitude and the way they were able to recover from the stress and the trauma of the flood, was noticeable. I know that those at the time of the Katherine flood who were not covered by TIO changed their insurance policies the next year.
I want to tell you another little story about the 1998 floods because talking about TIO connects us with the flood in Katherine. It is just an automatic thing. The day before, on Australia Day – which happened to be a Monday - my husband and I were operating Red Gum Tourist Park on our own and it was a pretty quiet day. It had been raining on and off for about three or four weeks in the surrounding areas, and the river was up extremely high, about 16 m at that stage. Water was starting to come up out of the drains. There was a backlog of the drain water from near the Katherine showgrounds and that was actually filling back to the park.
I decided I would ring Emergency Services and ask them if I was in a low lying area. When you drive into Katherine it just all looks flat. However, I had heard there were some low lying areas, so I contacted Emergency Services who advised me that yes, I was in a low lying area. I asked the three or four caravans that we had still in the park if they would like to move because I said I had no idea what was going to happen. I thought it was all a bit of a joke; there was no way that this flat area was going to flood. Those people, by the time they did pack up and get out which would have been about 1 pm, were only able to exit Katherine by one way; that was to go down Victoria Highway and along Bicentennial Road and get out that way because the water had gone around the back of Katherine. We were looking at the river, but in actual fact it was coming from the other way as well.
I thought: ‘Okay, what can I do at Red Gum? I cannot pack up eight cabins and I cannot pack up an ablution block. I cannot do the shop so I better take my office home’. Everybody laughed at me, but I started to pack up lots of files, etcetera, and I ended up doing five trips to my house, carting crates of things up the stairs and stacking them into the end room. By the time I got to the sixth car load, I was getting a bit tuckered out. The only things that were left that I just did not want to move were filing cabinets. I took the top drawer of the main filing cabinet that had insurance things and important stuff in it that maybe needed saving, got some help, carried it out to the back seat of my car and that is where it still was, sitting on the back seat of my car at 3 am.
When I woke up and realised that there was water in my street I thought I had better move the car. I still did not take the filing cabinet drawer out of the back seat of the car, proceeded to find a spot near Clyde Fenton School where I used to live, and parked the car jammed up against a window along with five other cars. I went back home and, within the space of three or four hours, the water was over the banks of the Katherine River and the rest is history. By 1 pm, we were climbing out of the window in our high level house and straight into a boat. We had to leave everything behind - but I was not going unless the dog went. So, the dog and Mike and I and five of our neighbours, including a month-old baby, went out the window.
It was four days before I got back to the house. Naturally, I went straight around to see where my car was. As you can imagine, it and the other four cars had definitely gone under. I forgot to mention when I first parked the car near Clyde Fenton School, I got somebody to help me take that darn filing cabinet drawer out and we carried it into his shed and stuck it in a dinghy. In the flood, it went up and it went down. I could not remember if I was covered for flood insurance, so this was a big thing. We were all worried about how we were going to survive.
The first thing I did when I got back and saw the car in a terrible mess was go to the shed. The boat had gone up, it had come down again, gone on a bit of an angle and had not landed back where it was supposed to, but the filing cabinet - darn thing - was still sitting there. The drawer was still there with everything intact. I could go straight to ‘I’ for ‘insurance’, pull it out, and bingo! No flood insurance! I was wishing the whole thing had gone under at that stage. It is totally incidental, but it just brought back the memories of how important insurance was to us.
We did have insurance with TIO in our business at Red Gum Tourist Park, but we had not taken out a flood insurance cover in that policy. It became a challenge over the next three or four months, with some wonderful outside support - of Deloitte Touche actually - which was able to help us get a very small proportion of inundation cover. Mind you, Red Gum Tourist Park went under through to the ceilings, and inundation was 0.5 m. Trying to calculate the damage of 0.5 m of everything was, I thought, rather challenging, but TIO did it. We are still many tens of thousands of dollars behind the eight ball, but at least they were prepared to go ahead and do that.
TIO did a huge amount for Katherine, took a huge weight off a lot of people’s shoulders - especially private residents. People who were struggling were able to get their houses back up again after a few months, and a lot of industry. There was a lot of rebuilding in Katherine. I am very grateful that TIO is still in business and still in private hands in the Territory. I am very grateful for the commitment of those quiet people who normally would not come out and stand up for themselves and for what they believe is right. I congratulate them for the very successful outcome of the campaign, and everybody else who had some involvement in it.
I am very pleased to be able to stand in this first sittings for 2006 to know that we still have the cover, reassurance and comfort of knowing that the Territory Insurance Office will be operating well into our future.
Ms McCARTHY (Arnhem): Mr Acting Deputy Speaker, I wish to share with the parliament my travels in the electorate in the last month, in particular to Numbulwar. I had the good fortune of flying there the week of Australia Day and going on from Numbulwar to Ramingining and to Milingimbi.
At Numbulwar, I had the chance to talk to a couple of people at the Homelands Resource Centre, such as Henry Nunggumajbarr, Bobby Mirniyowan and Wilfred Nunggumajbarr, and also the carpenter/builder at the Numbulwar Homelands Resource Centre, Bob Burrows. They talked to me about the 12 or 13 outstations that are serviced by the Homelands Resource Centre in the region. A few of those outstations have phones and most communicate through UHF radio. The furthest outstation is around 150 km north of Numbulwar. It is pretty much on dirt road and it is a journey I would like to take once the Dry Season is here and the roads are much clearer to travel on.
Some of the major issues that the Homelands Resource Centre raised with me included that they were very pleased with the Policeman’s Crossing causeway which the Martin Labor government has completed. I remember, during the election campaign, when we wanted to cross over there that we had to be careful with the tide as there was no bridge as such, or no secure footing for the vehicles to drive across. Going back this time, I was able to see the completion of a cement causeway, making it a much safer crossing for people all year round.
On the way to Policeman’s Crossing, they wanted to show me a place in particular called Wumajbarr Plain. It is an area on the road which is filled with mud and gets extremely boggy. It cuts the community off from travelling to Ngukurr, which is the nearest community to Numbulwar. They were keen to show me Wumajbarr Plain and it took some pretty solid driving by Henry Nunggumajbarr to get through that area. It was quite impressive - I wish I had my video camera at the time. It is the sort of image you see in these shows that travel around the country showing you the remote areas. This was four-wheel driving at its best, that was for sure.
Other issues raised included some of the things that people had heard, perhaps on a federal level. People had heard a little about the former Aboriginal Affairs Minister, Amanda Vanstone, talking about remote communities and, indeed, her most recent speech to parliament in regards to certain communities being cultural museums. This created great distress to a number of the people on the homelands, who were asking about the future of those regions. I was happy to tell them that I would keep them informed about what was going on, but that there were naturally changes on a federal level. Indeed, the Aboriginal Land Rights (Northern Territory) Act and the amendments coming up was another issue which we talked about.
People in Numbulwar are incredibly strong culturally, and they see that their land is their life and their home. They will do everything they can to ensure that there is a future for their children. That means working in partnerships, certainly with the Northern Territory government, and wanting to be kept informed about what is happening on a federal level.
The Numbulwar Council is doing great things. The CEO, Mark Gardiner, is definitely keen to spend a good year or two out there, and that stability is important for Numbulwar. It has had a number of CEOs passing through over the last couple of years, in fact, perhaps too many, and a lot of instability there. However, now it has settled down and with Mark at the helm, it certainly has some great potential for this year.
They have also been able to elect a new council and chair at the end of last year. There is a mix of old and young men and women on the council, which is a good thing. That way, it reflects the needs of the Numbulwar people and it can be reflected quite well on the council. The council is keen to seal the roads around Numbulwar community, and dealing with wear and tear and health issues. We are hoping to have a look at that; it is a regular request as you go out through Arnhem Land. The roads are something that people are always raising simply because everybody wants good roads.
Dwayne Murrungun is on the Prime Minister’s Youth Round Table which is a national youth round table. Dwayne is certainly an added asset to the Numbulwar community where he can share what he learns on a federal level. Having exposure at that federal level also opens up Numbulwar because other states and other people in the rest of Australia can hear what is going on in this beautiful region.
There is an idea of a ‘rage cage’ which has diagrams of basketball, soccer, and a couple of other indoor activities that can occur - it is early designs at the moment – and a skating boarding ramp, things like that which can help the youth in Numbulwar to have a solid venue and a place to congregate. These are things that the community is looking at this year and would like some support with. I am very keen to support them and, no doubt, I will be lobbying our sports minister on their behalf.
From Numbulwar I travelled to Ramingining and I had the pleasure of talking to a couple of people there and the artists at the Ramingining Art Centre, Bula’bula Arts. There is a lot of excitement because the soon-to-be Ten Canoes film is going to be launched in Adelaide at the film festival there. I believe it is possibly next month. That is going to cause great interest in Ramingining and give national exposure to the community. Many things were happening around Ramingining during my visit.
The newly organised Northern Australia Justice Agency - no longer NAALAS - travelled to Ramingining to talk about the changes for the legal system. I was able to hear first-hand how that new system is being set up in the Northern Territory and how places like Ramingining, Milingimbi and Numbulwar can access the legal advice and legal support they need through this new system, now known as NAAJA.
Travelling on from Ramingining, I travelled to Milingimbi. When I first came into parliament, I said that I would like to introduce the community to my family and, so, being the school holidays, I was able to take my children with me to meet people in the electorate, and for my family to see the electorate and to know where it is. I guess the boys just wanted to know where their Mum goes a fair bit of her time these days.
We travelled to Milingimbi for Australia Day celebrations and it was an incredible day. I would have to say that the Milingimbi mob know how to put on a celebration. It was absolutely exceptional and it was symbolic too in the sense that people wanted to celebrate the fact of survival. Australia Day causes mixed feelings around the country but, for the people of Milingimbi, it was a day where people could celebrate the survival of Aboriginal culture and share Aboriginal culture with white Australia. Whilst there are sad components of the history of this country, what the Milingimbi people where saying on this day was about walking together and creating a new history from here, one that is about sharing and walking together. That was the Milingimbi mob.
Mr Acting Deputy Speaker, there are some more things to say in regards to that but I will keep the parliament posted on my travels.
Mr McADAM (Barkly): Mr Acting Deputy Speaker, I inform the House tonight of meetings I have attended since the last sittings of December 2005. Immediately following the sittings, I met with the Darwin City Council Lord Mayor, Mr Peter Adamson. We discussed issues including Community Harmony, and particularly the pending antisocial behaviour arrangements. I also had discussions regarding service delivery opportunities for Darwin City Council with opportunities to work in partnership with other incorporated Aboriginal organisations such as Bagot and the Tiwi Islands Local Government Council. This is the second meeting that I have had with Lord Mayor Adamson. I have had meetings with other municipal mayors and intend to do so on a regular basis.
I had the opportunity to visit the Palmerston City Council to meet with Chris Judd and people from the 15 Mile village. At that time, they were launching their community management plan. I was able to see first-hand the housing needs of that community. Some of the issues they expressed concern about included substance abuse, unemployment and domestic violence. I also understand that not too long ago, perhaps about two weeks ago, the Chief Minister also visited there. I want to assure the people out there that we are very concerned about their issues and, hopefully, in the not-too-distant future, we will be in a position to be able to advise them of some initiatives that we might be able to assist them with at a local level.
I went back to Tennant Creek as well, and was very privileged to launch the Street Scape project for Tennant Creek which involves Paterson Street in a major redevelopment project. Members will be aware that Paterson Street is the main street of Tennant Creek. For those who have not been to Tennant Creek of late, if you get the opportunity go down there because it is looking pretty good; it is looking green. There are also some new businesses in the main street. I applaud those people who have taken the risk and I hope they do very well.
Prior to Christmas, I was able to catch up with the Mayor of Alice Springs Town Council, Fran Kilgariff. As I mentioned earlier, it is part of my plan to be able to meet with mayors throughout the Northern Territory. As always, my discussions with Fran are very productive. They are very mature, and they were wide ranging.
I would like to comment on the Leader of the Opposition’s adjournment debate tonight in regards to some issues in Alice Springs and the comments of the minister for Central Australia.
Alice Springs is going through a difficult time; there is a degree of pain. There is also a degree of angst from certain people in Alice Springs and I would expect that calmer heads will prevail in the long term. It is for that reason that I offer my support also to the Leader of the Opposition and to the Minister for Central Australia. If there is anything we can do then we should do it in a very mature way. I am absolutely certain they would be echoed by the Northern Territory government. I look forward to working with all parties as, indeed, we all do, to making the quality of life in Alice Springs much better for a whole lot of people.
Whilst there, I had a look at their new municipal building. It is a very large project and I congratulate the Alice Springs Town Council for taking that initiative. It is an environmentally sound building in its design. They incorporate many of the technologies that were perhaps first thought of in Alice Springs in the 1950s. I refer to the Uniting Church because that is design on which the building has been constructed.
Also whilst in Alice Springs, I also had the opportunity to meet with the task force which I established prior to Christmas, to have a look at some of those issues that are impacting upon the town camps in Alice Springs. Ms Olga Havnen is the chair of that committee and there are representatives from other organisations in Alice Springs including Mr William Tilmouth, Chief Executive Officer of the Tangentyere Council, along with the Mayor, Fran Kilgariff, Ross McDougall from ICC in Alice Springs, and representatives from the Lhere Artepe organisation which is a representative body of traditional owners in Alice Springs. There will also be opportunities for other members of the Alice Springs community to be brought in onto that task force as there will be for representatives from the police and the Department of Education and other agencies.
Olga was able to bring me up-to-date on what is occurring there. I know they have had numerous consultations with various agencies and they have just commenced a process where they will be speaking to all those people who live in urban living areas around Alice Springs.
Whilst in Alice Springs, I had the opportunity to meet with Mr David Forrest. David is involved with the real estate industry in Alice Springs, and works for First National Real Estate. David had some concerns in regards to the Larapinta Stages 3 and 4 land release, but we were able to convey those to the appropriate minister. I am certain that those matters will be addressed.
I had the chance to take about three to four weeks off, which I appreciated. In a way, it just makes you realise and understand and fully appreciate the role of the family in terms of the job that we do on both sides of the House. I really did enjoy that time but, most importantly, I enjoyed the quality time that I spent with members of my family. It would be lovely to have those a bit more often throughout the course of the year, but we know that that is not always possible.
I had the opportunity to visit Borroloola only last week for the signing of the heads of agreement in regards to their swimming pool. It is something that the Borroloola community deserves. It has been a long time coming; perhaps in excess of 20-odd years. It is a tribute to that community and all those other organisations which have been able to provide some money. I am talking at a local level: the Mabunji Aboriginal Corporation, the Borroloola Local Government Council, the Borroloola Soccer Association, and McArthur River Mine, otherwise known as Xstrata, contributed $600 000. It is a great community effort and, hopefully, it will provide our young kids in Borroloola the opportunity to swim in far better conditions, because they deserve it. They will look at a ‘no school, no pool’ policy and, hopefully, the educational and health outcomes will be improved.
Whilst at Borroloola, I had the opportunity to meet with a whole host of other organisations. The Mabunji Aboriginal Corporation was one and we spoke about the proposed expansion by the McArthur River Mine. Obviously, people have read in the media some of those concerns. As the local member, I too have some of those concerns. I believe it is important that we do allow due process to occur. However, having said that, there is a real opportunity here for the private sector and government to work together to ensure that whatever the outcome might be, it will be equitable in the context of social and economic outcomes in regards to places like Borroloola.
I must say, quite honestly and openly, that I do not think they have been the full recipients of the benefits that could flow. I urge Xstrata to strategically rethink how they might approach communities like Borroloola with projects both now and into the future, because I know they have been able to do that in countries overseas. I urge them to give some consideration to ensuring that we become a little more strategic in providing opportunities for people who reside in remote regions of Australia in this case or, indeed, the world.
I was also able to visit the arts and craft centre at Borroloola and I met with Peter Callinan. Peter is doing a good job as are all the artists there. They should be very proud of what they have done in a short period. I know that opportunities will open up in the future in regards to that group of people. Stuart Hoosan is doing wonderful work, as, indeed, are a whole host of other artists. I believe some dollars have been allocated to them for their arts and cultural festival, which I understand will be announced a bit later.
I was able to attend the inaugural IHANT Board launch in Tennant Creek last week. They face many challenges. I will be giving a statement in the House next week and will elaborate then. I say thank you to the board, particularly to Mr Michael Berto, from Nyirranggulung out of Katherine, who has taken on the challenge as chair; along with Pat Brahim, from Julalikari Council the deputy chair; Mr Tony Jack from Mungoobada, otherwise known as Robinson River; Mr William Tilmouth, who is the CEO of Tangentyere Council; Ursula Raymond, who is with the media with ABC National; Mr Mike Dillon, the CEO of my department; Susan Bosic, representing the Commonwealth government; and Mr John Tobin, who is on the board in an advisory capacity, representing the Department of Planning and Infrastructure.
Mr Acting Deputy Speaker, I will conclude my comments there.
Motion agreed to; the Assembly adjourned.
DISTINGUISHED VISITORS
Lord Faulkner of Worcester
Lord Faulkner of Worcester
Madam SPEAKER: Welcome back to 2006, honourable members. It is my pleasure to advise of the presence in the Speaker’s gallery of Lord Faulkner of Worcester, member of the House of Lords. On behalf of all honourable members, I extend to you a very warm welcome.
Members: Hear, hear!
VISITORS
Members of the Chinese Community
Members of the Chinese Community
Madam SPEAKER: Honourable members, present in the Speaker’s gallery and the ministerial officers’ gallery are distinguished guests from the Chinese community - I have names for some but not for all, so I apologise for those who are not named: Mr Jason Lee, Mr Charlie Carter, Mr Tony and Mrs Onna Jape, Alderman Dorothy Fox, Mr Ray and Mrs Jade Chin - of course, Mr Chin is a former Clerk of the Legislative Assembly – Mr Austin and Mrs Melanie Chin, Mr Austin Snr and Mrs Ginni Chin, Mr Henry Yap and Mr Pedro Yap. On behalf of all honourable members, I extend to you a very warm welcome.
Members: Hear, hear!
DISTINGUISHED VISITOR
Ms Dawn Lawrie
Ms Dawn Lawrie
Madam SPEAKER: I also draw your attention to the presence in the gallery of the former member for Nightcliff, Ms Dawn Lawrie. On behalf of all honourable members, I extend to you a very warm welcome.
Members: Hear, hear!
VISITORS
Madam SPEAKER: Honourable members, the students in the gallery are from the Anula Primary School Intensive English class, accompanied by Ms Rosita Kandiah and Ms Judy Evans, and members of the public visiting parliament for the opening of the parliamentary year. On behalf of all honourable members, I extend to you a very warm welcome.
Members: Hear, hear!
MESSAGE FROM ADMINISTRATOR
Message No 7
Message No 7
Madam SPEAKER: Honourable members, I have received from His Honour the Administrator Message No 7 notifying the assent to bills passed in the November/December sittings of the Assembly.
PETITIONS
Late Bus at Mindil Beach Markets
Late Bus at Mindil Beach Markets
Dr BURNS (Johnston)(by leave): Madam Speaker, I present a petition not conforming with standing orders from 54 petitioners requesting a late bus at Mindil Beach markets on Thursday nights. I move that the petition be read.
Motion agreed to; petition read:
- The Speaker and members of the Legislative Assembly of the Northern Territory. This is a petition for a late bus on Thursday nights starting next season allowing market workers, tourists and local people to have more time to spend at Mindil Beach Thursday night markets.
Sale of Territory Insurance Office
Mr MILLS (Blain)(by leave): Madam Speaker, I present a petition not conforming with standing orders from 5955 petitioners relating to the sale of the Territory Insurance Office. I move that the petition be read.
Motion agreed to; petition read:
- The Speaker and members of the Legislative Assembly of the Northern Territory. We the residents of the Northern Territory oppose any move by the Northern Territory government to sell any part of the Territory Insurance Office for the following reasons:
TIO provides insurance and banking services unique to Territorians;
The social, cultural and economic contribution by TIO far outweighs any one-off financial benefit the government is seeking.
Sale of Territory Insurance Office
Mr WOOD (Nelson): Madam Speaker, I present a petition from 9167 petitioners relating to the sale of TIO. This petition is similar to the petition presented to the Assembly today. I move that the petition be read.
Motion agreed to; petition read:
- We the residents of the Northern Territory oppose any moves by the Northern Territory government to sell any part of the Territory Insurance Office for the following reasons:
TIO strongly supports local businesses; and
TIO employs 250 staff across the NT who are at risk of losing their jobs.
- The social, cultural and economic contribution by TIO far outweighs any one-off financial benefit the government is seeking.
Replacement of Damaged Windmill at Dundee Beach
Mr KNIGHT (Daly): Madam Speaker, I present a petition from 135 petitioners praying that damaged windmill at Dundee Beach be replaced. The petition bears the Clerk’s certificate that it conforms with the requirements of standing orders. I move that the petition be read.
Motion agreed to; petition read:
- To the Speaker and members of the Legislative Assembly:
- We the undersigned, humbly pray that the damaged windmill at the watering point in Dunheved Road, Dundee Beach is replaced by a working windmill to provide a source of fresh water this Dry Season.
WARRANT
Deputy Chairmen of Committees
Madam SPEAKER: Members, pursuant to the provisions of Standing Order 12, I hereby revoke all previous warrants nominating members to act as Deputy Chairmen of Committees.
I nominate the following members to act as Deputy Chairman of Committees: Mr James Burke, Mr Chris Natt, Ms Kerry Sacilotto, Mr Ted Warren, Mr Rob Knight, Mr Gerry Wood and Mr Matthew Bonson, when requested so to do by the Chairman of Committees.
Given under my hand this 14th day of February 2006.
MINISTERIAL REPORTS
Celebrating Chinese Achievements in the Northern Territory
Mr VATSKALIS (Multicultural Affairs): Madam Speaker, with the recent celebrations for the Chinese New Year throughout the Territory it is time to reflect on the significant contribution of the Chinese community in the development of the Territory in both the past and the present.
The Chinese have a long history in the Northern Territory. The first Chinese arrived in the Territory in 1874 to work in the gold fields and in the building of the railway line to Pine Creek. By 1888, they constituted a major part of the Northern Territory population. The Chinese did not limit themselves to the supply of labour to the gold fields and the railway project. They soon came to work their own mines, establish gardens, and engage in industry and commerce. By the 1930s, Chinese businesses dominated the Darwin economy.
The commercial hub of Darwin was in Cavenagh Street, or Chinatown, where the Chinese and people from other backgrounds lived and worked. Culturally, the Chinese had an enormous effect. Sporting events, colourful banners and lanterns, even visits by Chinese opera companies in both Darwin and Pine Creek were shared with the community at large.
There were, of course, ethnic tensions but we cannot say that the Chinese community were treated as equals or even treated well by the European population at this time. By 1911, and despite the White Australia Policy of 1901, the Chinese represented the largest ethnic group in Darwin and made up almost one third of the population.
In spite of the devastation of Darwin by bombing during World War II, the Chinese remained in Darwin and began to rebuild their businesses after the war. They founded the Chung Wah Society in 1949 and also the Chung Wah Cultural Centre, which was destroyed by Cyclone Tracy in 1974; it was rebuilt on the same site. The centre now houses a museum and is home to many celebrations and meetings.
In the post-war period, some Chinese joined the public service and contributed actively to Territory civic and community life in local government. Harry Chan was the first Chinese Mayor of an Australian capital city and he became the first President of the Legislative Council in 1966. A bronze bust in Parliament House commemorates his contribution. Alec Fong Lim was the first Chinese to become Lord Mayor of a capital city in Australia. Mention must also be made of the outstanding work of Charles See Kee who devoted his life to the development and promotion of multiculturalism in the Northern Territory. Members will be aware that there are now Charles See Kee awards in honour of this outstanding Territorian.
Today, the Chinese community makes up about 2.2% of the total Territory population. Chinese businesses and holdings are spread across major towns of the Territory. There are several extensive Chinese supermarkets and specialist Asian emporiums, many Chinese restaurants, as well as clubs and associations. There is a Chinese school, a Chinese language and cultural centre, and the Chinese Temple. There are now six associations which cater for the social, cultural and support needs of the Chinese communities, whether they are new Australians, or have been a part of the Territory generations.
The Northern Territory government is very supportive of the Chinese community. As an example, in 2004-05, the Martin Labor government approved a total of $245 000 to be paid over three years to the Chung Wah Society for extensions and renovations to the existing museum, community hall and associated amenities of the Chung Wah cultural centre under the Ethnic Communities Facilities Development Program.
The Chinese contribution to the economy of the Northern Territory continues to grow. One of the present major developments is the construction of the Chinatown complex in Darwin. It must be acknowledged that the Northern Territory and, in particular, Darwin owes a huge debt to the Chinese pioneers. Their active contribution in building the Territory is remembered in the beautiful 19th century stone buildings that remain, the many streets and locations named after prominent Chinese Territorians, and the active cultural and civic commitment made to the community.
On behalf of the Northern Territory government, I congratulate the Chinese community on this occasion of the celebration of their New Year and wish every member of the community prosperity and wellbeing throughout the Year of the Dog.
Personally, I would like to thank the Chinese community for giving me the great honour to welcome the lion in this House today. It is the only Parliament House in Australia that is blessed every year by the lion.
Dr LIM (Greatorex): Madam Speaker, I thank the minister for making this significant appreciation of the Chinese community in the Northern Territory. Far be it from me to say that I speak on behalf of the Chinese community, but I know that many Chinese living in the Northern Territory share my sentiments and my pride that the Chinese community has been able to contribute to the development of this fair state of ours - it may be called the Northern Territory for now.
The Chinese have contributed throughout all fabric within the Northern Territory from Darwin to Nhulunbuy to Alice Springs. Wherever you go you will see the presence and effect that the Chinese have had over the century they have been in the Territory. From humble labourers to significant business people, from sports people to senior public servants, they are everywhere.
In Alice Springs today, as we were having our Chamber blessed here, the Chung Wah lion danced his blessing on the Alice Springs community as well.
It is of great significance that in the Territory we can share this sort of culture in such a harmonious way. I am proud to be standing here in this Chamber representing the Chinese people and the culture that we bring to the Territory; enriching the culture that we have, and showing that, indeed, in the Territory, if nowhere else, different cultures, different races, people of different ethnic groups, can live together in absolute harmony. Nowhere in Australia would you see a Chinese temple, a Buddhist temple, an Islamic mosque, and a Christian church all in the one street. That is the way we show the rest of Australia how we can live in harmonious cooperation.
Let us hope that we will continue to see this for the next many, many centuries. Thank you to the minister.
Mr VATSKALIS (Multicultural Affairs): Madam Speaker, I thank the member for his contribution. He is quite right to be proud of his heritage; everybody should be proud of their heritage. I am also proud to be in a community where we do not discriminate against people – we do not live in ghettos, but we live with each other. I have Chinese, Italian, Muslim and Christian friends. I call many members of the Chinese community dear friends. I am very honoured to celebrate their celebration, and I extend a warm invitation to them to celebrate my invitation too. Let us not forget that the Chinese financed this place and the Greeks were the builders. The proof is Chinatown.
Eni Australia Gas Deal
Ms MARTIN (Chief Minister): Madam Speaker, I am pleased to report to the House on recent developments in relation to a gas deal that will supply most Territorians with power until 2034. In December last year, there was a heads of agreement reached between Power and Water Corporation and Eni Australia for the supply of up to 860 petajoules of gas over a 25-year period. This is the first step in securing a long-term gas supply for the Territory beyond 2009. The heads of agreement binds Power and Water and Eni Australia to work exclusively together over six months to conclude the necessary commercial terms to develop a gas sale agreement for the supply of gas from Blacktip. If the gas sale agreement is reached, it will create significant business and job opportunities for the Territory, including the construction of another gas pipeline and production infrastructure worth around $750m. Work is well under way to reach this agreement.
There is plenty of gas in the various fields to our north. The issue has always been to ensure we get the best deal for the Territory. While there have been ongoing discussions with a number of potential suppliers of gas, it was Eni Australia which provided Power and Water with a credible and attractive supply rate from Blacktip. Reaching this heads of agreement was an important milestone and opportunity for the Territory, but there is much work to be done during the next five months.
A major part is the construction of the gas pipeline that will run from Wadeye, where the gas will come onshore, to meet the existing Amadeus Basin to Darwin gas pipeline. We are actively engaging with relevant parties concerning the construction of this pipeline link, which will run from Wadeye to join the existing pipeline near Adelaide River. This major infrastructure project is estimated to be worth, as I said, around $750m in business and jobs for Territorians.
While the gas currently used to fuel our power stations originates from fields in Central Australia and is piped north, I am advised that it is a fairly simple engineering process to get the Blacktip gas, which will enter the pipeline near Adelaide River, to flow in both directions, fuelling power stations along the way. The estimated reserves of gas in the Blacktip field is approximately 1.2 trillion cubic feet of proven and probable gas. This is a lot of gas and more than sufficient to meet the Territory’s gas supply needs in the long term.
The first delivery onshore is expected by 1 January 2009. To meet this delivery date, and to ensure Power and Water has continuous gas supplies in this interim period, government has established a steering committee made up of key representatives from Power and Water and my department, the Department of the Chief Minister. This steering committee will ensure key milestones in this major infrastructure project are met and will provide regular progress reports to the Minister for Essential Services and to the government’s onshore gas task force.
The next key milestone is the actual execution of a detailed gas sale agreement. The steering committee is working to a deadline of 30 June, and is confident of meeting this. The next major milestone is to reach a gas transportation agreement concerning the transportation of gas from the Blacktip field to link with the Amadeus Basin to Darwin pipeline, and from there into our power stations. Discussions are under way with a number of pipeline companies on the construction and operation of the gas pipeline. One of the major issues identified in building the new pipeline is securing land access. The Power and Water Corporation has recently written to the Northern Land Council to start those very important discussions.
We are in a very gas rich part of Australia and it is inevitable that the Territory will see much of its growth fuelled over the next few years from gas developments. The Territory government looks forward to Eni Australia and Power and Water concluding this exciting deal for the Territory and will be working hard towards securing this gas sale agreement over these next six months.
Members: Hear, hear!
Ms CARNEY (Opposition Leader): Madam Speaker, I thank the Chief Minister for her statement. When we all saw in the newspaper a couple of weeks ago the Chief Minister theatrically looking over the balcony down at the ship when it pulled up to get the gas, there was a look in her eyes which was ‘It’s mine, it’s mine, I did all of this.’ Not true, and the way the Australian Labor Party Northern Territory Branch rewrites history in relation …
A member: It is ours, it is ours.
Ms CARNEY: … to everything and, in particular, gas is nothing short of fascinating.
Mr Henderson: It belongs to the Territory.
Ms CARNEY: The Leader of Government Business already cannot resist having a go. Let us remind him of what he said in this place on 25 August 2005. The minister for Business said: ‘There was no gas project under the CLP’. How utterly extraordinary!
Every Territorian knows it is thanks to the vision of one Shane Stone and the CLP why we have a gas industry in the Northern Territory. I know the Labor Party is given to rewriting history but here are a couple of facts - I probably have 60 seconds left; so much to say but, oh, so little time.
The fact is that Sunrise is still dormant. This government failed to get gas onshore in a way that resulted in outcomes for Territorians; that is, their gas and power bills have not gone down. Indeed, under this government they have gone up. I note that the Chief Minister also talked about the new creation at Wadeye. Well, let us have a look at it. The fact is that the government’s solution to the supply of gas to the Channel Island power station is nothing short of farcical. Because this government was not able to secure a small supply from ConocoPhillips, not even a little, they are now planning to build a pipeline worth $350m – where will the money come from? – from Darwin to Wadeye. Now, it is within throwing distance.
Madam SPEAKER: Leader of the Opposition your time has expired.
Ms CARNEY: The government has failed when it comes to gas.
Ms MARTIN (Chief Minister): Madam Speaker, we have started another parliamentary year with the Opposition Leader, who should be better informed about gas, speaking to a full House the most amazing gobbledygook that I have heard - a scattering of half information …
Members interjecting.
Madam SPEAKER: Order!
Ms MARTIN: ... the important issue of gas supplies to the Territory, and …
Dr Lim: The pipeline from Alice Springs to Darwin.
Ms Carney: Yes, it is.
Dr Lim: Have you forgotten that one?
Madam SPEAKER: Leader of the Opposition. Order!
Dr Lim: The electricity that runs from Parliament House.
Madam SPEAKER: Order, member for Greatorex!
Ms MARTIN: Madam Speaker, there are important issues to do with gas supplies. We have just heard from the Opposition Leader mixing up Sunrise, Blacktip, and Mereenie, and not understanding the difference. I am unable, in a minute, to tackle all the misinformation from the Opposition Leader. I say that all Territorians are very proud of the fact that we have begun to be a gas exporter …
Members: Hear, hear!
Ms MARTIN: … and I am proud of the fact that I got up early in the morning and watched that LNG ship come into Darwin Harbour …
Ms Carney: Well, good on you.
Madam SPEAKER: Leader of the Opposition!
Ms MARTIN: … on behalf of Northern Territorians. Did I get a request from the Opposition Leader to join me? No!
Members interjecting.
Madam SPEAKER: Order, order!
Howard Springs Nature Park – Water Quality
Ms SCRYMGOUR (Parks and Wildlife): Madam Speaker, the state of the main pool at Howard Springs Nature Park, a popular spot for locals, has been the subject of much interest lately. I feel it is important that I put on the public record the reality of what is happening there and what we are doing to restore that park to its former glory.
There is no doubt that Howard Springs Nature Park, the first park in the Territory, needs a helping hand. We are dealing with a pool that is partly manmade but which largely relies on natural processes to ensure the quality of the water.
Over the last couple of decades, these processes have been compromised with increasing drawdown of the surrounding aquifer. This, combined with changing standards for acceptable water quality for swimming, means that Parks and Wildlife must take responsible action and close the pool for parts of the year.
The community has said very clearly that it wants the pool to be more accessible for swimming. Tourism operators want to be able to take visitors to see the barra and not a murky pond. Our government has listened and put in place a very specific plan to do just that. This plan has six specific elements to improving water quality. It involves improving water flow into the pool, aerating the water in times of low flow, reducing the nutrient loads going into the pool, ridding the pool of the accumulated muck in the bottom, better flushing of the pool, and establishing a water treatment regime.
All of these elements have involved specific action which I will now expand on. A bore at the reserve has been reactivated and used late last Dry Season to top up flows into the pool. This, in combination with aeration devices, improved the water quality significantly to the point where tests indicated that there was absolutely no danger to aquatic life. The turtles and barra were, and are, very happy.
In conjunction with reduced water flows, the accumulation of leaf litter in the pool has been a major cause of deteriorating water quality. There have been two factors at play. Firstly, leaf litter continues to enter the pool from surrounding vegetation. This has been dealt with by clearing a vast amount of undergrowth around the perimeter of the pool. The Larrakia rangers undertook this work late last year. Over the next couple of weeks, tree limbs overhanging the pool will also be lopped. It has taken some time to organise this because it is a specialist job and we do not want to leave the place a mess. The second factor at play is the accumulated weeds and leaf litter already in the pool which, if stirred up by swimmers, will release bacteria nutrients and foul the water. Parks has already removed large quantities of water weed from the pool and a biodegradable algicide was used to assist in breaking down organic matter. Today, a weed mulcher will be floated onto the pool to remove much more of the weed and leaf litter from the bottom of the pool, and then a sludge pump will be used to clean it up further.
The sluice gates have been opened to assist in flushing the pool and it is anticipated that this, in combination with the remaining Wet Season flow and all the other actions that I have outlined, will very considerably improve the capacity of the pool to sustain good water quality for swimming. This will be further assisted by treating the water with a product called Eco green which significantly reduces counts of harmful bacteria. Parks is confident that swimming should be allowed to recommence in the Dry but, of course, there may be times when it still needs to be closed to protect the health of all visitors.
Parks staff took me through these issues on-site last week and did the same for the community at a public meeting on the weekend. I hold the technical confidence of Parks in high regard. They advised me that this is the best option to be pursued in the Wet. Draining and excavating is not feasible at this time of the year and, while it may have been done in the past, we are dealing with a semi-natural system here and there are inherent risks of going too far with excavation work with the consequence that the pool will no longer hold water.
The facts are that all the commitments that I have made in relation to Howard Springs have been or are being implemented. Once we have the shorter term issues dealt with, we will then need to have a look at how we manage this area in the longer term. Parks is working on this; they are consulting with the community already and this will continue with a public meeting next week, and a draft plan of management to be released to the community this year.
Madam Speaker, government has taken action. Parks is doing an excellent job in rectifying this problem and I encourage all members to let them get on with it.
Mr WOOD (Nelson): Madam Speaker, I thank the minister for her statement on Howard Springs Nature Park. However, I say that it was the people who got the Parks and Wildlife Department going, not the other way round. Whilst I congratulate the department on what it is doing, it was the people who arranged the meeting on Saturday that Parks and Wildlife attended - not the other way around.
Eventually, on 22 February, we are having a public consultation meeting at Girraween Primary School, and I congratulate the government for doing it. However, let us get this very clear: nothing was being done until it was brought to the attention of the government that Howard Springs had problems. The aerators came in after a member of the public said the fish were dying - then they acted. The people had a meeting and said: ‘While the Dry Season is here and the level is low, we would like to dredge it, clean it out, etcetera’. That did not happen, and that should be taken into account because you are saying: ‘We cannot do that now because it is wet’. We know it is wet now and it is full of water, but we asked for action at that time and it did not happen.
I am very pleased that the minister has made the statement. We have to move on; we all want Howard Springs to exist as a popular recreation reserve where you can swim. Tourist brochures say it is a swimming recreation area, not just a nature park. Yet, it has hardly been swum in, except for turtles and barramundi and a few other little fish, for the last four years. It is not something that has all of a sudden occurred overnight. It is something the department should have really been doing something about a lot earlier.
Fortunately, we have people out there who take pride in Howard Springs Nature Park and they have made an effort, which has now driven the department. I appreciate what the department is now doing, and I hope they are notifying people that they are cutting the weeds today and removing sludge because that was the arrangement at the meeting. It needs to be acknowledged that this was driven by the public and that is what got this going, not the other way around.
Mrs MILLER (Katherine): Madam Speaker, I thank the minister for her report on the Howard Springs Nature Reserve. In the couple of years I have been in this House, I have heard about the problems they are having at Howard Springs, so I thought I would have a look myself in January. It is an absolutely beautiful area and, the day I was there, there were many families taking the opportunity to enjoy the reserve.
One of the things I took particular notice of was that the water was of terrible quality. I cannot understand how those fish can stay swimming there. They have beautiful, big barramundi there, the aerators were operating, plenty of turtles there. However, it is such a shame that we have a beautiful waterhole so close to the city without people being able to swim in it.
I am encouraged to see that Parks and Wildlife is going to be working on it. I am certainly encouraged to see that much work is being done. As the member for Nelson has said, this has been instigated by the people of the community who have been very distressed by not being able to utilise that area. It is pleasing to see that something is going to happen and it can be promoted as a tourism area for people to enjoy, as well as locals finally able to swim in that beautiful area.
Ms SCRYMGOUR (Parks and Wildlife): Madam Speaker, I commend the work that the Friends of the Springs have been doing and their commitment to working with Parks. It is a bit rich for the member for Nelson to say that it was driven by the public, and for the member for Katherine to say that it is good to see that government is finally doing something about it - if she had gone there before January, Parks have been and will continue to work on that park. It was 1986 when the former CLP government actually stopped any work to do with Howard Springs. All I say to the member for Nelson is keep the politics out of this, stop using Howard Springs as a soap box to get publicity. Whilst I recognise the Friends of the Springs, keep the politics out of it and allow Parks staff to do the work that they are supposed to be doing.
Reports noted.
COMMERCIAL PASSENGER VEHICLE AMENDMENT BILL
(Serial 32)
Dr BURNS (Infrastructure and Transport): Madam Speaker, I seek leave to present a bill without notice relating to the commercial passenger vehicles legislation.
Dr LIM (Greatorex): Madam Speaker, if I may ask for some clarification. I understand that the bill was to be given notice of today to be introduced tomorrow?
Mr Henderson: No, introduced today, to be debated next Thursday.
Dr LIM: It should have been due process. It is not going to be debated until Thursday of next week. Surely, we should go through due process, and have notice given today for introduction tomorrow and then we will go from there.
Madam SPEAKER: I am sorry, I had not heard the noes. Leader of Government Business.
Mr HENDERSON (Leader of Government Business): Madam Speaker, a point of clarification in speaking to the Opposition Whip’s point - there was a discussion last night, I do not know what he did not understand about that. We are bringing this in on urgency today, for the second reading today, and I do not know what the opposition’s problem is. This allows the intent of the bill in the second reading to sit on the Notice Paper on the Table as long as possible before it is debated next Thursday.
It is in the best interests of the industry and of Territorians who are interested in this legislation. It is being put through on urgency, and my colleague will explain that, but by reading the second reading today, it actually gives Territorians a longer opportunity to consider the bill and make comment if they so choose. In the interests of Territorians understanding why government is moving this legislation on urgency, it is totally appropriate to give the second reading today, to give the maximum amount of exposure of this legislation to the people particularly in the industry who would be interested.
Madam SPEAKER: Given that leave was not granted, it is up to the minister to decide whether he wishes to suspend standing orders in order to have this motion put through at the moment.
Dr BURNS: Madam Speaker, I was hoping to avoid this. My understanding was, with due deference to you, that it was carried on the voices …
Madam SPEAKER: No, I did not hear properly, minister. Leave was denied by one dissentient voice, minister.
___________________________
Suspension of Standing Orders - Introduce a Bill Without Notice
Dr BURNS (Infrastructure and Transport): Madam Speaker, I move that so much of standing orders be suspended as would prevent me from introducing forthwith a bill relating to commercial passenger vehicles legislation.
Motion agreed to.
___________________________
Bill presented and read a first time.
Dr BURNS (Infrastructure and Transport): Madam Speaker, I move that the bill be now read a second time.
The purpose of this bill is to amend the Commercial Passenger (Road) Transport Act and the Motor Vehicles Act. The amendments will strengthen the existing discretionary mechanism for the consideration of the fit and proper status of persons operating or driving in the commercial passenger vehicle industry. The government will be seeking urgency on this bill to be passed through all stages in these sittings. It is in the public interest that statutory officers have the power to be able to act quickly in removing certain people from the commercial passenger vehicle industry.
This bill I am introducing today compels a director under the Commercial Passenger (Road) Transport Act and the Registrar of Motor Vehicles to exclude those convicted of serious offences from holding a licence to drive a taxi, minibus, private hire car, tourist vehicle, courtesy vehicle, motor omnibus, limousine, special function vehicle, or special passenger vehicle on becoming aware a conviction exists. Those disqualifying offences are contained in the regulations which will be made by this legislation. Disqualifying offences are sexual offences against a minor; sexual offences against adults; and other serious offences such as murder, serious assaults and grievous harm. Offences committed in the Northern Territory, other states and territories, and overseas all qualify. The legislation addresses real concerns in relation to sexual offenders and offenders convicted of a serious offence holding licences or operating in the commercial passenger vehicle industry.
Members would be aware of community concern about sexual offenders operating or driving commercial passenger vehicles. In response to these concerns, I personally undertook to take action to ensure that there is no doubt that serious offenders and sexual offenders against minors are to be excluded from operating vehicles or driving passengers in the commercial passenger vehicle industry.
This is a new regime. It will impact on any existing operator or driver convicted of a disqualifying offence. It also sets a new standard for new entrants into the commercial passenger vehicle industry.
A particular feature of this legislation is that, where disqualifying offences are concerned, there are no grandfather provisions for those previously found to be fit and proper, in the knowledge of what is now a disqualifying offence, by the director under the Commercial Passenger (Road) Transport Act , Registrar of Motor Vehicles or the local court. There will be no exceptions. Where the director or registrar becomes aware that a disqualifying offence has been committed, that existing operator or driver will have their accreditation or licence to drive a commercial passenger vehicle cancelled.
This aspect of the legislation is retrospective but, clearly, in the public interest. Affected persons are, of course, able to appeal the cancellation on the grounds that exceptional circumstances apply to their particular offence. If an appeal is successful there is no longer a disqualifying offence for the purpose of the legislation.
The amendments are consistent with community expectations and other laws in relation to these types of people not getting access to positions of public trust. For example, the Teacher Registration (Northern Territory) Act 2004 contains similar requirements in relation to the exclusion of sexual offenders. All members of the community have a right to expect that those licensed to drive or operate commercial passenger vehicles are fit and proper.
Clauses 4, 6, 13 and 14 of the bill make it clear that the director or registrar must not grant or renew, and must cancel an operator’s accreditation or driver’s licence of a person who has been convicted of a prescribed offence. The new provisions will provide the necessary power to check on those currently in the industry and, if it is found that individuals have committed any of the prescribed offences, they can be immediately excluded from the industry. Power is also provided to suspend the licence of a driver, or the accreditation of an operator, should he or she be charged with a disqualifying offence pending the outcome of a court hearing. This will ensure that the registrar or director has the power to act immediately if a person has been charged with a disqualifying offence rather than the current situation that allows someone to remain in the industry and potentially continue to re-offend unchecked.
The provisions will enhance existing discretionary fit and proper requirements and will create a level of transparency as to what is considered unacceptable in the passenger transport industry. As already noted, a similar approach has been adopted in regard to teachers committing serious sexual offences.
Individuals excluded from the industry as a result of a disqualifying offence will have the right to appeal their exclusion on the grounds of exceptional circumstances surrounding the offence to the chief executive officer of the Department of Planning and Infrastructure. It will be up to the person to convince the chief executive officer that there are exceptional circumstances justifying their admission or reinstatement into the commercial passenger industry. Decisions of the chief executive officer will be appealable to the local court. Appeals to the court will be by hearing de novo, meaning that a court will look at all matters anew in regard to the case including reference to the legislation establishing disqualifying offences.
The bill makes it clear that the director or registrar must consider, in addition to other matters, whether a person has shown a pattern of committing offences in addition to disqualifying offences. This will serve as notice to applicants and licence holders that ongoing patterns of poor behaviour will be considered in assessing a person’s fit and proper status. The government has agreed that another unequivocal stance was required that sent a strong message to the community and the industry that these types of people should not be allowed to operate or drive passenger vehicles for hire and reward.
Accredited operators and licence holders will be compelled to notify the director or registrar immediately if charged with a disqualifying offence and when the outcome of the charge is known. Failing to inform attracts a penalty of 100 penalty units. The exercise of powers of the director and the registrar, and the offences which provide for exclusion from the industry, are consistent with both the Criminal Records (Spent Convictions) Act and the Anti-Discrimination Act.
Sexual convictions are never spent. For other offences, if the convictions are spent the director and registrar are required to have no regard to them. Our industry, generally, is comprised of people of good repute and, whilst these measures may sound harsh, they will ensure that the bar is set at the right level to protect the reputation of the industry and the travelling public. Those operators and drivers of good character have nothing to fear from this legislation.
Madam Speaker, this bill reflects the Martin government’s strong commitment to law and order and public safety, and will go a long way to protecting the good standing of the passenger transport industry in the Territory. The Commercial Passenger Vehicles Legislation Amendment Act 2006 will commence on assent. I commend the bill to honourable members.
Debate adjourned.
NORTHERN TERRITORY TOURIST COMMISSION AMENDMENT BILL
(Serial 30)
(Serial 30)
Continued from 1 December 2005.
Mrs MILLER (Katherine): Madam Speaker, tourism in the Northern Territory has been of great interest to me for many years, from being involved through the Katherine Region Tourist Association executive, a commissioner on the Northern Territory Tourist Commission Board, on the executive of Tourism Training, and on the committee of the Caravan Industry Association of the Northern Territory. In addition to that, with my husband and I owning the Red Gum Tourist Park for over 10 years, it is pretty fair to say that tourism is well and truly embedded in me and, also, that I not only view things through the eyes of a large corporate but those of a small business operator. It is also fair to say that I have seen some great times and some not-so-great times in the tourism industry.
The majority of operators who contribute to the largest employment figures in the Northern Territory are small businesses, and that tends to be lost very easily. They are the ones running their businesses hands-on, usually seven days a week, and put their trust in government to make the right decisions to support them.
The changes that are proposed to this legislation are, effectively, dismantling the Northern Territory Tourist Commission, previously housed in one location, and now to be moved into units scattered around Darwin. I am yet to be convinced of the benefit of this, and I do not quite understand the reason behind it. I often refer to the old but true saying ‘united we stand and divided we fall’. Unfortunately, this is the way I see this proposal. It is dividing all of the components of the tourism administration.
The renaming of the commission is something that I do not have much of a problem with; there are some people who say that calling it a commission is old-fashioned. Maybe they are right and it is time to look at another name. I would have thought that is not too big a deal. However, therein lies another problem.
When one wants to set up a business name, it is the most basic of requirements that you register a company name. It is a very simple process to do that, so how is it that this Northern Territory Tourist Commission Amendment Bill got through its second reading with the No 1 purpose of the bill being to change the name – Northern Territory Tourist Commission to Tourism Northern Territory - without somebody checking the company register? How was it that the name that was preferred was already registered to another company? How hard is it for legislators to look at the Australian Securities and Investment Commission’s web site to check this? It is not very hard at all; it takes even the most inexperienced person less than five minutes. It actually took me about two minutes to find that a private company had owned the name since October 1998. That is pretty embarrassing. To change the name is the No 1 priority and we cannot even get that right.
If we have messed that up and it has become complicated even before we have got off the ground, what does this say for the other proposed amendments? How much consideration was put into the detail of those? I hope to find that out during the committee stage.
The second and third amendments to the bill, effectively, ensure that Tourism has now lost its autonomy. As I have previously stated, the various tourism units are now scattered around Darwin, lost within other government departments to become just like any other government department – exactly the same as has happened to the Conservation Commission. We are talking about an industry that employs the most people in the Northern Territory, and it is going to become just another lost identity.
The current board is to be dismantled, to be replaced by an advisory council; the make-up of which is still unknown, except for the chief executive of the newly-named tourist entity.
I also, sadly, fear that the regional tourist associations are being further eroded from being involved in any participation in decision-making, and I feel that they have lost their linkage. The advisory board, when it is set up, to work effectively and efficiently must get independent information from all sectors of the industry, not just the big players. It is an all too sad fact that we will lose our diversity as the bigger corporates take over. Then, when the going gets tough, or it does not suit their corporate plan, they pull out. Representation from all sectors of tourism must come from right across the Territory to ensure that the information that the advisory board receives and makes decisions on is balanced and in the best interests of all. There must be a mixture of big business, small business – and not just from the large accommodation providers.
Do not ignore the many small operators who contribute so much to the tourism industry, especially in regional Northern Territory. Regional Northern Territory relies heavily on the tourism industry for its continued survival and therefore should not be, and must not be, ignored.
It does not seem that very long ago that the Northern Territory Tourist Commission was held up as the premier tourism organisation in Australia. We were different, we were special and we were looked up to. I believe the proposed amendments to this bill make the Northern Territory no different to any other state or jurisdiction. When I look back on the reasons of why we were admired, the first one that comes to mind and remains outstanding in promoting the Northern Territory was the marketing campaign that featured Daryl Somers promoting, ‘You’ll never, never know if you never, never go’. Many people started to say; ‘Gosh, that’s getting a bit boring – we need to have something new, we need to have something different’. Well, I am a believer of if something is not broke, do not try to fix it.
Some new marketing gurus decided that Daryl had become stale. It was time for a change and next came the ‘It will never, never leave you’. Well, that one certainly left me. We started to lose our different image overnight. One of the reasons was that the marketing decisions were made by people who did not understand the Territory at all, and that is where Daryl Somers had it all over them. He loved being here and it showed when he was presenting his campaigns. I will bet there are not too many people in this Assembly who can tell me what marketing campaigns have been pushing the Territory in the years since ‘You’ll never, never know’ finished. However, I will guarantee that most people here could remember that particular campaign, and that is what the Territory needs again. It needs the spark of something outstanding that puts the Territory right out there above the rest of Australia.
Another important factor in the respect that the Northern Territory had was the work the Northern Territory Tourist Commission carried out through its dedicated staffs’ commitment to promoting and improving the industry. This was achieved by ensuring that all sectors of the tourism industry were involved through consultation which led to decision-making that had achievable outcomes.
Another area I believe needs to have a strong focus if we are to attract tourists back to the Northern Territory is product development. There are many fledgling operations throughout the Northern Territory which have great potential that need nurturing and additional assistance so that they can develop. This is vitally important to the future of tourism - to foster and encourage these new businesses.
I know the Chief Minister is going to say that that is DBERD’s job. However, I make no apology for saying that DBERD is a government department that does not understand a great deal about tourism. Leave it to the people who do know, and that, I believe, is the specialised role of the Tourism Development Unit. There could also be a role for the regional tourist associations to be supportive and to assist industry development with operators through the Tourism Development Unit, trusting, of course, that that unit will still be operating independently and not swallowed up by DBERD. It is a great mistake to think that public servants know tourism better than those who are involved in the industry for their livelihood.
Over the years, the blame for declining numbers of visitors to the Northern Territory has been placed on the likes of 11 September, SARS, Bali, and the withdrawal of airline services, and they are all very valid reasons. Although much closer to home, I believe worth considering, is the very obvious lack of shopfront exposure that the Northern Territory has in other states and territories throughout Australia.
When there were interstate offices in all states - and they were called bureaus then, a pretty old-fashioned name - there was a face-to-face role with the public. I believe we need to get back to that to attract our national tourists. We need to have our product in the face of consumers constantly and the competition out there amongst states is fierce. I believe we are way behind. Sure, I know that we now have a joint shopfront in Sydney with Tasmania. I believe that the Territory has to attract the Australian traveller far more than it does and it needs to be in other states. The numbers of international visitors coming to Australia is still down, so the competition is fierce within Australia for our national market. The Northern Territory needs more of the share and one way of doing that is by having shopfronts in prime locations in each state.
The last thing I wanted to speak about today is the way this government showed its lack of respect to the tourism industry with the launch of the marketing campaign for 2006. The invitations were sent out for Wednesday morning, 8 February, at the Wharf Precinct. My invitation went via goodness-knows-where but finally arrived via fax a couple of days before the event. As I said earlier, I have a great passion for the tourism industry, and support the hard work of the people who operate in it. I accepted the invitation for two people and made sure that I was on the road from Katherine early. Arriving at the Wharf Precinct with 10 minutes to spare, it was obvious that there was no function there. A member of the soon-to-be defunct Northern Territory Tourist Commission apologised for my inconvenience and advised the event had been cancelled the previous evening and would be rescheduled for a few day’s time for which an invitation would be resent.
Madam Speaker, you may be surprised but, of course, I was not, and that invitation did not arrive.
According to the newspapers, the launch was on Sunday. The tourism industry is known for supporting launches and promotions enthusiastically, and is a pretty positive and active industry. What a smack in the face that was for the representatives of the industry who had wanted to be present at that launch, with many of those key players having left for the interstate annual muster, and with others involved in the industry not even invited.
You continually amaze me, Chief Minister, when you say how wonderful your government is with your support of tourism and, yes, the additional funding was certainly very much appreciated, not optional, it was imperative. Then you make a botch-up with something as fundamental as the launch of the marketing promotion for the year, not to mention the illegal use of a company name. If you cannot get that important thing right, I am very wary of the amendments you are proposing. Therefore, I do not support the amendments to this bill.
Before you get to your feet and say that I am bagging the industry, for which you, Chief Minister, have a great habit of doing when you have to counter any criticism, you need to understand very clearly that this is an industry for which I have the greatest respect. It is not the industry that I am bagging, Chief Minister, it is you.
Mr HENDERSON (Business and Economic Development): Madam Speaker, I wholeheartedly support the bill introduced by the Chief Minister and the Minister for Tourism. I cannot help but pick up on some comments from the shadow spokesperson and the negativity surrounding the changes that are being introduced today. In my position as minister for Business, Industry and Economic Development, I had not heard any negativity in the industry regarding the changes. Most people are either ambivalent or positive about it. There is certainly not a huge ground swell of opposition to the quite commonsense amendments that are being made here today, and the evolution, I suppose, of the tourism industry in the Northern Territory. I just wonder who the shadow minister is talking to about this great negativity that is out there.
In trying to be helpful, I encourage people with shadow portfolio responsibilities that when government does propose a significant change, if the shadow spokesperson is concerned about government’s intent or the effect of legislation, that they get a briefing to fully understand …
Mrs Miller: I have been knocked back for two briefings by your government ministers in January.
Mr HENDERSON: I am sure that the Chief Minister can answer for herself to that effect. When I was a shadow minister for a couple of years I would approach the minister’s office directly, seek a briefing. I pay tribute to the previous governments; I was never denied a briefing when I was shadow minister. It was always very helpful for me to sit there with senior public servants and CEOs and be taken through legislation. Most legislation that goes through this House - probably about 90% of it - has bipartisan support because it is commonsense. When you are an opposition spokesperson to get a briefing from senior departmental officers through the minister’s department helps prepare you for debate on the second reading.
Moving on to my comments as Minister for Business and Economic Development, with the passage of this bill, the new agency of Tourism NT will become an autonomous entity under my Department of Business and Economic Development. It will operate autonomously as a statutory authority as the Chief Minister has said. However, I can say very confidently that, through our shared CEO in DBERD, Mr Mike Burgess, those two areas are working much closer together. As the member for Katherine would know, there is a saying out there that tourism is everybody’s business, and it is. To have the mainstream offices of DBERD, the prime vehicle for government industry, business strategy and policy, working hand-in-glove with people from Tourism is absolutely commonsense, particularly with the government’s intent and aspiration to further develop our regions of the Northern Territory and look at infrastructure and new products, and how we can encourage that product to develop. Having Tourism NT working with DBERD makes much sense.
The charter of Tourism NT remains the same: to market and develop the Territory as one of Australia’s leading tourist destinations. Where is the fear there? The charter is the same. As I say, most people I speak to in the industry are pretty ambivalent about the change. This new structure will allow government to better integrate and focus its efforts of developing the tourism industry throughout the Territory.
At an operational level it will mean stronger synergies in marketing, promotion and product development, and enhanced business and training support for small tourism enterprises. My department of DBERD very successfully runs a large number of business development workshops across the Northern Territory. Integrating that in with the efforts of tourism and their understanding of the industry is going to be good for small business. It will not just be the case in the major centres, but throughout the regions. It will allow us to better focus on growing regional and indigenous tourism, and on policies related to the development of the small and medium enterprise sectors of the economy. Small and medium enterprises are, and will continue to be, our most important economic sector. They are resilient through economic cycles and make the greatest contribution to consolidating and creating sustainable jobs.
There is no more important sector from an SME perspective than tourism. This sector accounts for around 5% of gross state product, $500m in value – a proportionate contribution greater than in any other state or territory in Australia.
Tourism has created and sustained 14 000 jobs across the Territory in direct and indirect terms. For every $1m invested in the tourism industry in the NT, $1.1m worth of output is created in the rest of the economy. For every 100 jobs created in the industry, 76 jobs are created in the rest of the economy. From the econometricians, I think they are called, in my department tourism has one of the highest multipliers in jobs created in the tourism industry, and reverberates through the rest of the economy.
The benefits from the industry are more widely dispersed than any other sector of the economy, making it vital to the regional development of the Territory and to indigenous economic development. Building capacity in our regions and indigenous communities is a key priority for the government in this term. It is no secret that some of the more remote areas of the Territory are not enjoying the considerable economic growth being experienced in places like Darwin. Our task is to support these remote communities to develop and sustain local projects that will lead to economic prosperity and job opportunities at a local level.
Tourism has been identified as a key economic opportunity in every region of the Territory. Tourism will also be factored into any future regional and local development plans, and having Tourism NT within DBERD, which has the job of overseeing and supporting these plans, will allow this to occur as core business. Places like Adelaide River, Pine Creek and Tennant Creek now all have regional development plans with a focus on tourism. Just last week, the Chief Minister launched the Batchelor Tourism Development Plan. Government is supporting these projects that will open up the regions and help them reach their tourism potential.
The Northern Territory is the leading indigenous cultural tourism destination in Australia. More and more people from overseas are seeking out a more authentic Australian experience away from the major towns. The Territory can supply this in spades. Some indigenous communities already do this well. For example, the Tiwi Islands capitalises on its unique and thriving arts and crafts industry by offering art tours. For most, the potential and opportunities remain untapped. My department’s Indigenous Business and Industry Services Unit, the Indigenous Economic Development Unit and Tourism NT’s Indigenous Development Unit are working with many communities and individuals on how they can become involved in the growing tourism industry.
One project my department is helping develop is Bawaka Cultural Experience. It is the realisation of a long-held dream of Mr Timmy Djawa Burarrwanga to start a cultural tourism business at his homeland of Bawaka, Port Bradshaw, East Arnhem Land.
Mr McAdam: ‘Bawaka’.
Mr HENDERSON: How do you say it? Bawaka. I defer to the local member.
It is the type of enterprise that my department is working to try to develop across the Territory. Timmy and his family are passionate about making his business viable. They are starting small, learning the ropes, and slowly growing the business with assistance from DBERD, the Yirrkala Dhanbul Community Association, Tourism NT and Alcan Gove.
Bawaka Cultural Experience’s aim is to run tours where people are able to learn about the Yolngu way of life, their environment, culture, and sacred sites, thus promoting cultural understanding. Also, they see this as a way to employ and train local Yolngu and teach them to take responsibility for their future. Their short-term goal over the one to three years is to operate tours for Alcan Gove G3 workers. Their long-term goal, three to five years, is to expand the tours and accommodation and provide tourism hospitality and customer service training for Yolngu people at Bawaka.
Timmy and his family have provided a number of pilot tours including for a management team from Alcan Gove G3 and a group of international visitors. All were impressed with the authenticity of the experience. Regular tours for G3 workers will start next month. I have met Timmy and spoken to Klaus Helms at Alcan and they are very excited about this. Some of the G3 workers, on a recent visit that I made, were saying they work pretty hard - 12 hours a day and six days a week; many of them work overtime - and the opportunity to get out there and, for the time they are based in Gove, to experience the wonderful and unique flora and fauna and coastline of the Top End area in Gove is something the workers want to do, and they will pay to do it. It is a great local initiative. Development of this enterprise is providing to be a good model for tourism in the area and will, hopefully, be replicated.
The creation of Tourism NT will take support currently provided by government for tourism developments even further, making it core business alongside regional and indigenous developments. With the growth of the industry comes new opportunities within the sector itself and across industry sectors such as the construction industry. To take one example: the very successful Darwin Airport Resort opened last year with 130 rooms is already expanding by an additional 70 rooms.
The measures that would result from the passage of this legislation will allow us to continue to build an environment where the tourism sector is able to grow and become more innovative. As I said at the start of my contribution, this is all about evolutionary change in the structure of the tourism industry in the Northern Territory. The recognition from government and the Chief Minister that tourism is everybody’s business - to be brought into the mainstream of government working alongside the main economic driver of government in strategy, policy and service delivery, in industry development and building capability and capacity of business management - makes a lot of sense for such an important industry.
The industry is going places. We were all genuinely excited with the announcement of Tiger Airways late last year coming to the Northern Territory: 700 seats a week, a magnificent coup for the Northern Territory.
The construction of the convention centre in Darwin is very exciting. The people who will be operating that convention centre are very excited about the future. The challenge really is to spread the impact of tourism, through enterprising job creation throughout the Territory. That is, jointly, my task, working with the Chief Minister and the Tourism minister, and I can certainly see very real benefits from this change. It is evolutionary.
For the shadow spokesperson to say that the industry is up in arms about this change, well, she must be talking to different people than I am, because I have not had that sort of feedback. I fully commend the legislation that is before the House and look forward to working with the Chief Minister into the future in developing our regions.
Mrs BRAHAM (Braitling): Madam Speaker, I have no problems with the legislation. I have problems with the spirit of the legislation. Why on earth are we making a name change for the sake of changing it? We have to ask a few questions about this. Why do you want to change it, Chief Minister? What do you think changing a name is going to achieve? Let us face it, our tourism is healthy, it is vitally important. We have said much about tourism. Things have happened, without a name change, under the old banner. There are things ahead that we are very pleased about - some of the indigenous tourism ventures are great. The Centre in Alice Springs is certainly very vital and has marketed the Northern Territory very well. So, I have to say, why? Are we just making a name change for the sake of making it? What difference will it make when it is changed?
When I look at the second reading speech, the Chief Minister says that it is going to establish this organisation as a statutory authority, and it will operate as an autonomous entity under the same portfolio as DBERD. That is a contradiction – how can you be autonomous when you are working within another portfolio? You are either autonomous or you are not. Joining them together has taken away that autonomy. We also hear tell it is going to be a statutory authority, so it is a GBD. Is not that a bit unusual in the Northern Territory? The advice given to me was that there is no precedent within the Northern Territory government in respect to the proposed integration of a statutory body within another government department. So, I am asking you, what other statutory authority comes within another government department? You are confusing it.
Tourism needs to be autonomous; it needs to have its uniqueness. That is what has captured in the nature of Australians to overseas visitors for years. Part of your rationale is that it aligns with the contemporary approach taken across Australia by other tourism organisations, for example, Tourism Victoria and Tourism Western Australia. Now we are losing our uniqueness; we are just becoming the same as everyone else. Why do we have to adopt the same name as the rest of Australian states? What is the purpose? You are taking away something that has been vital to this Territory for a long time. Tourism Australia, Tourism Northern Territory, Tourism Victoria – it just conforms with everyone else, and that is something we have never done in the Territory. We have always had our own uniqueness. Why should we be conforming so that the name conforms with the rest of Australia?
Chief Minister, I believe you are doing a disservice to the Northern Territory Tourist Commission by doing that. Let us face it: there is nothing that has happened in the past that would say that it had not been a successful organisation. In your press release you say it is going to boost jobs – tourism changes to boost jobs. I am not quite sure how a name change will boost jobs. It is what happens within the department that boosts jobs. It is what happens with the marketing, it is what we present that gives us jobs, not a name change.
I am concerned about the aspect of the two departments working side-by-side. I would have thought cooperation should occur anyway within all government departments without placing them together. Should we not already have departments cooperating across the board? We have the co-ord meeting in Alice Springs where other government departments get together to talk about what they are doing. Why should we suddenly assume that there is going to be greater cooperation between DBERD and NT Tourism when that should have been there in the first place? All government departments should be working together; they should not be working in isolation.
By having your own unique department the emphasis that you want to put on it can be enhanced by your focus, rather than having to seek additional assistance from DBERD or from another government department. I just feel as though your integration of this statutory authority is taking away some of its status, its independence, its autonomy. You should think about that. I guess the proof will be in the pudding, but I do not see that it is going to create more employment, or create a better image.
What about the costs, Chief Minister? We already have literature which is branded with the Northern Territory Tourist Commission logo and I could not imagine how much literature would be still around in all our tourism centres with that brand. How are you going to change that? Every time a government department makes a change to its name there is a huge cost to the taxpayer for stationary, branding, signs, offices - you name it. I would be interested in what cost is incurred in this name change. Do you have an estimated cost of getting that name changed? It is probably going to be greater than you expect. When you think about it, all the advertising that you have in your Sydney office and everywhere is not going to change overnight, is it? Certainly, there is not going to be the name change overnight because you could not do it. You have to implement slowly. I believe there is a cost that is not completely necessary.
When you have two CEOs, who has the seniority: CEO Tourism or CEO DBERD? Which minister has clear directions? Does the Minister for Tourism have to inform the CEO of DBERD whenever you are talking to the CEO of Tourism? Will there be confusion within their roles? Will there be confusion with the ministers they refer to? Who is going to clearly delineate between you and the minister for DBERD? Will the CEO of Tourism go to the minister for DBERD, or will she only ever go to you? There is confusion there: who will be the most senior? Which of the operations within tourism will be autonomous from DBERD? Will there be any staff changes? You have not mentioned that. Will there be staff changes to lessen the staff in Tourism to go to DBERD or vice versa? Perhaps you could clarify that for us also.
The advisory board: what is in a name? There probably should have been an advisory board in the first place because that is what you expected them to do - to give you advice. Chief Minister, when you do it, you make sure the representation is across the Territory. Let us not have this Top End-heavy board that we sometimes see. I know you have had some very good people from other regions of the Territory on the commission so let us make sure that we retain it. Do not forget that in any advisory board you need to have that wide representation.
I did have a briefing, Chief Minister. We pointed out what we thought were irregularities in some of the wording and numbering of the act, but I am pleased to say that I have been advised that is all going to be covered in committee. That is good to see. I understand why people are sometimes reluctant to have briefings. I know I said this last time …
Members interjecting.
Mrs BRAHAM: It is a strange thing. I must have had a little sign on my head yesterday that said ‘Hit me! Hit me!’ because I did have three briefings. I sometimes worry about the arrogance of a government. However, you worry even more about the arrogance of minders. Their status is perhaps overemphasised for some of them. However, I appreciate the briefings I did get on this because it did clarify, even though it did not convince me, that what we were going through in this exercise, the huge change in name and everything, was necessary. I guess it is going to happen and all I can say is the proof will be in the pudding.
The proof will be when tourism is on the rise, when we have more jobs, when we have more visitors and when our economy is booming. So, in 12 months time, let us sit back and ask: ‘What has this actually achieved? Has it done what you wanted it to do, or what really do you want it to do?’
Mr BURKE (Brennan): Madam Speaker, I support the Northern Territory Tourist Commission Amendment Bill.
Before I begin, I express my condolences to the family, friends and work colleagues of the young man tragically killed on the waterfront project.
As this is the first time that I am speaking during these sittings and, indeed, the first time this year, it is fitting that I again acknowledge the Larrakia people as the traditional owners of the land on which we meet. The Chinese New Year clicked over on 29 January, as we all know, and we had the lion dance this morning, so once again ...
Mrs Braham: Is this relevant to the bill?
Madam SPEAKER: Order!
Mrs Braham: What relevance is this?
Madam SPEAKER: Order, member for Braitling!
Mr BURKE: I was going to wish you a happy New Year, but I shan’t.
Madam SPEAKER: Member for Brennan, you may wish to address the bill.
Mr BURKE: Madam Speaker, tourism is an important industry sector for the Territory. It provides jobs for fellow Territorians, injects money into our economy, and adds vitality to our communities. The Chief Minister outlined the purpose of the bill in her second reading speech. These purposes briefly are the name change for the organisation, structural change, and creation of a tourism advisory board. The Chief Minister has already spoken in relation to the change of name for the organisation. The areas I wish to address are the role of Tourism NT, the structural changes, and the opportunities for Palmerston.
I will briefly touch on three aspects of the role of Tourism NT as I see it – its marketing, its role assisting business involved in the tourism industry, and where it now sits in relation to the Regional Tourist Authorities. Tourism NT’s focus is international and interstate marketing. Members are no doubt aware that on Sunday there was a launch of the new stage of marketing campaign. This campaign involves strategically placed billboards in Australia’s major centres and advertising in national and international publications promoting the Territory. The marketing involves highlighting the letters NT in words such as ‘intrepid’, ‘entertaining’, ‘monumental’ and ‘intimate’ against backdrops of images from the Territory.
In order for the industry to flourish in the Territory, the government needs to assist in capturing more of the market share. Tourism NT is the vehicle for this to happen. Marketing is a fast paced industry whatever its product. The marketers must know their product, their industry and their buyers. What worked last year is unlikely to work this year. Travellers’ interests change. Who is travelling has probably changed. Possibly more important is the question: who is going to be travelling in the next six to 12 months and what are they looking for? These are the areas that Tourism NT addresses.
Our tourism industry operators are generally small businesses. They do not have the time or the resources to keep abreast of international and interstate trends. It is vital that Tourism NT fulfils that role. It is equally important that it makes this information available to local industry. We need to ensure that Tourism NT is in a position to identify for business the opportunity for new products, and to facilitate the creation of new products. This may result in new operators entering the industry, or existing ones expanding their capacities. Either way, it results in an expanded industry sector for the Territory.
Tourism is a hard industry; our local operators need and deserve government support. Tourism NT will not be usurping the important role played by the regional tourist authorities. Their role remains unchanged. Tourism NT will maintain its focus on international and interstate marketing, not intra-Territory marketing. That remains for the regional tourist authorities.
The Chief Minister addressed the change in the role of the board in her second reading speech. I wish to make a few comments only about this area. The board is removed from the management structure to an advisory role. Its input into directions of Tourism NT is not really affected. The change does, however, remove onerous management obligations. I say ‘onerous’ because legislation and case law place higher standards of duty on board members than ever before. We must remember that the advisory board will be made up largely by industry representatives who agree to be a member in their spare time. It is also appropriate that the Chief Executive of Tourism NT report directly to the minister without another layer of bureaucracy in between.
The tourism industry is dynamic, energetic and tough. It is also an industry that employs a relatively young work force. ‘Young, dynamic, energetic, tough’ – these words describe well the people of Palmerston. I could add others such as ‘resourceful, ingenious, and determined’. Tourism may not be the industry some members immediately associate with Palmerston. However, around Palmerston there is a rich World War II heritage. This is a market, I understand, that has been identified as one that should be developed further. A World War II trail, if you like, extends from Darwin down to Adelaide River. Many of the caravan travellers are interested in our World War II sites.
It is impossible to mention tourism opportunities and not mention Tom Finlay. I have previously encouraged members of the Assembly to visit his interpretive display gardens which highlight the different regions of the Territory. Some members are aware, no doubt, that Tom has now opened his ‘joint’, an adjunct to the garden; a wonderful new addition to the restaurant scene and in the electorate of Brennan too. Tom is a man of vision and is not afraid to pursue that vision. Needless to say, the stonemasonry is spectacular.
The Palmerston Regional Business Association includes a number of tourism operators in its membership list: Cazaley’s, the Hub, the Arch Rival, the Saigon Restaurant, the Mediterranean Restaurant, to name just a few of the places to go for a meal. In fact, I can particularly recommend the wood-fired pizzas at the Mediterranean. The PRBA does not just include Palmerston businesses, but includes businesses from all over the Top End. The Didgeridoo Hut and Art Gallery run by Janice Mitchell has long been a part of the local tourist industry. Wayne Zerbe, the President, and Ray Walton, the Secretary of the PRBA, do a sterling job attracting new members. They work ceaselessly on behalf of the PRBA members to promote their member businesses and the Palmerston region generally.
A recent example was the open day of the Life Balance Gym opened by Mr Byron Davis and Greg Oldroyd. It is a state-of-the-art facility servicing not just the Palmerston community, but obviously those passing through on the tourist trail. Wayne Zerbe was central to organising some our rising football stars, as well as past and present stars, to attend the open day. He also ensured that all local members of parliament knew about the event and attended.
One of the things that Wayne has put together to promote Palmerston is the Around Palmerston presentation. It promotes different businesses and is a wonderful tool for letting people know what is available in the Palmerston area. Ray, the secretary, may not be as visible as Wayne, however no one can question the hard work he puts in, making opportunities known to all their members and the tourist operators at Palmerston. Well done to both of them. I know that the PRBA members meet tonight at Tom’s Joint for the monthly meeting, and I am sure it will be another enjoyable evening.
One thing I would like to see Tourism NT incorporate, as it embarks on its marketing for 2006 and beyond, is promoting the Territory as your office when you are away from your office. Many business people, especially those with small to medium businesses, do not like leaving that business for too long. They cannot resist getting on the phone and the Internet to check up on things, even if they have been away only a day. I wrote part of this speech sitting outside on my patio in Farrar. As I got a bit hot, I jumped into the pool, got out and kept writing. I gazed around, looking at the birds and butterflies flit hither and thither, and thought to myself, people from overseas would probably kill to work in such a paradise as this. Maybe Tourism NT could help me lobby Telstra to expand its high speed Internet cable network to Palmerston to assist.
Ms SACILOTTO (Port Darwin): Madam Speaker, I provide comment and input to the Chief Minister and Minister for Tourism’s Northern Territory Tourist Commission Amendment Bill 2005 regarding the positive changes to the Northern Territory Tourist Commission. These changes, as already detailed by the Chief Minister, are:
- ∙ the name to be in line with the new marketing initiative, Tourism NT;
- ∙ the establishment of a Tourism Advisory Board, with a minimum of six members;
- ∙ an interactive participation between regional development and tourism portfolios; and
- ∙ a whole-of-government approach to a whole-of-government NT economic driver.
My electorate of Port Darwin is a fantastic and diverse area, with residential, commercial and small and large business. By far, I would suggest, the greatest number of tourism-related, supportive and reliant businesses are located in the Port Darwin electorate. Many are directly affected by tourism. Quite simply, many businesses rely on tourism for continued prosperity and growth in the Port Darwin area, including hotels, motels, backpackers facilities, restaurants, night spots, souvenir shops, specialty stores, historically significant sites, camera shops, Internet cafes – I could go on and on – we simply love tourists.
Tourism has a huge impact on a great majority of the Northern Territory. The Martin Labor government has recognised this fact and, along with consultation with businesses and industry experts, we are confidently looking forward at new and innovative ways the Northern Territory can be marketed, not just leaving the coming seasons to chance. The promotion of our Green Season is something that has not been tackled to this extent ever before. We have a fantastic product - the NT - both blessed by nature and innovative, entrepreneurial vision by our business community and local identities.
Like many Territorians, my family and I came to Darwin for a short time in the early 1980s and did not want to leave. A large part of the Northern Territory’s appeal is the Northern Territory personalities. However, we need tourists to visit the NT before we can showcase all of the wonderful facets that make us the intrepid, monumental, vibrant, enchanting and ancient NT. The people of the Territory are a special part of the attraction to the Top End, and this is reflected in the 2006 marketing campaign Phase 2 of the Share Our Story. The marketing campaign is dedicated to bold, eye-catching visuals and inspiring stories of our unique Territorians. The initial campaign was launched last year and has yielded huge success with a 39% increase interstate holiday-makers to the Territory. The roll-out of Phase 2 exhibits the commitment of the Labor government in supporting the tourism industry with a $2.9m campaign being launched.
The time of waiting for tourists to discover has passed. We have a fantastic product and we will continue to boast about it using innovative and imaginative ideas. An award-winning web site, TravelNT.com will have extensive promotions including billboards in major Australian cities, magazine advertisements and television ads. Whilst the ‘You’ll Never, Never Know’ campaign by Daryl Somers may have been a success in its day - I am not sure; I cannot remember - we have moved on.
With fresh and innovative ideas, we are a sophisticated and vibrant city. We have grown beyond doing the same thing year after year. We are supporting our businesses and tourism industry by listening to their concerns and through planning for the future, of not only the tourism industry, but in all areas of economic growth in the Territory.
In all business training it is taught: if you fail to plan, you are set to be planning to fail. This government is planning and moving with the future, not standing still waiting for progress to arrive. I strongly believe you either get on the train or you are left at the station. Tourism NT is on the train. I commend the active and forward thinking changes that the Minister for Tourism has made with the NT Tourism Commission Amendment Bill 2005.
Mr WOOD (Nelson): Madam Speaker, I feel I need to say it: it gives the impression that this debate is being brought to you by Tourism Port Darwin, Tourism for Brennan.
Ms Martin: It is Tourism Nelson, is it?
Mr WOOD: You do not have to talk about that, it is known worldwide. Everyone knows about Howard Springs: you never, never go until you swim.
Anyway, we need to get back to the point. The point is that this bill is simply about changing a name, and changing an advisory board to a different name, and moving a department into another department. I do not want you to jump the gun, minister, but your press release says you are the Tourism Minister. I do not know whether that should be the Minister for Tourism, or is that what you are normally called? Does that fit in with Tourism NT? I am not knocking it, but I just saw the name there and I thought the minister’s jumping into the name already: Tourism NT now Tourism Minister.
Ms MARTIN: I have been calling myself Tourism Minister for about two years.
Mr WOOD: Thank you. What I would really like to ask: why do we have to have a department under your name, but it is not really under you, it is in DBERD? If I am just a normal fellow and I say: ‘I want to see NT Tourism’ as it is going to be called now, why is it under DBERD? Why can it not be under your department, Chief Minister, and your CEO talks to the CEO who is dealing with regional development? We have this in other departments where you look down the list of ministers and there is a department there, but that is not the minister’s department even though it is under him, it is another minister who looks after it when comes to estimates. It just seems like a complex way of having government. It seems to me that we make things more complicated than they need be.
The reason I did not go to a briefing is because sometimes I think you need some debate about these issues in the House because they get written in Hansard. Briefings do not get written in Hansard. If I am to ask the government about some of the things that are in the changes they are putting forward, it would be nice to have it in Hansard so I can explain it to people in the tourism industry as well.
You say the need for this is to reflect movements interstate and nationally to adopt a more commercial character for tourism authorities. What does that exactly mean: a more commercial character? It worries me a little that this is going to become a commercial enterprise. Is its job to become a money-maker of its own and set itself up that way? Why do you describe it in that way? I would imagine its job is to promote the Northern Territory as a tourist destination - simple as that. I do not think that to change the name is any big deal.
I was just thinking to myself, if I was going to the shop and I wanted to buy a nice ice-cream, I do not care if it is a Streets or a Peters; I just know it is a Magnum. I do not know who makes them, but I know it is great. So, if I want to know what is great about the Northern Territory I am not worried about the name on the bottom saying NT Tourism. I see a picture of the Northern Territory; I just want a web site that says www.nt and be able to find it from there. There is a big spin about this name change. I am not going to die over it, but I listened to the speeches about changing the name. We are going to have enormous development - you are already doing that. All you are doing is changing the name! You are already pushing projects for Aboriginal economic development under the existing name. You are already having more regional development under the existing name. There is a whopping big spin on this sort of thing that is far greater than in reality. I listened to the speeches here; they are all great and wonderful. The reality is we are changing the name and we decided to put a big spin on that to say this is why we have changed it. It is great but I am not sure that the reasons you have given can be backed up by what has been said in the second reading.
One little thing does concern me. I was going to raise it another time and I am quite happy if the government would take it on notice. I was approached by members of the Northern Territory caravanners association. They were under the impression that this year there would be no Exploring Australia booklet. They decided to bring out their own caravan booklet showing all the caravan parks in the Northern Territory, even the ones that did not belong to the association. That will be given out to interstate tourist agents wherever, and they wanted to use the words ‘sharing our story’ on the front. They were told they could not. In fact they have now brought it out using the old logo, I think, of the brolga and the sunset.
Obviously, there might be a little politics in tourism promoting the Northern Territory, but I would be concerned if the taxpayers are paying for the Sharing Our Story logo that has been developed. I do not have anything particularly against it, you will always have people agree or disagree over any logo. However, if an industry asked if they could use that logo and Tourism NT looked at it and gave it the imprimatur saying there is nothing in that book that we do not agree with, is there a great problem with that? They were told they could not use it. That is where it worries me when you use the word ‘commercial’. Are they going to start thinking: ‘Well that is mine and no one shall touch it’, or ’Yes, we are quite willing to share all the logos and some of the advertising we do, as long as we check that your material is okay, is not running against our policies’. I will just ask the minister how commercial will this department be? Is it going to set itself up as ‘that’s ours and no one touches it’ or we can share it with other tourism groups in the Northern Territory to help promote the Northern Territory? That is just one of the concerns I have.
In summing up, I am not going to go much further. I understand what the member for Braitling said; we tend to copy everybody. I do make one note that when you change things like Tourism NT it will be harder to find it in the phone book. I will give you an example. If someone said look up the Electoral Office, you used to look up ‘NT Electoral Office’, but you do not, you look up ‘E’. Sometimes when you change things, people do not know where to find them. If you are looking for something like NT Tourism you knew it was under ‘NT’. It was the first place you go. Sometimes, when you change these names, people are not sure where to find them. You might say that is a minor thing but I have noticed, with some departments, when they have changed their name, it sounds flash but, in reality, it is difficult for people to look for that name because it does not make any sense.
You might ask what is in a name. It might look a new image, but I certainly think that the spin that has been put on it is far greater than the benefits that will come from it.
Mr MILLS (Blain): Madam Speaker, I was not preparing to speak. However, some of the comments made give rise to my need to say a couple of things.
I agree with the former speaker. This is simply a name change, it is perception, creation, and it is a marketing issue - power to you. This government has shown itself very adept at creating perceptions and investing a huge amount of taxpayers’ money in glossy brochures that have the sole purpose of promotion of the politics and the politicians behind the exercise.
I just have to cast my mind back to the time when I sat over where the member for Brennan now sits as a new backbencher, and the Chief Minister was sitting on this side of the Chamber as the Opposition Leader. They were almost hysterical at the level of glossy brochures and self-promotion that was being alleged to be pumped out by the then government. They were amateurs compared to what we see now - absolute amateurs. The amount of money that is going into promotions is extraordinary. Territorians would be shocked to see the amount of effort that goes into the creation of perception.
Reality is the most important aspect that satisfies our constituents. One is a reference to Tom Finlay’s Joint in Palmerston. It is a fine facility and I do applaud Tom Finlay’s marvellous efforts over a long period of time in a very difficult environment. Stone masonry is a hard and noble profession. I have followed his progress from the very earliest days when he always spoke of what was next, and of dreams and visions which, with his hands, he has actually made come to pass. However, in recent times he was given assurances and encouragement to seek assistance in helping to use a facility that he has put in place for the benefit of tourism operators, for the profiling of the Northern Territory, particularly the Top End. He was led to believe that he was going to get some assistance.
That caused an extraordinary amount of delay as he waited for bureaucrat after bureaucrat, along with local members, to have a look at his operation, wanting to poke around the place and assure him that everything was on track. The Palmerston Regional Business Association was running around the place. It caused a local business operator to delay his development considerably while the wheels, the cogs of the bureaucracy under the leadership of the Minister for Tourism, ground away. Ministers went there and ‘oohed’ and ‘aahed’ at all the wonderful goings on there. At the end of it, the private sector then had to count it as a great wasted opportunity and then to charter on without the assistance that had been promised.
That is very sad. There was a vision there, there were assurances and encouragements offered but, in the end, it came to nothing. Once again, we see the proud Territorian just charge on and make the difference on his own without the assistance that was indicated was perhaps available, which wasted a huge amount of time.
Secondly, concerning the Top End, that is, the glossy brochure; the look, the feel, the resonance of this whole product - you need to attend to some of the things that are really basic, like the product that is on the shelf. Recently, I spent some time, as I try to each year, at Gregory National Park. I was just horrified to see the decline of that facility: signs faded, roads closed year after year, flood damage from the year before and the year before that not repaired. If all those tourists who come up the west coast and they encounter the Northern Territory for the very first time, that is a great image as you cross into the Northern Territory - it looks beautiful. However, if you go to Keep River National Park or Gregory National Park, you will find that most of the interesting places are closed.
There was some flooding there about three or four years ago now. I have not been there most recently to see some of these areas that have been opened up, but there is a lot of work that needs to be done, and this is the sort of promotion and presentation we need to attend to. Some of the World War II heritage signs have been burnt. With subsequent spear grass fires and so on, some of them are quite hard to see. It is that sort of stuff I believe we need to get stuck into and start sprucing up some of our signs around the place so that we can actually do present the product well. It is those sorts of things that I would like to see the effort go into now, that we actually improve the actual product in real terms. That requires real grunt and real effort. It is easy to have these glossy brochures and that sort of stuff, and fine, but Territorians now want a deeper effort.
Finally, it has been brought to my attention, by way of a photograph of a monument which commemorates the contribution of a Territory pioneer, Mr Noel Buntine. I ask if the Chief Minister and Minister for Tourism has had the opportunity to look at this monument. It is an absolute disgrace, an appalling presentation covered in graffiti and completely defaced. I did not prepare for this, as I said, but I will bring those photographs in tomorrow and will present them to the Chief Minister to have a look at. That is the sort of presentation and promotion that we do need to see. The basics, the little stuff, needs to be spruced up. I will present that to you tomorrow and I hope to see, in line with the intentions of this change of name, that some of the little things will be attended to like signs and monuments around the place that are in a terrible state.
Dr LIM (Greatorex): Madam Speaker, I was not going to speak to this debate either. However, this morning on my e-mail I received a full report of the Roy Morgan poll on tourism, headlined ‘Australian tourists want to go to Melbourne but end up in Sydney’. It has a full report which gives a run down of all capital cities and also a brief mention of Alice Springs. I thought it would be good to get some of this on the record to ensure that our Minister for Tourism can take some note and ensure that the Northern Territory is adequately promoted by her new bureaucratic department.
Let me read from one of the graphs from the Roy Morgan report. It is: ‘Australian residents - summary of preference/intention/behaviour for Australian capital cities’, which means Melbourne, Sydney, Perth, Brisbane, Hobart, Canberra, Adelaide and Darwin – and Darwin rates the lowest. Only 6.9% of Australians have a preference to visit Darwin. When it comes to seeing how many of them have any intention at all - 1.6% - again, the lowest of the nation. In terms of behaviour, there is a definition there - it means Australian capital cities respondents have stayed for at least one night on their last trip in the last 12 months - Darwin rated 1.2% compared to Melbourne at 9.2%.
When it came to revisitation appeal, they compared all capital cities and this is what the Roy Morgan document had to say:
- Darwin and to a degree Hobart, Adelaide and Perth indicate comparatively low loyalty in terms of travellers’ desire to repeat visit.
There is a recognition that Darwin is a fair way away from any other capital city. The Roy Morgan poll says:
- … however their lower levels of desirability among travellers does present a challenge to engage sufficient interest for visitors to return for a ‘second look’, and for the destination not to be seen as ‘once-off’.
So, Chief Minister, you have a big job ahead and you have already not done too well over the last year or so that you have taken on this portfolio. You have travelled around but you have really done a poor job promoting the Territory.
A case in point, our backpacker visitation dropped by 40% in Darwin last year and 20% in Alice Springs. Tiger Airlines are flying into Darwin now. All we saw on the front page of the newspaper was: ‘Oh, great! We are going to have our second home in China and Singapore!’ That is not about tourism. This is about locals travelling out, taking money out of the Territory. What the Chief Minister should be promoting is being in Shanghai, Guangzhou, Shenzhen and Singapore, saying: ‘Let us use Singapore as a gateway to come to Darwin and use Darwin as a gateway into the rest of Australia’. That is what she should be doing. She should be doing that everyday, promoting that sort of visitation. Tiger Airlines can be of benefit to the Territory in terms of tourism coming in, rather than flowing out.
Coming back to the Roy Morgan report, it talks about revisitation appeal. I spoke about that just a little earlier. When you compare all capital cities including Darwin, the category of ‘capital city only holiday on the last trip’, Darwin recorded 0.2%. In the category ‘preference to revisit a city in the next two years’, Darwin rated the lowest at 39.6%, Melbourne rated 54.8%, and even Adelaide, which is the closest to us, is almost 41% preference for a return visit.
It is important for the Chief Minister to understand that she must continue to promote the Territory as a unique place to visit when she looks towards Asia to bring in the tourist numbers. Remember that there is only a very small percentage of people in Asia who are interested in ecotourism although it is slowly growing. Most Asian tourists want four and five star accommodation, travel in four and five star comfort whether by road or air, and want to stay in hotels with comfortable rooms and beds, and they want to go shopping. They come from the tropics. They are not interested in going to Kakadu to be stung by mosquitos and whatever. They want to have four and five star accommodation, travel facilities and good shopping facilities.
The Chief Minister, through the Tourism portfolio, needs to focus on that, otherwise you are not going to keep the tourists here, you are not going to get them to come back again, and they are not going to go back home singing your praises because they are just not interested at all.
I recommend that the Chief Minister reads this Roy Morgan report. It is not particularly long. The graphs are very easy to follow, and make sure that her CEO also looks at that, and ensures that the Northern Territory is better promoted than it has been since she took over the portfolio.
Debate suspended.
STATEMENT BY SPEAKER
Broadcast of Proceedings of the Assembly
Broadcast of Proceedings of the Assembly
Madam SPEAKER: Honourable members, I make a brief statement about increased accessibility to the proceedings of the Territory parliament. I advise that the entire proceedings of the Legislative Assembly are now available live on the Internet. This is a new initiative of the Legislative Assembly.
Radio broadcasters are currently experiencing some difficulties broadcasting Question Time into Central Australia. This situation has arisen because of the lapse of the agreement between 8 TOP FM in Darwin and 8CCC in Alice Springs. 8 TOP FM has negotiated a new agreement with Roots FM to recommence the broadcast to Alice Springs and I am assured this will happen as soon as technically possible.
In the meantime I wish to advise members that parliament can be heard via the Internet through the NT government web site at www.nt.gov.au. 8 TOP FM also provide a web cast and Ipod facilities for the broadcast of Question Time.
I will keep members informed as to the progress of broadcasting to Central Australia.
CENSURE MOTION
Proposed Censure of Government
Proposed Censure of Government
Ms CARNEY (Opposition Leader): Madam Speaker, I move that so much of standing orders be suspended as would prevent this Assembly from censuring the government for:
1. its chronic mismanagement of the Territory’s budget and finances in times of plenty;
2. irresponsibly amplifying an economic upswing with excessive government spending;
3. having to make up for the mismanagement by trying to sell Territory assets like the Territory Insurance Office;
4. failing to reduce debt despite massive GST revenues so that the government can position itself for the eventual downturn that will eventually occur when and if the economy cools;
5. allowing Territory debt and employee liabilities to spiral above the $4bn mark; and, finally
6. for its irresponsible fiscal management.
Madam Speaker, it will not come as a surprise to anyone who heard Question Time, particularly those who are familiar with the way the $8m-worth of spin is perpetrated by this government - and haven’t those spin doctors been earning their $8m in recent times? However, we know the body language in this Chamber, and we know when we are on to something because they get tetchy, they get defensive and, indeed, some of them become aggressive.
We have, in fact, been patronised by this lot for a few years now. They would do well to look at themselves and do the job they are paid to do; namely, come into this parliament, account to the people of the Northern Territory and afford them and, indeed, the opposition and other members of the parliament the courtesy of being honest and up-front when it comes to prosecuting questions in relation to the Labor Party’s management of the budget.
The government will, of course, try to spin its way out of this censure by focusing on the economy. I have, unlike probably most of the members here, read the Access Economics report into the state of the Territory, and I agree, the economy appears to be in a healthy condition at the moment, almost despite the efforts of this government and thanks to the foundations built by the Country Liberal Party such as, let us name them …
Members interjecting.
Ms CARNEY: Well, you can laugh all you like. The railway, is one; the port, is another one. Gas - and we all know what a shocking record you have in relation to that. They are some of the things that the former government provided to Territorians and, indeed, provided to this lot. It was really funny when the Chief Minister at the Alice Springs Convention Centre, built by the CLP, negotiated by the CLP, timing is everything and the Chief Minister goes there, cuts the ribbon and almost suggests to people that it was all her idea. I cannot remember the dates, but she had only been in office for a couple of months. The acting by the Chief Minister is almost extraordinary to watch and she never lets me down.
It is important, even for government members, to understand that there is a difference between the budget, the documents that the government produces every year around May, and on which we then to got Estimates, usually about June, and government documents, not manufactured in any way, shape or form by the opposition. Indeed, in most of the budget books - there it is, signed by Jennifer Prince the Under Treasurer, and what an outstanding Under Treasurer she is.
We are talking about the budget; government will talk about the economy. They are two different things. It is delusional to suggest that the budget under Labor is in good shape. It is not. Have a look through the mid-year financial report, have a look through the Treasurer’s Annual Financial Report that we debated at length. Indeed, the government was censured in relation to that document as well. I implore the not-so-busy backbenchers to pick up those documents. Some might describe it as not very illuminating bedside reading, but the more I get into this, the much more interesting it gets. We all have a responsibility to account to our electorates, particularly those in government, when people come to you asking: ‘Can we have some money for this, can we have some money for that?’. You will be asked at some point, where has it all gone?
Let us concentrate on the budget. It is always a pleasure for me to refer to the Australian Labor Party, Northern Territory Branch, document, before the 2001 election, called Good Governance. In fact, I like this document so much it is always tucked away in my drawer here in the event that any of the Labor members want a walk down memory lane. These were the days when they were an idealistic, optimistic bunch of individuals who, like all politicians, got into politics to make a difference and a contribution to the community. There were all sorts of lofty statements in here. I have been on the Parliamentary Record for a long time quoting these people. It was put to me that this paper called Good Governance is no longer on the Labor Party’s web site. I keep forgetting to check. I suspect it has been canned.
In any case, in this document, when the Chief Minister was Opposition Leader, she had a bit of a go at the CLP. She used words like ‘the CLP has squandered the opportunities presented by strong economic growth over the past decade’. Well, right back at you, Chief Minister, because it is the Australian Labor Party that has squandered the opportunities presented by strong - you say strong - economic growth. The economy is strong, we agree with you. Everyone agrees with you that the economy is in good shape - thanks to Howard and Costello, thanks also to GST revenue.
Ms Lawrie interjecting.
Ms CARNEY: Thanks also to - you will have your turn, member for Karama. What contribution you have to make in relation to the Territory’s budget, I have no idea. I am looking forward to it when and if you find the courage to get to your feet.
The Chief Minister in 2001 made some remarks in relation to sustainable - there is that word ‘sustainable’ - debt levels. The Chief Minister referred to a debt level of $3.2bn as being unsustainable. We are now, according to this Treasury document, headed for about $4bn. The Treasurer would have to agree with that. Therefore, by Labor’s own measure, they have failed to manage the budget. That is why we asked whether the Chief Minister was a hypocrite or was she just bad with managing money.
We ask what sort of fiscal management it is when, at a boom period of the economic cycle when governments traditionally retire debt, in this case the government continues to increase debt. Absolutely extraordinary! Other governments retire debt but no, not this government. It is not retiring its debt, it is adding to it. Hundreds and hundreds of millions of dollars worth of debt is being put on the slate, put on the card, by the policies of the Chief Minister and her friend, the Treasurer.
The Chief Minister knows, as does the Treasurer, as do - I can only assume and hope - Cabinet members, that the budget has been blown. That is why the TIO was on the agenda for sale. The Treasurer alluded to it in one of his answers this afternoon. He said that before he went on leave there were only a couple of letters in the paper and he was wondering when things might start to kick in; when the people of the Northern Territory might start to say this is not good. Well, they spoke, and in volumes. They knew that the government had blown its budget and this was a grab for cash. That is also why this government undertook and paid for focus groups - not with my money, not with the Treasurer’s or the Chief Minister’s money, but with our money as Territorians.
This man, the Treasurer, knew and, by his own admission, was expecting some sort of ripple which became a tidal wave of anger and distress at the prospect of the TIO being sold. They wanted to sell it - with their $8m spin doctors trying to create the impression that was not the case. Why on earth did you have your focus groups?
In any case, we understood the razor gang was in place towards the end of last year,. Labor called it a priority review. That is, obviously, code for razor gang. They met, and the Treasurer - and certainly his colleague, the Chief Minister - will never confirm this, but we understand that they are looking at other ways of putting their hands on the money that TIO would have provided.
We assert that taxes are on the agenda. This government and their spin doctors tried their very best to strategically leak to the media before Christmas and to try to soften everyone up for the sale of the TIO, but there were 14 000 rude awakenings. They came knocking on the door and they are not stupid, Treasurer, they know that it was a grab for cash. It is a matter for you whether you come clean. It is important that you understand that Territorians understand it for what it was.
In relation to the budget, I said at the outset that there is a difference between budget and economy. Even government members should understand that the budget is the money that this parliament votes to give the government to spend on the operation of government in the Northern Territory. It is at these times that the government should start to think about being smart with expenditure.
Mr Stirling: Ten minutes and you have not said anything.
Ms CARNEY: Do not be rude, Treasurer.
The Northern Territory received massive, unprecedented income in GST revenues. Even the Treasurer, from memory, is either on the Parliamentary Record or the public record admitting that. What a boon it is for the Labor Chief Ministers and Premiers because it is money the likes of which those states and territories have never seen before. With unprecedented GST revenue, what do we have? We have a government in a grab for cash.
Since the arrival of the GST, government projected some $350m in extra income from the Commonwealth over the past four years, but that is not all this government received. In fact, they got an extra $260m bonus windfall on top of that. When we are talking about truck loads of money we are seriously talking about truck loads of money, the likes of which has never been seen before. GST revenue into this government’s coffers in the period 2001 to the end of the financial year 2005 has been $7.4bn. This figure does not include the taxes and charges that this government has maintained as part of its own source revenue base.
In opposition, people will remember that the Labor Party canned the GST but, by God, don’t they love it now? And why shouldn’t they? What we want them to do, however, is to use that wonderful revenue and the opportunities it presents to manage the budget properly and to retire debt. But no, this government just simply will not do it.
The government’s plan back in 2001 was to restrict spending, retire debt and get the budget into the black by last financial year. Territorians will remember that they created this thing called the black hole at the time and introduced the motor vehicle registration levy. Who can forget that? It was a tax to design one thing and it was, along with this notion of the black hole, an attempt to damage the economic credentials of the CLP. The stage-managed black hole was the premise upon which the motor vehicle registration levy tax was based, and the moment people began blaming the government for the tax and not the CLP, this notion of the black hole really did evaporate into a cloud of political expediency.
It is the case that this government - hence I come back to the claim of hypocrisy against the Chief Minister - are all over the place; they cannot make up their mind. Early on they said that the CLP had squandered the opportunities presented by strong economic growth over the past decade. Well, what about you blokes? You have not done well. Let us revisit TIO; I am sure Territorians will continue to do so.
The overall economy began to pick up, which is not surprising, not long into the government’s reign. The gas was here, the railway was built, and there was growth in housing prices in Darwin on the tail of an east coast boom and, of course, our port was functioning. All of those CLP initiatives were beginning to bring home the bacon. It is important to remember that the national economy has been very strong for many years and, because of those sound fundamentals in place at a national level, Australia and the Territory rode out the Asian collapse of only a few years ago. It was because of the strong foundations.
The Australian Labor Party does, thankfully, understand or has, in fairly recent times, understood the need for major projects, and they thought they should have one all of their own. Based on the original plans of the CLP, they came up with their waterfront as a project in their image and, in spite some of the misgivings that some people have about various deals that may or may not have been stitched up and been appropriate, how will we ever know because this government will not tell us. However, the word around Darwin is that there are a number of deals done in relation to the waterfront that were not kosher. In any event, they are doing this waterfront, and that is good; we support it.
It should be all sweetness and light, but that is not the case when one looks at the budget documents. Budget Paper No 2 in 2002-03 predicted that by the end of 2004-05, the budget would be in surplus. That was the prediction. I refer members to page 88 of last year’s Treasurer’s Annual Financial Report. That patently reveals that that was not the case. Indeed, government departments overspent by nearly $100m last year. The piggy bank allocation in the Central Holding Authority was drained and there was a credit card bill of some $40m on top of that allocation. This is a whopping credit card bill!
This year, in the Treasurer’s Mid-year Report which we will debate during these sittings, this document predicts an overspend in the vicinity of $80m - an overspend. We had $100m blow-out last year. This year, the mid-year report - clearly called the mid-year report because it is a report midway through the 2005-06 financial year - says they have overshot the mark by about $80m, and this is only the six monthly report. We fear and dread what is going to be contained in the Treasurer’s Annual Financial Report in six or so months’ time.
Budget predicted a surplus of about $33m and, at the midway point, there is now a prediction of an $11m deficit - an $11m deficit. It is telling that in the area of nett lending/borrowing, the government is off track by $50m and the fiscal balance is, as a result, $138m worse off for Territorians. This was the government that promised a balanced budget by last financial year! Well, they got it wrong by a country mile.
They got much more income than expected. Remember the $460m …
Mr Henderson: We did not. It was a $51m surplus. That is how balanced it was - it was a $51m surplus.
Ms CARNEY: You can yell all you like, I do not care. … on top of what they originally projected or anticipated by way of the GST truck load of dollars? On top of that, they got $260m. Notwithstanding that, government managed to overspend by $100m – read the Treasurer’s Annual Financial Report. It is not hard. We look at the very documents that the Treasurer provides to us, and it really is a matter of just following the tables, and looking down the columns. They are all here. Any Territorian can see them. However, what this government does is look Territorians in the eye and just lie - they just lie! It is our job, of course, to expose the lies and to ask them if, they are not prepared to be honest with Territorians, perhaps they might do us all a favour and be honest with themselves.
In 2001, government members and the Chief Minister said that in three years we would have a balanced budget. Patently, it is not the case. When the Treasurer was asked at the end of the three years about the budget, he had this to say on 104.1 FM on 10 February:
- Well, the waterfront is a major part of the reason we are in deficit. We expect to be in deficit this financial year and the next couple. But for the waterfront, we would have probably been bringing in balanced budgets over the next three years, so that is well and truly factored in.
The only part of that gobbledygook that is intelligible is that we are going to be in deficit for the next three years because of the waterfront. Does this mean, if you follow the Treasurer and the Chief Minister’s logic, that the mid-year report, the half-yearly assessment of the government’s budget, is wrong? I ask the Treasurer this because he has told this House, on page 24 of the mid-year annual report, that he expects at least a modest surplus where departmental spending is concerned. How can he expect a modest surplus where departmental spending is concerned? What we do know is that a budget that was to be in balance by last year is not, and it will not be.
The Treasurer said that it would take another three years to be in surplus; a time, presumably, well after his retirement. The Treasurer says that the waterfront is factored in but, if it is factored in, then surely he must have been able to factor it in three years ago when he was planning the project. Otherwise, the Treasurer was deceiving Territorians years ago about being able to return a balanced budget if he knew at the time that there was going to be more spending than income. It just does not make any sense. Of course, we have the unfunded employee liabilities. That is Labor language, I suppose, for superannuation. That is a liability well into the future. These factors, as contained in the government’s own publications, show that this government is taking us further and further into debt. Of course, it is germane to revisit what Professor Percy Allan, a good Labor bloke, had to say after he was recruited from the deep south to give this government all sorts of advice.
Professor Percy Allan suggested - and the Chief Minister, of course, agreed with him, as you do when you fly up a consultant - that the level of Territory debt, $3.2bn or thereabouts, under the CLP was unsustainable. We are now heading to $4bn. If it was unsustainable then, it is, as a matter of logic, unsustainable now. If they became almost hysterical and found it necessary to levy the motor vehicle registration tax because of the unsustainable nature of the budget then, surely, heading rapidly as we are to a $4bn debt level, it also follows as a matter of logic that this government will come up with more taxes, because they have to pay for this debt somehow. It is just a matter of time. Hence, our questions today asking the Treasurer to rule out whether there would be job losses, tax hikes and so on.
The revised projections of nett debt and employee liabilities on page 7 are interesting. The Treasurer was at pains to refer to page 4. I invite him to look at page 7 of his mid-year financial report. Page 7 is a sad read. Six months ago, the government predicted a trend of those debts up to $3.6bn by 2008-09. In December 2005, two months ago, the projections were revised up to a whisker under $4bn in the same period. The Treasury or the Treasurer was out by some $400m. That is not beer money, Madam Speaker - $400m. Treasury must have been nervous, and the Treasurer should have been nervous. That is why the figures were revised up; we rely on the mid-year financial report.
No doubt, the senior contracts being provided to the $8m spin doctors on the fifth floor of this building were working overtime trying to spin their way out of this budgetary mess that Labor is taking us into, and they will continue to do it. Every time we say something about the budget, they say: ‘No, no, no, do not talk about the budget, talk about the economy’. The economy is in good shape; we are not arguing about that. We say it is because of the good financial management by the federal government and the previous initiatives of the CLP. I do not think this is rocket science. Even the Chief Minister and her Treasurer have difficulty with that.
Try as we might, the government and their $8m spin doctors try to spin their way out of it. They can spin their way out of it from a public relations point of view, but the budget books are the budget books. We look forward to the next budget books because, I dare say, they will be a fascinating read. We also look forward to watching the Treasurer over the next six months. I do not know how long he is going to be in the job. Word is he will retire. For the sake of the Northern Territory I wish he would, but we will keep an eye on this bloke. He can hide all he likes.
He can go away for a month when the issue of the Northern Territory, the sale of the TIO, is being debated. Where did he go? He went bush. He went somewhere for a month. He just disappeared. The Treasurer, when 14 000 people signed petitions, went somewhere - just not on. Not the sort of governance that we would expect from a Treasurer.
It is why they wanted to sell the TIO - they are running out of money. There is no doubt that that is the case. There is, of course, a human cost to the government’s crunching of numbers, and that is why we have referred to its mismanagement of the TIO, both in the censure and in the questions. I note the Chief Minister had to be dragged almost kicking and screaming before she said towards the end of her contribution: ‘By the way, personally, yes, I suppose I am a bit sorry’. Not good enough by half and staff and their families will remember that up to the next election.
Madam Speaker, so much to say, so little time. It is important to talk about the razor gang. Public servants are always a bit twitchy about razor gangs, as they should be. They are especially twitchy about this razor gang because public servants know how bad the books are and they know, as we know, that this Labor government has reverted to type. Big spending Labor governments cannot manage the budget and they become like Labor governments in the past that we have seen elsewhere around this country.
The TIO - we heard that there was a meeting. We would like to know what happened in there; we probably will never know. The Treasurer is continuing to play ducks and drakes and his conduct of the TIO issue speaks volumes. He was reported in the Sunday Territorian of 12 February in relation to whether he was planning to raise taxes. He says, and I quote: ‘We are in the budget formation state and we are not ruling anything in or out.’ He is on the record, and we look forward to seeing the results of this. He is under the gun, he is under the pump. We know that he will not want to be seen to be upsetting everyone because - well, maybe he might. He might use Territorians’ money to get some more focus groups. Maybe he might get some focus groups together at great expense. How much would it cost? A couple of hundred thousand dollars, I would have thought.
Get some focus groups: ask them whether they want to be taxed more. Ask them whether they want to pay more for their electricity. Ask them if they want higher motor vehicle registrations. Ask them, Treasurer, whether they want a government vaguely capable of managing the books. Ask them, Treasurer, whether they think a $4bn debt, unprecedented in the Northern Territory, is a good thing. I would suggest to you that they would say it is not. It just is not.
The GST windfalls, the stream of revenue does need to be touched upon in the context of this debate. We know we are on the Parliamentary Record and the Treasurer, if he is not on the Parliamentary Record may be on the public record, I think, confirming that GST revenue is going to fall, be reduced. It is a consumption tax, that is why it is going to fall. We understand that Treasury has advised the Treasurer of this, so what this means is less money coming into the Northern Territory. Is this bloke remotely concerned? Maybe he is because he is retiring at some point, I do not know. But this bloke does not even seem to care that budget debt is a whisker under $4m. GST revenues will fall. Even the Treasury people have told him that.
There were times of plenty: unprecedented $7.1bn, I think, in GST revenue. Where is it? Where on earth is it? In the face of all of these factors, why is it that this man – and, of course, we cannot forget that the Chief Minister used to be the Treasurer …
Mr Mills: Not for very long.
Ms CARNEY: She was not. Thank you, member for Blain. I think the Chief Minister, when she was Treasurer, to her great credit I might say, understood that she was not up to the job, not able to manage the Territory’s economy and budget and that is why she flicked it. That is why she said: ‘Member for Nhulunbuy, I cannot do this, can you?’ Territorians expect much better.
The word ‘unsustainable’ was used only a few years ago. We use it, and if Labor members were honest with themselves they would. I look forward to an answer. I know what the Treasurer is going to do. He is going to get up and go red, his veins are going to pop, and he is going to be condescending, patronising, rude and arrogant. Some people love him …
Mr Stirling: And interesting, informative.
Ms CARNEY: Interesting. Always interesting, never a dull moment with the Treasurer. Can you please, Treasurer - and I am appealing to your better nature - address this censure motion properly. Please do not fib. Do not tell whoppers. Can you tell us if something was unsustainable only a few years ago, what suddenly does make it sustainable? I commend the motion, Madam Speaker.
Mr STIRLING (Treasurer): Madam Speaker, I will say at the outset that had I been Leader of Government Business, I doubt this censure would have survived. You can get thin censures; you can get them to the point of transparency, as this one is. When you look at the costs of running this Assembly, I do not know, $7000 or $8000 an hour and the Leader of the Opposition has just burned up probably $3000 or $4000 in the biggest pile of hogwash you would ever come across in this place. If she wants to worry about cost she ought to put a bit of value on the time she spends speaking in here and put some quality into it.
I want to take the opposition through a few facts. One of the claims in this censure motion is that this government irresponsibly amplifies the state of the economic upswing at the moment. Let us look at Access Economics, an independent forecaster and probably the most highly regarded economic forecaster. They are certainly not known for their love of Labor governments, I would not have thought. They are saying that the Territory economy is turbocharged - not this government; Access Economics has said that. They are saying it is as good as it gets. They are predicting economic growth of 4.4% on average over the next five years; nationally-leading position. Access Economics: employment growth, 2.4%, second highest in Australia; predicting population growth of around 1.7%, second to Queensland, well above, of course, the national average of 1.1%.
The Australian Bureau of Statistics tells us that in the year to December - so we go right through 2005 up until December - retail trade was up 4.5%; motor vehicle sales up 7.1%; housing finance, 26.1%; residential construction value, 33.3% coming off a pretty strong base as it was; non-residential value, 7.1% up; our population to September, up 1.5% and since strengthening to 1.7%. They are outstanding numbers and each of them reflects something real in the state of our economy.
Residential construction, of course, means jobs for carpenters, plumbers, electricians, builders; new furnishings, its televisions; its Harvey Norman, The Good Guys, Chandlers, JB Hi-Fi, all of those out there selling whitegoods into this housing construction market that we have at the moment. That means more jobs across the retail sector.
Population figures: for each Territorian, our receipts from Commonwealth revenue go up between $8000 and $10 000. We welcome those Christmas Day and New Year babies and, in fact, all entrants to the Northern Territory as long as we can get the Census right in 2006 so that our population growth and actual population is as closely and accurately measured as we can, as ABS will later this year. To achieve a growth rate of 1.5% to achieve positive growth in interstate migration does have a strong effect on the receipt from the Commonwealth and, of course, it trickles down through the economy in a more broad sense. More people means more buyers out there in the market; more buyers means a greater retail spend; a greater retail spend means more jobs; more jobs means more people - and the cycle repeats itself. To be achieving that level of population growth at a time when Australia has gone through a relative period of slow growth is enough demonstration of the buoyancy of this economy.
All of those figures, as dry as they are, represent real people, real families, real jobs, and real confidence in the Territory economy.
I want to look at this idea of a budget blow-out, as referred to by the Leader of the Opposition in her speech. If you want to talk about blow-outs, we really need to understand what a budget blow-out is. Let us go back to 1999-2000 under the CLP: $100m deficit, even better in 2000-01 because they predicted, I think, a minus-$100m deficit, came in at $101m deficit. Now, there is a budget blow-out. We are going to have a deficit budget of about a $1m. That is, this government will spend $1m more in 2000-01 than it receives; that government spent $101m more than it got in. That is a budget blow-out. The year we came in, in 2001-02, the CLP predicted a $12m deficit; it was somewhere between $126m and $134m. It was only with a great deal of work and pain on behalf of this government and the Territory that we got that deficit down to $83m.
That is what we inherited - absolute three blow-out budgets in succession - and that was what was driving nett debt up behind these deficit figures. That is what we have turned around, and that is what a budget blow-out actually is.
Our first term fiscal strategy, of course, was to return the budget to at least a balance, if not surplus, from the parlous state it was in. By 2002-03, we did that and it remained there throughout our first term; we had three successive surplus budgets. The member for Greatorex said: ‘Oh, debt, debt, never gone down. I have not seen debt go down’. He has to have a look at the figures. In fact, when we came in it was, I think, $1.723bn. We got it down to about $1.623bn. Of course, it came down because that is what surplus budgets do. If you have surplus budgets, you are not out there in the marketplace borrowing extra money to get through that year and adding to the nett debt.
Regarding the blow-out, it is almost a waste of time providing the opposition with budget books. One wonders why we go to the trouble and expense of printing them. Perhaps we will just put them on disk for the Leader of the Opposition, because she said: ‘Now we have it. Your Treasurer admitted that you will not get back to balanced budget until 2008-09’. Well, hello! It was in the budget books of May 2005, the mid-year reports, and the Treasurer’s Annual Financial Report. I do not know how many times it has been publicly reported what we will have going forward.
The books do not show anything like an $80m blow-out as suggested by the Leader of the Opposition. What it does show, as I mentioned, are the surpluses in the previous years, the deficit targets of 2005-06, $68m; 2006-07, $53m; 2007-08, $21m; and a balanced budget in 2008-09. That is the strategy that government has embarked upon. There is no secret there; it is out in the public arena. Yet, she launched onto a statement I made that we will be in deficit over the next few years. Well, hello! I suggest she reads the budget papers next time we put them out so she is not taken by surprise by some of the things I quote from them.
The papers also show that we are on track to achieve those totals. What the mid-year financial review shows on page 24 - and this is, in fact, where the $80m is coming from – is an increase in expenses from the May 2005 budget to the mid-year review in November. They show a figure of $2718.239m jumping to $2798.667m. That is around about $80m. This is what she claims is an $80m blow-out. In fact, what page 4 of the same report shows are the reasons for all of those variations. There are two columns. One explains the cash position of the government at the mid-year. That shows that we received $35.1m in cash extra and above, and it shows we anticipated spending an additional $35m. The 2005-06 budget surplus deficit on page 4 says that the May budget said we would have a deficit of $68.1m for 2005-06, and the mid-year report or the revised budget figure for 2005-06 says $68.2m - so, a total difference there of $100 000.
With the $80m difference, what the Leader of the Opposition does not understand is that things change throughout the year - both expenditure but, most importantly, what comes into government by way of revenue. If one balances the other, you do not change the picture overall. If you did not have those variations, what the Leader of the Opposition would be saying here is that, when Cyclone Ingrid went through the north islands and Warrawi, I think, lost its school is: ‘No, no, no, sorry, you are going to be without a school for about 18 months because we could not possibly spend it this year because that would throw our budget out. So, we will see that you get the $2m for your school in 18 months time. Over the next 18 months, you are just going to have to sit under a tree and be educated’. That is absolute nonsense. Budgets, of course, change over the course of the year for a whole range of reasons. If the Leader of the Opposition read these reports that we trouble to provide them with she would understand it.
Increased receipts from taxes, and increased specific purpose payments from the Commonwealth are responsible for a big part of the additional revenue. Additional revenue from sales and, of course, additional expenditure on the expenditure side - a whole range of policy decisions and some announced in the election campaign; for example, the increases in stamp duty concessions - have to be paid for.
If you go to the right column on that page 4, you get the accrual position. It shows one additional factor - an increase in employee liabilities for superannuation. That figure is in there because the government’s actuaries have changed their assessment of what the government’s final superannuation payments will be over time, because they now have a view that with people living longer, government’s liabilities for superannuation are extended in an accrual sense. However, what will be realised in a cash sense over time is that they add a significant hit to the bottom line. Governments have funded superannuation liabilities on an emerging basis - always have, and we will continue to do so. Of course, over extended time the superannuation liabilities will even out. The baby boomer lump caused by the introduction of superannuation will be worked through and eased out.
There is no blow-out there, but we do know now where that $80m alleged blow-out comes from. It is an accurate reading of the figures on page 24. Does that mean the government is going to produce a deficit of $80m more than was predicted? Well, if that was the case, then we would be looking at $148m deficit. No, we are not - $68.2m.
Territory nett debts are fairly stable. When we came in, in 2001, it was $1.753bn. The member for Greatorex says we have not done anything at all about reducing debt. In 2002-03, it was $1.723bn. Well, I do not know what that $30m means. To me, it means that we lost $30m worth of debt. Again, the member for Greatorex is an educated person who ought to be able to read these figures. In 2003-04, it was $1.638bn. That is a further $55m down. In 2004-05, it came back up to $1.656bn. In 2005-06, it was $1.723bn, still better than we inherited in 2001-02. However, of course, these modest deficits over these next few years do add to that debt.
There is another important way of looking at debt. Before I get to that, the huge jump in debt prior to that, which really jumped up from 1999 on, was caused by those massive deficits I was talking about - $100m in 1999-2000, $100m again in 2000-01. Of course, they were by the CLP government and the railway contribution. We always supported the railway, but it was more than just the railway adding to that $100m. We were talking then about recurrent expenditure going on plastic, adding to nett debt, and that is exactly what was happening. There was no growth, there was no wealth creation in that debt - it was simply paying the wages and salaries of staff.
That debt has reduced because we have produced those three surpluses, and those surpluses have gone to the bottom line. At the same time you have a surplus you do not have to go out and borrow more money and, of course, further add to debt. Over the next few years, as I have said, that debt increases slightly with the government contribution to the waterfront, but it is a wealth gaining asset over time. We have never hidden that fact.
On the issue of gross debt, that includes nett debt plus employee liabilities. I have already explained why that is increasing – it is the increased superannuation liability assessment by the actuaries. The most accurate assessment to be made, though, is the debt to revenue ratio. That really tells the story of how government is travelling. When we came to office, debt to revenue was around 134%. Today, it is around 119% and will stay around that figure until the end of this term. As I have said, it would have reduced significantly further than that but for that new actuarial assessment around superannuation liabilities.
It is still heading in the right direction. In 2001-02, the actual outcome was 134% nett debt, employee liabilities to revenue; 2002-03, 131%; 2003-04, 118%; 2004-05, 119%; 2005-06, 120%; and on top, in 2006-07 at 121% before coming back down over the succeeding years. There is no blow-out there.
We get to the conclusion that it is really just a question of trying to get a smart political headline: that there has been a massive blow-out, and that government has to sell TIO in order to get themselves out of debt. I understand the political game. I understand why the opposition would try to prosecute such a case, but they have to have facts. They have to be able to substantiate their case in here, and that is the reason why I would have been loath, if I was Leader of Government Business, to take this censure on because it was a stupid statement. It is a statement that shows that the Leader of the Opposition has never read the budget books, has never read the mid-year report, except what has been put in front of her.
Ms Carney: I love it. Of course I read it.
Mr STIRLING: Well, it is quite clear that you have not read it when you said: ‘Now we have it! The Treasury admitted we are in deficit until 2008-09’. Go and have a look at the 2005-06 budget and you will see it all there.
It is an absolutely stupid statement that could not be backed up. The down side of these sorts of debates, and the side they do not like, of course, is that the opposition, in order to try to get something out to the Northern Territory News or the media to take away, talks down the Territory economy, and that is the sad side of this debate. Such as: ‘We are artificially inflating how the economy is going’. No such truth in that. Access Economics is saying all of those things about our economy.
In terms of the budget, I would suggest the Leader of the Opposition and the shadow minister get a briefing so that they do understand these reports, the mid-year report, the Treasurer’s Annual Financial Report, the 2005-06 Budget, so that you might have some greater understanding when we get to the 2006-07 budget. To come in and say: ‘Now we have it!’, just really puts the lie to it all.
Mr Deputy Speaker, I move that the question be put.
Ms Carney: Gagging us. So you are so arrogant you would deprive the opposition, the great numbers that we are, of having our say. That is outrageous. You are outrageous, you are offensive, you are absolutely disgraceful and you should be ashamed of yourselves.
Mr Deputy SPEAKER: Order, order! Order, Leader of the Opposition! The question is put.
Motion agreed to.
Madam SPEAKER: The question is that the censure motion be agreed to.
Motion negatived.
Mr Stirling: I did not hear any ayes.
Madam SPEAKER: Order!
NORTHERN TERRITORY TOURIST COMMISSION AMENDMENT BILL
(Serial 30)
Continued from earlier this day.
Ms MARTIN (Tourism): Madam Speaker, I believe everyone who wanted to contribute to this debate has, and I thank all those who did. Tourism is one of the most exciting aspects of economic development in the Territory. It is a delight for me to be Tourism Minister. We face challenging times in tourism, and the whole tourist framework has changed. The tourism industry and how people travel has changed quite considerably in the last four years. I know for those who work in the industry it is not as predictable as it was. Certainly, with the range of discount air fares and the other aspects that have contributed to the industry, it makes it much harder for those who work, particularly in accommodation, and for tour operators to know exactly what their market it is. It is a challenging area.
As far as being the Minister for Tourism, or as the member for Nelson was saying, Tourism Minister - is there something I should interpret in this? It is an either/or, member for Nelson. You can either be the Minister for Tourism or the Tourism Minister depending on which description you feel in any one day.
It is a most important industry for the Territory. I take it very seriously. These changes today, although in many ways they are simple changes to how tourism operates, are quite fundamental and really reflect how this government views the importance of tourism in our economy. It is the second largest contributor to our economy. As an industry, it employs the greatest number of Territorians – 14 000 plus; that is, more than 14% of our work force is dependent on tourism. It is not something that this government takes lightly. Maintaining the tourism numbers we have and growing them for the future is critical to my government’s strategies for the future.
I will respond to some of the issues raised throughout the second reading debate. I say to the opposition spokesperson, the member for Katherine, that if you are going to contribute to a debate - and I do not mean to be patronising - it is important to have a briefing first. Much of what you contributed to the debate was inaccurate because you did not have a briefing. We are very open to having a briefing. I would expect anyone in the House to ask for a briefing about changes to tourism. Most members in the House did have a briefing and it saddened me greatly that the opposition spokesperson did not ask for one.
Your first comment about these amendments to the act was that we are breaking up tourism. That is what you said – we are breaking up tourism and we are taking people and scattering them through the public sector – which is simply wrong. Walk along Mitchell Street and all those people who are in the tourism area will still be there. Let us get that point right.
We are not breaking up tourism. Of all the changes that will happen with this new association with DBERD, it is not a swallowing up by DBERD, it is a working with DBERD that will actually have the corporate services functions of Tourism NT and DBERD integrated. They are two smallish departments and there are real synergies to be gained from that. Maybe there will be a small number of people who might move but, in the integrity of who works in tourism, that will be maintained. There was nothing said, there was no intention of doing that and if it was going to happen I might have reflected it in the second reading. However, it is not going to happen.
The claim that Tourism will somehow lose its autonomy – I do not know how that was sustained either. A statutory authority, which is what Tourism NT will be, means that it has that statutory authority. It is an independent organisation working within what is the driver of our economy and that is the area of DBERD – Business, Economic and Regional Development. If tourism is not about regional development, I do not know what it is about. We have to make sure that our tourists who come here for that experience of our environment, for Aboriginal culture which is in our regions predominantly, that is what they are going to get. There is a real logic in bringing Tourism more closely working with DBERD so that the work that is being done on regional development can work closely with tourism.
We have a growing Tourism Development Unit in Tourism, but they are also working very closely and there are business development, regional development, and Aboriginal development issues that are all being dealt with in DBERD. Tourism is working closely with that.
I want tourism to work. I want tourist product to expand. How do you do that? You bring tourism and make it closer to the broader workings of government, with every aspect working more closely with an area like the Department of Planning and Infrastructure. The member for Blain was talking about getting down to signage and getting away from glossy brochures. It is exactly those kinds of things that we want - closer relationships between the signage that the Department of Planning and Infrastructure is responsible for along our roads and what Tourism is doing. It makes a lot of sense.
Tourism’s major responsibility is marketing. That is what we asked Tourism to do: market the hell out of the Territory; be out there, put our name up in lights! They are doing a great job - so great a job that, if we compare September 2004 on September 2005, we have a 39% increase in domestic tourists. That is a fantastic result, and it is a real tribute to the work of Tourism. We also have an increase in international, which is our difficult market, of 7% in that same year on year.
That is what Tourism is charged with: the development issues are there in Tourism, but to work and use the resources right across government. The first point is at DBERD, but also right across government: talk closely to the natural resources area, where Parks and Wildlife is, and to all other areas such as the Arts and Museums people, and every aspect of government. We are determined, as government and as a Territory, to grow tourism. That is the rationale for these changes.
Tourism, as a statutory authority, can work effectively in the marketing area, and that is why it still maintains its status as a statutory authority. I believe we have the best of both worlds. We have it working together with others aspects of government, but also maintaining its independence as a statutory authority. I am confident - I cannot say absolutely - we have the mix right. That is what this legislation is about.
The member for Katherine raised the issue of getting the name wrong. Yes, we did – we made a mistake. I call it a glitch. It will not be Tourism Northern Territory, but Tourism NT. It is actually a glitch that will work, because the second stage of Share Our Story has a really strong emphasis on ‘NT’. NT is recognised as us right around the country, very clearly. The new second stage of Share Our Story is using that very effectively, I believe. There will be billboards in Sydney and Melbourne, free-to-air advertising, and magazines and newspapers all with the new NT focus, in those wonderful words we are using, ranging from ‘vibrant, monumental, adventure, intrepid’ - all words that really describe the Northern Territory. While we might say it is a glitch, yes, we got it wrong the first time around. However, the solution has been a great one.
Tourism NT will work well as the name of the former commission going into the future. The member for Braitling said: ‘Why change it? NTTC is a good name; it is something we have grown used to. Why would you want to change it?’ There are two aspects of that. One is that every other part of Australia has gone to Tourism Queensland, Tourism Western Australia, Tourism South Australia. It is a more contemporary name.
The Northern Territory Tourist Commission reflects what the commission used to do. It had a board - and this legislation changes that - that effectively ran the commission. It is really the organisation and structure that is probably out of date, predominantly, around the country. It is an older name and practice. Now, we have a board, as this legislation reflects, that is an advisory board. I believe it is important to change the ‘commission’ name because it no longer reflects what a commission used to do. There are two aspects of that: to more honestly and accurately reflect what Tourism NT will do, and to move on with a more contemporary name that will work very well with our advertising.
It is interesting about the changes. The board actually initiated a review of their governance last year. They wanted to look at best practice in corporate governance. They got in Robert Smith, the Chancellor of the University of Ballarat, who has a specific expertise in corporate governance. His key recommendations were that the role of the board change to an advisory one. I listened. That was supported by the board; that it should not be a board that did day-to-day operations of the then commission, but be an advisory board.
What we have to get right in that advisory board is to reflect a balance of the advice I am going to get from the board. You have to have people who understand our local scene, the difficulties and the joys of being an operator in the Territory, along with advice on national and international strategy. Unless we get that balance right, we will not have an effective advisory board. It is very important to make sure that we are getting that national and international advice in our advisory board, because we work in a national and international market and we have to be able to match it with other states which are spending a lot more money on tourism; for example, Queensland, which has a bigger budget,. Considering the increase we put in the budget, I believe we are doing extraordinarily well.
The new marketing strategy is smart, it is targeted, and it is actually getting people thinking about the Northern Territory. What we want to do in this second stage of the Share Our Story rebranding is to get people who say: ‘Oh, I know about the Northern Territory, I will go there one day’, to say: ‘I will go now’. The advisory board is going to be very important, and we are going to be calling for expressions of interest shortly. However, we want to get that balance right; a reflection of working in the industry in the Territory - and that does not mean Darwin, it means, for the member for Braitling, in the Centre also - and also that international and national perspective.
To pick up another point that the member for Katherine made, she said that the halcyon days of Territory tourism were when we had Daryl Somers and ‘You’ll never, never know if you never, never go’, and people loved that. It was right for the time. One of the things that we did discover about the charm of Daryl Somers and that tag was that it did not actually convert people from saying: ‘I might go to the Territory one day’ to actually do it. It was a recognition factor. I am not saying he was not great. I am saying it was terrific, but you cannot stay with something that is not achieving what you need to achieve. That is why we have moved on. All credit to Daryl - thank you for doing that, hope we paid you enough. However, it was time to move on. The member for Katherine said: ‘If it is not broke, you do not need to fix it’. However, we have changed. We have seen, over the last 12 months to September, a 39% increase in domestic visitors to the Territory. Therefore, even if you say we should have stayed with ‘You’ll never, never know if you never, never go’, the new marketing is working. It is reaching our target marketing, and it is getting people to come here. We have to keep it, keep it going and modifying what we are doing, and further honing in on those travellers who will come to the Territory.
Just to put on the record that the member for Katherine again said that the RTAs have been gutted. Simply wrong. The RTAs are there, they are well, we are working with them, and we see their role as most important and effective – and the Katherine RTA is going well. Well done to the Katherine community. There is nothing in this legislation that says we are going to gut the RTA. If you had come for a briefing we certainly would have been able to answer that question.
I cannot let your comments about public servants go unanswered;. that you have to listen to the industry more because, basically, what would public servants know about working in the tourism industry? I am going to defend my public servants because they do know. They work very closely with the industry, and they certainly are committed to doing that. They listen and they respond. To my people who work in Tourism, you do a great job. Many of you have worked in the tourism industry and understand it. It is that balance of working with the industry, but being able to step back from it, from the day-to-day, and work effectively to get tourism numbers to grow. I have the feeling that the member for Katherine did not mean to be offensive, but I wanted to put on the record that I stand by my public servants who work in Tourism and do a great job.
I thank the member for Braitling for her mostly positive comments. Raising the issue of why would we move Tourism to DBERD, I believe I have answered that. The member for Braitling also questioned the cost of the name change. That will go through the system as letterheads get used, as brochures need to be replaced, those things will change. There is going to be no immediate cost to having the name changed from the Northern Territory Tourist Commission to Tourism NT.
The member for Nelson raised the issue of why not put Tourism in the Department of the Chief Minister. The Department of the Chief Minister is a coordinating agency and DBERD is where that economic and regional development is happening, particularly regional development. It makes good sense to put it there. It is not in the agency; it is just working more closely with the agency. Because of the importance of tourism to our economy it needs to be closely aligned with one of those big drivers of the economy and the big development areas. That is what I have tasked the minister to do which is …
Mr Wood: He should be the minister then.
Ms Carney: He wants to be Chief Minister, actually. It is just a matter of time.
Madam SPEAKER: Order!
Ms MARTIN: I am very happy being the Minister for Tourism and there are very clear lines of responsibility. The clear line of responsibility it will have now with an advisory board is that from managing director to me as minister is a very clear line that you have with every other department of government.
The issue about the caravan association, we will get back to you on that one, member for Nelson.
There was just a final contribution from the member for Blain who was very critical of glossy brochures and wanted more signage. I believe one of the things we have to accept that Tourism does well is produce those brochures and they are not all super glossy. Take this one which was distributed in other parts of Australia. These are very effective and very attractive. They get people in our target areas to think about it, and to convert thinking into coming to Darwin. If the member for Blain was suggesting that we should have black and white photocopied sheets of paper put out there, it will not work.
You have to have attractive marketing in a world where everyone has to have attractive marketing and find the niche. Brochures like this one, Darwin Share Our Story, are the ways to do it, and also attractive billboards, attractive advertising in magazines and newspapers around this country and the world. I thought it was also a very fatuous thing to say that Tourism NT, as it will be known, spends too much time working on glossy brochures. That is what I tasked them to do. They are not party political numbers. There is nothing in these that says party political. They are about advertising the Territory, about marketing the Territory.
I take his point that we have to do more on some of the signage and that is what we are doing, we are working on it. There are strategies in place. John Coleman, who now heads up our Tourism Development Unit, is very aware of that. Having come recently from the Department of Planning and Infrastructure, he is on to it. He is a great addition to Tourism and that whole development area is really starting to move.
All aspects of what we are doing in Tourism are strategic. These amendments to the act I believe will reflect that and that is what they are intended to do: reflect that tourism is not just an add-on to our economy but fundamental to our economy; reflect that the commission might have been something that worked in the past, but now we need an advisory board that effectively advises me as minister. That was the board’s own recommendation to me as well.
I thank all members for their contribution, even though there was some criticism of the enthusiasm of the members for Brennan and Port Darwin, I was very pleased to see it and thank you for your support. Even though the opposition cannot support these amendments I certainly hope they have the enthusiasm of this House and that, in their small part, they play a part in really growing tourism in the NT.
Motion agreed to; bill read a second time.
In committee:
Mr CHAIRMAN: The committee has before it the Northern Territory Tourist Commission Amendment Bill 2005 (Serial 30) together with schedule of amendments No 7 circulated by the Minister for Tourism.
Clauses 1 to 3, by leave, taken together and agreed to
Clause 4:
Ms MARTIN: Mr Chairman, I move amendment 7.1.
Amendment agreed to.
Clause 4, as amended, agreed to.
Clause 5 agreed to.
Clause 6:
Ms MARTIN: Mr Chairman, I move defeat of clause 6.
Mrs MILLER: No, I wish to make some comments about clause 6 and ask some questions. Minister, you have omit ‘Northern Territory Tourist Commission’ and substitute with ‘Tourism Northern Territory’ …
Ms MARTIN: Tourism NT.
Mrs MILLER: Okay. Well I have ‘Tourism Northern Territory’ in my copy.
Ms MARTIN: Do you not have the schedule of amendments?
Mrs MILLER: The schedule of amendments? Okay, so it is Tourism NT.
Ms MARTIN: All these amendments are about changing the Northern Territory Tourist Commission to Tourism NT.
Mrs MILLER: Okay, just a moment and I will have a look. I will get them. Thank you. So you have Tourism NT. Now, we are all very well aware that there was a botch up with this name. I have already done a check on this. I did a check on the company again today, and when I put in Tourism NT it still comes up as Tourism Northern Territory. It still comes up as the same owner. Is that right?
Ms MARTIN: When you put in Tourism NT?
Mrs MILLER: Tourism NT still shows that it is owned by the same person who owns Tourism Northern Territory. Is that correct?
Ms MARTIN: That is definitely not the case. Tourism Northern Territory is owned by Northern Gateway but Tourism NT is specifically kept for us in the Northern Territory in this context.
Mrs MILLER: Okay. Before this amendment was put through it was substituted for Tourism Northern Territory and that was obviously owned by Northern Gateway. How much did the Northern Territory government have to pay?
Ms MARTIN: To purchase a registered company name, you do have to pay. But Tourism NT is not a registered company name and that is available. We are using that.
Mrs MILLER: So Tourism Northern Territory now remains with the Northern Gateway?
Ms MARTIN: Yes.
Mrs MILLER: Right. So it did not cost the Northern Territory taxpayer any money at all to register this new name?
Ms MARTIN: No.
Mrs MILLER: Right. Thank you.
Ms CARNEY: Chief Minister, in relation to a comment you just made, you said Tourism NT, if I took the note correctly, is kept for you - meaning government. What did you mean by that? What do you mean by ‘is kept for government’?
Ms MARTIN: I will give you the technical description of this. The name Tourism NT has been secured with the Business Names Register. It is now currently listed as part of their listings and is actually called an ‘objectionable phrase’. Anyone else applying to use that will not be able to. It is now quarantined for use by us for Tourism NT from government.
Ms CARNEY: When you said it was part of their listing, the reference there is, I take it, to Northern Gateway?
Ms MARTIN: No. It is part of the Business Names Register.
Ms CARNEY: Oh, I see. Okay.
Ms MARTIN: It is nothing to do with Northern Gateway.
Ms CARNEY: Perhaps going back a step, government independently obtained this name, registered it in the way these names are ordinarily registered. Is that correct?
Ms MARTIN: Absolutely.
Mr CHAIRMAN: The minister has invited defeat on this clause. The question is that clause 6 stand as printed.
Clause 6 negatived.
Proposed new clause 6:
Ms MARTIN: Mr Chairman, I move amendment 7.2.
Amendment agreed to.
Proposed new clause 6 agreed to.
Clause 7:
Ms MARTIN: Mr Chairman, I move amendment 7.3.
Amendment agreed to.
Clause 7, as amended, agreed to.
Clause 8:
Ms MARTIN: Mr Chairman, I move amendment 7.4. I propose to omit proposed Part 2 heading and substitute it with Part 2 - Tourism NT.
Ms CARNEY: Mr Chairman, is that in relation to clause 4?
Mr CHAIRMAN: No, this is in relation to clause 8.
Ms MARTIN: Clause 8.
Amendment agreed to.
Clause 8, as amended, agreed to.
Clause 9:
Ms MARTIN: Mr Chairman, I move amendment 7.5
Ms CARNEY: Chief Minister, I guess I could have asked this question earlier, but there is no reason why I cannot ask it now. When the bill was initially presented, which I think was the December sittings last year, the bill that you laid on the table contained the name ‘Tourism Northern Territory’. You now seek to amend that. Is it not the case that Tourism Northern Territory was owned by Northern Gateway? Is that how I understood your answer before?
Ms MARTIN: Yes.
Ms CARNEY: When did you become aware that Tourism Northern Territory was owned by someone else?
Ms MARTIN: I assume the Leader of the Opposition was listening to my reply in the second reading debate. We made a mistake. Okay? We made a mistake; those checks were not made. We became aware of it after the bill had been introduced, and now these amendments are correcting that. As I said, it was a glitch, but it is a glitch with a very fortunate outcome because the name Tourism NT works better for our second stage of advertising under Share Our Story than maybe Tourism Northern Territory would have.
Ms CARNEY: I say, in passing, I agree that the outcome is much better. I am happy to revisit the debacle with Power and Water, if you like. Can you assure Territorians that you, your office, routinely checks when you want to rebadge or rename something, when you are talking about the names and/or the logos? Does your office check? Do you check?
Ms MARTIN: This is not rebadging a logo. This was a business name and it was possible to purchase that business name. I am not apologising; it was a mistake. You could stand in here and say: ‘Yes, you have made a mistake’, and go on and on about it. I am saying we have made a mistake and it has been rectified; therefore, we are going through with these amendments to correct that. As I said before, yes, we made a mistake. This has been an opportunity that gives us a real win/win. That is the case of it.
Ms CARNEY: Of course, in matters of this nature, it is not the first time a mistake has been made, when we think about the logo that was plagiarised in relation to Power and Water. Can you give Territorians an assurance that before presenting legislation in this parliament that you, as Chief Minister - ie, the boss - will check that the most fundamental searches and checks are done? You are laughing, and that is important to put on the Parliamentary Record, but this is pedestrian stuff. Do you take responsibility for this mistake?
Ms MARTIN: I am the minister; of course I take responsibility. However, in this House we introduce legislation and there are often amendments. You could run the same argument for every time we have an amendment. Many people contribute towards producing that legislation, and there is a lot of hard work and, yes, sometimes mistakes are made. I take responsibility, Opposition Leader. We are correcting that, and there were different ways to do that. The way we have chosen is to change the name and put in Tourism NT. I do not think it is a big deal. I could fall on the sword, it is not particularly useful in terms of development of the Territory. The former commission, soon to be Tourism NT, already own the URLs of TourismNT.com and TourismNT.com.au. So really, overall, it made more sense to have Tourism NT.
Ms CARNEY: Thank you, Chief Minister. I will not - no pun intended - labour the point. However, we are not talking about the garden variety amendments that are made to legislation when, for instance, the Attorney-General and others come under the pump. This is a change of name to the Northern Territory Tourist Commission, an organisation of which you and every Territorian is very fond. This is serious stuff. The fact that you or your office did not even check, I believe, is a worry. There are only four of us, and we have seen evidence today of government gagging us whenever it pleases them. You make our work and, indeed, the work of all Territorians very tough, Chief Minister, when you come into this Chamber, put legislation on the table and say: ‘This is what we are going to do’, and then months later say: ‘Oops, we forgot to check’.
Nevertheless, in relation to the name that you intended when you laid this bill on the table only a few months ago, was there any marketing undertaken by the commission in relation to the proposed name as it was, Tourism Northern Territory? If so, could you outline what that marketing was and how much it cost?
Ms MARTIN: I can understand the Opposition Leader sees an opportunity here to do her courtroom presentation and say: ‘We have you here’. I have said, and I do not know how more up-front I can be, that there was a mistake. There is an assumption that when we put legislation in the parliament for a period of time it is so that you can actually do those double and triple checkings. To assume that we would start some kind of change of marketing based on a bill that was in front of the parliament, and not an act, is extraordinarily poor form.
The Opposition Leader should understand that we had put the amendments into the House, they have not been passed. Of course, we would not be taking any action on that, so no. To say that somehow or other we had changed marketing names or anything like that, no, we had not. This is really a corporate name. We are Australia’s Northern Territory out there in the wide world, and this is the name of the organisation within government which does all that work. As I said in the previous debate, we are not going to race out and throw all the letterheads and everything else away. This will work through the system. It is a corporate name, and it will not change how we market the Northern Territory.
Ms CARNEY: I am not sure whether the Chief Minister deliberately misunderstood, or whether it was inadvertent, but since Christmas was fairly recent, I will give you the benefit of the doubt and put the question again. Perhaps I could put it differently, more simply, so that you will be able to understand it.
Chief Minister, in relation to the name Tourism Northern Territory, was there marketing undertaken in relation to that name? I can elaborate if you like. You are changing a corporate name of a significant entity. In the normal course of events - and I have heard you talk about tourism marketing whenever it pleases you - surely you would get either focus groups, consultants, whatever, and say: ‘We are planning on changing the name to Tourism Northern Territory. What do you think? Is it going to be catchy? Will people in Queensland and Western Australia think this is a good thing? Is this a good thing for the Northern Territory?’
That is what I am talking about. Did you undertake any marketing in relation to the name Tourism NT and, if so, what was it and how much did it cost?
Ms MARTIN: No.
Ms CARNEY: Thank you. That was not hard at all.
Ms MARTIN: I also say in response, Opposition Leader, that in terms of the corporate name, I do not undertake marketing when I am looking at how we might change DBIRD from the ‘I’ in the name to the ‘E’ in the name. This is a corporate name. What we do …
Ms Carney interjecting.
Ms MARTIN: Listen, listen. It is important that, if you have asked me a question, you actually give me a chance to answer it.
Ms Carney: It is important you answer it.
Mr CHAIRMAN: Order, Leader of the Opposition.
Ms MARTIN: Moving on.
Ms CARNEY: Thank you, Mr Chairman. I will assume from the conceit demonstrated by the Chief Minister and from the basis of her answer that there was no marketing in relation to the proposed new name; that is, Tourism Northern Territory. I wonder then …
Ms MARTIN: We market the name of Tourism NT.
Ms CARNEY: I wonder then …
Ms MARTIN: Tourism NT.
Ms CARNEY: Are you finished? I know you are a bit theatrical but ‘come back to me; look at me; look at me’.
Mr CHAIRMAN: Leader of the Opposition, get on with the question, please.
Ms CARNEY: Given that you were going to change the name to Tourism Northern Territory, why was it that you chose that name? Were you, Chief Minister, sitting at home one night and thought: ‘That is a good name for it’. What was the basis upon which you came to the decision to come up with Tourism Northern Territory? Where did it come from?
Ms MARTIN: Mr Chairman, it is not rocket science. If you go around Australia, in Tasmania they have Tourism Tasmania; in South Australia, they have Tourism South Australia. Guess what they have in Victoria? Tourism Victoria! It is not a rocket science name. If you had been conscious of what I said during the second reading debate that we were moving on from the structure of a commission, the nature of the board had changed, the nature of the board’s relationship with the organisation had changed, and the name should reflect that. We have Tourism Australia and the last time I looked we were living in the Northern Territory; it seemed like a good thing.
Ms CARNEY: Your arrogance continues to astound me, Chief Minister. I am terribly sorry we are taking up the resources of the Legislative Assembly by asking, on behalf of Territorians, questions. I know you do not like to be questioned. I know you cannot stand it. We will occupy our time asking quite simple and innocuous questions. We asked was there marketing? ‘No’, you eventually said. We asked: ‘Where did the name come from?’ You said: ‘Oh, everywhere else’. So now we are left in a position of saying: ‘Well, if you were happy with Tourism Northern Territory, notwithstanding the mistake - stuff-up some people might say - that you made when presenting this bill here, you are now satisfied with Tourism NT’, and that is a very fortunate outcome.
Chief Minister, when did you discover Tourism Northern Territory is owned by someone else?
Ms MARTIN: Mr Chairman, after we had introduced the bill into the parliament.
Ms CARNEY: When was the bill presented to the parliament, Chief Minister?
Ms MARTIN: You have already said that, Opposition Leader; that it came in the last sittings of parliament. That is not rocket science and I thought you realised that.
Ms CARNEY: Indeed, I do. My question was: when did you become aware that Tourism Northern Territory was owned by someone else? Your answer was: ‘Since it was brought before the parliament’. I want to know when. When did you find out about this? When did you become aware of it? A simple question; do us all a favour.
Ms MARTIN: I answered that; after these amendments had come into the parliament.
Ms CARNEY: After the amendments, did you say?
Ms MARTIN: After we had presented these amendments into the parliament did I become aware of it. So after the last sittings.
Ms Carney: Sometime between – what? It would have been late November, early December and we are now at 14 February. How did you become aware of it?
Ms MARTIN: I am struggling to see the relevance of this. We became aware of it. I was informed by Tourism that somebody else owned the name. There were negotiations and discussions following that, undertaken by the commission, and the final resolution of it was that we would go for another name - Tourism NT. There is no conspiracy here.
Ms Carney: I am not suggesting there is.
Ms MARTIN: There seems to be some implication from the Opposition Leader, Mr Chairman, that there is some conspiracy here.
I have been up-front and I have said yes, there was a mistake. That mistake was only discovered after the legislation came into the parliament. We had discussions after that. They were backwards and forwards as discussions are, iterations, and the final outcome was that we would use the name Tourism NT because it was not owned by anyone. We owned the URLs that were appropriate to that name - TourismNT.com - and it works perfectly well. If there are any other aspects that you think I have hidden up my sleeve, please ask me, but I think it is straightforward.
Ms Carney: Yes, straightforward questions often warrant a straightforward answer. Your twitchiness and slipperiness is always very entertaining to watch. It would save us - and the Treasurer is obviously worried about the cost of the lights and everything - a great deal of time if you would simply answer either yes or no, or add a bit here or there. You are making the process tortuous for some; thoroughly enjoyable for others.
I am wondering, Chief Minister, whether in the course of the negotiations to which you just referred, you made an offer to the owner of Tourism Northern Territory to buy the business name. If so, how much did you offer?
Ms MARTIN: We have commercial discussions with people who own business names. I do not think it is important to discuss that; it is a commercial discussion. What is important to know is what the outcome is. The outcome is that we have a name that we own. I suppose if you want to find out what those discussions were, go to the owner of the name. We have not paid any money, so it is not relevant.
Ms Carney: I thought that we on this side of the House, Chief Minister, if it is all right with you, might decide what was relevant and what questions we might like to ask. We always appreciate your wise counsel, but we thought that we might take this opportunity if it was all right with you to question you. I know again that you do not like it, but please do us all favour and get on with the democratic process.
Mr Chairman: Leader of the Opposition, please ask your question.
Ms Carney: Thank you, Mr Chairman. You have refused to disclose whether an offer was made for the name Tourism Northern Territory.
Ms Lawrie: She thinks she is in court.
Ms Carney: Well, I am happy. I am not going anywhere. I live in Alice Springs and we can take all night long. If you want to be provocative, stupid - that was the word used by …
Mr Chairman: Leader of the Opposition!
Ms Carney: … the Treasurer only an hour or so ago, then we can do that. I love this stuff …
Mr Chairman: Leader of the Opposition! Please ask your question.
Ms Carney: Mr Chairman, I do ask for some level of courtesy to be shown by government …
Mr Chairman: I am asking you to please ask your question.
Ms Carney: Thank you, Mr Chairman. You said, Chief Minister, that there were certain commercial discussions. You have refused to let us know whether an offer was made and, therefore, Territorians do not know how much you were prepared to pay.
Do you admit that it, therefore, follows that as a result of a mistake - you can pull all the faces you like, but stay with me, work with me, Chief Minister. Do you admit that on the basis of the mistake that you have accepted responsibility for, the mistake you made, that you then entered into discussions of a commercial nature and that you were prepared to pay the owner of that business name for that business name, for that entity and, therefore, you were happy to put your hand in the pocket of Territorians to pay for what was a stuff up? Is that the case?
Ms MARTIN: Mr Chairman, the Opposition Leader is in her courtroom manner; she thinks she is some high-flying lawyer. I am admitting something. What I said quite clearly - and this is the end of the matter, and not being arrogant - but the Opposition Leader is simply repetitive, and it is a waste of this parliament’s time.
We had commercial discussions. That is not appropriate; we had commercial discussions. Any lawyer would advise you that they are kept commercial. Of course, government has commercial discussions many times. The ultimate result of those commercial discussions is that we now have rights to a name. There has been no cost to the Northern Territory. We have rights to a name that is very usable and works well with our marketing strategy. Of course we had discussions with the company that owned the previous name. The resolution of those discussions is that we now have a different name. That is the answer to your question. We have not spent money; we have not marketed the name. We have not focus grouped the name. We have not tested, we have not gone out to the market because it is a corporate name. We have marketing strategies for the Northern Territory and they are under the Share our Story, the new branding, the whole effort that we have put in. This is a corporate name for what we call the agency which does the work. That is what it is.
There has not been money spent; we did not purchase a name. We did not have to purchase URLs; we owned the URLs. I believe there has been a good solution.
Mr CHAIRMAN: Leader of the Opposition, before you ask your next question, I indicate that the Minister for Tourism has indicated that she considers these questions to be repetitious and that she has answered them as fully as she is going to. I will just flag with you that if it is considered that the next question is repetitious, I shall seek to move on to the amendment as foreshadowed for 7.5.
Ms CARNEY: Thanks for the courtesy, Mr Chairman; I do appreciate that. I will leave it there in any event, because the Chief Minister has pretty much dug herself in. I will go off and take the obvious course of action. Thank you.
Mr CHAIRMAN: Minister, you have indicated that you will be pursuing amendment to 7.5?
Ms MARTIN: Where are we up to, Mr Chairman?
Mr CHAIRMAN: Clause 9, amendment 7.5.
Ms MARTIN: Mr Chairman, I move amendment 7.5.
Amendment agreed to.
Clause 9, as amended, agreed to.
Clauses 10 to 21, by leave, taken together and agreed to.
Clause 22:
Ms MARTIN: Mr Chairman, I move amendment 7.6.
Amendment agreed to.
Clause 22, as amended, agreed to.
Clause 23:
Ms MARTIN: Mr Chairman, I move amendment 7.7.
Amendment agreed to.
Clause 23, as amended, agreed to.
Remainder of the bill, by leave, taken as a whole and agreed to.
Bill reported with amendments; report adopted.
Ms MARTIN (Tourism): Madam Speaker, I move that the bill be now read a third time.
Motion agreed to; bill read a third time.
TABLED PAPER
Auditor-General’s February 2006 Report to the Northern Territory Legislative Assembly
Auditor-General’s February 2006 Report to the Northern Territory Legislative Assembly
Madam SPEAKER: Honourable members, I table the Auditor-General’s February 2006 Report to the Northern Territory Legislative Assembly.
MOTION
Print Paper - Auditor-General’s February 2006 Report to the Northern Territory Legislative Assembly
Print Paper - Auditor-General’s February 2006 Report to the Northern Territory Legislative Assembly
Ms MARTIN (Chief Minister): Madam Speaker, I move that the report be printed.
Motion agreed to.
MOTION
Note Paper - Auditor-General’s February 2006 Report to the Northern Territory Legislative Assembly
Note Paper - Auditor-General’s February 2006 Report to the Northern Territory Legislative Assembly
Ms MARTIN (Chief Minister): Madam Speaker, I move that the Assembly take note of the report and that I have leave to continue my remarks at a later hour.
Motion agreed to.
TABLED PAPER
Northern Territory Electoral Commission Report 2004-2005
Northern Territory Electoral Commission Report 2004-2005
Madam SPEAKER: Honourable members, I table the Northern Territory Electoral Commission Report 2004-2005.
MINISTERIAL STATEMENT
Northern Territory Economy
Northern Territory Economy
Ms MARTIN (Chief Minister): Madam Speaker, there is no doubting the strength of the Territory economy. In fact, in its latest business outlook, Access Economics, one of Australia’s most respected economic analysts and commentators, describes the Territory economy as ‘turbocharged’. Access has also forecast that Northern Territory gross state product will average 4.4% over the next five years. This compares with a national average of 3.5%, which ranks Australia highly among developed nations around the world.
Access backs its assessment of our economy by saying:
- The resource boom has substantially strengthened population inflow … while residential vacancy rates are through the floor … unemployment is below national rates, strong business investment and a brilliant business investment spend.
This external assessment of the strength of the economy is very welcome. Not just because of the obvious - that we are going well - but because it helps to get the message out to investors, job hunters and families, that there is real and sustainable opportunity here in the Territory.
Let us look at where the economy stands today. In the year to September 2005, our economy grew 7.9%, compared to a national growth of 4%. In January 2006, there were 97 700 Territorians employed; 3.3% more than in January the previous year. More jobs are being created for Territorians with the ANZ job data showing that job advertisements have increased by 13% in the year to January 2006.
In the last year, our population grew 1.5%, compared to 1.2% nationally. Our exports for 2004-05 were $2.2bn and imports were $1.99bn. In the last 12-month period to September 2005, business investment increased 16.3%, while dwelling investment increased 22.6%.
This is a major turnaround from the economy we inherited in 2001. All Territorians will recall that back then our economy was flat-lining, with no growth, high unemployment, very low business and consumer confidence, no new investment, and limited prospects for any sort of recovery. The situation was dire. Where we are today, though, is no accident. It reflects a concerted effort over a considerable period by government, business and the wider community to work together to drive the economy forward.
Yes, we know and understand that economic management is a work in progress. However, what Access Economics is confirming in their five-year forecasts is that the fundamentals necessary for strong growth in the years ahead are firmly in place.
It is particularly pleasing to see the current levels of business confidence. Local business confidence has recorded new highs over the past 18 months. The November 2005 Sensis Business Index reported a significant pick-up in capital spending. The confidence of SMEs regarding prospects for the next 12 months also remained high with a nett 67%. The key reasons cited for this high level of confidence include plenty of work down the track, improved business performance and strong forward orders and contracts.
The Northern Territory government also recorded the highest approval rating, a nett 10%, among Australia’s small businesses. This was the second successive quarter the approval rating has increased and ranks Territory business confidence as the highest in the nation. Sensis report author, Ms Christena Singh, said: ‘Small business has stamped their approval on the Northern Territory government’s economic policies’.
Consumer sentiment also remains high in the Territory, supported by employment opportunities and the strength of the property markets. Median house prices rose across the Territory in the past year, with Alice Springs median house prices rising 11.8%; Tennant Creek up 17%; Katherine, 7.4%; and overall Darwin rising by 26.2%. Even larger increases were experienced for units, townhouses and flats, with Alice Springs median prices up 11.4%; Katherine, 42.7%; and Darwin 38.3%. Similarly, vacancy rates for houses and units remain at very low levels with December 2005 rates at 3.5% for Alice Springs; 3% for Katherine, and 4.4% for Darwin.
Other signs of consumer confidence include a solid increase in private sector investments up 17% over the past year, increasing trends in retail sales, and solid increases in new car sales. Comparing the 12 months to November 2005 with the previous year, retail turnover increased by 4.8% compared to 2.9% nationally, and year-on-year growth to December shows vehicle sales grew 7.1% compared to 3.3% nationally.
In 2001, this government hosted the first ever Northern Territory Economic Development Summit. More than 100 leaders representing the broad spectrum of interest in the Territory attended that first event. Without a doubt, it cemented the ethos of economic partnership, and the collective passion, debate and discussion we saw, fed directly into the Territory’s first economic development strategy. That strategy contained more than 350 initiatives to drive the economy forward: initiatives in transport, infrastructure, land, Aboriginal development, regional development, and for all key sectors of the Territory’s economy. It included major steps towards improving the business environment through lower business taxes, our Jobs Plan, and a commitment to the development of major projects such as Darwin LNG, Alcan G3, the Darwin City Waterfront, and the Mereenie Loop linking Uluru with Alice Springs.
Lower taxes, increased investments in training, and major new private sector investments are the core of why this economy is performing as it is today.
This government’s contribution to the economic partnership that continues to drive the Northern Territory economy is based on the tenets of a competitive business environment; a strong investment in infrastructure; a commitment to increase the skills of our work force and educate our people; strong development credentials with an increasing emphasis on regional development; and an inclusive model based on partnerships.
After almost four-and-a-half years in government, it is pleasing to know that the buoyant conditions of our economy are based around the partnership between government, business and the wider community. We are committed to providing a business operating environment that allows new and established businesses to thrive; and we are backing local business and Territory households with almost $40m dollars in tax cuts, including record payroll tax cuts. The Territory is now the lowest taxing jurisdiction in Australia for businesses employing fewer than 100 people.
A modern competitive economy is heavily dependent on a productive and highly capable work force. With the demographic shifts that are occurring throughout the developed world, a skilled work force is fast becoming the major challenge to economic management and a potential competitive advantage to those economies that can get it right. In equal measure, all Territorians rightly expect their government to provide them with opportunities through access to quality education and training. Against that background, we are investing for the future with major commitments to boost skills and training and an ongoing campaign to attract further skilled workers to the Territory.
The Northern Territory has more trainees and apprentices in training than ever before, and the 2005 intake ensures that we are on target to achieve 10 000 commencements over four years.
Additional funding has been provided under Jobs Plan 1 and 2 to support the following new initiatives or programs: financial incentives for employers to increase the uptake of apprentices or trainees in skill shortage traditional trade occupations and in the small business sector; funding to assist existing workers to access qualifications; support to trainees and apprentices to offset costs on commencing apprenticeships and traineeships; expansion of pathways from school to work; and 40 scholarships for Territorians wishing to undertake VET at Level 3 and above.
In a further strategy to respond to skill shortages, we have injected approximately $3m into training provided by Charles Darwin University. This funding will predominantly be used in areas of traditional trade apprenticeships in skill shortage areas.
The Territory is investing for the future with significant funding towards capital works and repairs and maintenance budgets. Since 2001, the capital works and repairs and maintenance budget has totalled some $2.2bn. Our capital works investment and commitments are directed towards further building and broadening the base of this economy. We have sought to leverage government capital expenditure to capture new private sector investments. The Darwin City Waterfront project will leverage almost $1bn of private investment and further develop our tourism sector. The development of the Meerenie Loop, the Red Centre Way, is another example of infrastructure leverage in economic and regional development. The loop will open up the new Red Centre Way linking Alice Springs and Uluru and creating the right environment for new product investment from the private sector, Aboriginal investors, and partnerships between the two.
The Darwin Business Park is yet another example of our drive to leverage economic development by strategic investment in infrastructure. Already, Toll has developed its facilities and Vopak has constructed the new Darwin Industry Fuel Terminal. Natural Fuels has commenced work on their facility, and last week we heard the announcement of Darwin Clean Fuels new processing facility at the park.
This government has committed to broadening the economic base of the Territory. We are working to lessen the inherent volatility in our economy by building breadth and resilience across our economic sectors. It is the private sector that will do this by investing in equipment and projects, but government does have a key role in guiding, attracting and managing the development forces. From time to time, it also drives development through the public/private partnership model. Darwin City Waterfront and the Alice Springs to Darwin railway are two outstanding examples of that.
Major projects play a pivotal role in the Territory’s economy, and government has a significant responsibility to create opportunities for and facilitate projects which will build our economy into the future, in some cases for decades to come. The benefits from the construction phase of those projects will continue to flow throughout the economy in direct contracts won by businesses and indirectly through the cash flow they generate. Equally, as each project shifts from construction to operations, the permanent benefits of jobs and contracts will remain along with a quantum shift in overall economic output.
Alcan is currently investing $2bn to expand their alumina refinery in Gove. Alcan is using a construction technique known as PAMs or preassembled modules for the project. These PAMs are being constructed in Darwin, Newcastle, Indonesia, Thailand and Malaysia, and then transported to Gove for installation. The value of PAMs constructed in Darwin is expected to total $40m and, to date, Alcan has placed $70m in purchase orders and contracts with Territory businesses. The project is ahead of schedule and forecast to be complete by the end of the third quarter 2006. At present, there are approximately 1400 workers on-site and living in the construction camp. The project will further add to the productive capacity of the Territory and will also increase gross state product by about $200m per annum; increase the value of alumina exports by approximately $420m per annum; increase Alcan’s operational expenditure on local goods and services by more than $100m per year; and create an additional 120 jobs directly and even more indirectly.
The construction of the Darwin LNG project is all but complete. The facility has the capacity of 3.24m tonnes per annum and has contracts totalling $3m tonnes per annum for at least the next 17 years to supply Tokyo Electric and Tokyo Gas, adding almost $1bn to Territory exports each year. At its peak there were almost 2400 construction workers on-site. Employment levels will now realign to the needs of the operations of the plant with 80 new direct jobs being created and spurring more new indirect jobs in the sheds of Winnellie, Berrimah and Palmerston. Some of the other benefits to the Territory from this $1.6bn project include: in excess of 8900 purchasing activities have been issued to more than 430 Territory vendors; 25 major subcontracts have been awarded to Territory companies; and almost half of the trades people employed on the site were Territorians. Importantly, ConocoPhillips and their joint venture partners have committed to basing their offshore operations at Wickham Point alongside the LNG plant. This means a further 30 to 40 permanent positions in Darwin.
Construction of the new $75m biodiesel plant commenced in October last and is expected to be completed by September this year. It will produce biodiesel from imported palm oil, a renewable resource for use in diesel-powered vehicles. Already, trials are under way with major fleet operators to demonstrate the effectiveness of this new and friendlier fuel. The project will see over 100 jobs created during the construction phase, and 20 permanent positions once operational. Biodiesel can be used for everything traditional diesel is used for: running machines, cars and generators. Between 25% and 35% of the fuel is expected to be sold here in the Territory. The rest will be exported to southern states and Asia.
The $1.1bn Darwin City Waterfront is one of the Territory’s flagship new investment projects that will transform Darwin and its connection to the harbour. This multi-dimensional development will deliver a new convention and exhibition centre, recreational facilities including the new wave pool, considerable public parklands, a new cruise ship terminal, tourism facilities, and a new residential precinct. Over the next 10 to 15 years, we will see a world-class precinct emerge from the old industrial site; one that will well and truly establish Darwin in the region. Construction of Stage 1 of the waterfront project is under way with the pad for the Darwin convention and exhibition centre ready for the commencement of building works. Dredging for the sea wall and other site works are also under way. Territory workers will reap major benefits from the waterfront development, with approximately 1000 construction jobs created and an 85% local content component required in the project contract.
Another major project for the Territory is the Desert Knowledge project in Alice Springs. It is designed to be the catalyst for the development of knowledge industries in the Territory, with a particular focus on the Territory’s desert regions. Government has committed $30m towards the development of the Desert Knowledge precinct just south of Alice Springs. It has also committed $11.5m towards the Desert Knowledge Cooperative Research Centre, a project centred in Alice Springs but reaching out to all the mainland states.
A key trade route development will be the commencement of the bulk mineral exports to China from the Bootu Creek Mine near Tennant Creek. Our investment in new bulk handling facilities at East Arm has made this trade possible. The construction of the bulk loading facility at the Darwin Business Park is estimated to cost $19.2m, which includes rail infrastructure and unloading equipment for ore trains and stockpiling conveyers, port infrastructure to receive and unload ore trucks, conveyers and travelling gantry ship loader. The first ore train from Bootu Creek is schedule for next month, and the first shipment from East Arm to China in April. It is anticipated that this project will see 650 000 tonnes of manganese exported each year for the next 10 years. Overall, Bootu Creek means an additional four trains per week travelling northbound from the mine, and a ship shuttling through East Arm Port to China every fortnight.
Work commenced on the Chinatown project last year, and the total project construction cost is estimated at $70m. Proposed completion date for Stage 1 is 31 August 2007, and will consist of the council car park and office tower of approximately 7000 m2, and retail shops on the ground floor.
Looking to the future, there are number of exciting projects under development which will provide significant support to the economy and create additional opportunities for employment in the years ahead. Work on the proposed $33m helium plant at Wickham Point, which will extract helium from LNG plant vent gas stream, is expected to start in 2007 with an anticipated completion date of mid-2008. The plant will have an annual production capacity of 100 million cubic feet and will generate 15 to 20 jobs during construction and 10 jobs during operations.
The proposed $450m DCF condensate processing facility will produce high-quality fuel for road transport. It is currently entering the design engineering feasibility phase, including the commencement of the environmental assessment process. Eventual construction work force is estimated to be 250 over two-and-a-half years and, once operational, the permanent work force is estimated to be 60.
Late last year, Power and Water and Eni Australia signed a heads of agreement that will see Blacktip supply gas to Power and Water from 2009. Commercial negotiations between the parties is expected to be concluded in June this year. The Blacktip agreement will also require the construction of a new pipeline from Wadeye to a point between Adelaide River and Pine Creek, where it will join the existing Amadeus to Darwin pipeline. Work on this project is anticipated to commence in 2007, and be completed the following year in time for the first gas flows at the start of 2009. Together, both projects will require approximately $700m in new investment in the Territory.
Timor Sea gas is an important component of the ongoing development of the Territory. The development of world-scale reserves in the region has the potential to significantly broaden the Territory’s economic base. Bayu-Undan, and shortly Blacktip, are the first two examples of that, with more to follow in the coming years. On 12 January 2006, the Australian and Timor-Leste foreign ministers signed a revenue sharing agreement in Sydney covering the development of the Greater Sunrise field. The conclusion of the treaty comes after several years of negotiations and was a further milestone in the development of this significant resource. The next step is for both parliaments to ratify the agreement.
Sunrise, as we know, is a massive opportunity. It has known reserves of 7.68 trillion cubic feet, plus 300 million barrels of condensate. Its development would unlock $20bn in oil and $30bn in LNG over 20 years and, importantly, it potentially might supply a second train at an expanded Wickham Point site.
Caldita was a new discovery in September last year, around 265 km north of Darwin and 55 km east of the existing Evans Shoal field. This is an exciting discovery which is to be followed up by further exploratory drilling in the third quarter of this year at Evans Shoal South and Lynedoch. While much still needs to be done, it could potentially be part of a larger development supplying gas for either LNG expansion, or downstream petrochemical, or both, in Darwin. The Caldita discovery is regarded as significant by the industry. The results obtained during drilling are now being evaluated and assessed for further appraisal work and potential development. Until this process is completed, it is premature to speculate on the reserves or development. However, it is most encouraging that such evaluation and appraisal is under consideration. The proximity of the Evans Shoal field is also of significance as it provides the potential for fields to be combined in a development project.
As Minister for Tourism, I have witnessed the continuing rebound of tourism in the Territory first-hand. Tourism plays a crucial role in our economy, contributing more to GSP -$441m - and employment – 8000 and, indirectly, over 14 000 people - than any other state. The Territory’s unspoilt natural beauty and its Aboriginal culture are key attractions for visitors. Cruise and Defence ship visits and exercises also make a significant contribution to the Territory’s tourism and hospitality sectors.
In 2004-05, the Territory recorded the highest spend per visitor anywhere in Australia. The latest figures show visitor numbers to the Territory were also strong at 773 000. This included a 7% increase from September 2004 figures in international holiday visitors, and a 39% increase in Australian holiday visitors.
In October last year, I outlined to this House our key strategic directions for the industry. This included:
- ∙ destination marketing focused on the six priority destinations;
- ∙ a strengthening of our e-commerce capacity in response to the increasing use of the Internet to book holidays;
- ∙ ensuring a continued increase in international travellers, including leveraging new opportunities in Asia;
- ∙ expanding our aviation links;
- ∙ successfully biding for new conferences, meetings and exhibitions; and
- ∙ a focus on the continued development of tourism product and infrastructure.
We increased our budget allocation for tourism to $34m in 2004-05, and again in 2005-06 to $37m. That investment has delivered:
- ∙ amajor surge in interstate and international travellers visiting the Territory;
∙ a refresh of the NT tourism brand;
- ∙ new air links with Australian Airlines and Tiger Airways to Singapore;
- ∙ new charter flights from Japan into Central Australia;
- ∙ the NT convention centre winning a record 36 business events in 2004-05; and
- ∙ a new strategic framework for positioning Alice Springs as a destination.
Tourism infrastructure projects now under way include the building of additional rooms at the Darwin Airport Resort; a new backpacker lodge in Mitchell Street at the old dental hospital site; new developments such as Pandanus and Evolution; and, in Central Australia, the reopening of the Ross River Homestead and the development of the Red Centre Way, which we formerly knew as the Mereenie Loop Road. The Red Centre Way has the potential to become a must on the local and international tourist agenda, as has the Larapinta Trail, which is fast becoming one of the best walks in the world.
With the securing of the Tiger Airways services, international airline capacity into Darwin for January 2006 was 39% higher compared to the same time last year. The new services between Singapore and Darwin provide an extra 720 international seats per week into the Darwin market. The headlines in last weekend’s papers highlighted just how important competitively priced services into the Singapore hub are for this market. The announcement by Tiger that it will commence services into southern China from Singapore opens new linkages for the Territory into the rapidly growing Chinese international travel market. Discussions continue with other domestic and international carriers to further increase aviation services into and around the Territory.
The Ghan also continues to prove popular with visitors to the Territory. The total number carried in the first 20 months was a significant 124 197 people.
New servicing and provisioning opportunities are also emerging as cruise ship traffic increases. For example, the luxury cruise ship Orion now does regular cruises during the winter months. In 2005, there were 22 large cruise ship visits to Darwin and, this year, 32 large cruise ship visits are scheduled to arrive - a 45% increase.
The tourism industry will be an important catalyst for regional economic development and importantly for Aboriginal participation in our economy. Three new Aboriginal-owned tour operations started in 2005 and two more Aboriginal-owned tour operations are to start trading this coming tourism season. We are supporting nine new Aboriginal tourism business opportunities through the feasibility and business planning stage.
The Territory is very much an export-oriented economy. A significant proportion of the total Territory output is now traded in the global marketplace which will only expand in years to come. Investments in new productive capacity from projects such as Darwin LNG, Alcan G3 and Bootu Creek will all add very significantly to the total value of Territory exports. In addition, new shipping services, such as the recent decision by Hai Win to commit to a regular service between Shanghai and Darwin, bode well for the development of regular trade in and out of the Territory. Government is working with industry to attract further services into places like Surabaya in Indonesia.
This government also continues to support trade by Territory SMEs in the region with a combination of financial support via our trade support scheme and business delegations into key markets. We will continue to work constructively with industry to build our export performance among SMEs, particularly in our engagement with the Asian region. The Territory continues to enjoy success on a number of fronts and government will continue to focus on building relationships, opening doors for business and promoting the Territory in the region.
The Territory economy is exhibiting real strength across the board and my ministerial colleagues who follow me today in this statement will lay that strength out in detail. In brief, the mining industry continues to be the major contributor to the Territory economy accounting for 20% of our gross state product in 2004-05 compared to 5% nationally. Exploration expenditure for both minerals and petroleum has increased substantially from June to September 2005 quarters reflecting the very positive outlook for commodities. Our major current mines are expanding and a number of new projects are at various stages in their development cycles with an eye cast firmly on the current key markets in the region.
Construction work remains at very high levels influenced by private sector investment for Bayu-Undan Stage 2, the Alcan G3 expansion, and the commencement of the Darwin City Waterfront. Construction activity has also been supported by solid growth in residential construction activity. A state comparison shows the Territory reported the strongest growth in construction work done in the year to September 2005 with an increase of 17.2% ahead of Western Australia at 12.3%. Nationally, growth was reported at 5.5%. At $2.3bn in the year to September 2005, the value of total construction activity is at an all time high.
The Defence sector is an increasingly important component of the overall economic activity in the Territory. The wages of personnel, the day-to-day operational purchases, and the continued capital expansions all contribute to the wellbeing of the Territory business community. Importantly, Defence will also base new platforms in the Territory in the next few years, opening up completely new opportunities for Territory businesses. Names like Tiger helicopter, Abrams tank and Armidale Class patrol boat will be the key elements of the new Defence Support vocabulary.
This government has a strong commitment to the development of our regions. It is fundamental to the development of the Territory that government invests energy and innovation along with resources to the challenges of regional development. It is also essential that the benefits from our strong economic fundamentals and performance flow out to all corners of the Northern Territory.
We are a thinly spread population covering 1 300 000 km of widely differing geography and climate. This brings in challenges as well as opportunities. However, projects like Desert Knowledge, Alcan G3, the Wadeye gas plant and pipeline, Bootu Creek Mine, Territory Iron, and the Mereenie Loop project all demonstrate the potential for our region. These projects will supplement the continued importance of the key industry sectors that have supported the development of regional Northern Territory over the long term. Industries like pastoral, tourism, mining, defence and transport. Continued growth of our traditional industries, coupled with new injections from significant projects, is the best mix to drive regional and Aboriginal economic development.
One particularly important project under the regional development banner is Alice in 10. Alice in 10, which began in 2000, has already fostered the development of the Desert Knowledge project, the Alice Springs Convention Centre and the establishment of Alice Springs as a mining service centre along with a range of community projects based around the built environment, community safety, and the management of the Todd and Charles River. Late last year, we relaunched Alice in 10 - 2005-15 and this government remains focused on a broad agenda of economic and community-based projects to further develop Alice Springs. Some of those projects are Desert Knowledge together with important tourist developments such as the sealing of the Red Centre Way, the building of a visitor centre for the West MacDonnell National Park and its world heritage listing, and further development of the Desert Park.
These developments will all contribute to the expansion of jobs and business opportunities in Alice Springs and the region. Initiatives and development of plans are now under way to grow our regions across the Territory. The Minister for Regional Development will outline these in further detail during his contribution to this statement.
In 2001, we first chartered a new direction for our economy by working in partnership with the wider community. The 2001 Economic Development Summit was, without a doubt, one of the most important events to achieving that end. In 2005, the next chapter in the partnership was written with the Economic Development Summit focusing on driving development through to 2015. The contributions from that summit and the five regional forums are currently being worked into the NT Economic Development Framework 2005-15. This framework will be released in March as a green paper on the partnership for economic development.
The Territory economy is moving ahead at a rapid rate. Why? Because the fundamentals, the building blocks for the long-term economic prosperity, are firmly in place. While the economy is growing and business is busy, there is still much to do, like finding solutions to critical issues such as skill shortages. We are taking big strides in that area too, and it is encouraging that right now there are more people in training in the Territory than ever before. Importantly, business and consumer confidence is strong, built on the back of good policy and strong investment in growing the productive capacity of the Northern Territory economy. We will continue to invest strategically in our future in important infrastructure and critically in the economic development of our region.
The economy is, indeed, turbocharged and delivering jobs and new opportunities across the Territory. Let me assure you, we will continue our sound economic management and build on the strong foundation we have laid.
Mr Deputy Speaker, I commend this statement to the House. I move that the Assembly take note of the statement.
Ms CARNEY (Opposition Leader): Mr Deputy Speaker, I thank the Chief Minister for her statement. We well understand why it is that the government wanted to talk about the economy and, in particular, today, the first day of the sittings. It is to try as hard as they can to get away from the difficulties we touched upon in our Question Time and in the censure debate which was gagged by this government.
I note with interest that the Leader of Government Business, when we elected to talk about the budget - something which the government and certainly the Treasurer does not want to do - at the beginning when it was obvious that the censure motion was going to be undertaken, the Leader of Government Business said that he looked forward to participating in the debate. He said: ‘Bring it on. We look forward to putting the arguments against the opposition. Rah, rah, rah’. I do not know, perhaps the Leader of Government Business and his Treasurer have had a falling out. It seemed to me the hissy fit that amounted to the Treasurer throwing in the towel, was done without consultation with the Leader of Government Business. I suggest it is suggestive of the Treasurer being keen to ensure that the opposition and other Territorians talk about the shortcomings in the budget as little as possible.
However, we will persevere. I did say during the censure debate, short though it was, that there was a fundamental difference between budget and economy. We know why it is the government wants to talk about the economy and, in many respects, why wouldn’t they? There are all sorts of reasons to talk about the economy. In a political sense, the government wants to talk about the economy because they are still suffering, I suggest, from the way they handled the TIO matter, even though the right decision was ultimately achieved. They also are hell-bent on talking about the economy every time we talk about the budget.
I would like to think that members on the other side do know the difference between budget and economy. We will not be perturbed. We will continue to raise these matters because, unlike members of the government, we take our job somewhat seriously.
In relation to the Chief Minister’s statement - which I noticed was a lengthy one; it is always good to pad out the day when there is not much other government business on - it could be said that for the most part it was an insult to the professionalism and intelligence of journalists and other people who watch current affairs in the Northern Territory. It is a smokescreen that has been generated by government to hide its budgetary problems - nothing more, nothing less. It assumes that the people of the Territory do not know the difference between general economy and the Territory’s budget – and there is a big difference.
If the government insists on running the line that all is well in government because the economy is doing well, then they are kidding themselves. It does not necessarily follow that because you have a good economy the budget is in good nick. All is not well in government and people are beginning to see through what is increasingly being described, amongst other names, the ‘fifth floor hype’ - their $8m dollars worth of spin. People are realising, and public servants in particular understand, where this government is taking us in budgetary terms.
The government has limited input into the general economy. Certainly, governments are big spenders making it a contributor to the economy. However, government in the government books is not the economy. To suggest otherwise is fanciful. Government may reorganise things such as tax arrangements, or build infrastructure that will have a downstream effect on the economy, but it does so in the normal course of events within its own budgetary constraints. The infrastructure and projects that this government relies upon to proudly boast of their economic management are the projects that were started long before they came to office, with the exception of the waterfront.
It is their baby and, if it works for them, good on them and good on Territorians. If it does work, this government will not just be dwarfs standing on the shoulders of giants; they may, in fact, be a little taller themselves. I am not sure that it is likely to assist in the way they conduct themselves because we have seen astonishing, astounding levels of arrogance fairly early on. We have another three years of this. I do not mind, it is a good job, I am very happy, we will try our best. However, the arrogance of this government is certainly incredible and it will be their undoing. They have become everything they said they did not like. You were very happy to get stuck into the CLP every time it suited you; you have become the very worst of what you described from this side of the Chamber. Who knows? I may never see the other side of the Chamber, but I can see from here how you lot are looking and it is not good.
In any case, the state of the economy in the Territory is due mostly to the health of the national economy – Howard and Costello – not, as the Chief Minister would have us believe, as a result of anything she has done. In fact, the case is quite the opposite. Today is a perfect example of the $8m spin machine working in overdrive and over time. They know that they have a massive budget problem, which is why the TIO was put on the agenda for possible sale. That is why the Treasurer …
Mr Stirling: We heard all this, this morning. It is repetition.
Ms CARNEY: And there he is again making a noise. I am not always vocal, Mr Deputy Speaker …
Ms MARTIN: A point of order, Mr Deputy Speaker! We heard this speech earlier in the censure motion. This is repetition.
Mr Stirling: This is about the economy.
Mr DEPUTY SPEAKER: There is no point of order, Chief Minister
Ms Martin: Sorry, Mr Deputy Speaker, I just thought I had heard it all before.
Members interjecting.
Ms CARNEY: Finished? You finished?
Ms Martin: What are your ideas for developing the economy, come on, what are your ideas?
Ms CARNEY: You finished?
Ms Martin: Come on, what are your ideas for developing the economy?
Mr DEPUTY SPEAKER: Leader of the Opposition, please continue with your contribution.
Ms CARNEY: Mr Deputy Speaker, I know the Chief Minister, in particular, does not like anything in the way of a contrary argument. She saw how Territorians voted in the last election; some of her colleagues have very marginal seats. They see this sort of arrogance in the way the Chief Minister carries on; some of you will be oncers. I am sorry that the Chief Minister finds it so offensive and distressing to be questioned, but questioned she will be and I will continue to do it. I tend to enjoying watching the Chief Minister go off because I always know when I am on the right track.
In any case, the TIO was part of the government’s agenda for possible sale – 15 000 people, in essence, knocked on the Chief Minister’s door and, after the focus groups, of course, the proposed sale did not sell the public pub test.
The government knows its debts are out of control. They are well above their own stated unsustainable levels and they continue to rise. I direct the Chief Minister and her colleagues to this fascinating document, Good Governance. This is how you blokes used to be. Where has your soul gone? You actually believed in this stuff and I believed you. Some of it was not a bad read. You attacked the CLP and you said it was unsustainable. Well, look where we are now.
The government and spin doctors will try their best to deflect attention from the state of the Territory budget and from their failed programs as they attempt to hide behind economic windfalls generated by the policies of the federal government and the platform of infrastructure that was developed in the 1990s, in particular by former CLP governments.
Let us look at an example of this government’s economic management. Let us look at gas supply for electricity generation - something held out proudly by the Chief Minister today in her statement. It could be said that the government has been outmanoeuvred in respect of getting gas supplies to meet its power needs, and now it wants to celebrate having to build a pipeline over 300 km, costing over $350m, because it failed to get gas just a few kilometres away in one of the world’s largest gas holdings. Pretty incredible stuff. If it was not so serious it really would be a joke. Unfortunately, it will not be a joke when the people get their power bills after 2009. Or will this be yet another project that this government slips on to its $4bn credit card?
As much as this government tries to claim the glory of the work done by others, we all know that the state of the economy is good by virtue of a healthy national economy. I refer again to Messrs Howard and Costello. It is a healthy economy for the moment. I stress for the moment, because any prudent financial analyst will tell you that economies operate in cycles. That is why federal governments around the world introduce monetary policies so that they can manipulate interest rates to offset overheating economies.
The Access Economics report into the state of the Northern Territory warns of a cycle in resource development. I quote from the report which I, unlike many others it seems on the government’s side, have read and understood:
- Access Economics believes, as do many leading commodity forecasters, that resource commodity prices are near a cyclical high and that two or three years from now they will have moved down substantially from current levels as additional supply comes on stream around the world. Such an environment may well place the brakes on resource development opportunities in the Territory at that time.
It is telling because, in times of economic expansion described as at a turbocharged level, there needs to be a sober driver at the wheel. That is not the Treasurer, nor is it the Chief Minister. If you tie that in with the number of people who are superannuants who have tapped into the housing market, for instance, especially the unit market in Darwin, it could be said that there are reasons for concern. Certainly it is the case that over the past few years, superannuants on the east coast have paid out because their baby boomers are reaching the age of retirement. The Treasurer will be well aware of our baby boomers because a huge slice of his debt is owed to them in the form of unfunded superannuation liabilities. That $4bn debt is just around the corner. These superannuants could not get into the property markets on the east coast because their housing boom happened a few years ago and they were priced out of the market.
Financial advisers have spent the last years looking for places and they turned to Darwin, and good on them. Great! We welcome them with open arms. A growing economy with good prospects. Those investors came and their money was invested with great promise, a robust rental return to cover the cost of their loans, or simply to provide a healthy income for a couple - say a couple of baby boomers – then, as the price went up, good returns on investment in the form of our capital gain. Almost too good to be true and it is here where the adage that if something is too good to be true, it probably is, most sadly carries some weight if consumer advocate Neil Jenman is to be believed. On Sunday, this gentleman was quoted in the Sunday Territorian as saying:
- In every boom the people who are selling it say this boom is different, that it will keep going on particularly at the top of the boom.
He continued:
- Signs up all over Darwin is a huge clue that things are getting too hot.
In other words, he is worried about a downturn in the cycle of the housing market.
Access Economics in its report says that we are exposed to risk in the medium term, and points out on page 24 of the report that our resource dependency exposes us as Territorians to a particular risk which is the dependence on the growth markets to our north. These markets are clearly resource hungry. We are economically resource dependent in terms of exports. This means that if there is a downturn, or a price correction in China particularly, the Northern Territory will be badly exposed to a sudden and serious slowing within our economy.
Along with this come significant budgetary implications about which the opposition and other Territorians have been speaking in recent times. It is the government’s duty to find a way to protects us from such a downturn. We have discovered that they are not at all ready for such a downturn and they have taken us to a place where it may even now be too late to position ourselves should something happen in the short term.
People would be aware that China has been expanding with double digit growth. A decade ago they were the Asian tigers. Then one day, because of a run on the baht caused by some questionable banking decisions, the tigers collapsed. They collapsed because their fundamentals were not in place; too much investment in stocks that were not worth what was being paid for them. The underlying strengths of those stocks was not there to support the price. Of course, if a situation like that occurs in China, it can happen elsewhere. If it happens to our north - let us say Japan, Thailand, Malaysia, Indonesia and any other Asian countries for that matter - we need to be ready. We have certainly seen difficulties in those countries cause correction to our markets.
I quote from the executive summary of the Access Economic reports as follows:
- In brief, the key underlying driver of improving short-term prospects is the considerable and continuing growth in China. Not only is global growth strong - 2004 saw the strongest global growth in 30 years - but global growth is relatively concentrated among the industrialised nations such as China.
That is why we need a sober and sensible government. That statement alone should ring alarm bells or at very least make the Treasurer and his colleagues think of words such as ‘caution’ or ‘restraint’.
The message that this government should be sending is that we are very happy to have a strong, local economy. We would like strong, sustained growth to continue but we need to send a signal to investors that there will be a steady hand on the tiller. This means that the government of the Territory understands that it may be all rosy now; however, that the rosy state of affairs may not continue. Government spending does not reflect this sober, steady hand. Government’s failure to reduce debt is not the sign of a steady, sober hand. I refer once again to the contents of the 2005-06 mid-year report as well as the Treasurer’s Annual Financial Report – their figures; not ours.
Put simply, the economy in the Territory is an engine that tends to run on two fuel tanks. The first and primary source of fuel is the private sector and its investment money. Pretty basic stuff. The second source of fuel is in the reserve tank and it is in the form of Territory government spending. If you keep a steady flow of fuel to the engine, it works well, generates power and the Territory moves forward. Restrict that flow of fuel and the Territory slows down. The problem that we are concerned about is that both fuel tanks are supplying money to the engine as quickly as they can. There is no doubt that the engine is screaming along ‘turbocharged’ as the Chief Minister has said. Indeed, she seized on that word as though there were no other. The difficulty is that when the fuel tanks run dry, there is no reserve tank. There is a big credit card, but I do not want to be living in the Northern Territory where we as a community have unprecedented debt levels that our government may not be able to sustain.
We urge government to start leaving some fuel in the reserve tank. Use the GST revenue as a source of reserve fuel. That was your own policy. That is what you said in your fiscal policy in 2002. It is clearly not government policy now. That is a change. We are not critical of government changing as the government should change according to the circumstances. However, when you come into this parliament and beyond and proudly talk about your fiscal policy and what you are going to do, and now you seek to run away from it, there will be serious questions asked. You do not just like us asking these sorts of questions, but we will continue to do it. The steady hand that we are looking for should be reflected in the language as well as the spending habits of government and it is reflected in neither. Yelling out the word, ‘turbocharged’ in the first sentence of the ministerial statement is not reflective of a sober attitude.
I remember a media release some time ago where I was accused of having a go at someone for spending ‘like a drunken sailor’. I had not heard the expression ‘spending like a drunken sailor’ for a while, but it does have particular relevance here. Priming in the economy at the top end of the cycle by running budget deficits and increasing debt can only further exacerbate the depth of any trough. There should be a time to repay a debt and invest as well as paying for the future. That represents good, strategic fiscal management, something which the Australian Labor Party Northern Territory Branch held so dearly only a few years ago. Instead, the government continues to bring out its credit card and rack up more and more debt.
Sober organisations survive even the worst of the times and they send strong messages of security to investors. There are numerous companies throughout the world from which this government can take some examples and look to and say: ‘We are a big corporation’, if you want to adopt that analogy. How do the big boys cope when there are peaks and troughs?. What do they do? I will tell you what they do. They will put some money away; they retire their debt.
The unfortunate reality is that this government is apparently refusing in any significant way to retire its debt. Yes, we are in good shape in the Northern Territory, but it has nothing to do with the Chief Minister. It has nothing to do with the Treasurer. It has much to do with a whole lot of other factors. For the Chief Minister and her colleagues to perpetrate the myth and try to suggest that it is all down to them, I do not think will even be bought by a Territorian who does not have an interest in the economy or politics of the Northern Territory. It is just farcical.
We understand the spin. The government pays a lot of money for its spin - $8m - and we can well understand why it is that it wants to position itself in the way it does. If the economy is in good nick, it tends to ensure the electoral prospects of governments - we all know that. However, we are concerned that this government is not able to look to the future to say: ‘What is going to happen if there is some sort of correction in the Asian markets; if something goes wrong in China? How are we positioned to deal with those potential difficulties in the Northern Territory?’
Given that government gets its money from voting itself money in the budget which comes out every May, it only has to go to its budget. In the event that the economy slows, this government will need to say: ‘Oh dear, where do we get the money from?’ Now they warmly embrace the Territory climbing up towards $4bn or a whisker under that at this stage, despite the government’s assurances we would not get to that, and saying that $3.2bn or thereabouts was unsustainable. That is not sound financial management and the government should be cautioned.
We know that when I sit down one of the government members will get up and have a bit of a say. They will take the mickey, and will say, as the Treasurer does: ‘You do not know what you are talking about blah, blah, blah’. I doubt they will have the hissy fit which the Treasurer had by saying: ‘It is all too hard; I do not want to talk about this, see you later’. That is politics and we all understand that. However, at the very least you might like to consider, even amongst yourselves or at home tonight, some of the matters we have put. Do we want the Territory to do well? Absolutely we do; everyone does whether you are in politics or not. We, as Australians, want our economy to do well. However, we are also concerned to ensure that our government does its bit to look after all Territorians, the economy and, in particular, its budget books.
That is my response to the ministerial statement. I noticed earlier on the Chief Minister said it was repetitious. I could keep going; we have folders and folders of stuff. However, I believe the ears have fallen off government members. They used to have them, I recall, but they do not have them anymore. Therefore, to a large extent we are going through the motions. The government got its headline; they are going to talk about the economy. The Chief Minister was on the news last night all turbocharged. Well, so be it. However, can you at least, in your own minds, consider sobering up and not spending money which you do not have? Please do not get us into any more debt, as that is not in anyone’s interests. I am not talking politically. I am talking on behalf of everyone who lives in the Northern Territory and the aspirations they have for the Northern Territory, certainly from an economic point of view and also in a more global sense.
With those remarks Mr Deputy Speaker, I conclude.
Mr STIRLING (Treasurer): Mr Deputy Speaker, it is disappointing to find such depths of cynicism in one so young as the Opposition Leader. That is patronising and I will make no excuse for that. To walk in and claim anxiety and worry about the level of debt! The level of nett debt today as I stand here is less than that inherited when we came to government in 2001-02. Look at it any way you like; that is a fact.
It is going to grow over the next couple of years in a modest fashion as we have deficit budgets, which was news, apparently, to the Leader of the Opposition because I happened to talk about coming back to a balanced budget in 2008-09 at a recent press conference. If it is news to the Leader of the Opposition that, too, is a worry given that those forward estimates have been published in any number of publications since the budget containing those figures was brought down in May last year.
The Chief Minister today has highlighted the broader economic issues of the Territory. She has pointed to how healthy the economy is at the moment, and to its future prospects. She has also identified issues which we do need to tackle on an industry-by-industry sector. I want to focus today on the more specific fiscal issues and the statistics underpinning the economy as it stands today. I also want to correct a few of those quite scurrilous myths perpetrated by the opposition, in that they always try to talk the Territory down.
For the first time in Territory political history, during the 2005 election, this government placed before the people a clearly costed program of election commitments matched with a strategy outlining our fiscal targets over four years. We were able to do that because of the effective and prudent management of the budget by this government during its first term of office. Prudent management combined with strategically-focused expenditure meant that we were able to commit to quite detailed spending on our key priorities of better education outcomes, a healthy Territory and a safer community, as well as the Darwin City Waterfront and convention centre project and a comprehensive Territory-wide capital works program.
Never have we seen a Territory government so frank in revealing their commitments, nor has the level of costing detail provided by this government ever been provided before to the media and the public prior to an election. Our commitment to our four-year fiscal targets was also historically unmatched. I will put those targets on the record again: 2005-06, a deficit of $68m; 2006-07, a deficit of $53m; 2007-08, a deficit of $21m; returning to a balanced budget in 2008-09. In addition to the openness that we displayed, we also placed before the Treasury of the Northern Territory our commitments and their costs and, under the Fiscal Integrity and Transparency Act, a pre-election financial outlook statement was issued clearly identifying all the financial issues before the government. It was a comprehensive and unprecedented level of information to put before the people.
Including the healthy economy, every indicator we receive, either from ABS or from other independent sources, show that the economy is in a robust condition. The most prominent, of course, is Access Economics, the independent commentators, and the Chief Minister outlined the comments of this independent group. They are predicting economic growth at around 4.4% on average over the next five years, and that puts us at the forefront of all Australian jurisdictions. Employment growth predicted at 2.4% - there is only one higher in Australia and that is Western Australia. Access also predicts population growth of around 1.7%, second only to Queensland, against a national average of just 1.1%. Interestingly, Access also predicts the working age population over 15 will increase at a rate of 2.1%, compared to 1.2% nationally, and that bodes well for our work force into the future.
In their own terms, Access Economics has said current conditions are almost as good as you could get, and forward indicators suggest further to come. The ABS, of course, collects data and publishes a regular series of statistics on the state of the economy. While the government accepts volatility in the figures taken over small sample sizes, some of these statistics reflect real and tangible total outcomes and cannot be distorted. For example, engineering construction activity and general construction activity - in the year to September 2005, the engineering work done increased by 15.9% over the previous year. That is a pretty healthy growth figure coming off what was a pretty healthy base in the first place. We are not talking about coming off a low base. We are sustaining a very high level of increase over what was a strong year, mostly influenced by the 78% increase in work done on heavy industry, the LNG plant and the G3 expansion at Nhulunbuy. The construction growth, highways and subdivisions also show strong signs - a 27% increase - reflecting the high level of government capital works and significant private sector subdivision activity supporting that growth in residential construction.
General construction activity in the same quarter reflected a significant 17.2% growth over the same year to September 2005. Activity is evident, and reflects both major projects such as the gas and residential building levels. Building activity and housing finance figures provided by the ABS in January show that building activity in the Territory to September 2005 grew by 22%, the strongest in the nation. Residential building work reported a 24.7% jump and non-residential building growth at 18.6%. Housing finance is also at national highs; the number of approvals for finance to buy a home increased by 26.1% in the year to November 2005 compared to a national increase of 8%.
Strong growth in retail trade has been evident in the Northern Territory economy since late 2003. Government has been expecting the rate of growth to slow at some point as the base for comparison gets higher and higher but, while this has started, growth is still at long-term average rates and there are good short-term prospects associated with the strength of local residential construction and property markets.
In the year to November 2005, retail trade increased by 4.8% in the Territory, significantly stronger than national growth of 2.9%. We expect a growth figure to moderate due to the fact that we are already on an extraordinarily high base. Motor vehicles continue to reach high levels. In the 2005 calendar year, motor vehicle sales increased 7.1% following again a large increase last year. The sale of utes, trucks and buses increased to 15.2% over the year. Strong consumer sentiment reflects confidence in the economy; people start putting away their dollars if the economy looks shaky in any way. That simply has not been the case.
While getting a consistent message about the state of the labour market from the available data is, and will continue to prove, difficult, most of the available evidence suggests that businesses are employing staff and, if anything, the labour market is characterised by skill shortages across some industries. There are currently around 98 000 Territorians in work according to the ABS but, of course, that figure does not include Defence personnel at around 5600, and those who classify their home base as in another state or overseas. That is very much the case for the construction labour force teams both at G3 and at Bechtel on the fly-in/fly-out basis. Their home base is recorded as where they spend their recreation time during these projects.
The ANZ Bank also publishes a series of figures that reflect a short-term employment outlook on the Territory and they come from ANZ job advertisement series. In the most recent figures for the year to January 2006, the number of jobs advertised in the Territory increased by 13% compared to a national decrease of 5%. Again, that suggests the employment market is growing and confirms the optimism of the Access Economics report suggesting strong employment growth over the next five years. Through a big part of 2005, those ANZ job advertisement series were running at rates of 28%, 29% and 30% on the year before. We have already built a pretty high base through 2005. Therefore, it is no surprise to see those figures moderate coming off a high base as they are. It is interesting that we are still running at 13% where there is a national decrease of 5% on the year before. Of course, that does underline the optimism of the Access Economics report suggesting strong employment growth over the next five years.
One of the important indicators for the Territory is population and population growth rates. Over the first few years of the government’s time in office, figures were very large, the number of people departing the Territory was higher than the number of people coming in, and it reflected the poor economic circumstances of the Territory at the time matched, of course, by quite buoyant economies in other states - the outcome of extremely poor management and planning by the CLP in the lead-up to 2001. There are three sources of population growth: natural increase in births over deaths; overseas immigration; and interstate migration. Since the late 1980s - and it is a fact not well understood - with the exception of that very narrow period of 1995-97 when the military was moving to the north in truck loads, the nett interstate migration figure has always been negative.
However, last year, we had two consecutive quarters of interstate population growth and we expect it to move around a bit. This boost has meant annual population growth has shot up from 0.3% to 1.1%; now 1.5%, and predictions to 1.7%. That is a tremendous sign of the health of the economy in its own right. People are coming here to find jobs and staying here as they find them and then going on to purchase homes and call the Territory home. Population growth results in increased GST receipts, greater levels of expenditure in the community and, of course, trickles down through the whole of the economy. It also places pressure on governments to provide increased services.
What do the statistics all add up to? I would suggest that the Territory has a growing population who have jobs, quite comfortable incomes and are spending their money in our local economy. They are buying and building houses. They are shopping at Casuarina, Target, and the Yeperenye Centre; they are generally confident about their future. It is noted in the December 2005 Sensis report and the Consumer Confidence Report, Territory households had the highest nett confidence balance of all jurisdictions with respect to financial prospects. Further, Sensis reports in its most recent business index, Territory business confidence is at its highest in six years supported by strong level of sales, profitability and capital expenditure.
These things do not happen by chance. It is a partnership between the government, industry and the people. However, the government’s role cannot be simply dismissed even by an opposition unwilling to look at government’s role. In a small economy the government’s hand is vital. When we came to office the deficit, the climbing debt and out-of-control recurrent expenditure combined to prevent the CLP administration from priming the economy when it desperately needed it most.
We set about putting in record capital works budgets, working hard to attract interstate and overseas investments, particularly in gas and minerals. We placed tight controls over the recurrent expenditure to get the budget back under control and that has been successful. Our economic blueprint took shape over the four years of our first term, which is still in place for the opposition to scrutinise. We have set targets and we act to ensure that we stick to those targets. Members would be aware that we have made it clear to all agencies that they have to live within their means and we are working with agencies to ensure that that occurs. We are also examining the priorities of government to make sure that our publicly stated priorities are where the money is being spent.
As the mid-year report shows, and in every report and update I have seen since, we are on target to achieve our fiscal outcomes. It is, therefore, extremely disappointing when the opposition and others are running around saying the government is broke. Nothing could be further from the truth. The opposition and the opposition spokesperson on Treasury matters really needs to look at page 4 of the mid-year report where it clearly shows that the May 2005 budget introduced in the parliament said that we would have a $68.1m deficit, and the mid-year report shows that we are going to have $68.2m deficit. In our budget that is going to spend something like $2.8bn to get within $100 000 of your May prediction halfway through the year, I would have thought that breathtaking in its accuracy, as opposed to the deceit of a government that said we will have a budget deficit of $12m and, within eight weeks, it was revealed to be something between $126m and $134m. A great deal of difference there in terms of predictions and outcomes.
We are a careful government. We are pragmatic. We have also increased police numbers by 200, teacher numbers by well over a 100, nurse numbers by 100, four record capital works budgets, increased tourism expenditure and, in those three immediate past years, returned surplus budgets. I would have thought those economic credentials would stack up against any government, anywhere. In that time, we have also reduced payroll tax, reduced stamp duty, have a five-year program of abolishing a series of taxes, and are currently the lowest taxing jurisdiction in Australia for any business up to 100 staff. In the next four years, we will have small deficits as we put in place continued high levels of funding to services capital works, as well as funding the most significant construction project of its type ever in the Territory, the waterfront.
Mr Deputy Speaker, that is a strong financial position. I am not going to stand here and boast about it; I would be declared arrogant by members of the opposition. However, it is a record they would love. They would just dearly love to have their name behind it. I challenge the opposition to prove the contrary to any of the information that I have put forward.
Mr VATSKALIS (Primary Industry and Fisheries): Mr Deputy Speaker, I will add to the Chief Ministers’ statement on the economy and emphasise the Northern Territory government’s ongoing plans in a vision to deliver more opportunities and benefits for Territorians from sustainable development of the Territory’s mineral, energy and primary resources.
Before that, let me take a trip down memory lane. Let us compare the economy of the Northern Territory in February 2006 with the economy of the Northern Territory in February 2001. In 2001, there was one only multi-storey building under construction in Darwin - that was Mitchell Centre - only one crane in the sky. At the same time, many building companies had collapsed leaving hundreds of contractors and workers unpaid. It was a time when you could go down to the Galleria and you would not find a place to sit because it was full of Greek Italian, and Chinese contractors who had no work to do. That was a time that hundreds of Territorians left the Territory to go to other states to get a job. It was the time that my colleague, the member for Wanguri, met some of his constituents who were selling the assets that they had accumulated in previous good years just to survive. The Territory economy was in the doldrums. Later, when the change of government took place, I recall very well the then Leader of the Opposition, Denis Burke, shouting from the other side of the Chamber: ‘Spend, spend, spend, do not worry about the debt’. That was the situation with the Territory economy in 2001. The Leader of the Opposition would have us believe today that the Territory economy is really in bad shape, which is not the truth.
As politicians we travel often, and some of us sometimes spend our time reading the inflight magazine. I recall in the past few months, in the Qantas inflight magazine, a Colliers Jardine insert that described the investment opportunities and the property market around Australia and the world. The Territory economy and property market were described in glowing terms. That is not the only magazine that describes the Territory in glowing terms. There are other investment and property magazines around Australia - you can go to the local newsagent here and you will find that all the magazines describe the Territory’s economy as a strong economy, and the property market as a growing market in contrast to most of the markets down south.
I would like to focus on primary industries, mining and fisheries. Some of Australia’s biggest resource developments are in the Northern Territory: the Bayu-Undan development, the LNG plant at Wickham Point, and the massive Alcan expansion at Gove. Additional major gas developments are likely in the next few years, which will further develop Darwin as a major global gas hub. Some of these are Caldita, Petrel, Tern, and Greater Sunrise. For a number of years, the Greater Sunrise was in a twilight zone that has only recently been resolved. It was resolved because the federal government adopted a suggestion made a few years ago by the Chief Minister of the Northern Territory for the governments in East Timor and Australia to disconnect the dispute about the sea boundaries and also to increase the allocation of royalties to the East Timor government from the Greater Sunrise.
Last week, I was in East Timor and visited the East Timorese parliament. By coincidence, the Minister for Foreign Affairs, Jos Ramos-Horta, was informing his parliamentary colleagues of the agreement between the Australian and the East Timorese governments with regards to Sunrise. I did not understand much of what he was saying as he was speaking Portuguese; however, the atmosphere in the House was very friendly and optimistic. That was confirmed later by Ramos-Horta when I met with him and he told me – which was confirmed later in the Australian Ambassador’s briefing - that the East Timorese government intends to bring the agreement to the East Timorese parliament at the end of February for ratification. That has opened the way for the development of the Greater Sunrise. It is difficult, if not impossible, to take a pipeline from Greater Sunrise to Timor due to the very deep trench. More likely, Greater Sunrise gas will find its way to Darwin and will provide benefits to Timor and Australia and, certainly the Northern Territory.
As well, there are major projects and ongoing developments proposed for our major mines. Some of these mines are McArthur River Mine, The Granites and GEMCO. There is a range of other mining projects at various stages of development and approval. Several of these are expected to come on stream over the next one to two years. Of course, the resource sector is booming because of China. China currently buys everything that they can put their hands on, and that will be further assisted by the decision of India to restrict the export of some of their strategic minerals such as iron ore, manganese and some of the resources that they want to utilise for their own development. As a result, China would focus more on Australia and that will be a unique opportunity for Australia and the Northern Territory to reverse the trend of the past few years with the declining development of the resource sector.
Today, we have a number of mines in the Territory in various stages of flux. The Bootu Creek manganese mine north of Tennant Creek will come into production in March 2006, and the first planned export of 600 000 tonnes per annum through the East Arm Port soon afterwards.
Other projects are the Browns polymetallic project near Batchelor operated by Compass Resources. The project is in the final approval stages and Compass anticipates commencing operations later this year. Mining has commenced at Tom’s Gully gold mine near Mt Bundy, and I have been advised that the first ore has been mined and is being processed on-site. Matilda Minerals on Melville Island is in the final stages of environmental assessment and is expected to commence operation later this year. Territory Iron just completed a multimillion dollar drilling program at Frances Creek and proposes to export iron ore from late 2006. Arafura Resources has a number of projects under study development, and I am currently advised that they are testing the metallurgy of the ore body in the area.
In Pine Creek and Katherine, we will again see the reopening of a significant number of mines. With the price of gold passing A$728, we will see a number of small and big mines reopening in the area. North Australian Diamonds have commenced diamond production and test works at the Merlin Mine, and Olympia Resources has submitted a development proposal for a garnet sands project at Harts Range. However, the latest news is that Sweetpea Corporation will be exploring for gas and oil between Katherine and Elliott, and the exploration program is worth $20m. Some of these projects have been mooted for some time and it is important that government and industry take advantage of the current high commodity prices and investor interest to convert these potential developments into operations.
It is also important that the Territory actively promote its potential, and competes with other jurisdictions to attract exploration investments to underpin the long-term future of the mining sector. A few years ago, the Territory was behind Tasmania in exploration; we were the last of the states in exploration expenditure and mine development. I am pleased to announce that for the last quarter we have found out that the Territory is only a few thousand dollars behind South Australia and Western Australia; third in exploration expenditure and mine development in Australia - and that at a time when Australia still does not have a significant share in exploration. I have to say that this is the best result we have had since the beginning of 1990 when exploration and mining development in the Territory was at its peak.
I am also pleased to say we played a significant role in promoting the Territory as an exploration and mining destination. Last year, I undertook a road show travelling around Australia, meeting with hundreds of people, promoting the Territory. Some of the comments I received were very surprising. Some of the people did not know we had no problems with native title or land rights; we actually could process titles very quickly and there was no backlog. Some people did not know the potential for exploration in the Territory; or that the department could provide information, maps and geophysical data free of charge. As a result, we have received a significant number of inquiries and many of these have translated to people coming and lodging exploration applications in the Territory.
We have to promote the Territory as an exploration and mining destination, and that is why I intend to travel to Canada for the Prospectors and Developers Association of Canada exhibition and conference in Toronto in March 2006, then to Denver, Colorado and then continue to London and Madrid. In London, we will meet with potential operators and miners, such as Newmont, Xstrata, Cameco, Vista Gold, GBS Gold, ERA and Rio Tinto.
The Territory has granted over 800 exploration licences over the last three years, the highest level since 1988-89. The grant of exploration licences on land affected by native title is now largely routine. The Aboriginal Land Rights (Northern Territory) Act land is more problematic. However, recently announced federal government reforms will help. There is plenty to do to further facilitate land access by miners and explorers; however substantial progress has been, and will continue to be, made in conjunction with all stakeholders.
I note that successive Territory governments have invested heavily in infrastructure to support resource sector development, mainly port and rail. We have invested over $500m, and that will pay dividends in the near future.
Another long-term initiative is the development of geothermal energy; the member opposite is very interested. A task force has been established to facilitate exploration for, and development of, a geothermal energy resource in the Northern Territory, member for Nelson, and we aim to have appropriate legislation for geothermal development and the development of geothermal energy resources by late 2006 as an element of the Northern Territory energy policy.
The Territory government welcomes all constructive input into further development of the Territory’s resources, and I can assure the House that we will continue to promote and facilitate responsible development for the benefit of all Territorians.
I turn now to the primary industry sector. In November 2005, the Economic Development Summit identified the need to broaden the economic base of our economy. The primary industry sector provides an ideal vehicle to broaden that base, particularly the regions, with employment and economic flow-on effects. Additionally, primary industry also provides real opportunities for Aboriginal communities to enter the mainstream economy in pastoralism, horticulture and forestry.
The pastoral, horticulture, cropping and forestry industries have a combined value of $360m, employ 1600 people and constitutes nearly 800 regional enterprises. This sector continues to develop in the face of increasing global competitiveness and relatively high labour costs.
The Chief Minister has already commented on the increase in live export of Northern Territory-sourced cattle through the Darwin wharf this year against a national trend that has faced many challenges. We had 30 000 cattle more last year than the year before. We have exported cattle for the first time in a long time to Brunei and to Sarawak, and we continue the export of live cattle to Brunei, Sabah, Sarawak, Philippines and Indonesia. The challenge of market share and public perception for the trade will continue to rise and, with the strength and professionalism of the pastoral industry supported by my department, they will continue to answer the current and emerging hurdles.
The Chief Minister referred to the need for government to look to foster effective partnerships with industry to drive the economy forward. The Primary Industry group of my department has nurtured close working relationships through representative bodies regionally and in Darwin. I intend this year to do exactly what I did with the mining sector last year: foster and develop information and promotion of Northern Territory products here and overseas. We have good quality products, clean food, no chemicals, no pesticides, no disease, and we should promote the high quality food we produce here in the Territory - from Asian vegetables to cattle. We can foster relationships with interstate interested parties or overseas interested parties.
In my recent trip to Sarawak, I found out that the national herd in Sarawak was about 10 000 animals and their efficiency in meat production was about 6% to 8%. During an informal meeting with the Deputy Chief Minister of Sarawak, who happened to be my counterpart, we have agreed that we would have a delegation visit Sarawak to promote the live cattle export from the Territory. Why not develop partnerships with business and the government of Sarawak to foster the development of the trade between us, and to assist them in the development of their meat processing centre in order to increase their meat efficiency?
I mentioned before that the pastoral and horticultural industries are industries that can provide employment opportunities for indigenous people, and the indigenous pastoral programs have done exactly that. We have a significant number of young indigenous Territorians participate in pastoral projects, to work actively as members of the pastoral industry and to have agreements with pastoralists to lease properties to the pastoralists for grazing cattle. In another case, we have seen Aboriginal properties coming back into production and we intend to continue supporting indigenous Territorians in the development of the pastoral industry on their land.
The litmus test of business confidence is private sector investment. The primary industry sector has continued to back itself with infrastructure and operational investments. An example of this includes the significant planting of 255 000 Calypso mango trees by the end of 2007 by Timbercorp Limited from Darwin through to Katherine and Mataranka. The table grape growers of Ti Tree have demonstrated clear confidence in that industry’s future by replacing 50 ha of grape vine affected by nematodes, and expect that 200 ha will be replaced within four years returning the total planting to around 400 ha. Great Southern Plantations is continuing to invest in the 15 000 ha forestry enterprise on Melville Island and expect to spend $76m this year alone. It was only a few days ago when we saw a Chinese ship arriving at Melville Island to load some of these logs for export to China.
Cashews NT is investing up to $10m in developing a 1600 ha cashew venture at Wildman River. This enterprise already employs 14 seasonal workers and provides development options for other regional producers. With the advent of the biodiesel refinery mentioned by the Chief Minister, the cropping industry is working with the department to investigate biofuel options for the Northern Territory. Cassava, soya bean and sugar cane are potential renewable energy sources for ethanol or biodiesel.
The recent sale of Scott Creek, and East and West Mathison pastoral leases west of Katherine are good examples of business confidence in the pastoral sector. Northern Territory land has attracted significant interest from interstate investors and these recent sales have set a new benchmark for pastoral land prices. Whilst the focus is on economic development in this statement, such development is balanced with the environmental sustainability of the Northern Territory.
Primary Industry recognises that economic development and environmental sustainability are interrelated and each cannot survive in the long term with out the other. Areas of research in primary industry production and focusing on the utilisation of natural resources that maximise productivity whilst preserving life conditions and biodiversity is essential from both today’s increasing accountable environment and from a business cost of production of point of view. Primary industry is the custodian of large tracts of our Territory’s land and resources, and the industries are working responsibly with government to ensure that our natural resources are preserved for our children. In order to underpin primary industry development and to continue market access for our livestock and produce, this government is taking the lead role in biosecurity planning, preparedness and response.
Protecting the health status of primary industries and the environment is of prime importance to the Northern Territory. The only reason we sell live cattle to South-East Asia is because our cattle are foot and mouth disease free unlike Brazilian or Argentinean cattle. If, by any chance, foot and mouth disease gets hold in Australia, the Territory would kiss good-bye to a $150m-a-year trade with South-East Asia. Our government is determined to work very closely with anybody in Australia and the industry to make sure that this does not happen. This is the reason why, in the past 18 months, I have been calling on the federal government to do something about illegal fishermen incursion in our northern waters. My fears are not only that they would deplete our fishing resources, which I will mention later, but also it may introduce diseases that currently do not exist in the Territory such as foot and mouth, tuberculosis, cholera, malaria or even rabies.
I would like to add to the Chief Minister’s statement on the economy and update the Assembly of the government’s ongoing initiative to deliver greater opportunities and benefits for Territorians from the sustainable development of our valuable aquatic resources. The harvesting of resources from the aquatic environment, along with the burgeoning aquaculture industry and increasing recreational and fishing tourism sectors, all contribute strongly to the economic development and social fabric of the Territory. In 2004, the revenue generated from the wild harvest fisheries and aquaculture industries was $32.3m and $28.8m respectively. The annual value of production from the commercial fisheries sector is between $100m and $110m. However, the multiplier effect to the community, usually a factor of three or more for commercial fishing, demonstrates the overall significance of the industry to the Territory. According to industry figures, in 2005 some $1.4bn was invested by Northern Territory commercial fishers in licences, vessels and facilities. Further, around 1250 people were employed directly in the seafood industry generating wages of about $90m per year.
In addition to our wild harvest fisheries, the Northern Territory has a growing aquaculture sector. In 2004, the total production from Northern Territory aquaculture was valued at just over $28.85m. That represents an 8% increase in industry value compared with 2003. The fastest growing sector was barramundi farming which in 2004 increased by 30% to a value of $9.4m. In 2004, the Northern Territory aquaculture industry provided direct employment for over 325 people. The aquaculture industry in the Northern Territory is on course for a combined industry value of $120m per year by 2010.
As is evident by these projects, we work very closely with the indigenous communities and, for the first time ever, to farm mud crabs. We have an experimental farm at the Kulaluk community in Darwin and we have another experimental farm near Maningrida using juvenile mud crabs produced by the department’s Darwin Aquaculture Centre at Channel Island. As is evident by this project, Fisheries within my department continues to seek opportunities for the greater inclusion of the indigenous sector in generating economic activity.
As many of us here today are aware, recreational fishing is one of the most popular leisure pursuits in the Territory with up to one in every two Territorians fishing each year - that includes me and my colleague, the member for Johnston. The variety and abundance of fish stocks, coupled with the pristine nature of Northern Territory waters, draws more than 100 000 visitors to the Territory each year. The most recent survey suggests that more than $26m was spent directly on recreational fishing in the Northern Territory. Our government is committed to support recreational fishing. That is why we have put fairly significant resources to licence buy-backs, improving fishing infrastructure, and adding on the fishing infrastructure.
The economy in the Territory is doing very well, thank you very much. You can read any magazines you like about investments, about property, about housing. You can read the comments from Access Economics or other people analysing the economy and provide focus on the Territory.
The best evidence about the growing Territory economy I heard this afternoon. I went to the local Greek barber to have a haircut and, while I was there, there were two Greek gentlemen talking to each other. The talk was about what is happening in the Territory. One of them said to the other:
- Well, nobody can complain that the Territory’s economy is doing badly. Last year, in 2005, I had some of my friends working during Christmas time. They have never before worked at Christmas time. When I asked them why they did it, they said because there was so much work, they could not find workers and they had to do it.
Nobody would work during Christmas holidays. I have been in the Territory for 14 to 15 years; every Christmas period was a dead period. Everybody was lying back relaxing, not working. This year has been a very busy year. I had some work done in my house. The work to be done was agreed to be done in October. I came back from holidays at the end of January and they had just finished the work because they could not do it as they had six projects at the same time.
The Territory economy is doing very well, thank you very much. The indication is from not only the building sector but also the retail sector. This is the first time we have seen a significant number of retail outlets opening in Darwin. Before we only had Retravision and Harvey Norman. If you take a trip up the Stuart Highway, you will find Harvey Norman, Carla Furnishers, WOW, and Chandlers. If you go to Casuarina, you will find another two retail outlets. As I was advised, for the first four days of this particular retail outlet opening in Casuarina selling DVDs, videos, and electrical equipment, they had a turnover of $0.25m - in four days. People would not spend if they did not have the money. People will not spend on luxury items or the small items like DVD players and home entertainment centres. When people spend this kind of money it means people have confidence in their future, in the economy, and in the Northern Territory economy.
I am very proud to be part of this government. We found some really hard times when we first came to government, but we have now seen the Territory economy blossoming, a significant increase in development, and it has become the envy of the nation.
Mr WOOD (Nelson): Madam Speaker, I thank the Minister for Primary Industry and Fisheries for his contribution to this debate. I wish it was a ministerial statement. I am not trying to be rude, minister, but sometimes it is difficult to hear what you have to say. However, I know within what you said there was an enormous amount of information. It is time we had a ministerial statement on primary production. I would like to debate some issues on primary production with you. I find it more interesting than worrying about some of the stuff such as if the climate is right. I can talk about bananas and cotton and that sort of stuff much more easily. I hope you make a ministerial statement on that as primary industry is an important part of the Northern Territory’s development.
You mentioned about some work going on with geothermal. I will have to get the Hansard to read it. If you are moving down that path, that is great. As an aside - I was going to talk about it at another time – it is interesting to see the Clean Fuel company is going to produce hydrogen. Hydrogen is the fuel of the future for vehicles. I had a briefing with the CEO of Clean Fuels. Perhaps this government could look at running its fleet of buses on hydrogen produced by this company. There are buses throughout the world which run on hydrogen and, if we were one of the first places in Australia to run a full fleet of buses on hydrogen, that would be great – perhaps even some of your own fleet. I know that buses do run, I think, in San Francisco and parts of Germany.
I will just make some general comments. One can pick up this document and see the word ‘turbocharged’. Of course, you know that it comes from the government side. Naturally, the economy is going to be turbocharged. We need to hear some other points of view to balance what has been said.
There is much talk about the growth in residential areas. I cringe a little, especially when it comes from the Labor Party, when they praise the rising of median house prices by 11.9% in Alice Springs, 17% in Tennant Creek, 7.4% in Katherine and, in Darwin, by 26.2%. I know the Treasurer spoke about HomeNorth and how that can help people who are trying to buy into housing. I still believe we are missing the point. The higher prices we pay for housing and land, the longer we put people into debt. They can get their loan from HomeNorth, by all means, but they will be paying off that debt for a very long time, with probably both people working very hard and families not being looked after as well as they should be simply because the debt is so high.
We might be lower in the scale of affordability from other states, but we have a higher cost of living, generally speaking, because of where we live. That should not be a comparison we should look at. We should say: how much does it cost for a family to buy a house and land in the Northern Territory? A reasonable house - not a little hot box. A house where you can play cricket or rounders with your son or daughter in the backyard. Something where a family can enjoy life – a reasonable place to live. It is beyond my comprehension to see the Northern Territory with a land mass a fifth of the size of Australia, with a population of 200 000 people, and we do not have enough room in which to put people. It just does not gel with me.
I say to the government: you have a booming economy, surely you can develop some land of your own? There is quite a bit of Crown land. There is Palmerston – it does not have to be developed by a developer. You can go back to the old-fashioned way of the government developing itself. There is quite a lot of land in the Litchfield area. House prices in my area, Howard Springs, are just extraordinarily high. To get a reasonable house and five acres is now about $400 000. That is way out of reach for the average young family starting off, and yet the rural area is a great place to bring up kids. I believe there is a role for government to really start to look at opening up land for first home owners. If they believe in helping families, that is the way to go. If you release a certain amount, you are not going to affect the booming market we have at the moment. What you will do is help the economy because those families will have more money to buy a decent-sized house. If you are building a house, you are helping the economy. If you are buying a block of land, you are doing nothing; you are helping the real estate industry. But, so what? Industry is probably not the right word there. Real estate is only interested in cutting up land. The things that really help the economy are buildings. If we have money to put up decent houses, we are helping the economy. You can say it is great, however, we need to do a lot more.
We know that the place is growing. Have a look around Darwin - you will see these great big units. I get thrilled to bits when I see them. Governments can say: ‘Whackadoo, look at that, we are booming along. Isn’t it great to see all these units?’ I say there is nothing wrong with units per se, but do not let development make us lose sight of what sort of city we are building. I fear that we are not putting enough emphasis on what our city will look like in the future. I say that from an architectural point of view. I have said it many times before. I was having a look today at the Crowne Plaza, which was built -- oh, it must be nearly 25 years ago. It stands out, to some extent by itself, in Mitchell Street as a beautiful building. Someone has made an effort to make that building look very special. I have said that about the Marrakai, and the Saville. There are certain buildings that look good. There are certain other buildings that if they fell down tomorrow I would not cry in the least.
When you go past the NT News building at the moment, you look up and ask: ‘Am I in Hong Kong?’ I believe we have just developed ourselves the version of the six-pack which was built near the Casuarina Shopping Centre, which was a block of flats with concrete all around. What we have now done is the same thing and taken it up 20 storeys. We have not moved on to try to develop an architectural style to help our city look good. There is definitely a need, especially with larger public or private buildings, for the government to set up some sort of evaluation of their architectural merit. It may be that a company that comes along and says they want to build this building, has to give you three designs. They are not designs built to the nth degree; they are designs so that you can get a rough idea of what they would look like so that we can at least try to promote a city that is something to be proud of.
I am happy that the city is booming along. That is great. People are getting plenty of work - building, tilers, plumbers, you name it, they have plenty of work. However, what we should be doing is ending up with a beautiful city with room to move, trees around, and space; not clustered.
Wastage: when the TIO debate was on I was asked why the government wanted to sell the TIO. The statement that the Treasurer gave at the time was if we were to sell TIO it would be a good reason to get rid of some debt, a good one-off opportunity. I was asked: ‘If you are not allowed to sell TIO, how else would you save money?’ I believe we have to look a lot more at wastage. I am not trying to pick on the Minister for Planning and Infrastructure, but there is an area where it would be good to have a private auditor - and it may not just be for your department, minister, but for other departments - to assess many of the projects undertaken to see whether they were estimated at the right amount when the budget went through, to see what went wrong if they went wrong, did they have overruns and why, and to look at whether we are wasting lots of money.
I will give you a couple of examples. I went to the port the other day and they probably wanted to know why I was sneaking down there. This is the picture of the front gate before you get in there. It is on the causeway as you go out towards to the port. This is the third gateway they have built. They built one some years ago right near the port and they must have said: ‘Well, that is no good, it is too far’. Beg your pardon! They saw there were kids fishing on the rocks on the causeway and the trucks going up and down so they decided to bring the gateway back near the East Arm Boat Ramp. So the East Arm Boat Ramp gate was No 2. Then they got rid of that and they moved this one about 100 m or so away from that one and built this very nice one, beautiful architecture. I admit that this is meant to be a functional building. I am not sure we needed to spend that much money. They built it high off the ground, so high that when a car goes past the person in charge of the gate puts a rod down with a net on it to pick up their licence so that he can look at it, and passes it back the same way.
That might have been all right for a truck but someone has not designed it correctly for all vehicles. So much so, they have built a small shade house at the front here where they are now doing it on the ground level. I have to ask: why has this been designed this way? Trucks you can reach up to, cars you can look down. The disadvantage of this system is that you cannot see every person in the car because you are looking down at the roof of the car. So, they have now had to spend some money on a shade house at the front.
If I go to Robertson Barracks; I see a small gatehouse where there is a bloke on that side and a bloke on that side, down at ground level. They have trucks, tanks; everything goes past there. They look at the ID, they look at the licence, they look at the registration, they write it all down, then they go back inside. Simple. But here, I do not know how much money we spent on this but it seems to me we have built something that does not really work the way it should. I say we should get an independent person to ask how much money we spent on gatehouses, why we have this one, two, three, and was this a silly design and why.
Another area I have mentioned is the Stuart Highway past Noonamah. I think it was meant to finish last June; it finished in December. The water pipes had to be shifted – the Commonwealth government gave us $1.2m to assist shifting them. I was told by the person who put the pipes underground that the design the department had given him was wrong. In fact, he could have probably designed it himself because he has been welding those pipes on the Stuart Highway for about the last 20 or 30 years. He is the regular welder. We are all now using the road past Noonamah but the overhead lights are not on. I was told that some of them are in the wrong spot. That may not have all been the fault of government, but it was the fault of something. Was there a cost to the taxpayer?
There is a need for an efficiency auditor who can check on these things, not just to criticise government, but see where we can improve. Do we need to employ people? Have we lost all our engineers, for instance? Are we doing a lot of work privately? Have the people who once worked for us gone? It is an issue that when we are talking economy and, as the minister said $2.2bn in construction, the more we can use that efficiently the better our economy is.
There are two issues raised by the Auditor-General which I believe need some comment. He raised his concern that the GST increase is slowing down. If it is, then I would be asking the government if we are slowing down too. It is no good having big projects if you know that money is not going to come. Are we making sure that we are not starting to bite off more than we can chew? He says here: ‘Heavy capital outlays signal current or future call on savings of other sectors’. I presume he is saying that if you have some big projects and we do not get the income from the GST, then we might be looking at a little from this department and a little from that department to pay for it.
He also mentions public employment. This is an area which really needs a bit more time to look into. He says: ‘… employment related costs rose by $112.8m’. I ask the question: how many extra people have we put on in the public service this year? I thought we had our 100 police and 100 nurses, and we had our EBA for the teachers. However, I am told that an extra100 people moved into administration in Health, for instance. Why are they there? Haven’t we reached some sort of levelling out? It appears as though we have employed about 900 more people - which is a substantial cost. Someone told me that Health has become so big they have moved into the AANT building. Why? What is going on? It is something we should be keeping an eye on. The Auditor-General said: ‘Employee costs and nominal interest on super and depreciation comprise 49% of total expenses in the general government sector’. That is a huge amount to be put into employee costs. I am interested to know from the Chief Minister how much has public service employment gone up this financial year, and where has it actually gone - that is an important factor.
We have been talking about tourism today. There is no doubt that in some areas tourism has gone up, and in others, tourism has gone down. I mentioned before that we need to look at why tourism to our national and conservation parks has gone down. I had some figures from the Estimates Committee last year which showed that nearly every park had a decrease in numbers.
The member for Blain mentioned getting better signage and that may have something to do with it. However, I wonder why we are losing people in our parks. The government should be investigating that side of it. We spend a lot of money on our parks, and if people are not visiting those parks as much as they should be, why not? I had half a holiday, half work time during Christmas thanks to TIO and a few other things. I took a day off and went to Nitmiluk National Park and went on two of their small walks. I nearly died of heat exhaustion, but I had plenty of water. The escarpment was beautiful; the plants were out in flower. I took photograph after photograph and had a swim in the southern rock hole. It was a lovely day out. It would be sad if people are not recognising that we have these beautiful parks and are not visiting them. I do not know whether Tourism or Parks are investigating why there has been a decrease in visitor numbers.
There have been many good things said about gas, and we have the LNG, and biodiesel. I would like to have a debate sometime about biodiesel as I would like to know a bit more about its viability and its future as a real alternative to oil. We have the Clean Fuel project, and the helium, which are all great projects. However, I would say the same things as I said about buildings in Darwin: we need to be careful about how we develop. You sometimes get all the glossy brochures, as I have, and we need to see below that and make sure that this development does not ruin our harbour and our skyline.
One of the tanks at the port has been beautifully painted by the Larrakia people and it is a great work of art. I looked at the other tanks and thought not so much whether they too could be painted but if anyone had thought to do some landscaping around them. All you see from this side of town is the big white tanks standing out. Is there is any way of breaking those industrial developments using landscaping? You will not hide the tank completely, but you might be able to break it up. I wonder whether we should investigate a little more when we are putting in industrial development whether it can be broken so the skyline is not just a great clump of tanks and industrial development.
The Minister for Primary Industry and Fisheries spoke about agriculture and horticulture. They are ongoing industries for the Northern Territory, and they are good industries. I say to him that we have a good picture of those things. Go to Katherine; you have all these big empty silos. Go down to Fleming in the Douglas Daly, you have a great number of silos - empty. Broadacre agriculture is just about dead. I know we have issues with the Douglas Daly and the water, but here we have what we thought would be an industry for the Northern Territory - dead.
I was in the poultry industry. Some of my grain came from the Douglas Daly and some from Kununurra. It would come through those silos in Katherine, but not anymore. They sit there idly rusting away. I have to ask: does the government really have a commitment to broadacre farming?
The Defence industry is very important. I was surprised to hear the minister talking today about the development out near the piggery. If I had the chance, I would have asked if you have to put those industries just south of the barracks, are they going to move the piggery? The two are going to …
Mr Henderson: The piggery will be fine.
Mr WOOD: The piggery will be fine? There will probably be a great supply of pegs going out to all those people working nearby, because it can be a bit high sometimes. It is good to hear that industry is being developed there. I hope the government also sees that there is good reason for putting industry out there, and may still reconsider using the middle of the harbour. That is the area where you want your industry - close to Palmerston, the barracks, and the port. Maybe I can convince them, after seeing this industry developed, that that is a good place to go.
Madam Speaker, I am not going to go through the rest because I do not have time. I just thought I would raise a few points that I hope the government would take some notice of.
Mr HENDERSON (Business and Economic Development): Madam Speaker, I have been advised, member for Nelson, that the piggery will be fine and, hopefully, not too much disturbance for the good animals out there.
I speak in support of the Chief Minister’s statement on the Territory economy. One of the government’s greatest priorities and challenges is to help spread the benefits of economic growth to regional and remote communities. We need to get regional and indigenous economic development right, in partnership with the communities. That is one of the key foci for the government over this term.
We will be putting together, as a result of the economic forum held in November, an economic development framework which is going to be a 10-year blueprint for growing our Territory economy. It is going to form the backbone of government economic policy over the next 10 years. The concept of a 10-year road map of the key issues, challenges and opportunities for our economy has been well regarded by industry as a very solid innovation of government. We look forward to debating that blueprint in March/April this year.
My other priority as minister is continuing support for small to medium enterprises so that they can grow, and attracting new business and investment to the Northern Territory. The economy is only going to continue to grow with new investments from the private sector.
I spoke just a minute ago about the Economic Development Summit, the second one for this government. The summit was not just about Darwin; we travelled throughout all major regional centres. I attended all the regional forums and a number of members attended those regional forums as well. This gave business an opportunity and a chance to express their views on the Territory’s future and the opportunities and challenges of developing business in our regions.
The consistent theme at the summit and forums was the importance of engaging with regional and remote areas in the economic development of the Territory. Addressing these issues will assist in overcoming skills and labour shortages that are the major impediments to fulfilling the Territory’s economic potential. We all understand that the key brake on our economy at the moment is finding the skills and the people to take part in the opportunities that are here at the moment.
Key issues identified at the summit and regional forums will become part of the development of 2015 - Moving the Territory Ahead Economic Framework. The major focus of the framework is strengthening partnerships, government, industry, regions and communities and ensuring the shared sense of direction. The framework is going to be structured around five principles: investing in our future, developing our people, building a more cohesive society, integrating development with the environment, and improving private and public sector effectiveness. The framework’s green paper, to be completed in March, will give us long-term, high-level economic development objectives, and will add to industry, regional and community development, especially indigenous economic development.
Speaking about regional development, the new portfolio of Regional Development is now part of my Department of Business, Economic and Regional Development. Regional development comes from stimulating economic growth and ensuring that prosperity flowing from that growth is shared by all Territorians. Government’s strategic approach to regions, centres on the development of sustainable regional economies through identifying opportunities; negotiating governance arrangements which support regional, social and economic development; and the provision of physical infrastructure that fosters sustainable development. This approach is encompassed in the Building Stronger Regions, Stronger Futures strategy which is the framework for our efforts.
As part of this, Regional Development Boards were established in 2003. With the creation of the new DBERD, it was considered timely to review the existing boards, looking at their operations, activities and future. Government is now considering the recommendations out of that review process with a view to strategically strengthening regional economic opportunities and partnerships with local communities and other government agencies.
In the meantime, government is changing the way we do business in the regions, playing a more direct role in facilitating regional development. Staff will be applied directly to assist communities and regions to develop their capacity. For example, DBERD has introduced a bi-monthly service in Mataranka that offers business a range of Territory Business Centre business development services. Under the initiative, staff from the Katherine Regional Office set up a shopfront in Mataranka twice a month and visit local businesses to assist with a range of issues. This is part of a DBERD strategic priority to expand coverage and services of the Territory Business Centres into regional areas.
Another DBERD initiative, the Regional Development Fund Community Projects 2005-06, provides $200 000 to stimulate and support community involvement in regional development processes, and support innovative projects and initiatives that have positive regional development outcomes and significant benefits for communities.
Recent projects approved include:
the Katherine Regional Aboriginal Health and Related Services Inc: $25 000 for a feasibility study for the construction and operation of an indigenous health precinct in Katherine. If the precinct proceeds, economic benefits will flow into the Katherine community during the initial construction phase but, more importantly, through the employment of specialist health practitioners and the ongoing training of medical students; and
Another area of my portfolio is overseeing development of the Desert Knowledge Precinct, a major regional development project for Alice Springs. Government has committed $30m to complete Stage 1 over three years, up from the original commitment of $27m. The Desert Knowledge Precinct will offer business, training and job opportunities for Alice Springs and Central Australia. I will be attending the first Desert Knowledge Board meeting in Alice Springs on Friday as part of ongoing consultation with them on the roll-out of the project. It is expected the construction of the Business and Innovation Centre and the first stage of the Desert Peoples Centre Administration Building will be completed by the end of 2006.
Nothing is more important than indigenous economic development. The Northern Territory Indigenous Economic Development Strategy was launched in May 2005. It identifies opportunities for development in 13 industry sectors: aquaculture and fisheries; arts; community services; construction; forestry and agribusiness; government; horticulture; knowledge and culture; mining and production; natural resource management; pastoral resource management; pastoral retail services; and tourism. The indigenous development task force made up of government, business and community representatives has developed a work plan and reporting framework for the strategy against the 13 industry sectors.
The Australian government launched its own Indigenous Economic Development Strategy in November. Strong synergies between the two strategies and priorities have been aligned: indigenous wealth, employment, and entrepreneurial culture. Collaboration has led to funding of four economic development officer positions in Darwin, Nhulunbuy, Katherine and Alice Springs, and discussions are continuing over a fifth position for Tennant Creek. The first appointments at Larrakia Development Corporation in Darwin will start next month. Collaboration and cooperation between both levels of government, indigenous organisations, and the private sector has generated noticeable success stories. For example, Tangentyere Constructions and Amoonguna Council construction teams completed new houses in 2004-05, with new house construction planned for 2006; expansion of MENTIS supported indigenous pastoral trainee programs; and a range of new business start-ups through the Territory Indigenous Business Development program.
My department is also involved in regional networking workshops bringing together staff involved in indigenous business development and job creation to work collaboratively. The first meeting was held in Alice Springs in December attended by around 45 representatives from Commonwealth and Territory agencies and community organisations. The key outcome was the establishment of a planning committee which has been asked to examine pathways from training to employment, and options for business development and job creation in Alice Springs. This is a good example of community groups, the private sector and government agencies working together to develop strategic opportunities.
The Indigenous Business Development Program is a program we established in the budget last year with a budget of $300 000 per annum. Since that time, there has been engagement with over 75 individuals with business interests, which include a diverse range of ventures such as tourism, aquaculture, horticulture, cultural activities, arts and craft, community stores, media, and entertainment. The program aims to assist indigenous people start their own business, support the formation of partnerships and joint ventures between indigenous organisations and other corporate entities, and provide business support services to indigenous business. Preference is given to business proposals with joint venture opportunities and the potential to attract funding from Australian government agencies such as the Indigenous Land Corporation, Indigenous Business Australia, and the Department of Employment and Workplace Relations.
The program has funded eight applications totalling $114 224 so far. An example of some of these programs is Jinup Entertainment Promoters and Consultants in Alice Springs. Mr Mark Manolas and Ms Sharon Cole have a partnership trading as Jinup Entertainment Promoters and Consultants. Both partners have many years experience in the Central Australian indigenous music industry, indigenous management, event organisation, and both have extensive industry networks. Mr Manolas and Ms Cole will provide a communication service in freelance audio and recording involving television, radio, live broadcasts, and outside broadcasts, in and around Alice Springs and remote communities. This could enhance possible employment outcomes for indigenous people. Funding received has been $8269 to purchase equipment required for the business.
Another example, and the Larrakia Development Corporation is doing some great work here in the Top End, has been the development of Salt Water Constructions. Salt Water Constructions received $10 000 funding for tools and equipment for property maintenance in conjunction with LDC and Wolpers Grahl to improve its construction capabilities.
North Barkly Indigenous Development Trust at Tennant Creek, the traditional owners of land in the Northern Barkly region of the Northern Territory, have decided to establish a business trust to operate for the benefit of them and others affiliated to them by participating in commercial business, especially those undertaken in the Northern Barkly region. This trust was granted $30 000.
Aboriginal Air Services in Alice Springs were interested in acquiring, and has acquired, a stake in Air Ngukurr and has received funding to assist them undertake a feasibility study, business plan and due diligence.
These are just a few examples of the $114 000 to date under that $300 000; seed money to help small start-up businesses to get up and running across the Northern Territory. Eighteen other applications are currently being considered. An additional proposal will emerge from the field visits and proponents approaches in the coming months.
Another important area of my department is to continue to work with small to medium enterprises across the Northern Territory, the backbone of our economy, and assist them with their business growth planning and capacity. We as a government are committed to supporting SMEs to grow further. These initiatives include the Territory business centres which are the first contact for business through the TBC web site. Businesses can obtain all licences on-line, download relevant licences and permits and obtain information on industry sectors, regional economic snapshots, and skills development programs. The ‘up skills’ workshops offer a range of information and free business improvement programs to enhance the capability of NT business operators to manage their businesses in an increasingly competitive marketplace.
Free introductions to small business workshops provide information to participants in important areas relating to starting a business. I think there is one this week here in Darwin. I attended one of these introductions to small business workshops last year and it was very well attended.
October Business Month is a huge success. The theme in 2005 was ‘Taking Care of Business’, and over 100 events were held throughout the Territory. The department has a new position of a procurement liaison officer - a big issue for business. My colleague, the procurement minister, will be announcing further changes in the not too distant future. The department now maintains a procurement liaison program aimed at improving business understanding of government procurement requirements, and acts as an interface between the private sector and government agencies in regard to procurement complaints.
Other business support includes assistance for home-based business; women in business; franchising; and indigenous business, as I have said before. Government also supports the Business Enterprise Centre, the Top End Business Development Centre, and the NT Industry Capability Network. The shortage of skilled workers is a major issue for employers as our economy grows. My department promotes opportunities for employment in the Northern Territory at relevant trade fairs overseas and assists employers by guiding them through the immigration processes which can be a significant maze for small business.
Defence support: my department assists industries to develop proposals to maximise returns to the Territory for major Defence-related contracts including Through Life Support for Abrams tanks - I have advised the House today of the proposal for a Defence hub and industry park adjacent to Robertson Barracks; the Tiger helicopters, Armidale Class patrol boats, and other major defence platforms.
Manufacturing is an emerging sector taking advantage of the growth in oil and gas, and in the Defence sector. The manufacturing strategy which I announced about 18 months ago is assisting industry to continue to grow and develop. Government is also working to improve the Territory’s operating environment for business to attract increased investment and encourage jobs growth. For example, DBERD was recently successful in gaining a $360 000 Commonwealth grant for a project aimed at reducing red tape for home-based and small business in the Territory.
I have also taken the opportunity to meet with the NT Business Council, the Chamber of Commerce NT, and other business association representatives, as well as individual business owners and operators, to ensure that I and my department are across a range of issues important to industry. Importantly, I am not just talking to those major industry associations. I am getting out and about and talking to individual business operators about what they are doing out on the ground. There are some tremendous people out there who are committed to the Territory and doing the hard yards and getting good returns at the moment.
The efforts and initiatives of my department are aimed at meeting the basic principles the Chief Minister spoke about in her statement: creating a competitive business environment; making strong investments and infrastructure, particularly industrial infrastructure; building strong development credentials; and taking an inclusive approach to business and economic development based on partnerships.
The government is not resting on its laurels. The economy may be turbocharged as Access has said, but there is much more to do to ensure that we develop a sustained and vibrant economy for the benefit of all Territorians no matter where they live. When we talk about the economy, when we talk about those economic growth figures and all the economic jargon, at the end of the day it is all about people out there who have jobs, who are earning an income, who can provide for themselves and their families. A strong economy means that people have those jobs and are providing for themselves and their families. That is something that is going to be a key priority for the government into the future.
Madam Speaker, I proudly support the Chief Minister’s statement.
Dr BURNS (Planning and Lands): Madam Speaker, it is a pleasure to speak in support of the Chief Minister’s statement on the Territory economy.
The Access Economics report makes very interesting reading for everyone. Indeed, some of the language used in the report can only be described as exuberant. It says that times are great and current conditions are ‘almost as good as you can get’ as it forecasts annual economic growth in the Territory of 4.4% over the next five years. This leaves the Territory as the fastest growing jurisdiction in Australia.
Just prior to the election last year, Premier Peter Beattie visited the Territory and said that he likes to go around Australia boasting that Queensland is the fastest growing state in Australia. However, he said that always in the back of his mind is the knowledge that he is aware that the Territory is actually the fastest growing jurisdiction in Australia. He certainly paid many compliments to the Territory and to the Territory government, and highlighted a great future for the Northern Territory. I believe that is high recommendation coming from someone like Peter Beattie who has driven economic development in the great state of Queensland.
Access Economics is not alone in being bullish about the Territory economy. I was particularly interested to read in a recent copy of the Australian Financial Review a report on the Territory’s real estate sector. That particular newspaper draws a direct link between the state of the real estate market and the health of the Territory economy. Indeed, the Australian Financial Review is far more optimistic about the Territory economy than the opposition members who contributed, particularly the Leader of the Opposition. I quote a few of the relevant paragraphs from the Australian Financial Review. It said:
- It is clear that the Northern Territory property values climbed in 2005.
Further, it went on:
- Jobs growth in the Territory’s gas sector, as well as the transport and securities industries, led to increased migration to the area in the past 12 months, translating to a greater need for housing.
The article then quotes Mr Mick Smith of Mick Smith First National Real Estate. Mick is a very well known real estate man around Darwin, and very successful. It quotes Mick as saying that Darwin house prices are going about twice the pace of Perth. The article concluded:
- Price growth doesn’t show any signs of slowing in 2006. A strong local economy and plans for more gas-related infrastructure will keep demand high.
That is certainly an optimistic outlook from the economic press, as well as someone who is very senior within our real estate industry.
I listened very carefully to the member for Nelson. As usual, the member for Nelson has raised some very interesting points in relation to a whole range of issues. He had reservations that land prices and house prices were escalating in the Darwin region and surrounds. He pointed to what he believed was a need for cheaper housing, particularly for first home buyers. While it is a noble aspiration, I suppose, from the member for Nelson, life and the economy is not as simple as that. First of all, government is not in the business of development. I do not think we are going to be getting into it, as suggested by the member for Nelson. We make Crown land available to developers. Developers then go ahead and develop that land. There are fairly hefty costs involved with developing proposals, and also ensuring that the headworks and infrastructure are there and available to promote and support development.
Therefore, it is not just a matter of saying: ‘We are land rich, let us just knock off X blocks out in Litchfield Shire’. There are costs incurred with that sort of development. As the member for Nelson should also be aware, there is a thing called the Litchfield Area Plan which sets block sizes and the zoning that can occur in development in that area. We do not want development willy-nilly. There are proposals in various parts to develop ordinary Darwin-sized blocks out in that Litchfield area, and I do not think the Litchfield community would really welcome that sort of development. They are out there for rural development.
Another cost that has been raised in terms of the sort of development that the member for Nelson is talking about, is in other states when this sort of development has been tried, speculation and profit takers move in and defeat the whole idea of what he is suggesting. It is a laudable idea but there are practicalities that the member for Nelson really needs to take stock of and, as minister, I am certainly well aware.
There is also the effect on others. I am sure there are people in that Litchfield area who invested in their property and would not take kindly to a cheap or more affordable option next door to their property which could bring their property price down. That is another issue the member for Nelson needs to be considering, particularly in his own electorate and for those people who have property there.
We are turning off land. We are encouraging people to get into affordable housing through the HomeNorth scheme. Others have outlined the success of the HomeNorth scheme. I, too, point to that scheme as a way of young people, in particular, getting into housing and accommodation and starting to build up their asset base.
The member for Nelson also raised issues to do with unit development around Darwin. To some degree I share his concern about the way that development looks and the effect it is having on the amenity of our city. Last year, I took a trip with members of the architects’ society and they raised a whole range of issues with me along the same lines as the member for Nelson.
Certainly, this is a government that is going out to consultation about the planing scheme. I know the Chief Minister feels strongly about these sorts of issues and about having open space and green areas, particularly within the city. These are issues, I can assure the member for Nelson, we are trying to address.
There are important developments going on, not only in Palmerston, but also at Lee Point with the Defence Housing Authority development there. The first blocks in the mixed Defence and private residential subdivision will be available for building in the second half of 2006. That is a development that is proceeding quite well, and there is much interest from Darwin residents about investing and living in that Lee Point development. There are over 650 blocks to be developed there. It is certainly a very important development, also for builders within Darwin. That is certainly something rosy coming up on the horizon. In Central Australia, there are the Larapinta developments which, of course, government is supporting.
It was mentioned previously about the gas industry being a driver for our economy, and the completion of the LNG plant at Wickham Point being, indeed, a day that marked the transformation of the economy of the Northern Territory. Hot on its heels came the announcement of the Darwin Clean Fuels proposal to construct a $450m condensate processing facility at East Arm. This broadening of the Territory’s economic base will result in jobs and business opportunities for Territorians. The proposed condensate plan is expected to increase the volume of trade over the new bulk liquids berth at Darwin’s East Arm Port by three to four times. The new bulk liquids berth only opened in September last year. I was proud to be there with the first petroleum tanker discharging via this facility to the new storage tanks operated by Vopak.
A new customer of the bulk liquids berth will be the biodiesel plant, with vessels offloading palm oil through the facility. Indeed, the port is at the heart of some exciting developments for the Northern Territory. As you would be aware, Madam Speaker, the Darwin Port Corporation is building material handling facilities at the East Arm Wharf to accommodate the export of bulk products.
First we had the construction of the railway which made the transport of bulk materials overland economically viable. Then we had a record demand from the Asian steel industry. Next came Bootu Creek Resources; their proposal to mine 600 000 tonnes per year of manganese ore from deposits near Tennant Creek and transport the ore via the railway to Darwin for shipment to China. The government’s commitment to constructing bulk loading facilities at East Arm Wharf was the final piece in the jigsaw. Proteus Global Solution is the managing contract for the approximately $20m project while Cliffton Coney Group is the project management consultant.
The first shipment of manganese ore is pencilled in for next month and in the meantime more bulk export opportunities are arising. Territory Iron is considering the export of 1 million tonnes per annum of Frances Creek iron ore while other potential exporters are examining the feasibility of garnet sand and other iron ore shipments. These types of ongoing cargo streams have the capability of underpinning the longer term viability of both the port and the railway. Indeed, one or two committed mining operations will support ongoing development of the port.
The Access Economics report referred to by the Chief Minister highlights the importance of the resources sector to the Territory economy. This government’s investment in infrastructure at the port is crucial to supporting and expanding this vital sector.
In my offering tonight, I would just like to give a few snapshots of various things that are happening. I have foreshadowed the bulk shipping through the port. Once again, I draw attention that in January 2006 there was a visit by a Hai Win Shipping line vessel. It was the eighth call of this particular company’s vessels trialling the Australasia Trade Route. This particular vessel discharged a record 213 containers from China. It has been on the record that the managing director of Hai Win, Mr Frank Guererra, has been quoted as saying from an operational and logistics perspective the land bridge trial worked extremely well and that the cargo was delivered in Adelaide in excellent condition and on time. That is approximately six days faster than delivering it via Melbourne. He did acknowledge that, from a cost perspective, the trial was more expensive than the Melbourne option; however, on a total logistics cost basis, the land bridge was comparable. It is very important to note that the port’s container trade is growing and there are operators coming in and taking advantage of that particular infrastructure.
The Access Economics report also highlights a role to be played by the development of the Darwin waterfront as the mainstay of commercial construction for some time to come. I went on-site to the convention centre last week and the mud has been dredged away and, in its place, some 250 000 tonnes of landfill and more than 16 000 tonnes of armour rock have been placed. Macmahon NT, the Darwin Cove Consortium’s civil works contractor, has spent four months working on the pad which has now reached the stage of practical completion. It was great to go down there, inspect the pad and see the practical completion. It is ready to hand over to Barclay Sitzler Mowlem and they will take possession of the site. They will establish their offices there and will start putting the poles in very soon. I am incredibly enthusiastic about the waterfront project. It is a great project and I know there will be a statement on the waterfront later in these sittings; however, it is important for me to mention it in terms of economic development within the Territory.
I was going to mention also, as a bit of snapshot, there are headworks planned for McMinn Street in Darwin, so there are ancillary works going on there as well. Stage 1 has been awarded to Wolpers Grahl at $1.9m and that includes a roundabout at McMinn Street; a carriageway; augmentation of the water main; a rising main for the sewer; and ducting of power and communications. Then there is the road works of Stage 2: $2.5m is programmed for 2006-07. These are important ancillary works and supporting works, if you like, for this fantastic development of the waterfront.
As the Infrastructure minister, I was particularly pleased to read the recent policy paper released by the Australian Council for Infrastructure Development. The paper examines infrastructure expenditure by jurisdiction placing the Territory second behind Western Australia in spending growth. I have outlined that there are many projects occurring in the private sector. Once again, it is important to emphasise that, as a government over the past four to five years, we have had record total infrastructure programs in the Territory and record cash against them. This has been the real foundation and undergirding of our economy, and I know it has been particularly appreciated by the construction industry.
What is noteworthy, apart from the public infrastructure, is the surge in private infrastructure expenditure since 2001: a near sixfold increase which the paper attributes to major projects such as the railway and the construction of the underwater pipeline from the Bayu-Undan gas field to Wickham Point. This is testament to the private sector’s confidence in the future of the Northern Territory and its economy. The paper also points out with projects like the $1.1bn waterfront development, public and private outlays on bridges, railways, and harbours will continue to increase.
Once again, some snapshots – I am running out of time but I know if push comes to shove someone will allow me to finish my remarks. I do not have too much longer to go. However, I would just like to mention the beef roads. That has been an important development in the regions. We allocated $10m over two years; that is in the 2004-05 and 2005-06 years. This was a very constructive use of GST revenue coming into the Territory. It provided employment and continues to provide employment opportunities and significant benefits to many sectors of the community including tourism, and mining, apart from the beef roads.
However, just looking at the 2004-05 program, the Barkly stock route is completed; Rankine Road is completed; Central Arnhem Road is completed, the Roper Highway is completed and there is substantial completion of a number of other projects. In 2005-06, Larrimah Western Creek link, Point Stuart Road, Ringwood Road, Maryborough Road; these are all important projects. We developed this program in consultation with the Cattlemen’s Association …
Dr TOYNE: Madam Speaker, I move that the member’s time be extended pursuant to Standing Order 77.
Madam SPEAKER: Have you finished your speech, minister?
Dr BURNS: No, I have not. I have asked for an extension of time.
Madam SPEAKER: You cannot ask for an extension until the time has expired, minister.
Dr BURNS: Okay, thank you, Madam Speaker.
Madam SPEAKER: You have 1 minute, 46 seconds.
Dr BURNS: All right. However, I will say on a regional level - and I know the member for Wanguri has also talked about regional development, IHANT, and the indigenous housing construction budget. I know the Minister for Housing is very enthusiastic and keen on this project and providing housing within the regions. I suppose in my portfolio area, I have responsibility for managing the project. However, in this particular area for the 2005-06 year, the budget is $28.7m and work in progress currently totals in excess of $33m. I could detail the regions, but this is having a benefit in the regions and we are continually looking for ways to engage with the Aboriginal communities and get that remote work force and training going in those particular areas. I still have more to go.
Madam SPEAKER: Yes, very good. You have 43 seconds.
Dr BURNS: Madam Speaker, it is very important to note that within our infrastructure budget there has been a lot of activity. Building costs and construction costs have climbed. It is very important, as the member for Nelson suggested, that government takes stock of our spending and looks to the future, looks to a counter-cyclical pattern of spending that we are complementing what is happening in the private sector.
I have outlined tonight that there is a lot happening in the private sector …
Mr HENDERSON: Madam Speaker, I move an extension of time which would allow my colleague to conclude his remarks – very quickly – pursuant to Standing Order 77.
Motion agreed to.
Dr BURNS: I will be quick, Madam Speaker. However, it is important to note here that the government is listening to industry. The construction industry is saying the same thing: that government needs to look to the future. We do not want those boom and busts in our economy, particularly in our construction activity, which we have had before. Government is working with industry to have a counter-cyclical approach to our capital works budget and target our spending to those areas which need it.
Another important area in which there has been significant progress, in consultation and partnership with industry, is in procurement. The member for Wanguri outlined earlier that there will be some announcements made. However, I can foreshadow that there has been a lot of work done within the departments, in consultation with industry, about simplifying and consolidating procurement directions, making it easier for industry to bid for government work, and also simplifying and streamlining to ensure it is not difficult for local businesses to get work. There will be some very positive announcements made in that particular area.
There is more I could say; however, I have already used up my time. To summarise, this is a government which has invested significantly in infrastructure development over the past four years. We have had record capital works programs, record cash against it, and we have supported the construction industry and carried out a lot of capital works throughout the Territory. Some of those thumbnail sketches which I have given of various projects going on throughout the Territory show we have been doing a lot. I have also foreshadowed and outlined some of the private sector infrastructure developments which have been going on. The economic future of the Territory is very bright. This is a government that has a strategic approach regarding infrastructure development, and we will be continuing that.
Madam Speaker, I commend this statement to the House.
Ms SCRYMGOUR (Natural Resources, Environment and Heritage): Madam Speaker, I support the Chief Minister’s statement. It is probably not immediately obvious to most people how my portfolio areas of Natural Resources, Environment, Heritage, and Arts and Museums, contribute to the strength of the Territory’s economy. However, I will point out how these areas of government do contribute, both directly and indirectly. In fact, I can go as far as saying that economic growth would be considerably more difficult to achieve without the ongoing efforts and commitment of my various departments.
The Chief Minister talked about tourism and the fact that unspoilt landscapes and Aboriginal art and culture are key attractions to visitors. The link is clear and direct here. The Parks and Wildlife Service does a wonderful job of maintaining our parks and reserves and making visitor experiences enjoyable. Our parks management contribute to the economy through more than the provision of memorable tourist experiences; it is a major driver of indigenous economic development. The flexible employment program provides traditional owners with training and employment in land management activities on jointly owned parks. In the short term, this $200 000 program offers both on-the-job and formal training to improve skills, and introduces participants to the operation and culture of the Parks and Wildlife Service. Operating across the Northern Territory, the program prepares traditional owners for employment within the parks service.
Enormous long-term benefits will become evident as joint management progresses and traditional owners become more skilled and experienced as management partners. There is huge potential to reap economic and social benefits through the development of commercial opportunities, as are in place in Nitmiluk National Park. The Chief Minister emphasised the importance of partnership, and the benefit of this approach to economic development is seen clearly in park management.
A direct relationship with the economy can also be clearly seen in my Arts and Museums portfolio. The role of arts as an economic driver is well recognised by economists. Nationally, the arts account for nearly 2.5% of gross national product, with around 850 000 people per year employed in the cultural sector. Although the figures are difficult to derive from national data, the economic impact of the arts in the Territory is likely to be similar to that of the national economy. On this basis, Territorians in the cultural sector number around 8000 people. Indeed, the strength of the indigenous arts sector might suggest that in some areas of the arts industry we might punch well above our weight in economic terms. With around 5000 Aboriginal artists and craftspeople working in the Northern Territory alone, participation in the cultural sector extends across regional and remote areas in ways unmatched anywhere in the nation where creative industry tends to be concentrated in major towns and cities.
However, despite our cultural wealth, we are a very small jurisdiction with the nation’s smallest population scattered across one-fifth of the continent. In the arts, this means we must be smarter than the rest of Australia and maximise the economic benefit of the sector. For this reason, this government is committed to utilising our competitive advantages in indigenous art in particular but, more generally, in the general area of cultural tourism. A good example of this is in the way the Top End’s various arts organisations have got together in recent years, as there is now a well-established best arts and festival circuit which is attracting greatly increased tourist numbers at a time of the year which has been traditionally viewed as dead for the tourist industry. For example, the Fringe Festival in July/August is followed by the Darwin Festival, the Garma Festival and the National Aboriginal and Torres Strait Islander Arts Award, productively extending the tourist season by nearly a month. The Territory’s competitive advantage is nowhere better seen than in the indigenous arts sector.
Arts and cultural activities are major generators of income for indigenous people, especially important in our more remote communities. The indigenous visual arts industry, especially fine arts sales, generates a considerable income for the Northern Territory. It also underpins cultural maintenance in communities, the foundations for a healthy community. In 2005, for example, Desert Mob and Desert Mob Marketplace returned nearly $300 000 to the artists in their communities. The arts program directly funds many community groups through grants funding for a wide range of activities, investing in Territorians, exposing Northern Territory industry professionals to the wider industry, and attracting investment into the Northern Territory.
The NT Film Office provides seed and development funding for Territory projects, which allows crew and cast to be employed, and which can return dollars to the Northern Territory in sales and increased exposure which, again, feeds back into tourism with the benefits that brings to the economy.
Many other projects are funded through arts grants - theatre, music, visual arts, dance and so on - which all contribute in direct employment as well as through multipliers through the broader economy. It is well documented that new residents often consider the lifestyle challenge in deciding on a location to settle down, and the cultural activity is the key marker in this decision making. I would like to think that the huge variety of cultural activity that is provided in the Territory plays a part in attracting new Territorians to live here and older Territorians into staying.
As this government broadens, intensifies and diversifies the Territory’s economic base, and attracts new value-adding industry to the Territory, it is also very mindful of the need to balance this with other considerations, to protect our unique environment and our lifestyle. Our environment and lifestyles are a major asset in attracting the type of work force required for the new economy. While it is impossible to fully predict the suite of impacts that may be associated with economic development, a healthy scientific and technological capacity can assist in managing the development. This is a key role played by the Department of Natural Resources, Environment and the Arts in our economic development. We provide scientific and technical capacity to enable development to be managed in a way that maximises benefits for all Territorians, at a minimum cost to our natural and cultural resources.
Water monitoring and management keeps our rivers and coastal waters healthy - essential for water-based recreational activities that bring big economic benefit. Our clearing controls provide the framework by which the sustainable development of rural industry can happen in an environmentally sound manner. The provision of soil, water, weed, feral animal and other services and advice guide developers, pastoralists, horticulturalists and others with the best information on which to make investment decisions in terms of natural resource base.
The Department of Natural Resources, Environment and the Arts is diverse and contributes in many ways to our economy and lifestyle, maintaining our natural parks system which showcases our environment to visitors, our cultural and quirky festivals, from our crocodile management to cane toad control, from weed eradication to environmental impact assessment. All are covered and all are essential to the sustainable development of the Northern Territory.
Madam Speaker, I commend the contribution of my department to the healthy Territory economy.
Ms LAWRIE (Family and Community Services): Madam Speaker, I support the Chief Minister’s statement on the economy. As someone born and bred in the Territory I have seen economic booms and busts in the Territory before. What I particularly like about the Chief Minster’s statement, and the approach of the Martin government, is that we are building our economy sustainably. The groundwork is being laid for long-term growth rather than just a quick boom. As the Chief Minister pointed out, the government strategy of broadening the economic base of the Territory economy is the key to achieving long-term growth. The economic indicators in the Territory at the moment really are quite staggering. The figures that the Chief Minister quoted are on a scale that other states can only dream about. The Chief Minister talked about the sectors of the economy such as tourism and mining that are normally associated with growth in the Northern Territory.
Today, I would like to touch on a sector of the economy that, perhaps, is not talked about quite so much but its contribution to the economy is much undervalued. I am talking about the community services sector. Obviously, the primary role of the community services sector is not economic advancement; its primary function is social not economic. However, a by-product, I guess you could call it, of providing these community services is, indeed, a contribution to the economy. I regularly meet with the Northern Territory Council of Social Services, NTCOSS, and they have drawn my attention to some ABS figures that demonstrate this economic contribution. In the Territory, the community sector directly employs more than 3500 people. Almost 2000 of these are in regional Northern Territory. The sector is the largest employer of indigenous people in the Territory with more than 1300 employed, roughly half in the regions.
The Martin government has made a massive investment in the community sector. My Department of Family and Community Services has increased its budget by 78% since 2001. That is about $70m extra going into the sector annually. The result has been a dramatic increase in employment within the sector. In the five years since 2001, there has been a 46% increase in employment. ABS figures demonstrate that, for every dollar invested in community services, an additional $1.65 is added to the economy. As I say, the sector’s primary role is the provision of the vital social services but an investment in community services does help the economy.
Last year, we saw the CLP opposition announce their policy position that all of the money going towards tackling petrol sniffing should be cancelled and redirected towards supporting businesses. Our investment in tackling petrol sniffing is about saving lives; it also helps business and the economy. A reduction in petrol sniffing drastically reduces ongoing health costs that the community ultimately has to bear, and a reduction in petrol sniffing will lead to a reduction in crime and in antisocial behaviour. This clearly also helps business. The CLP policy is a callous and heartless policy; it is also short-sighted.
In a jurisdiction the size of the Territory, you cannot have a strong economy without strong financial management from government. Strong financial management has been a key feature of the Martin Labor government and has allowed for massive funding boosts while still staying within budget. Within my department, there have been some huge increases in spending.
You only have to look at the budget books and compare the CLP’s last budget in 2001 and our budget for this year. Alcohol and other drugs: we have doubled the funding up from $11m under the CLP to $22m under Labor. Child Protection: the CLP allocated less than $8m in 2001; we have more than tripled that to more than $24m this year. Aged and Disability Services: up from $33m to $58m. Mental Health: again more than doubled since the CLP allocated only $13m; we now put in $29m each year. In my other portfolio of Sport and Recreation funding is up from $12m annually in 2001 to $22m now. The CLP continues with their accusations that we spend too much money. In other words, they want to wipe out these increases and services and the essential programs that they fund. They want to go back to the days of less than $8m for child protection and wipe out the 61 new child protection staff. They can continue to implore us to spend less on education, health and community services. We will ignore them and will continue to invest in these vital areas.
The Chief Minister has outlined the high business and consumer confidence levels in the Territory. In response to these figures, the opposition has embarked on a very risky strategy telling Territorians they are wrong. They are trying to tell Territorians that they are wrong to be optimistic about the future of the Territory. This is a futile exercise. The government has had a massive task in rebuilding basic services in the Territory - rebuilding health, education, the police force, and building our community services sector. We have done this. We have put in the money and the policy to areas that were simply ignored for so long, often resulting in social tragedy that became Australia’s shame. The fact that the government has addressed the needs, whilst at the same time overseeing such impressive economic growth and development, is the hallmark of the Martin Labor government. I commend the Chief Minister’s statement to the House.
Mr MILLS (Blain): Madam Speaker, I commence this statement by saying that there, obviously, is a misunderstanding on the other side of the House because we are in opposition and are making noises which appear to be critical of the way our budget is being administered in light of underlying economic issues, that we are being directly critical of the people who are espousing the position that is being put forward in this statement. There is a great degree of sensitivity and defensiveness. I trust that this be understood.
The first sentence in the Chief Minister’s statement I will say that I fully support and the opposition fully supports. There is no doubting - these are the Chief Ministers own words - there is no doubting the strength of the Territory economy – none at all. That is not the issue. That is not what we are discussing. There seems to be a difficulty in dividing between the administration of a strong economy which is caught up under the term of budget and management of the economy.
Of course, the Territory economy is strong and if you think for a moment that the opposition is in a position of saying the economy in the Territory is very poor at the moment, you are barking up the wrong tree because we agree that the Territory economy is strong. These are times of plenty, times of growth; it cannot be denied. I am not going to try to assert the opposite; it is not the case. The assessment of Access Economics makes sense. It is a strong period of growth.
However, to leap to the next position and create the perception that because the economy is going well in the Northern Territory it is directly related to the efforts of the current government, is taking it too far. It is about as smart as the old story of General de Gaulle walking down the sunny streets of Paris, stopped by a young person who said: ‘Lovely day. Isn’t it a beautiful day, General?’ The General nodded and said: ‘Thank you very much’. What we have here are strong economic indicators. We have a lot of growth occurring in the residency sector, in construction, and in the resources sector. All these things are occurring - not just in the Northern Territory but in Western Australia, and in Queensland - particularly those states which have an economy strongly supported by a growth in the resource sector.
Mining plays a major part in this. Why is the mining sector so strong? It has something to do with China. The effect of China on the global economy has an effect on the Northern Territory. Let us be very honest about this: we are experiencing a strong economic climate which is largely driven by international factors. It is just so fortunate that the Northern Territory is a resource rich region. As a result, we are now experiencing the flow-on benefits of that resources boom. Last weekend’s Australian Financial Review clearly states the issue.
How long will this boom continue? That is underneath the concerns that are raised by the opposition. The resources boom will not continue forever. There are times of plenty and there will also be times of leanness - difficult times. It is in preparation for those difficult times that we need to pay attention. We could easily get seduced. What irks me more than anything is that government appears to be so easily seduced by the proposition that because things are happening so well around them, they have had a part to play in all of that, when it really is driven by global factors.
Any analysis would have seen this occurring. In fact, in 2001, the then Treasurer Mike Reed, if you go back - any of the honourable members here who nod so sagely when they hear the Chief Minister and the Treasurer speaking about the wonderful things that they are doing and the great, fantastic growth they see around them, and say: ‘Yes, yes’, please read the documents. Please read them honestly. You are elected by your constituents to represent your community. These documents are pretty hard to understand at first glance. We need to dig a little deeper if we are going to serve our community properly.
This was foretold. These predictions were made by Treasury some time ago. Where we have good times, times of plenty, we then have a particular way we must manage. Ask a farmer what you do in times of plenty - go out and increase your debt, extend your home, employ more people? Or do you do the opposite? Retire your debt, prepare for the other cycle that is coming too. Get ready for the other cycle so that when the lean times come you are prepared. That is the central proposition of the opposition. Warning: these are good times but you need to know how to manage in good times.
Why there is also a lack of confidence and a heightened sense of concern from opposition is this chart here, which I managed to find in my office. This was held up probably 18 months or so ago. It shows in white the estimates put forward breathlessly by the Chief Minister and the Treasurer saying: ‘Yes, we look ahead and we see this tremendous growth for the Northern Territory’. The estimate in the case of 2001-02, we applauded and wished you well for, was just shy of 5%. That was predicted. Then, the actual growth, however, was just over 2%.
This is not just scoring a political point. What that means is you had an estimate; you calibrated your fiscal strategy on that basis of what you estimated. Such as if you had a school; you estimated you were going to get this many kids in your school and you arranged your budget on that basis, and you had half that number turn up; you have a problem. Well, that is what you had 2001-02.
Then you went to the next year: ‘My goodness, we did not quite meet that target. Let us just lower the rhetoric just slightly, but we are very confident, nonetheless’. You dropped your estimate down slightly, recalibrated your machine, but you knew, still you believed, you asserted it was still going to grow. That is like the farmer who says: ‘We thought we were going to have this much in our silos at the end of the season, but we have actually quite a lot less than that’. ‘This year we are estimating we will get a little less, we will aim lower, so we are going to aim for a growth of about 4%’. These are your own figures, comrades. You estimated you were going to get that level of growth. What happened? You ended up with less than nothing, that was the actual outcome. ‘Oh dear! What are we going to do? We will drop down the estimate the following year’, which is now 2003-04. You proposed your estimate, settled your rhetoric on that estimate, did the rounds, spoke to all the stakeholder groups, boomed them up, and now you are looking at a growth rate of just over 3%.
If you go back, as honourable members will, and check all these things in all the beautiful documents that are put out, and you attended the little groups which were held all over the countryside such as the Chamber of Commerce, Palmerston Regional Business Association - oh yes, Treasurer; my goodness, we are expecting great things. Well, what actually happened that year is you had some growth. You actually got a harvest but it was not enough to provide seed for the next year, and that was just over zero – 0.5% growth. This is a fact. This is what actually happened - difficult times. We had some robust debate in here, very defensive over there, explanations, times when the Treasurer is most compelling, when he really lowers his rhetoric down to a new level and says: ‘Yes, I know, people are hurting out there’.
That story there might have been a bit painful and discomforting for the members opposite. However, it tells a tragic story out in Winnellie, Palmerston, Tennant Creek and the regions. That was the reality borne out and carried by the small business sector when people left the Northern Territory. They packed up their utes and went to Queensland, and you said the population was increasing. We blow the chaff away and we find it is actually just a birth rate, an increase in babies being born. That is a tragic story there, but then we get to the next one.
‘We have actually upgraded this, so stay tuned as you are going to hear more on this’. In 2004-05, you then had this colossal estimate. ‘I know we have been abject failures in the past’, said government, ‘I know we have not made anywhere near the predictions we proposed and the expectations we raised. I know we are responsible for dashing the hopes of Territorians, but do not worry, next year it is going to be colossal’. That was 2004-05 when you projected nearly 6% growth. Did you get it; did you make it, did you get the target? No, you did not. You got about half of it, but there is more to come.
That is a true story that has affected the Northern Territory community. It tells a lot. You might get away with your smart comments during Question Time for the cameras, and laugh and joke at the opposition. However, there is a certain element of truth here. Some of you, if you read carefully and think sensibly, and think your own thoughts, will know there is some truth behind this. We have to be prepared for difficult times ahead. Are you prepared for it? Our assertion is, no, you are not because of this. Once upon a time, the Chief Minister said ‘unsustainable debt’, and there was a figure which was termed ‘unsustainable’. She spoke it so well that we were all shocked: ‘Oh my goodness, what lies ahead if we continue with this level of unsustainable debt?’ It is terrifying for the average person to think: ‘My goodness, that is a lot’. For such an important person to say it is unsustainable and look so earnestly at the camera, you believe it.
Then you find the rhetoric changes. We now have what was once ‘unsustainable’ and is now ‘colossal’ - it is $4bn - and there are unfunded liabilities. I guarantee you, if you were over here in opposition, you would be outraged. There would be veins sticking out everywhere, there would be hysteria, there would be censure upon censure. Totally unsustainable. You are such good actors that you would probably convince everybody. Now the good actors are in government and are convincing everyone that everything is hunky-dory; the sun is shining, it is a wonderful economic climate. ‘Thank you very much, look at what we have done. We have created a strong global economy that is focused here on the Northern Territory. Yes, we got it all started in China, we have caused China to grow which has caused a resource boom here in the Northern Territory and we are all benefiting from it’.
That is about as substantial as it is. In fact, underneath this we are concerned about some aspects. If, in times of plenty, debt is increasing, do not just rush off and say: ‘Oh, that is the waterfront, it is the waterfront’. If in times of plenty, debt is increasing, we have a concern. How do you manage debt? How will you pay your wages bills in times to come? You have been able to pay for your wages - this is your growing public sector - by courtesy largely of a GST stream that has flowed through. By the way, member for Karama, you forgot to reference your comments on the basis that GST revenue flowed into the Northern Territory only under the watch of the current Labor government - only during that time. Rivers of cash have flown through the NT Treasury and it has increased at unprecedented levels, unexpected levels, and what has this good Labor government done? Acquired its default position: spend it, spend it, spend it. As my good Dad always said: ‘Son, Labor governments are really good at spending but they are no good at making money’.
You have been able to spend it; the facts are there. Your increased recurrent spending has increased at about the same rate as the GST revenue. What happens then if the GST revenue drops off? Oh dear, that is going to be very difficult. You have programs in place, you have people with a vested interest in arguing that that program should remain in place, but: ‘The tide has gone out, sonny, we cannot afford to pay the wages’. You are going to have a very difficult position to manage because you are not prepared for it. You are going to have to cut back and there will be pain.
Mark my words. You look at the figures, your recurrent spending has increased, GST is to decrease …
Mr Stirling: No, it is not.
Mr MILLS: All right, smarty, even …
Madam SPEAKER: Member for Blain, withdraw, please.
Mr MILLS: What? Smarty?
Madam SPEAKER: Withdraw, thank you.
Mr MILLS: That is not quite as bad as buggerlugs but …
Madam SPEAKER: Member for Blain!
Mr MILLS: Sorry.
Madam SPEAKER: Member for Blain, you will withdraw that comment, thank you.
Mr MILLS: He is not a smarty. Sorry, I will withdraw that. Okay.
Once upon a time, this Treasurer screamed that Treasurer Costello had stolen money from the Northern Territory. In that time, the story suited the position that the Treasurer was trying to establish, that being: ‘We thought it was actually going to be this much and because it is only that much …’. Like, I thought I was going to get a Mercedes for Christmas but I only got a Jag. Oh, ripped off! That was the position then; that we were ripped off. The Territory got ripped off by $46m but, on the other side of the mouth, in other circles, probably around the Cabinet table, we actually got more than we thought we got but we got less than we predicted that we would get - which means that you got more but not as much as you thought you would.
Mr Stirling: That is right. You got there.
Mr MILLS: Now we have a situation where, no, no, not true, GST is not in decline. You are going to get less than you predicted, it is still …
Mr Stirling: The gross is in decline.
Mr MILLS: … to grow but not at the same rate, it is going to turn down. There is no …
Madam SPEAKER: Order! Treasurer, order!
Mr MILLS: … your current recurrent spending is going up like that; GST is going to taper. It is going to taper off but your spending habit is enlarged. Very difficult to turn it back, Treasurer. At about that time when those two lines intercept you might be looking at retirement, I reckon. I will give you the tip: that would be the time to go because it is going to be very difficult to manage that one. Away you go and they will erect a little monument to you saying: ‘The greatest Treasurer the Territory has ever seen’, and the next poor bloke comes in there and says: ‘Oh my goodness, how did he do it?’ Go and see …
Members interjecting.
Madam SPEAKER: Order!
Mr MILLS: The difference between exponential growth and linear growth: what we are talking about here and you have seen it in these figures that your recurrent spending is proceeding exponentially. It explodes. It is not linear, line up and line down; it is exponential. Be careful.
You are so good at this, you know. The old TIO story, as the member for Wanguri said, was a dead issue. The Treasurer said: ‘Look, even if we did not have the 14 000 or 15 000 names on petitions, we probably would have made same decisions’, with a straight face - unbelievable. If all that is true help me make sense of the focus groups.
Why were Territorians driven from one of the town to the other to go and sit in little groups, and ask the key question? The key question was TIO. I had so many reports from these focus groups. The agenda within the focus groups was to ratchet up the argument for the sale of TIO. Oh, is that the case? Yes, it is the case. Those who ran those focus groups were arguing the case for the sale of TIO. That was the No 1 question. In case you are not aware of the other questions that were floating around in the focus groups, that was the main one, and was given the greatest level of focus. The second one was middle years of schooling and then the road toll.
Dr LIM: Madam Speaker, I move that my colleague be granted an extension of time pursuant to Standing Order 77.
Motion agreed to.
Mr MILLS: Thank you, Madam Speaker. I appreciate that, member for Greatorex, I do not have much more to go.
We are expected to swallow this as a community: ‘Oh no, it is just due process, due diligence, any responsible government would do this’. Terrify 250 public servants, activate people right across the community. What a strange time to do it - just before Christmas. I wonder who picked that. It was a terrible time to pick because people were not ready to be involved or engaged in this community debate. It was a time when their minds were elsewhere. I wonder if he deliberately chose that time - could have been - and so, heightened cynicism. At the end of this: ‘No, honestly, we probably would have made the same decision’. As if! I cannot accept your story; it does not stack up.
Then: ‘No, no, no. The economy is going gang busters. We are broadening the base, it is sustainable’, those types of words. Then help me understand why you have turned back $10m in Palmerston and said: ‘Oh, Palmerston is not growing as much as we thought it was’. Go and a have a look. Why are there public sector cutbacks? ‘Oh, no, there is not’. Get out there and have a listen to people. They are talking about it all over the place. In fact, Chief Minister, while you were making your statement today in parliament, I received an e-mail from a contractor who went to lodge his application for a contract and said that he has just been advised that all the money has been cut. That just came through while you were talking.
The Desert Knowledge Centre, there are real dramas down there - cutbacks. Member for Karama, there will be a lovely story about the Arafura Games cutback reducing the number of sports. You will explain that away breathlessly. Many people will believe you. It all adds up to one story. Why? The expo. Why get rid of the expo? I will give you a good reason for that.
Members interjecting.
Madam SPEAKER: Order!
Mr MILLS: Oh well, what a coincidence. I noticed that in the Chief Minister’s comments throughout the day there was no differentiation between budget and economy. There is a distinct difference between those two. We noticed that there has been no attempt to refute the claims that there could well be tax increases. You never really addressed the Percy Allan issue, that once there was a position that was unsustainable debt and now we have much more debt, in fact, nearly $500m more debt now. That has not been touched: ‘We will just skirt around that one’. ‘No, there is no such thing as a razor gang’, as if that is true. ‘Well, let us not call it a razor gang’. As if you would call it a razor gang. ‘That would be its official title. No, we will call it a priority review’. Okay, that is quite a different thing.
The apology to the TIO staff was lame and insincere and the whole thing does not quite stack up. Let us get this clear: the statement on the state of the economy is fine. The economy in the Northern Territory is going well. However, what we are talking about is the application of fiscal strategies to ensure that we can manage in the times to come. That is the point. Growing nett debt is not a way of doing that. Increasing recurrent spending is not the way of doing that. No business operator will operate in that way because when the difficult times come, they may have to leave town.
I commend my words to honourable members.
Mr KNIGHT (Daly): Madam Speaker, I support the Chief Minister’s statement. I will provide a regional perspective on this statement. However, I will just pick up on some of the comments by the member for Blain. I thought he was retreating at a rapid pace away from the previous argument that the sky was falling. It seems like he just went straight into the light again like a moth. Late last year, the CLP was running down confidence in the economy by claiming that the government was broke. This continues today, where they are continually talking down the prospects of economic development in the Northern Territory.
This act of the CLP was actually turned into a movie over Christmas called Chicken Little. Chicken Little had four main characters: the feisty little Chicken Little, Fish Out of Water, the Runt of the Litter, and the Ugly Duckling. You can draw your own conclusions, Madam Speaker. Chicken Little, just so the CLP are a little heartened by this, actually found that the sky was falling. The sky was falling because a bunch of aliens were invading the earth. Perhaps this is the basis for the CLP arguments that the Territory is going broke: the Territory is going to be invaded by a bunch of aliens.
I will move on. In giving a statement in respect of regional economic development and the economies happening out there, there are three main areas: investment in infrastructure by both the private sector and by the government; the partnerships between the community, the government and the private sector; and also the focus of government in those regional areas.
With the Labor government investment in the regions, there has been a massive injection of funds into the regions to kick-start these local areas. Within my electorate, we have $6.5m which was provided to the Dundee Beach area to run a powerline there. Anybody who has any knowledge of Dundee Beach will realise that is the catalyst for further development of businesses and land development down that way. That community has waited 15 years for some sort of recognition and investment by government. It has been delivered and is going to be the catalyst for a whole range of developments there.
We are putting $10m into the Port Keats Road and that will again stimulate activity along that road and be used as a leverage, hopefully, in the future for other funds to come through the private sector and, perhaps, the Commonwealth government. That will provide access to markets and a better lifestyle for people out that way. We have spent $1.2m on power at Wooliana Road. We have tourism operators down there who are now able to operate more effectively and efficiently, stimulating their businesses, and attracting new ones. All the work that has been done in the Douglas Daly area is good work which, in the future, will pay dividends. We will have a sound, sustainable development strategy down that way and that will be recognised by the private sector and will create a great deal of interest. There has been a whole range of other infrastructure, like boat ramps, around the regional areas which are, obviously, benefiting recreational fishing and tourism fishing as well.
We have had quite a lot of business investment in the regional areas. In mining, we have GBS Gold in the Pine Creek/Katherine area which has quite a number of tenements, and other companies. They have spent $100m in acquiring Terra Gold and Northern Gold Ltd, and they have secured those. They believe that over the 10 year operation of their mine they will spend in excess of $1bn in equipment and services to support these mining operations, and they believe they will contribute $100m in salaries and wages into that local economy. The government and I have been working very closely with GBS, and quite successfully, in stopping fly-in/fly-out. They will be accommodating their workers in Adelaide River, in the workers camp at Cosmo, Pine Creek and Katherine. That stimulus is driving the housing market in Katherine at the moment. The Maud Creek Mine, which is one of their mines, will employ up to 60 people in total. GBS will be employing about 120 people in the mines north of Katherine, and about 60 in Maud Creek.
Also in that region, we have Territory Iron which bought the Frances Creek Mine. They have invested significant funds into drilling operations, $3.5m over the last few years, and they will be investing another $2.6m more in exploratory drilling. Here you have companies putting money into the economy and we are actually helping them keep it there. In the Katherine region, we also have a proposal for a $13m hotel at the Gorge, so outside of the resource sector we also have a stimulus in tourism as well.
The cattle industry is, obviously, a major part of my electorate. They are still producing good numbers for live export, although they are slightly down just recently. The prices of the cattle stations have gone through the roof at the moment which will, obviously, generate more income for the Territory through that area.
With the mining boom, it has been quoted that it contributes 20% to the gross state product for the Northern Territory, which compares to only 5% nationally. That is certainly a major stimulus for us. With the other mines in Batchelor, we are looking at probably about 60 employees, predominantly housed in Batchelor - some will drive from the outskirts of Darwin to work there. Obviously, the mining industry is attracting good wages at the moment and it is good to see local money going back into the economy there.
The government has also focused very strongly on developing the regions within the Pine Creek area. We have programs and cooperation between the mining companies and DEET to put in training programs so as to enable local people to upskill so they can work in these places. There has been unprecedented cooperation between GBS Gold and Territory Iron in this respect, to provide figures and job descriptions, so that we can get training courses in place to do this. You have the government chasing these mining companies to get ahead of the game, to get programs in place so local people can get these high paying jobs and keep the money in the local economy.
There are, obviously, financial incentives that we have heard a lot about with the apprentices. It is certainly an emphasis that we want to apply to those trade positions in the mining industry and something we will continue to talk about with the mining companies. There is a lack of uptake of apprentices in the mining industry and if the life of this mine goes for 10 years, at this stage, the mining companies would benefit from these apprentices and it would keep those young people who grew up in those great little towns along the track there.
One of the areas that government is working very strongly in is developing local strategies for those global communities in the regional areas. The Adelaide River Economic Development Steering Committee works extremely hard. They draw upon a cross-section of the community and they have been working very hard at looking at branding the Adelaide River community. They are looking at getting a true theme of the town, marketing it properly, getting events on the Territory calendar, and to take every opportunity they possibly can for that town. That has been assisted by the Territory government.
Just recently, I had the pleasure of attending the launch of the Batchelor Tourism Development Plan. This is yet another initiative of government whereby there will be a focus and stimulus for tourism activity in a regional town so that it can develop in a very strategic way and take up a market that comes to that township. This plan has been worked through and supported by the local community. The Chief Minister came down to launch it. There is a lot of support within government for that initiative.
Pine Creek went through a similar sort of initiative under the previous Minister for Local Government and Regional Development, Mr Jack Ah Kit, and that community has benefited from that government engagement, pulling agencies together, working with the community, providing a consultant to come on-board to work with the community, and see where they want to go and how they could stimulate the economy.
The member for Blain talked a bit about the resource sector but, here, we have the community working on other things outside of the mining industry. They want to get tourism going and getting other activities in the town to draw on an economy outside of the mining industry. That is a community which knows about booms and busts in the mining industry. They want to have their economy at a higher level outside of that mining industry when the mining industry does dip in the future.
There are quite a number of future economic development opportunities in my electorate. The Blacktip project was very high on the agenda last year and, unfortunately, did not go ahead. However, it is very encouraging to hear that that project will actually come to fruition. That will certainly provide a stimulus for activity within the communities in that area, particularly Wadeye, and also places along the track.
The whole region of the Daly River reserve is an untapped economic development opportunity. You have some of the most fantastic beachfronts in the Northern Territory. You have some of the best country for pastoral, horticultural and agricultural activity. It is an untapped resource of economic activity that I will be certainly pushing. I hope that things develop quickly in the future. I am sure that everybody will be behind it. This has been done with a great deal of cooperation with the Northern Land Council and there are a number of projects that are just about to commence.
There has been much said about the Douglas Daly and Edith farms area. There has been talk about silage operations, and a whole range of issues in that area. Once the issue of the water allocations is finalised, we will have some guarantees for investors to go in and operate on some great land for agricultural production.
The Dundee area which I mentioned before is something that will kick off in the future. It has been described to me as the Broome of the Northern Territory. The power reticulation will continue this year, $6.5m, and that will stimulate more business in that area. There are, obviously, a number of other issues to deal with, but we are facing a huge township there in the future. The other area is the Channel Point area which offers, again, another beachfront for recreational fishing for all Territorians, and holds real promise in the future.
Madam Speaker, I support the statement of the Chief Minister. I am very appreciative of the government in its efforts to develop the economy of the regions, not just Darwin, and also to put investment of infrastructure in to the regional areas which will come into fruition in the future.
Dr LIM (Greatorex): Madam Speaker, whilst it is fine and fair for the government to sing its own praises, and nobody would take an exception to that, you would expect that a government would be truthful with information that it provides to support their statement. When the Chief Minister uses information that is wrong and liberally interpreted, then there is every reason for Territorians to say they do not believe in the Chief Minister.
It is great; Access Economics tells us that we will have a GSP of 4% or 4.4% over the next five years. Access Economics has been predicting growth for the Northern Territory of over 4% every year since this government came to power in 2001, and not one year have they matched Access Economic predictions; not one year. You saw the diagram which the member for Blain held up earlier where all the predictions that this government has made have never ever been matched by the performance. How then can we expect to believe that they will perform this time around?
The Chief Minister said: ‘Isn’t it fantastic, in September 2005 our economy grew by 7.9%’. I am not sure where she got that figure from. I went back to the Treasurer’s Mid-Year Report for 2005-06 on page 10 - I refer the Chief Minister to the page so she can look it up for herself - what does it say? ‘GSP – Initial estimate for 2004-05 was 7.3% and the revised estimate for 2004-05 was 3.6%’. Those figures were signed off by the Under Treasurer on 26 November 2005, and here we have the Chief Minister saying that in September we had a growth of 7.9%. That is unbelievable. It has to be fabrication. Here is an Under Treasurer who signs off on it - this must be from the Fiscal Integrity and Transparency Act - and says whatever she signs off must be true. Who is now misleading us? The Chief Minister or the Under Treasurer? I ask the question and someone had better respond.
It is well and good to say that the Territory is doing well - it is doing well. The economy is doing very well, thank you, John Howard. Had it not been for the resource development that is going on with the many uranium exploration licences that have been granted and all the other oil and gas deals which have been done federally with international buyers, we would not have that here at all. Therefore, you cannot say that this government has done anything to contribute to the growth of the Northern Territory.
I will just go over a few points the Chief Minister made throughout the statement. She talked about regional development. What has been done about regional development south of the Berrimah line ? Absolutely nothing. The Alice Springs Desert Knowledge Centre: for goodness sake, all you have is a cul-de-sac of knowledge to nowhere. As much as the Chief Minister says: ‘We are getting that going. We have put lots of money into it’, nobody in Alice Springs believes it. We have seen nothing for it. We have seen no effective construction. All we have is a lot of words. The member for Wanguri said earlier that he is going down at the end of this week to attend the first board meeting. Funny that! He is going to attend the board meeting. I understand that there was no board for the Desert Knowledge Centre between March and June of this year. Under its constitution it was not allowed to happen, but it did happen. Is it legal? I wonder. It has not had a board meeting since late last year. Technically speaking, the Desert Knowledge Centre is an illegal entity. What has this government done about it?
That is the sort of problem the people in Alice Springs and the regions have with this government. They keep taking their eye off the ball; they do not know what they are doing and people just muddle on - whether it be the Desert Knowledge Centre, hospital management, or whatever. The professionals and the public service try to hang on in spite of this government. Time and time again, they fail Territorians because they just do not know what they are doing.
Another type of regional development is the Mereenie Loop Road. Now, the Chief Minister wants to re-label that – to what? - the Red Centre Path or something like that, whatever it is. It is a re-label to say that it is now a Labor Party initiative. You promised millions of dollars for the Mereenie Loop Road, and what have you got? Not 1 km of bitumen has been put down. When is that going to happen? Is it because you have run out of money that you are not doing it? Do not mislead Central Australians. Do not tell them one thing and then not do it.
You do not see much of all your pre-election promises. Only yesterday morning, staff walked out of the community health centre because the airconditioning has continued to fail. The Health Minister has said: ‘We will fix it; we fill fix it straightaway’. In fact, he wrote me a letter which was delivered under my door yesterday morning at the same time that the staff were walking out of the community health centre. He wrote me a letter, and signed it, saying: ‘Everything is fine, we have fixed it’. Well, obviously not. These are small problems; vexatious little things. However, each one of these little things adds up to a massive indication of this government not being able to manage properly.
They also said: ‘We are doing a fantastic amount for tourism’. Isn’t it strange - was it before Christmas I said that Jetstar was coming to the Territory? There were great denials everywhere. Yesterday - lo and behold! - you see the Chief Minister on television, saying Jetstar is coming in, but we will make sure it does not displace Qantas, or at least displace a better level of air service with a no-frills service. This government must be on the ball; try to anticipate these sorts of issues and go out there and prevent it from happening. Once it has happened, it is really too late; you cannot change it now. All you have to do is try to work around it as best you can.
The minister talked about Territorians being given opportunities to access quality education and training. Quality education – the Irrkerlantye community is complaining bitterly that this government came in and unilaterally decided to close them down - not one word of consultation with the community. That is the Labor spirit? Oh, geez, if it is I think whoever was your Labor leader will be turning in their graves. That is not how you do things. If you truly believe in the welfare of people you would at least consult them.
Regarding the 10 000 commencements of traineeships and apprentices: it is strange, on the night of the election, the Chief Minister said on television that we are going to have 10 000 apprentices. Over the course of the last seven months, the reference changed. Now it is 10 000 commencements. You are not going to get 10 000 apprentices in the next four years, you are going to get 10 000 commencements of trainees and apprentices. How many are going to pass each year, out of the estimated 2500 who will commence? We do not know, no idea at all, but that is how she is going to improve the economy of this Territory.
Talk to the nurses. Charles Darwin University, says: ‘Half of our nursing courses are not filled’. They cannot find students to recruit for a nursing course, and the hospitals are all crying out, ‘We do not have enough staff’. I recently spoke to a nurse from the Royal Darwin Hospital. She had been working at least one double shift every week. If she is doing that, you have to assume that all the nurses in her group or in her ward will be doing the same thing. There are huge shortages but this government does not do anything about trying to improve the situation. The Country Liberal Party offered the government a way around this through the provision of HECS fees reimbursements. It would be a win/win for everybody – for the nurse and for the government through a savings in recruitment. They will save in the vicinity of $10 000 to $15 000 per nurse recruited. What has the government done about it? Pretty well nothing.
In regard to oil and gas, this government has to really think hard and long about what you have done. You can sing the praises of Eni Australia and Blacktip, and what you are going to do for Port Keats. For goodness sake, we have an LNG plant within kilometres of Darwin and we cannot even get one skerrick of gas from them. Again, it is a failure of this government to negotiate in a business-like manner to ensure that gas which comes from the Territory comes to Darwin, benefits us forever and a day, for as long as the gas lasts. Nothing like that at all.
The Chief Minister was quick enough to mention that gas and also the Amadeus Basin to Darwin gas. Who did that? Who did that for the prosperity of the Northern Territory? Who built the Alice Springs to Darwin gas pipeline? Now, that is a vision, and it was built in a time when there were some capital funds available in the Northern Territory. The Northern Territory government of the day used those funds to build infrastructure. Five years in government, GST coming in by the truck load and not a single bit of infrastructure has been built – not one. The only thing they are going to look forward to is the waterfront. One day it will happen - robbing Peter to pay Paul so that something could happen in their name.
Let me come back to the issue of the so-called economic parameters that this government has been so excited to claim as their own. As I said before, Access Economics has predicted over 4% growth every year for the Northern Territory, and yet this government has never been able to achieve it. For the government now to claim that it is going have 7.9% this year is just beyond belief. In 2001-02, and I quote again from page 10 of the mid-year report 2005-06, signed off by the Under Treasurer in November 2005: ‘2001-02 GSP was 1.2% …’ and then it went down in 2002-03 to 0.1%. Then, for 2003-04, while the government was estimating 4% or 5% - let me get the exact figures. When the government was estimating something in the order of 3.4%, they actually got 0.2%. For 2004-05, when they were estimating 7.3%, the reality is – it was only an estimate, they have not quite finish the figures - was only 3.6%. Therefore, how can we believe this government who said they are going to achieve 7.9%? How are we going to believe that? There is no way in the world this government can get anywhere near that. If they are that confident then I say to the Chief Minister put up a wager to see whether you can get anywhere near this figure. Bet with Centrebet; say we are going to meet 7.9%.
Ms Martin: We have already achieved it to September last year.
Dr LIM: You have not achieved it. I pick up the interjection from the Chief Minister - if you have achieved it why did the Under Treasurer sign off on that? No way in the world. On the same page, in the same document, the Under Treasurer records for GST budget forecast 2005-06 6.2% and in November - I will give you the exact date, 26 November 2005 - the Under Treasurer revised forecast 2005-06 was 5.8%. That is two months after the figures the Chief Minister quoted of 7.9%. Who is right? Who has fabricated these figures? The Under Treasurer or the Chief Minister?
The Under Treasurer on 26 November 2005 gave a revised forecast for 2005-06 of 5.8%. Yet this Chief Minister had the audacity to get up and say: ‘We have achieved 7.9% by September 2005’. Somebody has to be wrong. What I believe is that the Chief Minister does not understand economics. That is the reason why she did not hang on to the Treasury portfolio. As soon as she could rid of it, she flick passed it to the Deputy Chief Minister. She does not understand. To confuse the management of the economy with the management of the budget clearly shows that this woman has no idea whatsoever.
The budget is about $2.5bn to $3bn that you have to manage for the Northern Territory and you have gone into greater debt than ever. Well and good. You can say: ‘Oh, nett debt has decreased’. However, you have increased your borrowings. You borrowed from your cash reserves to reduce your debt. Overall, you are getting poorer, you are owing more. You are not getting to a better fiscal situation. In fact, you are causing yourself to go deeper into debt.
The member for Blain said before - and it is worthwhile repeating - when the debt was $3.2bn the Chief Minister had just come into government and accused the CLP of irresponsible management and causing this debt. The debt is now going to be a billion dollars more under this government in five years. The Country Liberal party was in government for 25 or 26 years. Let us say that $3.2bn is high but not excessively and, as the Chief Minister said before, we can afford that debt. We could afford $3.2bn debt in the time we were in government, but to raise $3.2bn debt with the creation of all that infrastructure that was there in the Northern Territory over 25 years is much better than this government increasing that debt to $4.2bn without creating any new infrastructure.
Not one new school; Desert Knowledge not built; Mereenie Loop road not built; the repairs and maintenance on the Stuart Highway is poorly maintained; the roads in the municipalities which are the Territory government’s responsibility have not been well maintained; and failure to build the Palmerston Secondary College. These are clear indications of this government failing the Territory, spending the largesse the GST has provided, and we get nothing for it. This government needs to understand that, while welfare is a very desirable thing to have, the best form of welfare is the creation of employment, and this government has not done that. It has failed badly and the money that is spent is just extortionate.
Members interjecting.
Dr LIM: In the last 50 seconds I have, and I wish for no interruptions, the Northern Territory government between February 2001 and August 2005 has increased its public service by 3600 according to the ABS. It is no wonder we do not have any money; 3600 public servants extra in those four-and-a-half years for the period February 2001 to August 2005. This government, without a doubt, will have to start bringing in the razor gang to start trimming to ensure they have enough money to see themselves into the future.
Ms MARTIN (Chief Minister): Madam Speaker, I will be brief. I thank everyone for their contribution to this debate. I cannot thank the member for Greatorex; I have never listened to a greater load of drivel in my life. I will make a couple of points to the member for Greatorex. When I said that our economy had grown 7.9%, the figures I gave were from September 2004 to September 2005; that was clearly stated in the speech. No equivocation about that. The Treasurer was giving a different figure for the 2005-06 years. That is not apples and apples.
It is a symptom of the kind of response we have had from the opposition in this statement today - a very important statement about the economy of the Northern Territory. They are arguing over figures they are not understanding, and trying to make some spurious point that the economy is not growing and we are not seeing jobs growth and, somehow, we have the figures wrong. I say to the opposition members: we have budget papers, we have speeches and statements with good figures in them, and for heaven’s sake take a look at them.
We have the member for Greatorex saying that we are not creating jobs, yet the figures – and these are established figures – say we have grown the work force by 3.3% between January 2005 and January 2006. I am pleased about that. Government is not taking every single bit of credit. This was a statement to mark where the Territory economy is at, some of the things the government has done to leverage the kind of investment we are seeing, and also the contribution of the private sector; most significant.
When we came to government in 2001, the private sector had withdrawn its investment in our economy. That was one of the biggest problems. We had to increase our investment of taxpayers’ dollars to make up for that withdrawn investment from the private sector. They had lost their confidence in the economy. We have seen that confidence turn around. The private sector is investing significant dollars in our economy. We have seen it with the LNG plant; we see it now with G3 at Gove; all the proposals coming up, and the private residential development right across the Territory.
Very carefully through the statement I have said we have been doing this in partnership, and yet we have opposition saying government’s trying to claim every single success in the economy. No! We are saying we have been strategic, we have a plan, and we are using the dollars very carefully to leverage that private sector investment. I gave many examples and other ministers talked about that. Yet, what you get from the opposition is consistently knocking: trying to bring down the economy and business confidence, and not recognising when there has been a pick-up, and that we are seeing all the indicators working in the Territory’s favour.
At least you would expect the opposition to say: ‘Yes, that is going well’. In a statement like this, at least have some comments on whether the strategy was good, whether there were other things we should be investing in, whether you like the balance of Darwin and the regions. Not a constructive word, just all kind of mindless criticism. It is very disappointing. We know that the lines had been worked up for the censure debate this afternoon about we are broke and have major debt problems. Can I just put the facts of debt on the record? The offence that we got from members saying: ‘She …’ I love it when they do ‘she’. ‘She does not understand, that woman does not understand, the difference between the budget and the economy’.
In Question Time, I talked very clearly about the fact that Access Economics had done a report, and had described the Territory economy’s position in very strong terms, and that business confidence was high. I made the point that Access would not say that if they thought our budget position was dodgy. They would not be saying that - that is a part of their assessment. The response I get from the opposition is: ‘She - she - does not understand the difference between a budget and the economy’. I say very clearly at least I can read the budget papers. At least I understand what they say as opposed to members of the opposition who simply make it up.
On the issue of debt, the debt to revenue proportion is the critical thing. When we came to office that was 134%. This is fact. It was 134% - that is what the CLP had left us. Today, it is at 119%, so it has reduced. Of those factors of debt to revenue, the proportions are getting less. They have come down from the high proportions left to us in 2001-02 to 119%. That is the fact. That is what analysts like Access Economics are judging. While we would love to see debt at a much lower level, we are a jurisdiction that has to grow. We have many needs, we have a large land mass, a very spread out population. To get the benefits for our community now, we need to spend. There is no point waiting another 20 years. It is like saying I am not going to buy a house because I have not saved up $350 000. You take on a debt and you manage that debt over time, and that is what the Territory is doing. Someone like Access Economics says that we are doing that adequately. For all the protestations you hear from members of the opposition, we are managing the debt and are spending effectively into the economy. The result of that effective spend into the economy is that we are delivering services in critical areas much more effectively - into police, health, education and training. We have put record amounts into the capital works budget - $2.2bn over the last four years.
It is disappointing that when we bring a major statement about the economic development, the future plans for our economy, the focus on regional development, for Territorians living in the regional remote areas trying to build their job and business opportunities, that there really is not any attempt from the opposition to make a decent response.
I thank my colleagues for their response to this important debate. I thank the member for Nelson. I am disappointed that the only thing the opposition could do was stay with their mantra of: ‘You guys are broke; somehow the figures are all dodgy; Access has it wrong; and the budget is a mess’. It is not. We came down with three surplus budgets as of last year. This year, we are on target to meet our deficit, and that deficit is, very strategically, to build the waterfront. I make no apologies. We know what we are doing.
Yes, the GST is not going to grow as strongly as it has been growing, and what we have to do is make sure we manage within that lesser growth. It is not as though the GST is going to fall away, but the growth we have seen over the last two to three years is not going to continue at that level of growth. We are managing within that and delivering services. The challenge for government is to make sure that where we are spending money in our economy - whether that be through departmental expenditure or through contracts with the private sector - that that is well focused and that that money is delivering results.
That is our challenge and, Madam Speaker, it is a good one.
Motion agreed to; statement noted.
GENERAL BUSINESS DAYS
Mr HENDERSON (Leader of Government Business): Madam Speaker, I advise honourable members that the following sitting days for 2006 are proposed as days when precedence will be given to General Business pursuant to Standing Order 93, those days being Thursday, 30 March, Wednesday, 23 August and Wednesday, 29 November 2006.
ADJOURNMENT
Ms MARTIN (Chief Minister): Madam Speaker, I move the Assembly do now adjourn.
Madam Speaker, I would like to take this opportunity to congratulate Judy Boland on receiving the Darwin City Council’s Citizen of the Year Award for 2005. Judy has many strings to her bow; she is a teacher, an environmentalist, an historian and an emergency volunteer. She is also a never-ending source of inspiration to many people, particularly her students, past and present, at Darwin High. It is well known that Judy is responsible for having the Darwin High School icon, the Tank, included on the Territory’s Heritage Register. She has also served as Executive Officer of the Duke of Edinburgh Awards and is currently the chair of the Fannie Bay History and Heritage Society.
Even though Judy is now at an age when many might have retired, she has not and she still gets immense satisfaction from her two passions - working with young people and improving our understanding of Darwin history.
Judy was presented with her award by Darwin City Council Lord Mayor, Peter Adamson, at a reception on 20 January this year. My warmest congratulations to Judy. She is a most inspiring woman and I wish her all the very best for the future.
On 9 December last year, Darwin High School students commemorated the first flight from London to Australia at the memorial at East Point. Judy Boland gets another mention - mention history in the Fannie Bay area and it is hardly ever that Judy is not part of it. Judy Boland who, as I said, is Chair of the Fannie Bay History and Heritage Society, was the driving force behind the commemoration.
The historical arrival of brothers Ross and Keith Smith in Darwin on 10 December 1919 saw them share a prize of 10 000 offered by the Australian government; an astronomical sum for the day. Australian Prime Minister, Billy Hughes, had realised that flight was the transport of the future and could also lessen Australia’s isolation. He was also aware that many servicemen had skills that would be lost if air transport was not encouraged. So his government put up the prize money for the first British-built plane, flown by British personnel, to fly from London to the vicinity of Port Darwin in less than 30 days. The brothers made it in 28 days.
The commemoration ceremony was a great success. The Principal of Darwin High, Marion Guppy, gave the official welcome, and Josephine Tchia delivered the oration on The Great Air Race. Steven Hardy was master of ceremonies and Alex Mee played the national anthem on the trumpet. The Royal Australian Air Force marked the anniversary with an honour guard, led by Commanding Officer of RAAF Base Darwin, Wing Commander Jan Marinic. Society members and local residents, Wendy McDonald, Jean Vickery, Mavis Lindon, and Ray and Jean Taylor also attended, as did students from Parap Primary School. Other attendees included Darwin RSL President, Ray Chin, Hon Austin Asche AC QC, Professor David Carment from Charles Darwin University, Sharon Morrison from National Archives, Darwin City Council Waters Ward Alderman, Allan Mitchell and President of the NT Aviation Historical Society, Peter Radtke and his wife, Jennie. Kerry Sacilotto, member for Port Darwin, was also there.
My congratulations to Judy and everyone who was involved in the commemoration. It is an extraordinarily important commemoration for Darwin. Over the last few years, we have had them annually and it really is most significant. I suppose my ambition is to see our role in aviation further enhanced.
I would also like to talk tonight about some of the wonderful Australia Day celebrations I attended this year. Celebrations kicked off at 7 am at Mindil Beach with the Australia Day Fun Run/Walk hosted by the Australia Day Council. Participants had the choice of either a 3 km or 5 km run or walk - I opted for the walk. Over 3000 joined me on the starting line, and around 2500 finished the race. That is a great effort and I hope to see even more people there next year.
Australia Day is also a time we acknowledge the achievements of young Australians with the presentation of the Australia Day Student Citizenship Awards. This award is given to one student from each school, and that person is selected by their principal for their contribution to the school community.
I take the opportunity to congratulate all the award winners. The Darwin based students who received their awards were: Carina Abrantes from O’Loughlin College; Nia Basyaruddin from Millner Primary School; Nick Browning from Alawa Primary; Virginia Cardona from Ludmilla Primary; Shasa Chadderton from Karama Primary; Alice Coburn from Saint Mary’s; Hayley Cowan from Wanguri Primary; Joshua Cripps from Holy Family Primary; Madelaine Cvirn from Parap Primary; Bianca Daniel from Marrara Christian School; Sienna Dupe from Nightcliff Primary School; Daniel Enniss from Anula Primary; Mark Errington from Malak Primary, Rebecca Hell from Nermarluk Primary; Rebecca Keeley from Manunda Terrace Primary; Jessica Lee from Henbury Avenue School; Nadia Lim from Wagaman Primary; Alexander Mitson from St Andrew’s Lutheran School; Isaac Sciberras from Holy Spirit School; Sonia Vaikyl from Leanyer Primary; Elleni Vassilarkoglou from Stuart Park Primary; Michael Andersson from Dripstone; Maxine Castillo from St Paul’s; Primary and David Creeper from Nightcliff High - and the list goes on.
There were a lot of awards this year and they were very proud of it: Danny Doyle from Sanderson High; James Farnell from Darwin High; Maximiliana Gonzales-Finestone from St John’s College; Rhys Griffiths from Larrakeyah Primary; Briana Harding from Moil Primary; Tahlea Hendy from Wulagi Primary; Joshua Kimm from Jingili Primary; Grace Ness from the Essington School; Theo Skonis from Nakara Primary; Micah Thorbjornsen from the NT Open Education Centre; Jared Thwaite from Casuarina Street Primary; Rebecca Willoughby from Kormilda College; and Stephanie Woodger from Casuarina Senior College.
Also at the ceremony I presented the Australian History Award for 2006 to 18-year-old Alison Farquhar from Casuarina Senior College. Alison scored the highest mark in the Territory for Year 12 Australian History - an impressive 19 out of 20.
Speaking of awards, I had the pleasure of presenting the Northern Territory Achiever Award to J Easterby-Wood at the Australia Day Gala Ball. J won the award for his outstanding work in the development of MARVIN, one of the most successful initiatives ever undertaken in the Territory. MARVIN is a software-based communications platform which allows users to quickly and easily create presentations that reflect the cultural, linguistic and social attributes of their target audiences. MARVIN has been used by us as government for communicating important health and education information to remote indigenous communities with unprecedented success.
Other major award winners on Australia Day were: Australian of the Year for the Northern Territory - Peter Fannin; Young Australian of the Year - Alice Chang; Senior Australian was Kathleen Mills; and our Local NT Heroes for 2006 were Peter Cornell and Beryl Mayanini. Congratulations to all our Australia Day Award winners.
Also tonight I would like to talk a little about the 2005 Chief Minister’s Round Table of Young Territorians. For those who are not familiar with the round table it is the government’s principal youth consultative and advisory body. Its members are aged between 15 and 25 and they come from all over the Territory to represent their communities and talk about the issues facing young people. The round table is a one-year commitment and weekend residential meetings are held several times a year as well as teleconferences and web-based communications. The year culminates in the presentation of research projects to government which are the result of research into issues affecting young Territorians.
The round table members also have the opportunity to input into government policy and programs, to represent young people at official functions, and to be actively involved in community initiatives. It is a wonderful thing for these young people to be involved in but the workload is hefty and many have school and work commitments, not to mention social lives. The final meeting of the 2005 round table was held in December. Findings from their research projects were presented to members of government as well as an overview of their work during the year including direct consultations with over 800 young people across the Territory.
I will give you a brief summary of each project. The Education Employment Team of Sarah Manning, Ramesh Jeffery, Hailee Skinner and Christine Cottle investigated the transition of young people from school to work. The Health and Well Being Team of Chloe Smith, Pru Gell, Owen Strathie-Murray and Alice Chang explored young Territorian women’s views on violence against women and how to break the silence surrounding this pervasive issue. The Youth Participation Team, Felix Allsop, Catherine Murray and Jarrad Newman, investigated tools to help young people to get more involved in decisions affecting their community. The Safe and Secure Communities Team of Michael Pearson, Joel Bruce, Dwain Westbrook and Rebecca Weller researched the relationship between young people and the police and they investigated ways it can be improved.
These reports are the result of a great deal of hard work by the 2005 members, and I encourage members to take time to read them. The reports are available on-line from the Territory’s Youth web site, www.youth.nt.gov.au, or by contacting the Office of Youth Affairs.
I thank the 2005 members for their commitment and determination to make a real difference to the lives of all young Territorians. They are an impressive group of people and make wonderful ambassadors for the Territory.
The incoming members of the 2006 round table will be meeting for the first time at the end of the month and, on behalf of government, I welcome them to their new roles and wish them well. The members are from Darwin, Robert Dalton, David Johnson, Kevin Kadirgamar, Justin Murphy and Hannah Watts; from Palmerston, Vanessa Matsen and Tammy-Jane Reece; from Darwin Rural, Jaimie McIntyre; Batchelor, Lisa Deveraux; Katherine, Perri Fletcher; Jabiru, Louisa Bayne; Tennant Creek, Chee Lean; Alice Springs, Kelsey Rodda and Emily Ryan; Nhulunbuy, Rose Sadleir; and Alyangula, Annalise Durilla.
I wish this group all the very best for their time on the Youth Round Table for 2006.
In January, I was asked to speak at an orientation day in Darwin for some of our new teachers. Afterwards I met them and was taken by their passion and enthusiasm for their work. For many of these new recruits, it was their first time in the Territory, but they all seemed to be settling in to our tropical lifestyle pretty well and looking forward to the challenges ahead.
Not all of them were new to the Territory; some were returning home after working down south. Otto and Helen Eijkman were among those lured back, and this husband and wife team will teach at Marriyanga. It is a really good sign that some of our former teachers who left to work elsewhere have now decided to return to the Territory. It is a great place to live and we have worked hard to make it an attractive place to teach.
Territory teachers have been given improved professional learning opportunities, competitive pay and conditions and, importantly, laptop computers. Territory schools have become more flexible places to work. The Teach for a Term program is a very successful initiative and there are opportunities to live and teach in remote communities. We are also producing more Territory-trained teachers; over 40 graduates from Charles Darwin University have been recruited to our schools. All these improvements help to explain why on the first day of school there were just six teacher vacancies across the Territory.
By working hard to make the Territory a great place to teach, we are finding we keep more of the teachers already here, and it is easier to replace those who leave. Since the end of last year, we have recruited 115 new teachers and, judging by the ones I have met, I am encouraged by the quality of those we are attracting. This low vacancy for teaching positions is good news for our 42 000 Territory students, and a great time for the future.
Ms CARNEY (Araluen): Madam Acting Deputy Speaker, I want to talk about an issue close to my heart, which is my town of Alice Springs.
I have lived there for 17 or so years and many people have lived there for longer than me. I announced last week what I would do - more so as a local member than anything else - by way of my contribution to trying to improve Alice Springs. I advise from the outset that I propose to send a copy of my comments tonight to a number of interested people. I also wish it to be made abundantly clear, if it has not been clear already, that comments I made when I made this announcement on 8HA and the ABC radio the following morning were very measured and constructive. I note that a bit has gone on since I made those comments and I will deal with that later.
The purpose of me making this announcement, which we have called Alice in Five, is that there is a feeling in Alice Springs among, in my view, the bulk of the population that Alice Springs is not reaching its potential. This is not about talking down the town; this is about acknowledging the potential of our town and, as a citizen who lives there, wanting our town to reach its potential. We all know that people come to the Territory for all sorts of reasons. People go to Alice Springs because it is a fascinating place. It certainly has its challenges - and I will come back to that - but it is a place that, traditionally, has attracted people from elsewhere. I know this because I was one of them.
The direction I propose to take is this: I am calling for interested people, regardless of how they voted or where they are coming from, to join with me to see if we can have a go at finding some solutions to the many problems that Alice Springs faces. We want to get to a situation where people stop saying things like: ‘I have had enough, I want to leave town’. I do not want to be one of those. My constituents tell me that they have had enough; they identify very specific issues. Standing back from it, the fact is that there are a number of issues and it is the feeling in town itself that is causing growing alarm in Alice Springs. I am not alone in wanting Alice Springs to achieve its potential. I am distressed to hear so many people - and it goes across how people voted, ages, gender; and across just about everything. I feel that there is a mood in town of ‘Why on earth should I put up with this? I want to go’.
We have called it Alice in Five because we need a vision for Alice Springs: where we want our town to be, what we want our town to look like in five years from now. As I said on radio, people are increasingly thinking about only being in Alice Springs for three to five years. I guess every local member will say: ‘Yes, I am in touch with my electorate’. I am one of those politicians. I believe I am reasonably in touch with my electorate in a general sense. I cannot ignore the phone calls, the faxes, the e-mails, the talk in clubs and pubs that I get. Why are people talking to me? Because I am their local member. All of us as politicians are community leaders, and it is appropriate that we step up to the plate and do what we thought we might have a go at when we were all standing for parliament; that is, to make a difference and to make a contribution to our community.
It would be very easy for me to say government is doing nothing. That is not the case. Politics is politics, but I know that government is not ignoring the difficulties. I know that government is putting in resources. What I also know, however, is that results are not being achieved - the results are just not there. I do not want to make this into a political argy-bargy. I do not want to appeal to the extremists in my community, whom I find as revolting as, no doubt, members on the government side. Whilst acknowledging the efforts of government, I want to be honest enough to say they are not working for a number of reasons. Anyone who goes to Alice Springs on a regular basis from this Chamber will see that they are not working.
It would have been very easy for me, as a politician, to jump on all of the publicity. I know these things go in peaks and troughs, but there has been much publicity in relatively recent times about the state of our town; there have been letters to the Editor and so on. As a politician - particularly an opposition politician - there was an easy out, and that was call a public meeting. Get 300 fired-up people to come along and get the proverbial off their liver. That is not an outcome I want because I do not think it is productive, and I do not think it is going to achieve the results that people who have a longstanding commitment to Alice Springs actually want to see achieved
I am not into grandstanding. I could say that the government is and, no doubt as one government member said today when going through what was happening in Alice Springs, government will do its fair share of grandstanding. However, I urge them to remember that the results simply are not being achieved. It is easy for a politician – again, particularly for an opposition politician - to talk about antisocial behaviour. It is okay to talk about antisocial behaviour, it is not being inflammatory, it is not being provocative in any sense. It is about being honest and identifying some problems that my town faces. However, I do not want Alice in Five to be all about antisocial behaviour. I want Alice in Five and those contributing to the process to look at where we want to be in five years’ time, what sort of town do we want Alice to be, and what sort of solutions will we, as a group, come up with.
At that point, after we have filtered through some ideas, we may put it out to a public meeting or some form of broader public consultation. It may be, as I predict it will, then be a case of engaging government, in particular the Minister for Central Australia, in a spirit of goodwill because, despite our political differences, I know that he also has a deep commitment to the future of Alice Springs.
I can play politics just like everybody else, but it is not something that I want to do with this issue. I do not believe it is in anyone’s interests. Yes, there will be some political brownie points along the way. However, the issues confronting all of us in Alice Springs are so serious that we do not have time to muck around.
Antisocial behaviour – yes, we need to be honest about that, we need to come up with strategies to deal with it. We might fail. I might get half a dozen really profoundly, stupid ideas, but you do not know unless you try. As I said on ABC radio, as a politician I could just sit back and take the money, but I elect not to do that. I do care about my town and that is why we will be advertising and calling on people to participate in a process. At the very least, it is worth a go. I could, like lots of other people, just sit by and say,: ‘Yes, Alice has gone downhill, hasn’t it?’ However, I do not believe I would be doing the right thing by myself and my friends and the commitments I have made to Alice Springs or, indeed, to my constituents or the people of Alice Springs in a more general sense. I want Alice Springs to be a better place for everybody.
Alice has unlimited potential, and yes, we have a number of serious issues. We need to embark on this process in such a way that it is embracing and inclusive, that it includes contributions from Aboriginal Territorians as well as non-Aboriginal Territorians. From the feedback I have received, I know that I do have Labor voters who are willing to hop on board. I do have Aboriginal people who want to hop on board. I do have Aboriginal people in the electorate – they vote for me just like non-Aboriginal people do.
The reason I am saying all of this in parliament tonight is to outline my intentions to try my best to achieve better results for Alice Springs. I hope that government members and, in particular, the Minister for Central Australia, will accept the sincerity of what we are proposing to do. I say again, as a politician I could have called a public meeting and potentially had 300 people attend whose views he does not share and I do not share. We do not want that, life is too short. We want to have a go.
I did say on 8HA local radio last week that I was concerned that when the government received a copy of the transcript of my comments they would say something like: ‘Stop talking down our town, don’t be inflammatory’, all that sort of thing.
Presumably, a phone call was made to one their failed candidates, the Mayor, Fran Kilgariff, and she was provided with a transcript. She had a bit to say. She said: ‘We do not need people talking down our town, we need people to work together’. Being honest about the difficulties we experience in Alice Springs is not talking down our town, and I would not be one of the people who talks down our town. I utterly reject any assertion that I would. My comments, for those interested - and I know Labor will have gone through them - were deliberately very measured. The process as I have said is inclusive. I refuse to simply stand by, take my money, and do nothing.
I am very aware of what I can and cannot achieve, not just in a personal sense but in the job I have. I am not nave about what an opposition of four can achieve. I am equally not nave about what I as an opposition leader from Alice Springs can achieve. But we reckon that we should have a go. Someone said to me after I announced Alice in Five on 8HA that Alice Springs looked like a town that did not care about itself. I have some sympathy with that. It does not necessarily look like a town that cares about itself. The streets are dirty. There is chewing gum all over the footpaths. There are drunks on the streets. There are some appalling public housing houses sprinkled throughout my electorate and other parts of Alice Springs.
We want to try to get some pride back into the town. I am hopeful that the people who will participate in the process will share my commitment to improve outcomes and to address those sorts of issues, but not for a moment will we hide behind these issues. We have to be honest with them. My concern is that for political reasons only, government so far in their last term and, indeed, their most recent term, has been less than honest. We are not about sweeping stuff under the carpet. We want to have a fair dinkum go.
I am proud to be a resident of Alice Springs. It is appropriate on the first sitting day of 2006 that I state that for the Parliamentary Record and that I give my commitment that I will work for the community and those who want to engage with me in this process. You never know unless you try. Certainly, I need to be receptive to other people’s views; I invariably have my own. For my part, I will do my best to listen to the views of others. As I said, if we can get to a situation where for instance we might have a 5- or a 10-point plan, to address some, I doubt we will get to all, of the issues in Alice Springs then that will be a good result.
I thought I would place those thoughts on the Parliamentary Record. The response has simply been overwhelming, and I am not just saying that. Seriously, it has been overwhelming. I thank the people who have offered to participate in the process so far. I look forward to working with them and I also look forward to reporting to the parliament in due course.
In the very short time I have left, can I stress how measured I have been, how measured I will be in this process. This is not a time for people to become hysterical. This is about getting together a group of people with a genuine and long-term commitment to improve life for everyone in Alice Springs.
Dr TOYNE (Stuart): Madam Acting Deputy Speaker, before I begin my contribution I will say I found the Leader of the Opposition’s speech most interesting. I would say to her that I will always judge a tree from its fruit. If the member is prepared to stand against dog whistling and divisiveness in the Alice Springs community, to listen to all opinions around our community and contribute constructively to ideas to improve the town, I will always work in a bipartisan way. I welcome a constructive relationship with her. It would be good to see that constructive dialogue in our community.
The start of the New Year in my electorate was an interesting one with heavy rains and flooding in the north of my electorate making things very difficult for the communities there. I have heard one story of our new school principal at Kalkaringi CEC, Jean Loke, being stranded at Camfield Station for a few days due to the heavy rains. She made it back okay and the school has made a positive start with good attendances.
Kalkaringi is a particularly important school for its secondary program. It has been pioneering senior secondary, both attendances and graduations, and it is great to see Jean taking up the work that George and Robyn Hewitson so brilliantly established there. I welcome her in the new role and look forward to meeting her and the rest of the new staff at the school during my visit to the Victoria River region in early March.
Pigeon Hole residents are well acquainted with very deep water rushing down the Victoria River. They were totally flooded out in 1995 or 1996 and the water levels actually reached the peak of the houses in that community during that earlier flood. You can imagine their feelings when they saw the Victoria River turning on big water flows again and watched the water levels get to within 1 m of overwhelming their community again. This year, luckily, that is where the water stopped and the community was spared being flooded again.
Gary James of the Darwin NT Emergency Services flew down to Katherine and worked with the police with James O’Brien Superintendent of the Katherine Police to coordinate an excellent evacuation of the Pigeon Hole residents, particularly women and kids to Kalkarindji. The Kalkarindji Police were also involved in helping to settle people on arrival. Everyone worked with speed and efficiency resulting in a job well done.
The new airstrip that has been budgeted for by government, I understand, is going out to tender in March. That will make a huge difference there because it brings the airstrip up on to the top of the escarpment overlooking the river valley. That will make it much more accessible during heavy wet weather. I look forward to going to Pigeon Hole to inaugurate that airstrip once it is finished. We are also moving the power house up the hill so that it does not get destroyed with these occasional floods that the community suffers.
Lajamanu also had its share of flood waters and it became an island, but because it is a very large community there was no evacuation required. The store is always well stocked with plenty of good food including fresh nutritious food. Jim Butler is one of the people I really admire in my electorate for the quality of the store operation that he runs there. It really comes into its own when the community is cut off like it was this year. I also welcome Frank and Gina Atkinson back to the Lajamanu CEC, and look forward to catching up with them again in March.
Welcome back also to Peter Achurch and Robyn Freeman. Robyn has just come back from long service leave and both have started at Utopia delivering education programs to the member communities in the Utopia area. Zania Liddle is back at Ti Tree school; Sue McAvoy is back at Willowra School; Anne Pollack, an indigenous teacher, is back at Pigeon Hole school; Wendy Jones is going back to Nyirripi school; Deb Williams at Laramba; Paul Unsworth at Yuendumu; Geoff Warren at Yarralin; and Michael Kinnane at Mt Allen School. We have an almost unprecedented stability in the leadership of schools in my electorate. That has to be translated into improving education outcomes. That is a real feature at the moment that we are recruiting both teachers and leadership into the schools and retaining them out bush.
We will continue to work through that stable platform to get better educational outcomes especially in extending up to secondary. Yuendumu CEC is the second in the four existing delivery points for secondary education out bush and it is a particularly significant program as well.
In the south of my electorate the Warlpiri from Yuendumu were heavily involved in ceremonies at both Willowra and Papunya. The Papunya ceremony was a huge gathering of people from Warburton, Yuendumu and many other places. This gathering of different language groups at ceremonies reinforces the strength of cultural traditions in my electorate and the surrounding electorates.
I had the pleasure of going to Yuendumu last week as local member and also to represent the Minister for Housing, Elliot McAdam, to open the Yuendumu safe house. It was well attended by people from various organisations. Pam Malden and her committee have done a fantastic job in coordinating the establishment of the safe house and the event I attended. When you open something like the safe house, it gets you thinking of the sadness of having to have a safe house in a community to protect women from domestic violence, but also of the enormous hope that you had so many senior strong women attending the opening and also, probably as easily as significant, many of the senior men. It was quite clear that the entire community has banded together with the police to make a stand on any ongoing domestic violence in the community.
The early operation of the safe house has been very encouraging. I certainly pay tribute also to the Ali Curung Law and Justice Group, Kurduju, which has now extended its process to the Warlpiri communities at Lajamanu, Willowra, Yuendumu, and Nyirripi. It is Kurduju law and justice process that has enabled the successes that were achieved at the safe house at Ali Curung, to be now duplicated at Yuendumu. That is the best possible way of working towards crime prevention out bush; to allow communities to trial successful innovations and then to share it with other communities around them. That is very much what I saw at Yuendumu with the opening of the safe house.
I had also very good reports about the Mt Theo inhalant abuse programs extending its activities into running holiday programs for the age group that they are particularly servicing in Yuendumu. Now that they have taken petrol sniffing out of the community, they are now creating programs in the community to stop the same factors coming together that caused the petrol sniffing in the first place. In other words, if you have kids who are fully occupied during the times when school is not operating, it reduces the possibility that boredom and other peer group pressures will bring them back into inhalant abuse.
The program was a great success. There was only one incident in the community involving a break-in at the store. Those kids went straight out to Mt Theo. There is only one petrol sniffer currently at Mt Theo, although that program is now taking kids from Willowra and other surrounding communities such as Nyirripi. They are really freeing a whole region from petrol sniffing. That is a great hope for our inhalant abuse programs Territory-wide: that we have these working examples of programs that have not only halted of the critical activity of large groups of kids sniffing in a community, but they have also now started to work on the roots of the problem, trying to cut off any further outbreaks of that practise.
The Yuendumu family feud mediation was also a factor at Yuendumu to the hugely positive start that that community is making to the year. For many years, several of the families at Yuendumu have been in conflict over a series of incidents and counter incidents that have led to quite a lot of violence between those families at Yuendumu. Then it was spilling over into violent incidents in Alice Springs. For the sake of both Yuendumu and Alice Springs, and our attempts to curb levels of violence in the town there, the settlement of this feud is a real breakthrough. It was done through the intervention of the community into offending. We have always said the relationship between community-based crime prevention and the police as the frontline enforcers is important. This was an absolutely classic example of it, where the police and senior family members of those feuding families got together, with mediation provided by John Baskerville, Barbara Weis, Sue Korner and Andrew Spencer who is a Warlpiri man who has worked as an ACPO at Kintore for many years.
They were able to carry out a mediation, which involved six senior family members from each of the family groups that were at odds. While the mediation was going on in a very formal setting, almost like a court setting, at the Liquor Commission hearing room in Alice Springs, over 100 of the family members from those families were camped around the building in contact by mobile phone with members of the family who were participating in the mediation.
That is a real breakthrough. It combined the formal setting and the formal authority of the government and its instrumentalities with the ability to fully share the decision through the families, so technology played a very positive part in that. That is a model we will certainly look at to tackle some other feuding situations where families have reached a feuding relationship.
That translated straight into Yuendumu: more kids at school, particularly in the secondary program, because those family members were not going to school. They were too afraid to be in the one spot where there would be further incidents, so that has now enabled the school to reassemble its student body. The community, generally, has moved on into really positive activities. Wherever I went around there it was full steam ahead into 2006 and everyone was really happy with the way the community was going.
Lastly, I would like to welcome Gary Cartwright, who has popped up as the new CEO at the Urapuntja Council. I have had much to do with Gary over the years, and I know his commitment to communities and to people that he has worked for over the years. He will be a real asset in getting some of the things going in Utopia that we are trying to work on as part of the Alyawarra regional development plan and other processes. I look forward to seeing him in my first trip through there. It is great to see him in my electorate to help out.
Dr LIM (Greatorex): Madam Acting Deputy Speaker, tonight I speak about the Chinese New Year. Each year at the first sittings of the year, I speak about the Chinese New Year, and tonight will complete my full cycle of the 12 animal symbols represented in the Chinese horoscope.
This year is the Year of the Dog. As you know through your experience with the Chinese community, the Chinese calendar has 12 animals. Legend has passed down stories – one says it was a Chinese emperor, and another says it was Buddha, who allocated these animals to each year. The stories have been told in my 11 previous adjournment speeches for the last 11 years of our time in this parliament.
This is the Year of the Dog, and I was surprised when the member for Stuart came up to me in Alice Springs and said: ‘I was born in the Year of the Dog’. I checked today and found out that he was, in fact, born in the Year of the Rooster.
The Dog and what it means: when you look at a dog, man’s best friend as we call him, certainly there are many characteristics of the dog that pertain to people born in the Year of the Dog. Normally, I would quote from a book by Neil Sommerville, which many members would have seen in previous years when I have bought it into the Chamber. However, this year I thought I would use this one by Jonathon D S Well. There are many photographs in the book about the Chinese horoscope.
First of all, people need to understand that the Chinese calendar follows the lunar cycles. Many people think that when they are born in 2006 it means they are definitely born in the Year of the Dog. But because the Chinese New Year starts on 29 January, those born prior to then are born in the Year of the Rooster, the year before. As you go back over the years, people born in 2006 have to be born after 29 January. If you were born in 1994 then you have to be born after the 10 February and so on. You have to be a bit more careful when you check the dates.
The characters of the dog personality, and I will read from Jonathon D’s book called Your Chinese Horoscope:
- The most obvious feature of the dog personality is the immensely strong sense of loyalty that these well-meaning folk exhibit. This faithfulness extends beyond the realm of relationships and family attachments to the wider world and it is not uncommon for the dog, or for dog personalities, to stick to one career or organisation throughout their lives.
Dog people are lovers of fair play and despise injustice whenever they encounter it, which may lead to them embarking on one crusade after another in an attempt to make the world a better place. This characteristic often diverts dogs from their own interests and it is traditionally held that dogs do far more for others than they would ever dream of doing for themselves. Tradition also states that dog people are usually good looking, dutiful and possessed of great charm and reliability. They are more broadminded when dealing with other people’s problems than they are when coping with their own, and will also forgive other people’s transgressions more easily than their own.
Because this year is the Year of the Fire Dog, I thought I should describe what the fire dog is like:
The fire element gives these dogs a flair for the dramatic. Charming, adventurous and honest, fire dogs are lucky individuals with the ability to make a success of almost anything they turn their hands to. Like all dog people, fire types are protective of both their reputation and their family’s. They enjoy travel and novelty, but their independent spirits may also make them rebellious.
Neil Sommerville has other things to say: that dogs are protective of property rights and very focused on matters of security. Therefore, this coming year will be one where nations will also look after their security, tighten defence and protect their borders. Because the dog is also interested in the rights of people, there will be a lot of national and international tensions in terms of each nation looking after their own rights. However, the best grace of this year will be the care of humanitarian matters and this will feature strongly, according to Neil Sommerville, in the Year of the Dog. Because of this humanitarian support, the underprivileged, the suffering and those in need of support will actually get support this year.
Economically speaking, however, it is only slow and steady growth. It is a year for those who will work hard, definitely not a year for the slacker; a year where materialistic things are not seen as important as family bonds or quality time with loved ones, and just generally improving the home environment. This dog year is also one of harmony for the home and a favoured year for marriages. Many Chinese couples get married during this next 12 months.
It will be interesting to say something about the prospects of every other sign in this year of the dog. For instance, next year will be the Year of the Pig and, in fact, the pig can fair well this year. Although Neil Somerville cautions that the pig needs to keep his or her expectations modest, but aim to build steadily on his or her present position. The year after next will be the commencement of the new cycle of the Chinese calendar and it will be the Year of the Rat. A person born in the Year of the Rat during the Year of the Dog generally will be cautious, will need to keep their wits about them, but be thorough and liaise closely with others. It is not a year for the person born in the Year of the Rat to be pushing his or her luck too far. For the person born in the Year of the Rat, be very careful.
For the ox - and my wife was born in the Year of the Ox - it is not particularly good either. There will be pressures, challenges and problems to deal with. By doing his or her best, the ox will add considerably to his or her experience, although it may not be an easy year for the ox, the year will bring many long-term benefits, and good luck and good fortune to the ox who is prepared to work hard in this year. As I said, this is not the year for the slacker.
For the tiger: with clear objectives and careful consideration of the prevailing situations and advice for others, the tiger can achieve a great deal. This is very much a time for action. Actually, in the Chinese horoscope the tiger and the dog get on very well in the compatibility stakes. The tiger and the dog have a business relationship that is rated 2 out of 5 for instance, and in personal relationships is rated pretty well at 1, so they do get on well.
For people born in the Year of the Rabbit, which is February 1999 to about February 2000, and back every 12 years from there - so the previous years were January 1987 to February 1988, February 1975 to January 1976, January 1963 to February 1964. For the rabbit, according to Sommerville, a much improved year compared to last year, the year of the rooster, but the rabbit will need to seize the initiative and be bold. For the active, keen and enterprising amongst the rabbits, the dog year holds great potential.
For the dragon: this is not the year for the dragon to take risks or hurried or impulsive action. The dragon needs to plan carefully and act with the support of others will lead to more being accomplished otherwise you can end up being very scattered and a wasted effort.
The snake: I understand there are quiet a few snakes around amongst us. The snake is generally cautious and likes to take his or her time in setting about his various activities. However, for the snake, this is a year to be bold and to move forward. With this aspect on his side or her side, a lot can happen for the snake.
The horse is another personality that has great affinity with the dog so, in this Year of the Dog, I expect the horse to also benefit. According to Neil Sommerville, this will be a busy and eventful year for the horse but, throughout, he or she does need to draw on the support and advice of others rather than to do too much on his or her own.
This will be a very demanding year for the goat. He or she will face both pressures and problems. For the monkey, this year will be a year of great change and opportunity, but the monkey will need to liaise closely with others. Finally, for the rooster who had the year last year, this year will be challenging for the rooster and he will need to remain mindful of prevailing situations and show some flexibility.
Happy new year to everybody, or Gong Xi Fa Cai, as I would say in Mandarin.
Mr NATT (Drysdale): Madam Acting Deputy Speaker, it gives me great pleasure this evening to talk about the schools in my electorate on this, the first adjournment for 2006. Over the past few weeks, schools have returned to face yet another year of education. I have been actively visiting the five schools in my electorate to wish staff and students a welcome back to the new school year. I am extremely lucky to have involvement with these five exceptional schools. Staff of each of the campuses are dedicated individuals with high ideals, which build wonderful partnerships between their schools, the community and most of their students.
Cindy McGarry is the principal of the Gray Primary School again this year. The school has achieved some wonderful outcomes over the past couple of years and their future is bright. They have had an increase in staff, and I would like to welcome Miranda Yokowo who has come over from Moulden, and also Tracy Woodroffe who has come from Howard Springs. They have an exceptional oral and English program for indigenous students and that is achieving some wonderful results. They are the only NT school this year to be selected for the Interactive White Board Program. Deputy Principal, Sue Beynon has secured a $10 000 Crime Prevention Grant to further develop the boys mentoring program of which I was involved last year and which I greatly enjoyed. Julia Morgan has been lucky enough to be chosen to visit Korea on a Study of Asia Tour. It is a 12-day cultural, history and education tour of that country, and we wish her well over there.
Kormilda College is, as everyone knows, an exceptional education institution based in Darwin and recognised for their fantastic achievements over the years. The former Principal, Stephen Kinsella, left at the end of 2005. Currently, Julianne Willis is the Acting Principal. This year, the school has close to 1000 students, with an excess of 200 students from remote communities boarding at the college. I welcome 12 new teachers to the school: Belinda Wethers, Andrew Boukaseff, David Hickey, Judith Hickey, Jacinta Mooney, Caroline Pericles, Michelle Jones, Kay Pisel, Melissa Hall, Amanda Palmer, Janie Andrews and Sarah Caldwell. The school was recognised late last year by the Council for Internationally Accredited Schools and accepted into the association which was a wonderful accolade for the college to be recognised at an international level - the only school in the Territory to have done so. The school has some big plans for 2006, one of them being plans to build new dormitories. They are working to try to raise funds to ensure that happens.
The Good Shepherd School is a small Lutheran school, again based in my electorate. The former Principal, Peter Eckermann, retired to the Riverland in South Australia at the end of 2005. I wish him well and all the very best in his well-earned retirement. In doing so, I welcome the new Principal, Julian Denholm. Julian has had stints in South Australia and Western Australia, and has some wonderful visions for the school in the years to come. Year 2 teacher, Alison Kendrick, has also commenced at the school, and we wish her well also.
Pastor Lester Reinbott is a hard worker and loyal supporter of the school. His wife, Kaye Reinbott, has been appointed to a new position of the Information and Communication Technology, and we wish her well in that position.
At Driver Primary School , the Principal, Rod Presswell, has returned to the school after a short stint working for the department on a specific task in 2005. The school has a wonderful environment, with dedicated teachers striving to give their students the best they can offer. The school celebrated their 20th birthday last year, which was a great achievement for a school in the area. They have a new transition teacher, Kristy-Lee Gilbert, and a Year 5/6 teacher, Megan Lake, and Katherine Hancock has been included as an inclusion support assistant, and an early interim support teacher, Ann Thomas, is also a newcomer to the school. We wish them well. The school has some big plans for the year, and I look forward to working with them throughout 2006.
Durack Primary School has had a change of principal in the last two weeks. Peter Collins has unfortunately had to take sick leave – I will elaborate on Peter in just a few moments. The school has had a solid start, with numbers overflowing, so much so that the school will have transportable classrooms installed within the next few months. There is a new Year 5 teacher, Renee Reynolds, and a Year 1, Tina Fluri, and it is great to hear that Peter Moore will be stepping in as principal at that school next week.
The Durack Primary School has a large number of Defence Force children attending the campus, so I would like to mention the valuable work that Defence School Transition Aide, Corinne Hunt, does at the school for Defence mothers and their children. It is particularly difficult for some Defence families to settle into new surrounds, particularly with children. Corinne’s work is invaluable, and the difference that this position makes can be noticed. It is wonderful to see many of the children enjoying their time at the school, having settled in smoothly with Corinne’s help and guidance - a wonderful comfort, I am sure, for the Defence families, particularly the mums.
As I mentioned earlier, I will elaborate a little more on Peter Collins. Peter has shown strong leadership skills and has had a very successful track record in building strong partnerships between schools and their communities. After gaining a certificate in teaching at Kedron Park Teachers College in 1962, Peter taught in Queensland schools until 1974. He then moved to the Northern Territory, where he taught at Yirrkala School until 1976. After that, he worked in teaching, as a senior teacher, assistant principal, and principal positions at Nightcliff, Kalkaringi, Katherine South, Borroloola and Howard Springs Schools. He also taught in Alberta, Canada for part of 1988.
Peter was the inaugural principal of the Bees Creek Primary School, from its beginning in 1997 until 2004, when he was Acting General Manager of Schools for the Arnhem Cluster and the Palmerston and Rural Clusters for that term. Peter has an extensive, solid, successful education and management experience in a wide variety of settings. Staff, students and the school community of Durack Primary School are very sorry to lose Peter due to his unfortunate circumstance, and it will be a major blow to his lifestyle and career. I thank Peter for his support during my short term in this position, but, more importantly, wish him good health and a long life in his life after teaching.
While we are talking about schools, I would like to mention the voucher system. It is pleasing to hear, just talking to the headmasters over the last couple of weeks, that the voucher system has worked very well. The initiative was to provide a $50 voucher per child attending school and, as I said, it has worked exceptionally well and will continue in the years to come. My visits to my electorate schools have indicated that all of the schools have managed to obtain 100% school uniforms. One particular school which struggled to get conformity last year had all but four students wear their uniforms with pride at the first assembly of the school. This initiative will be ongoing, as I have said, and the families have welcomed the initiatives and are responding accordingly.
There is a wonderful initiative that has been instigated in Palmerston - you have probably read about it in the local papers - it is called Palmlesstonnes. It has been initiated as part of the safer communities program and I acknowledge Dallas Frakking from the Palmerston Sun who instigated this wonderful initiative in conjunction with Mayor Annette Burke and the Community Service Project Officer for the Palmerston City Council, Justine Glover. It is an initiative that encourages members of the community to sign up to a program. It is based on a program that has been run, I understand, in several other country communities throughout Australia. Over a period of 12 weeks, they have set a target of collectively losing one tonne in weight. Obviously, that will go towards having a healthier and safer community.
The reception of this amongst the community has been outstanding. We have had over 300 enrolments and, unfortunately, they have had to close the books. They still have people knocking on the door wanting to enrol but they have had to cut it off at 300 for ease of control. It is fantastic to see. I went to their weigh-in last Sunday which was held at the Palmerston High School basketball stadium and the stadium was chock-a-block. It was a fun day; basically to roll up and get your T-shirt and water bottle and have a weigh-in. They measured your girth and those measurements will be taken over the next 12 weeks. I think there are three measures over the 12 weeks. It was a great day and incorporated on that day was a fun afternoon. They had the dance in the afternoon. They had various types of dancing such as belly dancing and ballroom dancing, and everyone got involved. At one stage, the basketball court was chock-a-block full of people dancing. It was just fantastic.
I went out at 6 am yesterday morning and did a 3 km run – sorry, a 3 km walk; I will do the run later. We had about 50 people on the initial walk. The interest it has created, and to see people get behind this initiative, is fantastic. I again acknowledge the work that Dallas Frakking has done, together with Mayor Burke and Justine Glover, who has been tirelessly working to try to makes this all happen. I congratulate the people of Palmerston who have put their hand up to have a go at this. They are really keen to do something for the community. I congratulate them for getting involved and look forward over the next 12 weeks to pounding the pavement with them.
Mrs MILLER (Katherine): Madam Acting Deputy Speaker, tonight I wanted to put on record how gratified I am to see the Territory Insurance Office is going to remain in Territorians’ hands. That, I believe, is thanks to the dedication and commitment of the Friends of TIO who have put a lot of hard work into collecting signatures and making people of the Territory aware of what was the potential loss of 250 jobs and the potential loss of businesses in the Territory.
The reason I say that is because I am speaking specifically for Katherine where I know that there were two businesses where one employs over 15 people, which was definitely - despite the rhetoric in the paper and what we heard on the television - unable to get insurance for flood from anywhere but TIO. Both those businesses I referred to are car dealers and one of those had said that she was not prepared to go through the stress of all that again. She not only went through the stress of the 1998 flood but, last year, in January 2005, and in 2004, she was also inundated with flood water or waters from the drains that ran behind her business in Katherine. There has been a lot of pressure on her and her partner, and they decided that if TIO was sold there really was no alternative for them but to leave. That was very gratifying to see because Katherine could not afford to lose such good businesses, as both of those car dealers employ many people. We could not afford to lose any more economic industries that we have in our regional areas.
Seeing that TIO has been in the news and is going to be here for a long time now, one of the reasons I wanted to talk about it is that TIO is held in such high regard throughout the Territory, and especially in Katherine. That regard is due mainly to the Katherine floods of 1998. Before then, we accepted that TIO was the insurance company of the Northern Territory, but that is when they really came to the fore in their support of the people of Katherine. I have to admit that my house was not insured by TIO at that time. My husband was a bank manager and they used to promote another insurance company. It is most unfortunate that we were not covered by insurance – and that was a fairly big strain. The difference in other members of the community and other residents throughout Katherine who were covered by TIO, in their attitude and the way they were able to recover from the stress and the trauma of the flood, was noticeable. I know that those at the time of the Katherine flood who were not covered by TIO changed their insurance policies the next year.
I want to tell you another little story about the 1998 floods because talking about TIO connects us with the flood in Katherine. It is just an automatic thing. The day before, on Australia Day – which happened to be a Monday - my husband and I were operating Red Gum Tourist Park on our own and it was a pretty quiet day. It had been raining on and off for about three or four weeks in the surrounding areas, and the river was up extremely high, about 16 m at that stage. Water was starting to come up out of the drains. There was a backlog of the drain water from near the Katherine showgrounds and that was actually filling back to the park.
I decided I would ring Emergency Services and ask them if I was in a low lying area. When you drive into Katherine it just all looks flat. However, I had heard there were some low lying areas, so I contacted Emergency Services who advised me that yes, I was in a low lying area. I asked the three or four caravans that we had still in the park if they would like to move because I said I had no idea what was going to happen. I thought it was all a bit of a joke; there was no way that this flat area was going to flood. Those people, by the time they did pack up and get out which would have been about 1 pm, were only able to exit Katherine by one way; that was to go down Victoria Highway and along Bicentennial Road and get out that way because the water had gone around the back of Katherine. We were looking at the river, but in actual fact it was coming from the other way as well.
I thought: ‘Okay, what can I do at Red Gum? I cannot pack up eight cabins and I cannot pack up an ablution block. I cannot do the shop so I better take my office home’. Everybody laughed at me, but I started to pack up lots of files, etcetera, and I ended up doing five trips to my house, carting crates of things up the stairs and stacking them into the end room. By the time I got to the sixth car load, I was getting a bit tuckered out. The only things that were left that I just did not want to move were filing cabinets. I took the top drawer of the main filing cabinet that had insurance things and important stuff in it that maybe needed saving, got some help, carried it out to the back seat of my car and that is where it still was, sitting on the back seat of my car at 3 am.
When I woke up and realised that there was water in my street I thought I had better move the car. I still did not take the filing cabinet drawer out of the back seat of the car, proceeded to find a spot near Clyde Fenton School where I used to live, and parked the car jammed up against a window along with five other cars. I went back home and, within the space of three or four hours, the water was over the banks of the Katherine River and the rest is history. By 1 pm, we were climbing out of the window in our high level house and straight into a boat. We had to leave everything behind - but I was not going unless the dog went. So, the dog and Mike and I and five of our neighbours, including a month-old baby, went out the window.
It was four days before I got back to the house. Naturally, I went straight around to see where my car was. As you can imagine, it and the other four cars had definitely gone under. I forgot to mention when I first parked the car near Clyde Fenton School, I got somebody to help me take that darn filing cabinet drawer out and we carried it into his shed and stuck it in a dinghy. In the flood, it went up and it went down. I could not remember if I was covered for flood insurance, so this was a big thing. We were all worried about how we were going to survive.
The first thing I did when I got back and saw the car in a terrible mess was go to the shed. The boat had gone up, it had come down again, gone on a bit of an angle and had not landed back where it was supposed to, but the filing cabinet - darn thing - was still sitting there. The drawer was still there with everything intact. I could go straight to ‘I’ for ‘insurance’, pull it out, and bingo! No flood insurance! I was wishing the whole thing had gone under at that stage. It is totally incidental, but it just brought back the memories of how important insurance was to us.
We did have insurance with TIO in our business at Red Gum Tourist Park, but we had not taken out a flood insurance cover in that policy. It became a challenge over the next three or four months, with some wonderful outside support - of Deloitte Touche actually - which was able to help us get a very small proportion of inundation cover. Mind you, Red Gum Tourist Park went under through to the ceilings, and inundation was 0.5 m. Trying to calculate the damage of 0.5 m of everything was, I thought, rather challenging, but TIO did it. We are still many tens of thousands of dollars behind the eight ball, but at least they were prepared to go ahead and do that.
TIO did a huge amount for Katherine, took a huge weight off a lot of people’s shoulders - especially private residents. People who were struggling were able to get their houses back up again after a few months, and a lot of industry. There was a lot of rebuilding in Katherine. I am very grateful that TIO is still in business and still in private hands in the Territory. I am very grateful for the commitment of those quiet people who normally would not come out and stand up for themselves and for what they believe is right. I congratulate them for the very successful outcome of the campaign, and everybody else who had some involvement in it.
I am very pleased to be able to stand in this first sittings for 2006 to know that we still have the cover, reassurance and comfort of knowing that the Territory Insurance Office will be operating well into our future.
Ms McCARTHY (Arnhem): Mr Acting Deputy Speaker, I wish to share with the parliament my travels in the electorate in the last month, in particular to Numbulwar. I had the good fortune of flying there the week of Australia Day and going on from Numbulwar to Ramingining and to Milingimbi.
At Numbulwar, I had the chance to talk to a couple of people at the Homelands Resource Centre, such as Henry Nunggumajbarr, Bobby Mirniyowan and Wilfred Nunggumajbarr, and also the carpenter/builder at the Numbulwar Homelands Resource Centre, Bob Burrows. They talked to me about the 12 or 13 outstations that are serviced by the Homelands Resource Centre in the region. A few of those outstations have phones and most communicate through UHF radio. The furthest outstation is around 150 km north of Numbulwar. It is pretty much on dirt road and it is a journey I would like to take once the Dry Season is here and the roads are much clearer to travel on.
Some of the major issues that the Homelands Resource Centre raised with me included that they were very pleased with the Policeman’s Crossing causeway which the Martin Labor government has completed. I remember, during the election campaign, when we wanted to cross over there that we had to be careful with the tide as there was no bridge as such, or no secure footing for the vehicles to drive across. Going back this time, I was able to see the completion of a cement causeway, making it a much safer crossing for people all year round.
On the way to Policeman’s Crossing, they wanted to show me a place in particular called Wumajbarr Plain. It is an area on the road which is filled with mud and gets extremely boggy. It cuts the community off from travelling to Ngukurr, which is the nearest community to Numbulwar. They were keen to show me Wumajbarr Plain and it took some pretty solid driving by Henry Nunggumajbarr to get through that area. It was quite impressive - I wish I had my video camera at the time. It is the sort of image you see in these shows that travel around the country showing you the remote areas. This was four-wheel driving at its best, that was for sure.
Other issues raised included some of the things that people had heard, perhaps on a federal level. People had heard a little about the former Aboriginal Affairs Minister, Amanda Vanstone, talking about remote communities and, indeed, her most recent speech to parliament in regards to certain communities being cultural museums. This created great distress to a number of the people on the homelands, who were asking about the future of those regions. I was happy to tell them that I would keep them informed about what was going on, but that there were naturally changes on a federal level. Indeed, the Aboriginal Land Rights (Northern Territory) Act and the amendments coming up was another issue which we talked about.
People in Numbulwar are incredibly strong culturally, and they see that their land is their life and their home. They will do everything they can to ensure that there is a future for their children. That means working in partnerships, certainly with the Northern Territory government, and wanting to be kept informed about what is happening on a federal level.
The Numbulwar Council is doing great things. The CEO, Mark Gardiner, is definitely keen to spend a good year or two out there, and that stability is important for Numbulwar. It has had a number of CEOs passing through over the last couple of years, in fact, perhaps too many, and a lot of instability there. However, now it has settled down and with Mark at the helm, it certainly has some great potential for this year.
They have also been able to elect a new council and chair at the end of last year. There is a mix of old and young men and women on the council, which is a good thing. That way, it reflects the needs of the Numbulwar people and it can be reflected quite well on the council. The council is keen to seal the roads around Numbulwar community, and dealing with wear and tear and health issues. We are hoping to have a look at that; it is a regular request as you go out through Arnhem Land. The roads are something that people are always raising simply because everybody wants good roads.
Dwayne Murrungun is on the Prime Minister’s Youth Round Table which is a national youth round table. Dwayne is certainly an added asset to the Numbulwar community where he can share what he learns on a federal level. Having exposure at that federal level also opens up Numbulwar because other states and other people in the rest of Australia can hear what is going on in this beautiful region.
There is an idea of a ‘rage cage’ which has diagrams of basketball, soccer, and a couple of other indoor activities that can occur - it is early designs at the moment – and a skating boarding ramp, things like that which can help the youth in Numbulwar to have a solid venue and a place to congregate. These are things that the community is looking at this year and would like some support with. I am very keen to support them and, no doubt, I will be lobbying our sports minister on their behalf.
From Numbulwar I travelled to Ramingining and I had the pleasure of talking to a couple of people there and the artists at the Ramingining Art Centre, Bula’bula Arts. There is a lot of excitement because the soon-to-be Ten Canoes film is going to be launched in Adelaide at the film festival there. I believe it is possibly next month. That is going to cause great interest in Ramingining and give national exposure to the community. Many things were happening around Ramingining during my visit.
The newly organised Northern Australia Justice Agency - no longer NAALAS - travelled to Ramingining to talk about the changes for the legal system. I was able to hear first-hand how that new system is being set up in the Northern Territory and how places like Ramingining, Milingimbi and Numbulwar can access the legal advice and legal support they need through this new system, now known as NAAJA.
Travelling on from Ramingining, I travelled to Milingimbi. When I first came into parliament, I said that I would like to introduce the community to my family and, so, being the school holidays, I was able to take my children with me to meet people in the electorate, and for my family to see the electorate and to know where it is. I guess the boys just wanted to know where their Mum goes a fair bit of her time these days.
We travelled to Milingimbi for Australia Day celebrations and it was an incredible day. I would have to say that the Milingimbi mob know how to put on a celebration. It was absolutely exceptional and it was symbolic too in the sense that people wanted to celebrate the fact of survival. Australia Day causes mixed feelings around the country but, for the people of Milingimbi, it was a day where people could celebrate the survival of Aboriginal culture and share Aboriginal culture with white Australia. Whilst there are sad components of the history of this country, what the Milingimbi people where saying on this day was about walking together and creating a new history from here, one that is about sharing and walking together. That was the Milingimbi mob.
Mr Acting Deputy Speaker, there are some more things to say in regards to that but I will keep the parliament posted on my travels.
Mr McADAM (Barkly): Mr Acting Deputy Speaker, I inform the House tonight of meetings I have attended since the last sittings of December 2005. Immediately following the sittings, I met with the Darwin City Council Lord Mayor, Mr Peter Adamson. We discussed issues including Community Harmony, and particularly the pending antisocial behaviour arrangements. I also had discussions regarding service delivery opportunities for Darwin City Council with opportunities to work in partnership with other incorporated Aboriginal organisations such as Bagot and the Tiwi Islands Local Government Council. This is the second meeting that I have had with Lord Mayor Adamson. I have had meetings with other municipal mayors and intend to do so on a regular basis.
I had the opportunity to visit the Palmerston City Council to meet with Chris Judd and people from the 15 Mile village. At that time, they were launching their community management plan. I was able to see first-hand the housing needs of that community. Some of the issues they expressed concern about included substance abuse, unemployment and domestic violence. I also understand that not too long ago, perhaps about two weeks ago, the Chief Minister also visited there. I want to assure the people out there that we are very concerned about their issues and, hopefully, in the not-too-distant future, we will be in a position to be able to advise them of some initiatives that we might be able to assist them with at a local level.
I went back to Tennant Creek as well, and was very privileged to launch the Street Scape project for Tennant Creek which involves Paterson Street in a major redevelopment project. Members will be aware that Paterson Street is the main street of Tennant Creek. For those who have not been to Tennant Creek of late, if you get the opportunity go down there because it is looking pretty good; it is looking green. There are also some new businesses in the main street. I applaud those people who have taken the risk and I hope they do very well.
Prior to Christmas, I was able to catch up with the Mayor of Alice Springs Town Council, Fran Kilgariff. As I mentioned earlier, it is part of my plan to be able to meet with mayors throughout the Northern Territory. As always, my discussions with Fran are very productive. They are very mature, and they were wide ranging.
I would like to comment on the Leader of the Opposition’s adjournment debate tonight in regards to some issues in Alice Springs and the comments of the minister for Central Australia.
Alice Springs is going through a difficult time; there is a degree of pain. There is also a degree of angst from certain people in Alice Springs and I would expect that calmer heads will prevail in the long term. It is for that reason that I offer my support also to the Leader of the Opposition and to the Minister for Central Australia. If there is anything we can do then we should do it in a very mature way. I am absolutely certain they would be echoed by the Northern Territory government. I look forward to working with all parties as, indeed, we all do, to making the quality of life in Alice Springs much better for a whole lot of people.
Whilst there, I had a look at their new municipal building. It is a very large project and I congratulate the Alice Springs Town Council for taking that initiative. It is an environmentally sound building in its design. They incorporate many of the technologies that were perhaps first thought of in Alice Springs in the 1950s. I refer to the Uniting Church because that is design on which the building has been constructed.
Also whilst in Alice Springs, I also had the opportunity to meet with the task force which I established prior to Christmas, to have a look at some of those issues that are impacting upon the town camps in Alice Springs. Ms Olga Havnen is the chair of that committee and there are representatives from other organisations in Alice Springs including Mr William Tilmouth, Chief Executive Officer of the Tangentyere Council, along with the Mayor, Fran Kilgariff, Ross McDougall from ICC in Alice Springs, and representatives from the Lhere Artepe organisation which is a representative body of traditional owners in Alice Springs. There will also be opportunities for other members of the Alice Springs community to be brought in onto that task force as there will be for representatives from the police and the Department of Education and other agencies.
Olga was able to bring me up-to-date on what is occurring there. I know they have had numerous consultations with various agencies and they have just commenced a process where they will be speaking to all those people who live in urban living areas around Alice Springs.
Whilst in Alice Springs, I had the opportunity to meet with Mr David Forrest. David is involved with the real estate industry in Alice Springs, and works for First National Real Estate. David had some concerns in regards to the Larapinta Stages 3 and 4 land release, but we were able to convey those to the appropriate minister. I am certain that those matters will be addressed.
I had the chance to take about three to four weeks off, which I appreciated. In a way, it just makes you realise and understand and fully appreciate the role of the family in terms of the job that we do on both sides of the House. I really did enjoy that time but, most importantly, I enjoyed the quality time that I spent with members of my family. It would be lovely to have those a bit more often throughout the course of the year, but we know that that is not always possible.
I had the opportunity to visit Borroloola only last week for the signing of the heads of agreement in regards to their swimming pool. It is something that the Borroloola community deserves. It has been a long time coming; perhaps in excess of 20-odd years. It is a tribute to that community and all those other organisations which have been able to provide some money. I am talking at a local level: the Mabunji Aboriginal Corporation, the Borroloola Local Government Council, the Borroloola Soccer Association, and McArthur River Mine, otherwise known as Xstrata, contributed $600 000. It is a great community effort and, hopefully, it will provide our young kids in Borroloola the opportunity to swim in far better conditions, because they deserve it. They will look at a ‘no school, no pool’ policy and, hopefully, the educational and health outcomes will be improved.
Whilst at Borroloola, I had the opportunity to meet with a whole host of other organisations. The Mabunji Aboriginal Corporation was one and we spoke about the proposed expansion by the McArthur River Mine. Obviously, people have read in the media some of those concerns. As the local member, I too have some of those concerns. I believe it is important that we do allow due process to occur. However, having said that, there is a real opportunity here for the private sector and government to work together to ensure that whatever the outcome might be, it will be equitable in the context of social and economic outcomes in regards to places like Borroloola.
I must say, quite honestly and openly, that I do not think they have been the full recipients of the benefits that could flow. I urge Xstrata to strategically rethink how they might approach communities like Borroloola with projects both now and into the future, because I know they have been able to do that in countries overseas. I urge them to give some consideration to ensuring that we become a little more strategic in providing opportunities for people who reside in remote regions of Australia in this case or, indeed, the world.
I was also able to visit the arts and craft centre at Borroloola and I met with Peter Callinan. Peter is doing a good job as are all the artists there. They should be very proud of what they have done in a short period. I know that opportunities will open up in the future in regards to that group of people. Stuart Hoosan is doing wonderful work, as, indeed, are a whole host of other artists. I believe some dollars have been allocated to them for their arts and cultural festival, which I understand will be announced a bit later.
I was able to attend the inaugural IHANT Board launch in Tennant Creek last week. They face many challenges. I will be giving a statement in the House next week and will elaborate then. I say thank you to the board, particularly to Mr Michael Berto, from Nyirranggulung out of Katherine, who has taken on the challenge as chair; along with Pat Brahim, from Julalikari Council the deputy chair; Mr Tony Jack from Mungoobada, otherwise known as Robinson River; Mr William Tilmouth, who is the CEO of Tangentyere Council; Ursula Raymond, who is with the media with ABC National; Mr Mike Dillon, the CEO of my department; Susan Bosic, representing the Commonwealth government; and Mr John Tobin, who is on the board in an advisory capacity, representing the Department of Planning and Infrastructure.
Mr Acting Deputy Speaker, I will conclude my comments there.
Motion agreed to; the Assembly adjourned.
Last updated: 04 Aug 2016