The Guide to the State of Tasmania or How the GST saved our Bacon

By MARK TEMBY

How great was the much lauded Tasmanian Labor triumvirate of Jim Bacon, Paul Lennon and David Crean and for what will history remember them?

By far the greatest achievement nominated is the reduction of state debt. This has been attained by increased government revenues through the GST, gambling taxes and stamp duties. GST represents the principal contributing factor with its implementation smack in the centre of the Bacon years.

The framework of the GST directly returns revenue to the states and territories. Media reports indicate about $6,000 per annum has been paid by each family across Australia. There has been little reduction in any other taxation at a state or federal level. Like it or lump it, GST is a John Howard initiative and achievement.

That is, the state debt has been reduced by the general community placing more savings (taxation) into state coffers. I would suggest Bill and Ben, along with Weed, could have achieved the same reduction in state debt. Another benefit of having these particular puppets would be that the achievement could have been made with no strings attached.

Missing from Australian political debate at all levels is how we, as a nation or state, should invest in the future and invest in current services. To draw an analogy, Australia should be viewed as a household where the neighbours are other countries. Different households have different sources of income, savings and expenditure priorities. We need to choose the right balance and make sustainable decisions.

Our neighbours do not necessarily spend equivalent amounts on health and education. This is why they will access and pay for our services. However, one of our neighbours, Singapore, has furiously saved for its retirement through superannuation. China introduced a single child policy to reduce its aging overpopulation on a fifty year plan.

Our household had saved $9 billion last year but we spent it on a baby bonus.

We should now make an assessment of the state budgets of Bacon, Lennon and Crean. What has been put in place that will benefit the long term prosperity of the Tasmanian household?

Health:

* Pay parity for nurses with their interstate colleagues.
* Intrastate rivalry over diminishing resources.
* Radiologists and other specialists resigning over salary levels, lack of equipment or insufficient staffing levels.
* The disrepair did not arise in 2004. It arose from many years of poor management, siphoning funds and a lack of understanding of the health portfolio. National leadership and a national response are required here.

Education:

* There has not been a visible shift to service remote regions through technology. This should be our niche market.
* The problem of Tasmania having the lowest retention rate of students beyond Year 10 remains.
* It could be argued the same education system exists now as existed in 1970.

Industry and Infrastructure:

* No further reduction in the number of municipal councils since around 1995.
* A general lack of current and strategic planning schemes for cityscapes, foreshores, coastal areas and semi rural districts. This translates to a lack of regulation and, I would suggest, highly suitable to certain sectors of the community.
* $40 million Intelligent Island funding wasted.
* Youth unemployment remains high, interstate migration is aged and new industry is not sought beyond natural resources.
* Leadership is required at the state level.

Transport:

* Shipping presents an area where risks have been managed reasonably well. Decisions have been made on ports and subsidies. An obvious area of strength for the ex-members of the Trades and Labour Council with affiliated unions.
* Airlines need to address the balance between tourism, freight and business travel. It is ludicrous that the only flight from the business capital of Australia, Sydney, to a state capital, Hobart, arrives nightly at 11.05pm. But in typical mob fashion everyone debates frequent flyer points and business class seating.
* Rail transport seems permanently on hold. Maybe this is a TWU thing?
* Our saviour is Ken Bacon!

Environment:

* Nothing comes directly to mind except World Heritage funding used as a cash cow. Where has our money been spent then apart from a reduction in state debt and the ships?

Forestry:

* Various joint tourism ventures eg Huon Airwalk, Dismal Swamp and the Scottsdale Visitors Centre.
* Restructuring of government services, such as Forestry Tasmania, to provide taxpayer-funded assistance to the growth in woodchip production.
* Various so called renewable energy project studies such as the unmentionable Southwood.

Sport:

* Horse racing club (Paul’s the number one ticket holder)
* AFL and York Park
* Junior AFL to reverse the decreasing numbers playing the game (maybe there is a message here?)
* Bellerive Oval upgrade

Miscellaneous Bail-outs:

* ABT Railway, Incat, Beaconsfield, Renison, Mt Lyell etc.

When the budgetary achievements are viewed in this manner I believe history will remember Jim for two decisions that will have a long term impact within this state. The first was a personal decision to smoke. The second was a public decision to deregulate the forest industry to achieve the outcomes of the RFA for industry and unions. Both will prove to be unsustainable behaviours.

Jim was obviously a personable and charismatic Premier within the circles he chose to walk but most of those circles emanated from his Labour Party, BLF, CFMEU and Trades and Labour Council experiences.

These roots framed his decisions and what others claim to be his achievements. They also acted as a straightjacket on decisions requiring full consultation and a proper balance.

Mark Temby is one of the lucky ones who can speak his mind without fear of workplace or business recriminations. He has been involved in job creation across Australia, including Tasmania. He has a real problem with those who are paid enough to know better and believes in acknowledging the problem before a solution can be found.

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Friday, July 30, 2004

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