Marise Payne (NSW, Liberal Party, Shadow Parliamentary Secretary for Indigenous Affairs) Share this | Link to this | Hansard source

My question is to the Minister representing the Minister for Families, Housing, Community Services and Indigenous Affairs, Senator Evans. Can the minister confirm to the Senate that administrative and indirect costs associated with the Strategic Indigenous Housing and Infrastructure Program total between 50 and 55 per cent of the total program budget, as stated by now sacked SIHIP project manager Mr Jim Davidson on ABC radio yesterday, and that when the alliance partners’ profit of up to 20 per cent is added to that, the total left for actual house construction is 30 per cent of the budget?

Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Link to this | Hansard source

I thank Senator Payne for the question. I gave some information in answer to Senator Scullion’s question the other day on the administrative costs of the program. Let me be very clear: the SIHIP program will deliver 750 new houses, 230 rebuilds and 2,500 refurbishments of houses in remote Northern Territory communities by the end of 2013. It is an ambitious and large-scale housing program—in fact, the largest ever undertaken in this country. The Australian and Territory governments have each appointed a senior official to make sure the program is operating effectively. They have been going through the program line by line and are assessing a range of issues, including the sorts of matters that have been raised publicly and which you raise again in the chamber today. The minister advises me that she is expecting a report from them shortly.

We are very conscious that we are accountable for taxpayers’ money and the Indigenous people of the Northern Territory and we are absolutely committed to delivering the program and delivering it efficiently. The departmental officials are examining the structure of the SIHIP program to ensure that it delivers on the targets that have been set. We will of course respond to the report that has been requested appropriately. I think it is important for us to acknowledge, though, that old housing models have not served Indigenous interests. Over the decades, many millions of dollars have been poured into housing, and the outcomes have been simply abysmal. I think that was a lesson the previous government learnt under its genuine initiative to try to better use the COAG process to deliver housing. Those initiatives failed. It is important that we do not repeat those failures, and there were more before that. We know that run-down overcrowded houses, where no-one has clear responsibility— (Time expired)

Marise Payne (NSW, Liberal Party, Shadow Parliamentary Secretary for Indigenous Affairs) Share this | Link to this | Hansard source

I thank the minister for his response and I ask a supplementary question. Based upon the scope of the work, the value of the SIHIP contracts that have been let to date, the administrative costs that are reported, the reported wastage and the reported inefficiency, how can the minister and the government still claim that 750 houses, 230 rebuilds and 2,500 refurbishments can be made? Is it not the case that in fact only about 300 houses can be constructed, not the 750 as promised and repromised by the minister and the government?

Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Link to this | Hansard source

No, is the answer. I made it clear to the Senate in answering the first question that the government remains committed to the program and to delivering the targets set for it. That is our very firm intention and we will look to deliver the program as indicated. There obviously have been some concerns raised. The minister is seeking a report from the senior official, along with the Northern Territory government senior official, to ensure we are getting effective action. She will be receiving that report soon and that will address these sorts of concerns that have been raised. It is important that they are addressed. The minister has undertaken to do that and no doubt she will report publicly on that. But the government’s commitment to Indigenous housing, to improving the lot of Indigenous persons, both in the Northern Territory and elsewhere is undiminished.

Marise Payne (NSW, Liberal Party, Shadow Parliamentary Secretary for Indigenous Affairs) Share this | Link to this | Hansard source

Mr President, I have a second supplementary question to the minister. When will the first house built under SIHIP be completed?

Chris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | Link to this | Hansard source

There have been a number of refurbishments and other housing initiatives that have seen houses being repaired and planning for development. As I understand it, since November 2007 over 90 houses have been constructed using funds from Australian government to Northern Territory government Indigenous housing programs. But as to the exact details about SIHIP, I will take that on notice and get back to you because, as I said, I have got the figures on the number of houses but not the numbers specifically under that program that have been completed. Again, I assure the senator that the government remains committed to the target of 750 new houses. We will try and ensure that those are delivered in the time frame set and any matters of concern that have been raised will be addressed very seriously.