Glenn Sterle (WA, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister representing the Minister for Infrastructure and Transport, Senator Kim Carr. Can the minister inform the Senate of what the government is doing to help regional communities meet the massive infrastructure demands of the resource sector?

Kim Carr (Victoria, Australian Labor Party, Minister for Human Services) Share this | Link to this | Hansard source

I thank Senator Sterle for his question. All senators here would be aware that this generation is living through the biggest resources boom in Australian history. In the last financial year our resources sector attracted some $47 billion in new investment, and out to the next year the figure is likely to rise to $120 billion. All of this, of course, puts extraordinary strain on the infrastructure that actually underpins the boom itself. Such a level of development calls for better roads and better rail connections. It calls for us as a government to act to reduce the bottlenecks around our airfields and our ports. Across the country, regions are crying out for major upgrades to their infrastructure. Failure to do so, in fact, represents a real threat to this country's long-term prosperity. Of course, we need to be able to work with industry to ensure that we have high-wage jobs in mining and all the other industries that support it. That is why the government is putting the proceeds of the boom back into the regions. There is $5.6 billion in revenue available from the resources rent tax to go back into the Regional Infrastructure Fund.

Senator Joyce interjecting—

I am sure, Senator Joyce, that even you would be interested to know that this is a fund that is designed to help this country build its economic capacity. All the projects under the fund are of a clear, national economic benefit. It is a pity the National Party did not actually support actions to defend jobs and to defend the living standards of working people in this country. These funds are available to assist with job creation not just in the resources sector itself but in industries that underpin the resources sector. It is about removing the bottlenecks that undermine our capacity to export. It is about splitting the cost and, of course, the benefits— (Time expired)

Glenn Sterle (WA, Australian Labor Party) Share this | Link to this | Hansard source

I thank the minister for that answer. Mr President, I ask a supplementary question. Can the minister advise the Senate what sorts of projects the fund will support?

Kim Carr (Victoria, Australian Labor Party, Minister for Human Services) Share this | Link to this | Hansard source

Senator Sterle, these are major projects that will be able to transform entire communities in Queensland and in Western Australia—for example, the upgrade to the intersection of the Bruce and Capricornia highways in Queensland. That will be a project that will reduce congestion and travel times around Rockhampton, the Stanwell industrial corridor, the Port of Gladstone and the mining areas around Emerald. And the $120 million investment in the Peak Downs Highway will enhance the productivity of mining operations in the Bowen and Galilee basins.

Senator Ian Macdonald interjecting—

Senator Macdonald, I would have thought that, as a Queenslander, you would have supported these measures. But you are not. Your hypocrisy is becoming quite clear. If we look at Western Australia, Senator Sterle, $480 million will go to Gateway Western Australia, Perth Airport and the freight access project. It will reduce traffic congestion and freight costs and will improve safety for workers at the same time. (Time expired)

Glenn Sterle (WA, Australian Labor Party) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question. Can the minister advise whether the government has budgeted for this major expenditure?

Kim Carr (Victoria, Australian Labor Party, Minister for Human Services) Share this | Link to this | Hansard source

Senator Sterle, this is funding that is made available because the resources rent tax has now been locked into legislation. It is part of our commitment to ensure full employment and to ensure that we are able to transform our economy.

Senator Joyce interjecting—

That stands in very sharp contrast, Senator Joyce, with the approach that is taken opposite. An Abbott opposition, of course, is not about making these hard choices, these real choices, that this country has to make to ensure we are able to maintain living standards. We see on the other side an opposition that claims they will have to find $70 billion worth of expenditure, $70 billion of cuts. These are the sorts of projects that will not be funded as a result of the economic policies that you on the other side of this chamber are pursuing. That is the sort of approach that undermines living standards, the economic capacity of this country and our ability— (Time expired)