Restart NSW Fund Bill 2011

About this Item
Speakers	Daley Mr Michael; Deputy-Speaker (Mr Thomas George); Davies Mrs Tanya; Burney Ms Linda; Bromhead Mr Stephen; Mihailuk Ms Tania; Speakman Mr Mark; Lalich Mr Nick; Conolly Mr Kevin; Hornery Ms Sonia; Doyle Mr Bryan; Park Mr Ryan; Toole Mr Paul; Parker Mr Jamie
Business	Bill, Bill Introduced, Agreement in Principle, Motion

RESTART NSW FUND BILL 2011

Page: 3868

Agreement in Principle

Debate resumed from 22 June 2011.

Mr MICHAEL DALEY (Maroubra) [4.12 p.m.]: I lead for the Opposition in debate on the Restart NSW Fund Bill 201. The object of the bill is to establish the Restart NSW Fund for the purpose of setting aside funding for and securing the delivery of major infrastructure projects and other necessary infrastructure. The operative portions of the bill commence at part 2, clause 5, which states:

There is to be established in the Special Deposits Account a fund called the Restart NSW Fund.

Clause 6 states:

I find that provision curious. As the Treasurer said nothing of any note about that provision in his agreement in principle speech, I ask him to expand on it when he replies to debate on this bill. Clause 6 continues:

Staff members who are providing services to the public have now had their Industrial Relations Commission gutted and their wages and conditions similarly have been gutted. Clause 7 states:

Payments into Restart NSW Fund

that relates to money sourced by the Government from loans, bonds and things such as that—

Essentially, those are the operative provisions. Clause 8 deals with payments, clause 9 deals with the Minister's reporting obligations, and clause 10 refers to investment money in Restart NSW. Technically, this bill, which is unremarkable, forms part of the Government's so-called 100 Day Action Plan and, therefore, it takes its place with bills such as the Graffiti Legislation Amendment Bill 2011 and the Library Amendment Bill 2011, which were debated ad nauseam as part of the Government's post-election fluff. This Government is proceeding on the basis of a monumental lie in respect of a budget black hole that does not exist and it then resorts to other tricks and stunts such as this bill. Clause 6 refers to "infrastructure required for the economic competitiveness of the State".

Examples of infrastructure that might fall into that type of description are things such as the $1 billion redevelopment of Port Botany in my electorate. Port Botany, the busiest port in the nation, is the most important piece of infrastructure in the economic competitiveness of this State and nation. Every cent of the $1 billion that has been applied to expanding and modernising that port and building a third terminal is New South Wales State Government money. Not a cent came from the former Howard-Costello Government at a time when it was amassing surpluses upwards of $20 billion. Clause 7 refers to payments that are to be made to the Restart NSW Fund. Clause 7 (1) (a) states:

So what! Clause 7 (1) (b) states:

The Government can source loans, borrow and put that into this fund. Under section 5 of the Public Finance and Audit Act 1983 the Treasurer is required to hold certain accounts—special deposit accounts—other than the Consolidated Fund. I stand to be corrected, but from my reading and understanding of the Act this bill is unnecessary. As at 30 June 2011 the Crown operated nine special deposit accounts, including a State Infrastructure Fund, which was established by this Government. The Government does not need to introduce a bill that sets up a fund in the special deposit account; the Treasurer can do that with the stroke of a pen. Why then are we debating this bill?

Mr Troy Grant: You didn't do it for 16 years and regions missed out.

Mr MICHAEL DALEY: As at 30 June the Crown entity operated nine special deposit accounts, including a State Infrastructure Fund. In 2009-10 the Crown entity annual report had this to say:

The State Infrastructure Fund was established in 2008-09 to hold development contributions collected from special contribution areas across the State. These moneys are set aside to fund the provision of State infrastructure, land purchases and conservation requirements in these contribution areas.

That was done by the former Government. I refer members to the state of the economy that was inherited by this Government. Fifteen of the 16 years of Labor Government resulted in budget surpluses. I remind members that the former Labor Government maintained—

Mrs Tanya Davies: You cooked the books.

Mr MICHAEL DALEY: I find quite extraordinary the interjection, "You cooked the books." A Government member just said that Treasury officials—the same bureaucrats who now serve this Government and who the Premier described on Thursday or Friday last week as a professional outfit—are liars and that they cooked the books.

Mr Stephen Bromhead: It was a $5 billion black hole left to us by the former Labor Government.

Mr MICHAEL DALEY: Government members are now saying that Treasury officials lied and that they cooked the books.

The DEPUTY-SPEAKER (Mr Thomas George): Order! I am sure the member for Myall Lakes will have an opportunity to contribute to the debate.

Mr MICHAEL DALEY: Government members said that all the money in the bank accounts was not real money; it was monopoly money. The member for Myall Lakes does not have a clue what he is talking about. I refer next to maintaining this State's triple-A credit rating. We have seen what happened of late to the United States of America. One of the ratings agencies downgraded the credit rating of that mighty nation. The Parliamentary Budget Office and Lambert reports reveal how important it was to maintain the triple-A credit rating. This Government inherited a bullet-proof State economy. What has it done since it was elected? The then Opposition leader, Barry O'Farrell—who is now the Premier—and the Treasurer reiterated their claim in this place that the mere election of a Coalition Government would improve the business outlook and confidence, and instantly transform New South Wales economically.

The Coalition inherited a budget and State economy with 2.2 per cent steady growth and employment figures below the national average. In a mere four months 38,000 jobs were lost in this State, after the Premier's promised pre-election commitment to create 100,000 jobs in his first term of government. He is now 38,000 jobs in the negative. The Coalition has not started well. The previous Labor Government, our Government, created 195,000 jobs in its last two years in office. In the current budget we spent about $16.6 billion on infrastructure alone. Until the global financial crisis the national Labor Government started spending on infrastructure and nation-building items: $1.4 billion on the Hunter expressway, $617 million on the Kempsey bypass, and $3.1 billion on roads in the first Rudd Government budget.

In the 10 years in which the Howard Government amassed surpluses of $20 billion in favourable growth New South Wales received $1.5 billion for infrastructure for the Pacific Highway—a road that traversed electorates of The Nationals almost from start to finish. The previous State Labor Government spent about $2.2 billion from an economy and budget one-eighth the size of the Commonwealth, and the first Rudd Government budget spent $3.1 billion. That is the Labor Party's record on infrastructure.

Mr Troy Grant: Federal Labor.

Mr MICHAEL DALEY: State Labor spent about $16.6 billion on infrastructure in the current budget. Until the global financial crisis, the State Labor Government's capital spending was by far the biggest in the nation's history. Former Premier Rees will confirm that our infrastructure spend in 2009 was twice that of the Commonwealth Government. We can proudly talk about our record on infrastructure. If Government members have any doubt, they should read the enormous detail of last year's infrastructure statement by the former Labor Government. Difficulties in providing funds for certain marquee infrastructure programs will be the same for this Coalition Government because this fund in its current form is simply a political stunt.

This bill should not be taking up the time of members, as happened with the Graffiti Legislation Amendment Bill 2011, which took up three days of last week's sittings after being in this place for 66 days. The other place had no work because 52 members spoke on the graffiti bill as part of the schedule of this most busy Government—a Government that promulgated 27 bills in its first three months compared to the Iemma Government's 54 bills over the same period. A 12-year-old Government did twice as much work as this new Government has done in its first three months of life. The Treasurer could have established this fund in the special deposits account. We do not want to hear why the Treasurer thought it necessary to sit here for three days and talk about doing this instead of just establishing the fund. He should answer the real questions about infrastructure in New South Wales.

This fund is simply a mechanism for capturing and committing funds, that is all; it will do nothing else. I recall the Premier saying he will place $5 million initially into the Restart NSW Fund. If the Government's infrastructure spending remains the same, $11 million will be left in the Consolidated Fund for the Premier to spend elsewhere. He can mix the numbers all he wants, but the people of New South Wales want to know whether the Government will spend more on infrastructure than we did. If so, from where will those funds be sourced and on which projects will that funding be spent?

I appreciate that Government members say a good portion will be spent on the North West Rail Link, but what contribution will alternative funding sources, such as public-private partnerships and others, have on infrastructure spending? This bill basically is unnecessary fluff; it is more time wasting having members talk about setting up an account that can be done quite easily. The $64 questions are: What funding sources will the Government come up with and what are the projects to receive that funding? We should not even be debating the purpose of this bill; the Treasurer should have just set up this fund in his office.

Mrs TANYA DAVIES (Mulgoa) [4.27 p.m.]: I support the Restart NSW Fund Bill 2011, one of the most honest and visionary bills introduced in this House by the new New South Wales Liberal-Nationals Government. I commend the Premier, the Treasurer and Cabinet for quickly implementing the means to bring about the radical change in direction for New South Wales for which the people mandated. The Restart NSW Fund Bill 2011 will set in place the mechanism for setting aside funding for and securing the delivery of major infrastructure projects and other necessary infrastructure for the State.

The New South Wales Liberal Party and The Nationals took to the 2011 State election five key priorities: first, to grow the economy; second, to improve our services; third, to renovate infrastructure; fourth, to restore honesty and accountability to government; and, fifth, to give people a real say in what counts in their communities. These five critical priorities of change for New South Wales resonated so much with our local electorates that this entire portion of the Chamber I am indicating is filled with members of the Liberal Party and The Nationals. These five key critical priorities were not plucked from thin air like the previous Labor Government's numerous and empty announcements, plans and promises.

These five critical priorities were identified because they are very real and desperately needed changes that must be delivered to our State. Throughout the Mulgoa campaign I spoke to thousands of people of all ages and backgrounds. People were crying out for actual change, not just the glossy spin and rhetoric of the previous State Labor Government. "Just do something" was the common cry from the community. Just do something. The local community had switched off from listening to the former Government's announcements. They had switched off from listening because the State Labor Party had consistently failed to enact its promises. The State Labor party had lost all integrity.

I would like to refer to a local piece of road infrastructure: a missing link, as it is commonly referred to, that is within the Smithfield electorate which is now represented by a Liberal member. The electorate of Smithfield is adjacent to Mulgoa. It impacts the constituents of Mulgoa. This critical road infrastructure is called the Erskine Park Link Road. It is a 3.1 kilometre four lane divided road between Erskine Park Road and Old Wallgrove Road. Under the former Labor Government, for more than seven years promise after promise was made to deliver this piece of road. It was never delivered.

In 2004, Bob Carr—do we remember him?—promised a link road between the Erskine Park employment areas and the Westlink M7 during a speech to the Sydney Futures Forum. In 2009 the then Premier —I do not know whether he recalls this announcement—that he would fund and deliver the Erskine Park Link Road for $80 million. Was it delivered? No. Then we move to the last Western Sydney region.

Ms Linda Burney: I can't take it.

The DEPUTY-SPEAKER (Mr Thomas George): Order! I remind the member for Canterbury that she is on three calls to order.

Mrs TANYA DAVIES: We heard another empty promise from Kristina Keneally to commence the construction of this vital link before the end of 2010. In this one example of the Erskine Park Link Road the Labor Party secured a hat-trick—three promises and three failures. These types of failures were multiplied time and time again in electorates across New South Wales. We lost potential for growth of the economy, we lost potential investment, and families were forced to travel further and further for employment opportunities when those opportunities should have been available locally.

It is the people of New South Wales who brought about a change in Government. This Government changed hands on 26 March this year. The focus shifted from self-serving vote-buying announcements to actual, real, believable and achievable action. On 25 May this year, 23 days after being sworn in to Government, the Premier and the Minister for Roads and Ports announced that Nace Engineering Pty Ltd had won the contract to build the Erskine Park Link Road. Following seven years of announcements from the former Government, it took just 23 days for our Government to sign up and deliver. This road is critical for investment, for jobs, and for prosperity in the western Sydney region and within 23 days of forming Government we delivered it.

It has been recently quoted that if New South Wales growth had kept pace with Victoria over the last 14 years the New South Wales economy would be $50 billion larger; that would have delivered more jobs to our constituents, and it would have delivered $10 billion in revenue to the State Government. That $10 billion would have enabled the Government to return more resources to the community by delivering improved services, infrastructure and even tax cuts.

During the housing boom of the late 1990s and the early part of the previous decade the former Government had a windfall tax income from property taxes. My constituents asked me, "Where did the money go? What will we be seeing from it? Where has it gone?" The answer to those questions is that the money has gone and there is nothing to see for it. Under the O'Farrell Government the wasteful mismanagement of windfall income will not ever happen again. Under the Restart NSW Fund Bill 2011 any money certified as windfall tax revenue or the realisation of capital invested in assets such as from the Sydney desalination plant and other sources of income will be secured in the Restart NSW Fund for future infrastructure delivery.

The Restart NSW Fund Bill is a dedicated infrastructure savings and delivery model. The O'Farrell Government's serious commitment to the people of New South Wales to honour our election promise to renovate the State's infrastructure has led to the development of this bill. That is why members are debating this bill today. It is a part of our election promise, and the O'Farrell-Stoner Government delivers on it promises. I am excited to be standing in this place as part of a genuine, hardworking, trust-rebuilding Government delivering on, yet again, another hundred day action plan item. Planned infrastructure works are an essential component to foster the economic prosperity of this State. That is why the Government has delivered on its election commitment to establish Infrastructure New South Wales. Infrastructure New South Wales will identify and prioritise the infrastructure projects that will enable the New South Wales economy to once again begin growing.

Infrastructure planning must be equally met with funds to implement those plans. The Restart NSW Fund Bill 2011 will provide the funding for the projects recommended by Infrastructure New South Wales. The bill will fund projects such as public transport infrastructure; roads infrastructure that addresses urban congestion and missing links; economic infrastructure to address the economic competitiveness of New South Wales, including freight, intermodal facilities and water; local infrastructure in regional areas that are affected by mining operations; hospitals and health infrastructure, and improvements to workplaces for front-line workers including law and justice officers, teachers and nurses.

This Government is committed to a New South Wales vision, not a major metropolitan vision, which was the former Government's view. This Government will address critical infrastructure needs outside the metropolitan areas of Sydney, Newcastle and Wollongong, as well as the metropolitan regions. We are a true government for the people of New South Wales and that is demonstrated by the 80 per cent growth in the National Party members who are now in this place after the recent State election. The National Party has grown from 10 members to 18 members in this place. We went to the election demonstrating a vision for New South Wales.

To further demonstrate this commitment to the whole of New South Wales, 30 percent of funding will be reserved for non-metropolitan areas including mine affected communities. Payments from the Restart NSW Fund Bill 2011 will be made in a transparent manner, with the Auditor-General reporting annually to Parliament to ensure that moneys have been invested in line with the investment mandate for the Restart NSW Fund. It will include the extent of investment of funds in non-metropolitan areas. The Restart NSW Fund Bill is about restoring fiscal discipline to the operations of Government and ensuring that as moneys become available they are directed to the future of this State, not lost in day-to-day waste and mismanagement and vote-buying attempts at policy announcements.

The investment of funds must be conducted in ways and means that will grow the profitability of this State. This bill provides the O'Farrell Government with a dedicated source of funds to restart New South Wales and regain New South Wales' reputation as Australia's number one place to not only do business but to live, work and play. I wholeheartedly commend the bill to the House.

Ms LINDA BURNEY (Canterbury) [4.39 p.m.]: My contribution will be brief, but I will make a couple of points. First, this is nothing but a stunt. The Government did not need to introduce legislation to establish this fund. I repeat: Legislation is not necessary to establish this fund. I do not know whether anyone has told them.

Mr Chris Hartcher: Repeat it again.

Ms LINDA BURNEY: You be quiet, Swampy, or I will get stuck into you.

Mr Troy Grant: Point of order: The member should be directed to address her comments through the Chair, not across the table.

Ms LINDA BURNEY: I do not know if I can cope with that interjection, but I will try.

The DEPUTY-SPEAKER (Mr Thomas George): Order! The member will direct her comments through the Chair.

Ms LINDA BURNEY: I am happy to do that, Mr Deputy-Speaker. The idea that legislation is necessary to establish such a fund is nonsense. In fact, about nine of these funds were established by the previous Government. Cabinet makes a decision about the funding and it is then set aside; legislation is not necessary. Members opposite refer to the budget black hole. It is interesting to note that this fund will have a budget of $5 billion. Members of the Opposition are looking forward to 6 September, when the budget will be delivered, and we will examine it closely. When it is delivered members opposite will have to start owning a few things. The rhetoric from the Government benches about who owns what problems is getting tedious, although it is understandable. However, I wish it was a little more original; it is mind-numbing. They will have to own these issues after 6 September.

Mr Kevin Conolly: As if we wouldn't.

Ms LINDA BURNEY: He speaks! I do not know whether I can take it.

Mr Troy Grant: Point of order: I refer to the member's conduct. She is bordering on being disorderly. She has been called to order three times and ignored your ruling, Mr Deputy-Speaker. In addition, she has not resumed her seat, which is worthy of another point of order.

Ms Linda Burney: I am speaking.

Mr Troy Grant: Have some respect for this place for a change. Sit down.

The DEPUTY-SPEAKER (Mr Thomas George): Order! The member should be seated while a point of order is being taken.

Mr Troy Grant: Sit down.

The DEPUTY-SPEAKER (Mr Thomas George): Order! The member for Dubbo will also be seated. I again remind members that all comments should be made through the Chair.

Ms LINDA BURNEY: Through the Chair, am I getting under the skin of the member for Dubbo?

Mr Troy Grant: No, not at all.

Ms LINDA BURNEY: You sit down.

Mr Troy Grant: Address your comments through the Chair.

Ms LINDA BURNEY: The Opposition does not oppose this bill, which was introduced by the Treasurer. As we know, it seeks to establish this fund in a special deposit account held and administered by Treasury and its purpose is to fund major infrastructure projects. I wonder what infrastructure projects will be funded and it will be interesting to see how that happens. We also understand that this is about infrastructure. I return to today's Cabinet decision about the Barangaroo review and the fact the Minister for Planning and Infrastructure will soon have nothing to do if the Premier keeps relieving him of his responsibilities. He has lost responsibility for Infrastructure NSW in favour of Nick Greiner, and that will be interesting to watch. The Premier today relieved the Minister for Planning and Infrastructure of all responsibility for the rollout of Barangaroo.

A pattern is emerging with regard to infrastructure and planning. Members opposite know that they already have a major problem with the North West Rail Link. We will be watching how many jobs are cut from the Department of Community Services, Housing NSW and Corrective Services NSW. That will be the mark of this Government; that will demonstrate what that mob opposite is made of. We know that the only way to pay for these infrastructure projects—apart from this cute little exercise of introducing unnecessary legislation—is to cut services provided to the most needy and vulnerable in this State. That is what they did last time they were in government and they will do it again—but the Opposition will be watching.

The Government can set up as many funds as it wants and it can call them whatever it likes, members opposite can even drive home carefully if they so desire. However, the Opposition will be watching to see how they pay for infrastructure and planning. This cute little exercise of establishing Restart NSW will not deliver on the promises that Government members have made, some of which are unaffordable and unattainable, and they know that. A stunt like this will not cover over the cracks in the fullness of time. I will focus on the fullness of time, Mr Acting-Speaker.

Mr Troy Grant: He is the Deputy-Speaker. Use his correct title.

Ms LINDA BURNEY: I think the Deputy-Speaker is big enough to cope with a small slight like that. New members opposite do not understand the concept of the fullness of time. There is a beginning, a middle and an end to any election cycle and this one has just begun. Members opposite might think that this is all fun now and that hubris is okay, but it is quite tedious.

Mr Stephen Bromhead: Not for us.

Ms LINDA BURNEY: I acknowledge that interjection. Time moves on in opposition and Government members should be aware of that and be careful. The passage of time will unfold the nature of this stunt. It will also demonstrate that this legislation was unnecessary and that $5 billion in a fund like this for the entire State is paltry, and I say that based on experience. I do not know whether members opposite believe they have a magic pudding, but if they do they will soon see it deflating when they attempt to roll out their promises. Restart NSW is a stunt—nothing more and nothing less.

Mr STEPHEN BROMHEAD (Myall Lakes) [4.48 p.m.]: I support the Restart NSW Fund Bill 2011. The long title of this legislation is "A Bill for An Act to establish the Restart NSW Fund for the purpose of setting aside funding for and securing the delivery of major infrastructure projects and other necessary infrastructure." It goes hand in hand with the Government's announcement about Infrastructure NSW. Introducing legislation to create Restart NSW was a key component of the Government's 100 Day Action Plan. It is getting on with the job of funding vital infrastructure projects to provide better public transport, road improvements to reduce congestion, water utilities, freight facilities and hospital upgrades.

Importantly, the legislation will ensure that funds are available for projects in regional New South Wales. The Government has announced that 30 per cent of the fund has been quarantined for regional New South Wales, which is home to 25 per cent of the population, as an acknowledgment of the previous Government's neglect of those areas for the past 16 years. It was interesting to hear members opposite refer to "post-election fluff", "unnecessary fluff" and "a stunt". That is a bit rich coming from the kings of stunts and making announcements and promises but not delivering. One could be forgiven for thinking that they believe nothing happened on 26 March—they are living in fantasy land.

Once upon a time there was Disneyland, then Wonderland and now we have Laborland—a land where those opposite are in total denial and have absolutely no idea what is going on. On 26 March this year they were given the greatest lesson in political history and they still do not understand. It is unbelievable. I will return to this important issue, the Restart NSW Fund and Infrastructure NSW. The purpose of the Restart NSW Fund is to improve economic growth and productivity in this State by funding major infrastructure projects that will improve public transport, roads, infrastructure required for the economic competitiveness of New South Wales, local infrastructure in regional areas, hospitals and other facilities, and workplaces for law and justice officers, teachers and nurses.

The member for Canterbury talked about the loss of jobs. Building infrastructure creates jobs. That is a point those opposite did not understand during their 16 years in government. They did not know that building infrastructure creates jobs because infrastructure does not just happen. For 16 years when they were in government nothing happened because they did not understand that point. They need to be reminded of that. The member for Maroubra talked about lies. His comment about lies is the greatest hypocrisy I have ever heard. The first big lie by Labor was prior to the 2007 election when those opposite said they would not sell the State's electricity assets. When they were elected, they sold them for a song—for nothing. It was disgraceful.

Mr Nathan Rees: Not the poles and wires.

Mr STEPHEN BROMHEAD: I know the member for Toongabbie would not have been part of it but he was rolled in Cabinet. The member for Keira was involved with the Minister—

The DEPUTY-SPEAKER (Mr Thomas George): Order! I remind the member for Myall Lakes to direct his comments through the Chair.

Mr STEPHEN BROMHEAD: I say that through you, Mr Deputy-Speaker. I will refer to their record when they were in government. In 1998 Labor promised the North West Rail Link, to be delivered by 201. It was axed. Then it was reannounced and axed, and reannounced and axed. This Government is delivering, and the Restart NSW Fund will help us do that. In December 2004 those opposite promised the South West Rail Link project, which was supposed to be completed by 2012—axed. They put it back on the table again and axed it, then put it back on the table again in 2008 and 2009. They announced the West Metro project and then pulled it. The Chatswood to Parramatta rail link is an interesting one. They delivered half a railway line. I have always wondered: Did they deliver the front half, the back half, the right half or the left half? It went nowhere.

They announced the Penrith fast rail project in 2006. It was axed. They promised the North West Metro in 2008—axed. The Rozelle Metro cost taxpayers $500 million. What a joke that was. They spent $500 million and not a sod was turned. They have absolutely nothing to show for it. We could do so much in regional New South Wales with that amount of money. Those opposite spent another $100 million on the Tillegra Dam project but not a blade of grass was disturbed. Their record is disgraceful. Yet they preach to us about what we should do or say that we are not doing it right. We have been in government for four months and they are telling us what to do when they have a record like that. It goes on.

The Penrith fast rail and the North West Metro were axed. The Hurstville to Strathfield rail link that they promised in 1998 was axed and the Bondi Beach rail link, which they promised in 1998, was axed. The high-speed rail link to Newcastle and the Central Coast, which they announced in 1998, was axed and the high-speed rail link from Sutherland to Wollongong, which they promised in 1998 also, was axed. The central business district new harbour crossing rail link that those opposite promised in 2005 was axed. They announced all those projects immediately before an election and, upon their election, axed them.

The member for Maroubra likes to interject and call members "boofhead". He would not have the brains to cover the knuckle of a canary. He talked about lies. They announced projects before an election and when they were elected they pulled them. The CBD to Rozelle Metro, which they spent $500 million on, was axed. I will refer to Labor's transit way projects. The Parramatta to Blacktown transit way, which those opposite promised in 1998, was axed. The Parramatta to Strathfield transit way was axed, the Penrith to St Marys transit way was axed and the Blacktown to Wetherill Park transit way, which they promised in 1998, was axed. It goes on and on. The bill before the House establishes the Restart NSW Fund for the purpose of providing funding for infrastructure in New South Wales. Infrastructure NSW will prioritise five-year and 20-year plans.

[Interruption]

That is the boofhead from Maroubra again. He should just sit there and keep quiet.

The DEPUTY-SPEAKER (Mr Thomas George): Order! I remind the member for Myall Lakes to direct his comments through the Chair.

Mr STEPHEN BROMHEAD: Mr Deputy-Speaker, the boofhead from Maroubra should keep quiet because he knows absolutely nothing. The Restart NSW Fund will fund Infrastructure NSW to provide projects such as the North West Rail Link and the South West Rail Link. I commend the bill to the House.

Ms TANIA MIHAILUK (Bankstown) [4.55 p.m.]: I speak on the Restart NSW Fund Bill 2011. Once again, with much fanfare, the Government has presented to the House a bill with an important-sounding name. We are assured that the bill is the start of something bigger and better. Like children who open their presents on Christmas Day or their birthday expecting something fantastically new, we are left unsatisfied. The Government has presented yet another bill that is all form and no substance. Essentially, the Treasurer is establishing a bank account. He has our hearty congratulations. Despite the Treasurer's claims, the fund is hardly a groundbreaking development. Previous governments have established similar funds for the provision of infrastructure.

The bill is a critical first step, but it is only the first step. The self-congratulatory nature of the Government members' speeches, particularly that of the member for Myall Lakes, is premature. The most important question—a question the Treasurer is happy to leave unanswered—is the size of the fund. How much money will be set aside for infrastructure development as part of this fund? We are still waiting to find out. While the Treasurer may not be able to provide an exact figure, he must have estimates that he could make available to the House. It is even more troubling that the sources of revenue for this fund must be questioned. The simple fact is that the sources the Government has indicated are unlikely to produce the type of revenue necessary for infrastructure investment.

The Treasurer claims that there will be "windfall tax revenues" but this may not be the case. The Government may receive windfall tax revenues but the Treasurer does not know that in advance. To suggest that he does is at best disingenuous, and at worst outright deceptive. The Treasurer also assures us that the much-maligned Waratah bonds will contribute to the fund. We are told that these bonds represent a guaranteed investment in the New South Wales Government. If that is so, it means that New South Wales taxpayers are guaranteeing these bonds. It means that all taxpayers are guaranteeing the small number of citizens who are investors.

The Premier has claimed that the Liberal Party is now the party of western Sydney. Yet the New South Wales Liberal Party seems to be having difficulty shaking off its North Shore roots. This is middle-class welfare of a type that would make Peter Costello blush. I wonder whether the people of Smithfield approve of this inappropriate use of taxpayer funds? Do the people of East Hills approve or the people of Mulgoa, Strathfield, Parramatta and Campbelltown, or further afield in Myall Lakes? It was mentioned in the Coalition's pre-election documents; I do not argue with that. But no explanation was given as to what it means for the constituents and residents of New South Wales. Waratah bonds are not the solution to infrastructure development. They are simply a way to take from the many and give to the few.

I am pleased to see the Government seems to be taking some responsibility for infrastructure development. I am reassured that it is no longer playing the blame game and realises it is no longer in opposition. I commend the Government for this wonderful new development. It is starting to behave like it is in government. The bill is not the silver bullet it is claimed to be. It is a basic first step towards delivering infrastructure but it has been blown up to be more than it is. The Government received this State in a strong financial position, with a triple-A credit rating. The Government is making a lot of promises. Let us hope that Barry's barren State does not eventuate in a decade's time.

Mr MARK SPEAKMAN (Cronulla) [5.00 p.m.]: I support the Restart NSW Fund Bill 2011. It is part of an essential package of legislation to correct the miserable failure of 16 years of Labor neglect in New South Wales. What was the worst Government in the postwar era?

Mr Chris Hartcher: Whitlam.

Mr Stuart Ayres: Federal or State?

Mr MARK SPEAKMAN: Federal or State. The answer is: that lot over there. The member for Canterbury said this is all mind numbing. Tell that to the people of north-west Sydney who are waiting for their rail link. Tell that to the people of my electorate who are facing train commuter times slower than they were 50 years ago. Tell that to the people of my electorate who watched the member for Heffron, the former Premier, not only put the F6 at the end of the queue but also take it out of the Metropolitan Strategy altogether. New South Wales has had 16 years of a government that could not deliver necessary infrastructure for the State. New South Wales has had 16 years of a government made up of Ministers who thought it was mind numbing to talk about traffic congestion on the M5. Tell that to the people stuck day after day in traffic jams on the M5 and the M4 or because there are no train services in the south-west and the north-west. What is the response of those opposite? They do not want us to talk about it because it is all boring and mind numbing.

Mr Michael Daley: Who said that?

Mr MARK SPEAKMAN: Was the member for Maroubra not listening? The member for Canterbury said it. New South Wales has suffered the worst infrastructure neglect by any government in postwar Australia. That is why this legislation is so important. Time and again, we hear nitpicking speeches from those opposite but do they oppose or support the legislation? Not only did the former Government fail to deliver infrastructure for 16 years but it remains devoid of ideas or any positive suggestions to improve infrastructure in New South Wales. The O'Farrell Government has delivered a package that creates Infrastructure NSW as the independent, expert decision-making body that will plan into the future, as well as a fund to deliver that infrastructure.

Major infrastructure projects will be funded to improve growth and productivity in New South Wales. Public transport and roads will be improved. Infrastructure required for economic competiveness in New South Wales will also be improved. For 16 years economic competitiveness was ignored and now New South Wales has the worst key performance indicators of any mainland State, and perhaps any State, in Australia. That lot on the other side would not build needed infrastructure. They were too interested in announcing and then cancelling infrastructure projects rather than delivering to the people of New South Wales. Hospitals and health infrastructure will also be funded by this fund, as will improvements to workplaces for front-line service staff, including law and justice officers, teachers and nurses. For 16 years those front-line workers were ignored by those on the other side—the so-called "friends of workers".

Restart NSW will be funded by moneys advanced by the Treasurer. Funds will include windfall tax revenue in excess of budget forecasts, and borrowings and interest proceeds for investment of money in the fund. We are planning for the future. The process will be transparent, with regular reporting. Annual reports will be prepared and presented to Parliament that will detail payments from the fund—including details of payments in rural and regional areas—and there will be an audit by the Auditor-General. This legislation is a complement to Infrastructure NSW—the flip side of the coin. It is part of the delivery of the O'Farrell Government's Five Point Action Plan—the third point being renovating infrastructure—and part of our 100 Day Action Plan. After 16 years of talk, negativity and non-delivery from those opposite, the O'Farrell Government is delivering on its promises. I commend the bill to the House.

Mr NICK LALICH (Cabramatta) [5.05 p.m.]: The object of the Restart NSW Fund Bill 2011 is to establish the Restart NSW Fund for the purpose of setting aside funding for, and securing the delivery of, major infrastructure projects and other necessary infrastructure. The bill seeks to establish the Restart NSW Fund in a special deposits account—an account held and administered by the Treasurer in addition to the Consolidated Fund. The bill provides also that the purpose of the fund is to pay for "major infrastructure projects", defined as those projects that carry a capital expenditure in excess of $100 million or those that have been designated by the Premier, as well as other defined infrastructure projects.

The sources of revenue for the Restart NSW Fund shall be: funds advanced by the Treasurer—in effect, ordinary appropriated funds identified by the budget, including windfall tax revenues—debt moneys advanced, which may include the so-called Waratah bonds; investment proceeds of the fund; money received from voluntary contributions to the fund by a person or government agency; and any other money settled into the fund by the Government. Creating a new bank account with a snappy new name is easy enough; the key is acquiring the funds and directing them appropriately.

The Government has given us absolutely no reason to be confident that it can do that. The concept of holding a special purposes account with settlement investment and spending parameters is nothing new. In 2008-09 the Labor Government established the State Infrastructure Fund to hold development contributions, with those funds to be spent on land acquisition, conservation and infrastructure provisions. This is just more smoke and mirrors from the Coalition Government. First, it copied the name of the infrastructure body from the Federal Government. Now those opposite have rebadged some rehashed old methods as something new. As I said, establishing the account is easy; acquiring and directing funds is the key.

Important questions need to be answered. For example, how much money will be placed into the fund? Before the last election, and during the election campaign, the Premier promised $5 billion. Is that figure still current? Does the Premier have as much as he thinks he does? Will the Premier be able to put as much into this account as he thinks he can? The Lambert report estimates that this financial year taxation revenue will be $1.674 billion less than budget estimates. Where does that leave this fund? Nothing in this legislation ensures that the Government will spend more on infrastructure than governments in previous years. The former Labor Government had a strong infrastructure investment record. In the 2009-10 budget, the Labor Government invested a record $65.5 billion in infrastructure spending—in one year. That massive investment was the biggest infrastructure spend in the history of New South Wales.

I will now make a short comparison of infrastructure spending by the Greiner Government, which was in office from 1988 to 1995—the last Coalition Government—with that of the former Labor Government, in office from 1995 to March 2011. The Greiner Government closed 30 hospitals; the former Labor Government rebuilt or redeveloped every major hospital in New South Wales. The Greiner Government sacked 2,500 teachers from the public education system and closed 74 public schools; the former Labor Government employed 3,000 more teachers, reduced the average kindergarten class from 24 to 19 children, quadrupled funding for literacy programs and opened 82 public schools in New South Wales.

We heard a lot of talk from Government members about rail. The Greiner Government axed 8,000 rail jobs in its first year, terminated 13 country rail services and closed 13 country rail lines. That is how much that Government cared about its rural friends in those days. When in government New South Wales Labor delivered new Oscar and Waratah trains, it rolled out Metrobus routes, it was in the process of building the South West Rail Link, and it was delivering the inner west and CBD light rail extensions, the Kingsgrove to Revesby quadruplication and the Richmond line duplication. That shows what Labor did in 16 years. Labor was elected four times by the people of New South Wales. Many Government members speak as though we were in government for the full 16 years after just one election. But the people of New South Wales voted Labor in four times.

There was massive spending on essential infrastructure to support our front-line services and our front-line staff, and we provided critical infrastructure to the health, education and police portfolios, amongst others. That spending by the former Labor Government underpinned more than 165,000 jobs in New South Wales, jobs that this Coalition Government is shedding while other States continue to grow their workforce. Under Labor, jobs are supported and new jobs generated. In stark contrast, under this Coalition there are cutbacks and diminishing numbers.

The Treasurer likes to talk about his Waratah bonds. I guess he needs something to talk about since most of his Treasury responsibilities are handled by his colleague in the other place the Minister for Finance. Waratah bonds are just like ordinary bonds except that they will be issued in far smaller amounts to far more clients than existing TCorp bonds. What this simply means is that there are more administrative compliance and transaction costs tied to the issuing of each bond. Each of these costs, be they administrative, compliance or transaction costs, will be borne by the taxpayer. Increased costs mean the taxpayer has to shoulder the increased burden. All these Waratah bonds will do is increase the cost of borrowing for the taxpayers of New South Wales. Once again, as we are becoming accustomed to seeing, the Treasurer's plan to supposedly help New South Wales will in fact hurt New South Wales.

The triple-A credit rating that was built and maintained with much discipline by the former Labor Government has made TCorp bonds amongst some of the most sought-after financial products in this part of the world. We have just seen one of the greatest nations in the world, the United States of America, being downgraded to a double-A+ credit rating. We have kept our triple-A rating but the Government wants people to believe that it has inherited a black hole of billions of dollars. People should realise that Standard and Poor's would have downgraded this State's triple-A rating if that were true.

Our strong financial position has been maintained by prudent governance and responsible management of the Treasury benches by the former Labor Government. Whether this Coalition Government's supposed economic credentials stack up remains to be seen, and whether it is worthy of governing also remains to be seen. If the Coalition Government guarantees the Waratah bonds, as it has previously suggested, the State's balance sheet bears that risk. This translates to taxpayers rather than investors bearing the inflationary risk. That is this Government's preferable method of finding more investment dollars for infrastructure—an increased risk to the taxpayer. Waratah bonds do not add anything new; they only increase costs and risks. This is blatant economic mismanagement from the Coalition Government.

I move on to the Government's windfall tax revenue. Windfall tax revenue is not the guaranteed revenue stream that has been suggested by this Government; it is unpredictable. At times the Government gets more than it thought it would and at other times it ends up with less than it expected. The Lambert report has suggested that in 2010-11 transfer duty would bring in $500 million less than expected, GST would bring in $863 million less than expected and payroll tax would bring in $311 million less than expected. This means that windfall tax revenues for 2010-11 come to a whopping minus $1.674 billion. At that rate the entire Restart NSW Fund would not be able to pay for all the upgrades for the Princess Highway and the North West Rail Link, which the Government is hanging its hat on as its greatest project, may never get off the ground.

The Restart NSW Fund is less than 30 per cent of what was spent by the former Labor Government on infrastructure, which the former Government did without threatening our triple-A credit rating. This entire fund is worth less than 2.5 per cent of the State budget across forward estimates. It is smoke and mirrors from the Coalition, but not enough smoke and mirrors to prevent the public realising that Barry O'Farrell is not and will not be the infrastructure Premier he thinks he is.

Mr KEVIN CONOLLY (Riverstone) [5.15 p.m.]: It is interesting to hear members of the Opposition speak on the Restart NSW Fund Bill 2011. Given that apparently they will not oppose it, they spend a considerable amount of time nitpicking the bill. Maybe it is to somehow justify the fact that they did not come up with something like this. The big difference between what is in front of us and what the previous Government did is the discipline involved on government finances. For most of the 16 years of the former Government it received more revenues than it budgeted for. One would think because of that we should have far more infrastructure and far more to show for all that money. But the expenditure of the former Government over most of the years it was in government also exceeded its estimates and it blew the money.

This bill is about what to do with income in excess of what is budgeted for. The windfall income will be put into a fund and will be used for real infrastructure—not for recurrent spending, not frittered away on pet projects and certainly not frittered away on ad hoc, back-of-the-envelope projects that get announced one day and cancelled the next. That was Labor's approach in its 16 years in government. One Opposition member said that the only way a government can pay for infrastructure is by cutting this and cutting that. What I would like to cut is the $500 million wasted on the Rozelle Metro that never happened and the $100 million wasted on a Tcard that never happened. So many other projects were announced, delayed, cut, re-announced, delayed again and cut again, and there was so much waste that occurred along the way as bureaucrats were sent scurrying in one direction to plan for this and then back the other way to plan for that and nothing eventuated. That waste has to stop.

The approach of the O'Farrell Government is to take a strategic view. We have set up Infrastructure NSW to plan priority projects in a strategic, objective and independent way and we have set up the Restart NSW Fund into which we will put windfall profits so that we can afford to pay for those strategically planned projects—to take windfall income out of the pork-barrelling regime and out of the ad hoc, back-of-the-envelope calculations and handle it properly. Over time we can drive that dollar a heck of a lot further than New South Wales has seen in the past.

I heard a number of speakers from the Opposition boasting about the record expenditure on infrastructure the former Government announced in various budgets. It is fairly easy to announce lots of spending if there is lots of money left over from last year and it is rolled over again to the next year. If it is not spent the next budget again has a record expenditure. People in New South Wales are not interested in the dollars promised in the budget nearly so much as they are in the outcomes on the ground—what they got for the money. People across New South Wales clearly were unhappy with what they got for all that money. One of my colleagues suggested that boasting about how much you are going to spend on infrastructure is like boasting about how much you spent on a new car. If I say that I spent $60,000 to buy a Corolla it hardly sounds like a great deal but it is wonderful to boast about how much money I have spent.

The people of New South Wales feel a bit like that. Labor boasts about how much it spent in government but it delivered very little. I had a bit of spare time earlier so I read through the brochure on the new Windsor bridge over the Hawkesbury River. I think it might have been announced in 2008, and it may have been the member for Toongabbie who was Premier at the time—or was it his predecessor? The project was to be completed in 2010. I point out to the members of the Opposition that if they drive up Windsor way at the moment they will not see the new bridge. The new bridge is still only in the picture books, but it is coming under the O'Farrell Government. It will be built under the O'Farrell Government.

There are similar projects all over New South Wales. The Riverstone overpass to replace the level crossing was announced for at least four consecutive elections by my predecessor. It may have been more than that, but I was not around to hear it because I was not involved in politics earlier than that. For at least 16 years it was promised and not delivered. There is a desperately needed high school in the Stanhope Gardens-Kellyville Ridge area that was not delivered by the previous Government. I am confident that I am going to be able to stand here in the not too distant future and tell people about that project. We have heard a number of Opposition speakers today refer to the duplication of the Richmond line as though it were complete. I invite members from the other side to travel to Richmond. They will find that a fairly large proportion of that track is single track; the duplication is far from complete.

There is something real and different about the approach we are taking. It is a strategic, planned, disciplined approach to providing infrastructure. Restart NSW is just one cog in the wheel that is going to deliver much better outcomes for the people of New South Wales. The process will be much more transparent than what has happened in the past because the Treasurer will be accountable for the money that goes into the fund. The legislation sets limits on what that money can be spent on, which is a real discipline imposed on Government. The Government will not come along and penny pinch it later on for some pet project elsewhere that does not meet the definitions. It has a whole-of-State focus which, as we have heard from other speakers, means that regional and rural New South Wales will not miss out on their fair share of infrastructure.

It does involve publicly accepting the possibility of borrowing through infrastructure bonds—the Waratah bonds. I have heard some members of the Opposition claim that there is something sinister in government-guaranteed bonds. I would have thought that members who have sat in this House for a number of years would know that this is a traditional and time-honoured way for governments to raise money. There is nothing new or surprising in that and there is nothing whatsoever to alarm the taxpayer in the fact that the Government guarantees what it does.

We must use our limited resources in New South Wales to the best possible effect. It is not about a magic pudding. It is not about creating more money in any way other than through simple hard work and growing the economy so that more money is available. However, we do have to make sure that the Government's resources are spent in the most cost-effective, strategic and important ways to benefit the people of New South Wales. That had not happened in the 16 years prior to 26 March 2011 and it is about time that it did happen. I commend the Government led by Barry O'Farrell and Andrew Stoner for introducing Infrastructure NSW and for putting this legislation to create Restart NSW before the Parliament so we can move on to a more strategic, disciplined, defined and ultimately much more productive path. I commend the bill to the House.

Ms SONIA HORNERY (Wallsend) [5.23 p.m.]: When I encountered this bill titled Restart NSW Fund Bill 2011 I got quite excited because, on behalf of the people of the Hunter, I was sure that funding would pour in and the priorities of the Hunter would be satisfied by this bill. However, based on replies to at least 10 of the questions I have asked the Government about different priorities in the Wallsend electorate alone I am not quite so enthusiastic any more. However, I will wait and see. I am going to refer to 10 of the questions answered by the Government and talk about what sort of funding priorities are occurring in the Wallsend electorate because, after all, we are talking about restarting funding, and I presume that includes the Hunter.

I posed my first question in May. It concerned the Newcastle inner city bypass stage 5, which is to run from Jesmond to Rankin Park. My question was whether funding will be budgeted for and provided to build this essential road which we were criticised before the election for not building. Unfortunately, the response I received was that there is currently no funding for building stage 5 and no further work is planned by the O'Farrell Government at this time for the last stage of this important inner city orbital road. That missing link on the inner city bypass is not going to be built or planned for by the O'Farrell Government at this time. That is the first disappointment for the Wallsend electorate and all of the commuters in the Hunter.

My second question concerned the Glendale police station. The Labor Government proposed to build a police station in the Glendale area for the benefit of those people in the western suburbs of Newcastle and we budgeted $1 million for this. It had the support of the Police Association and of the local community: people want a police station in the area. I asked when the Government would purchase the land, as provided for in the 2009-10 budget, for the Glendale police station, which will house the local area command. In the answer I received on behalf of the community the Government talked about improving policing infrastructure in Lake Macquarie but it did not answer my question of whether the Government was going to build the police station at Glendale.

I then posed a further question: Is the Government proposing a funding commitment for the Glendale area and, if so, is it going to build the Glendale police station? The Government referred to its previous answer. This did not answer my question about the Glendale police station. So the people in the Cessnock electorate, part of the Charlestown electorate and the Wallsend electorate do not know whether a police station, which will accommodate the local area command, will be built in their area.

My next question was about the John Hunter Children's Hospital. The Labor Party made a commitment of $10.3 million earlier this year to build an intensive care unit at John Hunter Children's Hospital if re-elected. My question to the Liberal Government was whether it will build the same intensive care unit. Unfortunately, the answer to this question was that funding priorities will be announced after the budget process. Maybe the O'Farrell Government will consider this important project as a priority. I will leave that issue up in the air.

My next question was about investment planned for the Calvary Mater Hospital in the next 12 months. Again, the answer I received was that it is all in the hands of the budget process in September. I also posed a similar question about funding for the John Hunter Hospital—the largest regional hospital in the Newcastle area and north of Sydney. Of course, the answer provided was that it is all in the hands of the budget after September. I am going to be optimistic and leave that one up in the air too. In June I posed a question about the Government replacing the railway gates at the Adamstown railway station, which abuts the electorates of Wallsend and Newcastle. The community has recently talked to me about better access, particularly for cars on a busy day.

Mr Tim Owen: And for the last 20 years, I might add.

Ms SONIA HORNERY: Yes. The answer I got from the Liberal Government was that there is currently no plan to replace the railway crossing gates, or to replace the gates with an overpass at Adamstown railway station—another no to the community of the Hunter. My next question was whether the Government would match the former Government's election commitment to provide upgrades to school science laboratories at Callaghan College, Wallsend. The answer was that the present Government is not necessarily going to uphold any of the previous Government's commitments and it will be considered in the fullness of time in the context of future capital works priorities. So who knows if the side slabs will ever be built at Wallsend High School.

The next question I posed was about providing upgrades to the science laboratories at Glendale Technology High School. I received a similar answer to that question: Funding for the project will be considered in the context of future capital works priorities. The community and the parents of students at Glendale Technology High School will ask when those priorities will be matched. I then posed a question about which schools in the Wallsend electorate still do not have security fences, and there are a number of them, including Argenton Public School, Elermore Vale Public School, Glendale East Public School, Glendore Public School, Jesmond Public School, New Lambton Heights Infants School and New Lambton Public School. There was no answer as to when security fences would be built at those schools. It will be interesting to see when the O'Farrell Government will build those security fences for schools in the Wallsend electorate.

Finally, I posed a question about priorities for the Hunter: What are the top priorities of the Minister and the Premier not only for the Wallsend electorate but for the Hunter over the next four years? I got a general answer about rebuilding the economy, returning quality services, renovating infrastructure, restoring accountability and protecting our local environment. Do not get me wrong—they sound terrific. Unfortunately, there were no specific answers. So the people in the Hunter are up in the air about the funding priorities for the Hunter. Of course, the people of the Hunter will ask how they will benefit from the Restart NSW Fund Bill 2011. I guess that is a question for the Government specifically, not generally. How will the people of the Hunter benefit from this bill?

Mr BRYAN DOYLE (Campbelltown) [5.31 p.m.]: It is a pleasure to speak on the Restart NSW Fund Bill 2011, which is all about providing essential services for the people of New South Wales. It is about ensuring the economic productivity of our State by ensuring that Infrastructure NSW can do its job and developing five-year plans that roll into a 20-year strategic plan. That is where this approach differs from that taken by the previous Government. It is all about strategy, transparency and planned outcomes. The bill outlines the projects to be scoped: public transport, roads, and improvements that reduce urban congestion; building up the economic infrastructure of the State, especially in relation to freight and intermodal services; building up our health infrastructure; and building proper workplaces for front-line workers, law and justice, teachers and nurses. It is strategic, fair, planned and responsible.

The bill enables other levels of government to participate and assist New South Wales to achieve its goals. It enables the Federal Government to know where we are going. It assists local government with planning. This Government has returned many planning powers to local councils, and this bill will enable them to work with the State Government for the betterment of all of New South Wales. The people of Campbelltown and Macarthur—Campbelltown is the opal of the south-west and the shining light for Sydney—know full well the importance of infrastructure. They are looking forward to having connectivity that enables productive lifestyles. They are looking forward to the M5, which is now the cheapest car park in Sydney, being opened up. They are looking forward to improved regional roads that enable people to get about Macarthur, roads such as Narellan Road that feed into Campbelltown and Macarthur Square, which is perhaps the most outstanding shopping centre in the Southern Hemisphere.

Mr Ryan Park: That's a big call.

Mr BRYAN DOYLE: It is a big call. People travel from all over Sydney, the southern highlands, Keira and Wollongong to Macarthur Square. The member for Keira is smiling; he knows that people come to Macarthur Square. Indeed, I am sure the member has also been to Macarthur Square.

Mr Ryan Park: I have.

Mr BRYAN DOYLE: The bill is all about health infrastructure. It is about improving the health services we provide to our community. In Campbelltown an upgrade for our surgical and emergency ward will meet the future needs for a growing south-west. I am fortunate—indeed, the people of Campbelltown are truly blessed—that we have the best railway Minister this State has ever seen. Under her leadership many great things will happen for rail in New South Wales, including better trains. That is right—New South Wales will have better trains, more express trains and the South West Rail Link. One can hear the rail tracks being laid as we speak. The bill will provide for upgrades to stations and commuter access, similar to that at Ingleburn railway station with its commuter lifts, and the development of intermodal and supportive business. It is also about looking after workplaces for law and justice officers. I was interested to hear the member for Wallsend talk about the need for police stations.

The previous Government closed the police station at Eagle Vale in the electorate of Campbelltown, which is the opal of the south-west. The police station was brand-new, but the previous Government closed it and walked away from the people of Campbelltown. However, it left the lights on so that people would think it was still operating. The infrastructure is still there. What the bill does, and what the Government will do, is bring a degree of planning and orderly thought to the process of providing infrastructure for New South Wales. Listening to members opposite, I imagine that at their strategy meeting today they probably scratched their heads and said, "We couldn't do it. How can they do it?" We can do it because we have strategy, planning and good governance. The people of New South Wales elected this Government because they know that we will deliver good governance to New South Wales.

Mr RYAN PARK (Keira) [5.37 p.m.]: Essentially, Restart NSW Fund Bill 2011 will create a bank account. I am sure it is a big bank account. I hope it is a big bank account. While that seems reasonable, I am interested in some of the detail. Clause 6 of the bill states:

6 Purpose of Restart NSW Fund

I will return to that in a moment—

The people in the electorate of Keira and the broader Illawarra community can tick everything on that list. Do we need good public transport? Of course we do. Do we need better roads? Of course we do. Do we need the infrastructure required for economic competitiveness? Of course we do. Is our community affected by mining? Yes it is. Is our community heavily focused on health? Yes it is. Does our community have significant law and justice areas? Yes it does. Some weeks ago I asked each Minister a simple question: What are the priorities for the Keira electorate and the broader Illawarra region? Nineteen of the 20 answers were identical and contained the same pre-election rhetoric. The Government was unable to articulate one key infrastructure project, priority or initiative for the electorate of Keira.

I then widened it to include the broader Illawarra region. I thought that with Keira being a smaller electorate the Government might be thinking about other things in the broader Illawarra region. In fact, that was not the case. Let us return to the bill because the member for Myall Lakes talked about how the funding was guaranteed for regional New South Wales. As someone who comes from regional New South Wales I can say that if that were the case it would be a fantastic deal and I would thoroughly support the bill. However, for the eighteenth time this session the member for Myall Lakes went to his bottom drawer and pulled out the same speech he has delivered on previous occasions to the point where the Hansard reporters did not even have to write it down. They just wrote, "Ditto, as previously." The problem is that the member for Myall Lakes missed proposed section 9 of the bill, which refers to annual and other reports relating to the Restart NSW Fund. Proposed section 9 (2) states:

So far so good—

outside the metropolitan areas of Sydney,—

Members would agree with that.

Newcastle and Wollongong—

This reminds me of a debate we had a couple of weeks ago when we discussed a policy to give people $7,000 to flee Wollongong. It also brings to mind a debate we had several months ago when the Government talked about its policy to allow payroll tax incentives and associated job targets for Wollongong to be grouped in the same category as the Sydney central business district. If members ask any person from the Wollongong-Illawarra region they will say they do not consider their area to be a part of Sydney. I have appealed to the Treasurer and to the Cabinet before: please, when you are looking at these programs ensure that you place Wollongong and the Illawarra outside the boundaries of the Sydney central business district. We are not the same; we have very different challenges and needs. The bill then goes on to say:

and whether it represents at least 30% of the total payments from the Fund on infrastructure projects.

The reality is this: If the payments total less than 30 per cent it does not matter but if they are more than 30 per cent the report will say so. But all the report has to do is say whether the figure is at least 30 per cent of the total payments; there is no guarantee regional areas will get 30 per cent of the funds. Members in regional electorates who are planning to issue press releases saying, "We are going to get 30 per cent" should be careful because 30 per cent is not guaranteed.

Just an hour or so ago the Minister for Strathfield spoke in this Chamber because my very good friend the Minister for Transport, who is at the table, gave him the task of talking about the Government's transport plan priorities and their implementation over the next couple of years. As someone who is interested in transport I was very keen to hear about that, but, tragically, the member for Strathfield spoke for seven minutes and did not outline a single infrastructure project, plan or initiative for transport. I am sure the Minister for Transport, the member for Willoughby, could do that, but she tasked the member for Strathfield to do it and he let her down dismally. What he also did, which relates strongly to the Restart NSW Fund Bill, was to let the cat out of the bag that the Government does not care about a triple-A credit rating.

Sorry, but if members opposite are not reading the world news at the moment or do not understand the basics of economic credibility they have to realise that a triple-A credit rating actually makes a difference. I will go over Economics 101 for members opposite to make it simple for them. Economics 101 says that if you do not have a triple-A credit rating your cost of borrowing is higher, which means you are put on CreditWatch and it is more difficult to negotiate borrowing and that puts pressure on the local economy. It may not be important to the member for Strathfield that New South Wales has a triple-A credit rating, but I am sure it is important to the member for Manly. As I speak the member for Manly, as the Treasurer, is carpeting the member for Strathfield. He has him in his office and is carpeting him for letting the cat out of the bag about the triple-A rating.

The Government cannot say a horror budget is coming and that it wants to maintain the State's triple-A rating and be fiscally responsible and then have the member for Strathfield lead a debate and say, "Who cares about triple-A?" I tell you what, members' communities will care about the triple-A rating because when the Government carries on in the way the member for Strathfield did and loses the triple-A rating and puts pressure on the local economy and unemployment rises and the cost of living increases, members opposite will start to care about it. I suggest they think long and hard about that fact. I also want to talk about the fact that my very good friends in the Hunter have a Hunter Infrastructure Fund. I stand to be corrected but I think it is about $300 million. That sounds pretty good.

The only problem is that the Illawarra has similar challenges and similar needs, and similar cities as far as size and demographics are concerned. The Illawarra also had a reliance on steel and now has a heavy reliance on education and health and related services, but it has not received and nor is there any talk of an infrastructure fund targeted at that region. In fact, we hear the Government talking about taking away one of our vital economic stimulus packages, the Illawarra Advantage Fund. I know for a fact that the member for Wollongong has placed this on the Business Paper and asked very clearly what the plan is for the Illawarra Advantage Fund. It would be disastrous if that fund were taken away when the Hunter is getting a significant increase in government spending and a dedicated fund to boot.

In conclusion, those of us who represent regional areas should not be comforted by this bill. It does not guarantee 30 per cent of infrastructure spending will go to regional areas. Members should be very careful when they go on about that aspect. They should read proposed section 9 (2) on page 4 of the bill and look at the word "whether". They should also understand that under this mob opposite the Illawarra and Newcastle areas are no longer considered to be regional areas. Finally, the electorate of Keira ticks all the boxes for the purpose of the bill so I look forward to early September and a budget that is going to deliver big time for the people of the Illawarra and big time for the people of Keira.

Mr PAUL TOOLE (Bathurst—Parliamentary Secretary) [5.48 p.m.]: I commend the Restart NSW Fund Bill 2011. First, the member for Strathfield could not have been getting a carpeting from the Treasurer 10 minutes ago because the Treasurer was in the Chamber a few minutes ago listening to of the debate. That clearly shows that Labor makes policies on the run and members opposite say whatever they think is appropriate at a particular time. The member for Keira also said that all the projects in his electorate would tick all the boxes. So would every project in my electorate tick all the boxes, but the fact is we now have a Government that has a whole-of-government approach and will take into account the whole of New South Wales to ensure that prosperity grows across the State. The member for Keira forgot to mention that in the past there was a culture in which Labor looked after its mates when making political decisions, and the rest of the State missed out badly. My electorate of Bathurst missed out for a very long time because regional areas were forgotten.

Regional areas received no attention, so I commend this bill because it will ensure that—finally—regional areas will get their fair share when it comes to decision-making for this State. The Restart NSW Fund has been established for the purpose of setting aside funding for and securing the delivery of major infrastructure projects and other necessary projects across the State. The O'Farrell-Stoner Government will establish Restart NSW to kickstart investment in crucial road and transport infrastructure and make New South Wales number one again. There is a whole lot of work to do, but we are committed to doing it because we have been left with the biggest mess ever left to an incoming government in the history of Australian politics.

[Interruption]

I point out to the member for Maroubra that the public spoke strongly on 26 March because of 16 years of incompetence and Labor failing to build infrastructure. The people had had enough and booted Labor out of office. Today the member for Maroubra referred to economic growth and activity. For more than 16 years the State lost numerous opportunities. Under Labor the New South Wales economy grew more slowly than that of any other Australian State. Between 1995 and 2010 the gross State product of Queensland increased 90 per cent and in Western Australia gross State product increased by 80 per cent. But what was the rate of increase for New South Wales?

Mr Tim Owen: What was it?

Mr PAUL TOOLE: For New South Wales, the increase was 46 per cent. We were coming dead last. We were even worse than Tasmania simply because for 16 years we did not have essential infrastructure. If New South Wales had increased gross State product by the rate achieved in Victoria, which was 65 per cent, we would have had an additional $50 billion. That would have amounted to approximately $2.4 billion each year in State revenue and would have enabled us to build infrastructure and other projects that the State needed. Labor wasted the State's money and demonstrated that it cannot manage a budget.

The purpose of the Restart NSW Fund is to improve the economic growth and productivity of the State. For that purpose, Restart will fund major infrastructure projects to improve public transport, roads and other infrastructure required to boost this State's economic competitiveness, including the movement of freight, intermodal facilities and access to water resources. It also will involve the provision of local infrastructure in regional areas that are affected by mining operations, additional hospital facilities and services, and workplaces for law and justice officers. For the benefit of the New South Wales public, this Government also will provide the necessary infrastructure to improve services offered by teachers, nurses and other service delivery personnel.

Dr Geoff Lee: Tell us more.

Mr PAUL TOOLE: I thank the member for Parramatta for his interjection. He really cares about New South Wales and has been working hard on behalf of the people of his electorate. From July 2000 to July 2010 the unemployment rate in New South Wales was above the national average. Thank goodness we now have a Government with vision that will create an additional 100,000 jobs for this State, 40,000 of which will go to regional areas. The Restart NSW Fund will provide certainty. Good governments manage their budgets, but New South Wales Labor consistently blew its budget through overspending. That is why the current Government has been left with a big mess and a $5.3 billion budget black hole. Rather than investing the State's budget overspends in critical infrastructure that would have protected the future of New South Wales, Labor used them to prop up its broken budget bottom line.

Small businesses walked away from this State at an alarming rate under the former Labor Government. Small businesses had little confidence in the Labor administration because there was too much bureaucracy, too much red tape, a shortage of incentives, increased State taxes and payroll tax, and stamp duty rates that were hurting. That is why the O'Farrell-Stoner Government is ensuring that it will restore the confidence of small businesses in this State. It is also critical for a State government to ensure that the provision of infrastructure keeps pace with increases in population. Over the next 25 years, Sydney's population is expected to increase by 31 per cent. If we do not kickstart infrastructure investment now, we will find ourselves in an even bigger mess in years to come. The current Government adopts a whole-of-State approach. We know from experience that Labor's answers were to cut regional hospitals and close regional rail lines.

Labor failed to spend money on water security projects, adequate infrastructure services and suitable business conditions to support regional New South Wales. I will not deal in detail with the list of all the things that Labor promised and then axed over the past 16 years. My colleague the member for Myall Lakes stated very clearly all the promises that Labor made and all the promises that Labor failed to deliver on. New South Wales is caught in a very vicious cycle. Economic growth drives government revenue. New South Wales lacks requisite infrastructure, and that has prevented our economy from growing. Without growth, no additional revenue is generated that can be used to replace failing infrastructure. Something needs to change, and it needs to change very quickly. We need to restart the New South Wales economy. We must regain the reputation of New South Wales as Australia's number one place in which to live and conduct business.

The Restart NSW Fund will assist in building essential infrastructure such as public transport, roads, hospitals and water resources to support people who work in the delivery of frontline services. The fund will have a specific mandate to increase productivity in New South Wales and will have the clear goal of lifting New South Wales economic growth to above the national average. The Government is sending the very strong message that New South Wales is back in the business of big infrastructure projects and serious about making New South Wales the number one State again.

The bill also will strengthen transparency and will ensure regular reporting on expenditure in rural and regional areas. Furthermore, this legislation complements the Infrastructure NSW Act 2011, which was passed by this Parliament on 22 June. I support the Restart NSW Fund Bill because it focuses on the whole of New South Wales. This legislation will ensure that regional areas do not miss out as they have in the past. The Restart NSW Fund Bill is legislation of which we in the Government can be proud because it will assist all the people of New South Wales. I commend the bill to the House.

Mr JAMIE PARKER (Balmain) [5.57 p.m.]: It is with pleasure that I participate in debate on the Restart NSW Bill 2011 on behalf of The Greens. This bill establishes the Restart NSW Fund to set aside funding for and secure the delivery of major infrastructure projects. Much has been said by both Government and Opposition about infrastructure and economic expansion during this debate. Projects that will be funded by the Restart NSW Fund will be recommended by Infrastructure NSW and assessed in the budget process against the five-year Infrastructure Plan and the 20-year State Infrastructure Strategy. Projects may include public transport infrastructure, roads infrastructure that deals with urban congestion, economic infrastructure, local infrastructure in regional areas that are affected by mining operations, hospitals and health infrastructure and improvements to workplaces for frontline workers, including law and justice officers, teachers and nurses.

The bill has the capacity to deliver improvements to their workplaces, and I welcome such improvements. In the electorate of Balmain we have seen the potential of quality infrastructure to improve the lives and opportunities of local residents. In May I gave notice of a motion calling on the Government to extend light rail services in Sydney's inner west to improve public transport options for thousands of residents who commute to the central business district and travel across the inner west. I am pleased to see the Minister for Transport in the House, a great champion of light rail. I have also spoken in this place about problems with the Balmain ferries service. I will continue to campaign for publicly owned better transport connections and improved quality of ferry services for the constituents of Balmain.

In this place I have also called for the proposed relocation of the cruise ship terminal from Barangaroo to White Bay to be reconsidered. This project is yet another example of top-down planning that is unacceptable to communities. A great way for the Government to save money would be not to proceed with the proposed cruise ship terminal at White Bay and for that to be moved to Barangaroo for a range of reasons. Firstly, it is not supported by the industry. The Tourism and Transport Forum does not support it being at White Bay. The cruise ship industry does not support this piece of infrastructure being at White Bay, nor does the local community or local councils because it is clear that it is not supported by the tourist industry because of the poor quality of service it provides to our tourists. In our planning we must listen and respond to community concerns, rather than enforce decisions and ignore community feedback. The Restart NSW Bill 2011 has the capacity for great success if it is responsive to the needs of our community.

The people of my electorate have experienced the negative impacts of funding cutbacks and botched public transport infrastructure services. We remember the botched Metro scheme, the impact of the duplication of the Iron Cove Bridge—a range of infrastructure projects, hundreds of millions of dollars that have not led to any real improvement to the electors of Balmain; nor has it led to any transport or traffic improvements. My first question as the member for Balmain was about an important piece of public infrastructure in our community, the 24-hour casualty service at Balmain Hospital. That was removed by the former Government. The removal of this essential service not only affected the people of Balmain but also placed additional pressure on the already overloaded casualty service at Royal Prince Alfred Hospital in Camperdown. In this way, poor infrastructure decisions can have far-reaching consequences and flow-on impacts to the community.

However, we are disappointed that the Government, which was so quick to condemn Labor's service cuts, has been unwilling to fix this problem. The Greens look forward to the opportunities that the Restart NSW Fund promises in delivering much-needed services to the people of the State. We will campaign for the fund to be administered with foresight and recognition of the fact that great infrastructure plans for New South Wales need not mean bigger roads, more cars, increased urban congestion and overdevelopment. We strongly support the idea of borrowings, and we have supported the Government's position on Waratah bonds, to support the fund. We recognise that the raising of bonds for long-term infrastructure projects that deliver prosperity, productivity and congestion improvements are appropriate and we believe the Government is making the right decision when it comes to raising money for this fund to look at things such as Waratah bonds.

The Greens propose a similar type of bonds, our Green bonds, which we propose should be used to fund a solar thermal plant in western New South Wales. We believe that bonds that deliver long-term investments for the community are justified and the Government should seriously consider demonstrating its commitment to the bonds by issuing these bonds to raise funds for the Restart NSW Fund. However, we raise concerns over the Government's intention to make payments to the fund using proceeds of privatisation of public assets, including the Sydney desalination plant, as the Treasurer mentioned in his agreement in principle speech. We are concerned that other public assets may be sold by the Government to resource this fund.

We have outlined our concerns about the privatisation regime of the former Government because we do not believe that this delivers in the long-term interests of people. We see the folly of privatisation as endured under the former State Government and we will continue to scrutinise the Coalition Government to ensure it does not follow the same path. The Government must not use this infrastructure fund as an excuse to sell off public assets. Good infrastructure provides the essential framework of a great State and provides a tremendous opportunity to deal with issues of inequality in our community. Public transport provision is the key.

We know that public transport infrastructure not only delivers productivity improvements but also deals with inequality, allowing people to have a lower cost method of travelling to work as well as environmental benefits. We also recognise the inevitability of the need for further infrastructure in our community and we look forward to the Government delivering these expansions with innovation, insight and aspiration. We will continue to campaign for the sustainable development of people-centred infrastructure—infrastructure which improves the lives of the people we serve. I look forward to the details of its funding and the projects to be delivered by the Government. I commend the bill to the House.

Debate adjourned on motion by Mr Stuart Ayres and set down as an order of the day for a future day.

PARLIAMENT OF NEW SOUTH WALES

Restart NSW Fund Bill 2011

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PARLIAMENT OF NEW SOUTH WALES

Restart NSW Fund Bill 2011

Legislative Assembly

Legislative Council

Members

Bills

Committees

Hansard

Research Papers

Engaging with Parliament

External Links

Legislative
Assembly

Legislative
Council