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ENGAGING WITH PARLIAMENT

Full Day Hansard Transcript (Legislative Council, 28 August 2008, Corrected Copy)

There were two sittings of the Legislative Council on Thursday 28 August 2008.
The first sitting appears hereunder.
The second sitting on the same day follows the report of the first sitting (click here).

LEGISLATIVE COUNCIL

Thursday 28 August 2008

[First Sitting]
__________

The President (The Hon. Peter Thomas Primrose) took the chair at 11.00 a.m.

The President read the Prayers.

The PRESIDENT: I acknowledge the Gadigal clan of the Eora nation and its elders and thank them for their custodianship of this land.

ASSENT TO BILLS

Assent to the following bills reported:

ADMINISTRATION OF THE GOVERNMENT OF THE STATE

The PRESIDENT: I report the receipt of the following message from His Excellency the Lieutenant-Governor:

Lieutenant-governor

ADMINISTRATION OF THE GOVERNMENT OF THE STATE

The PRESIDENT: I report the receipt of the following message from Her Excellency the Governor:

Governor

ADMINISTRATION OF THE GOVERNMENT OF THE STATE

The PRESIDENT: I report the receipt of the following message from His Excellency the Lieutenant-Governor:

Lieutenant-governor

ADMINISTRATION OF THE GOVERNMENT OF THE STATE

The PRESIDENT: I report the receipt of the following message from the Honourable Justice James Allsop, Administrator of the State of New South Wales:

Administrator

ADMINISTRATION OF THE GOVERNMENT OF THE STATE

The PRESIDENT: I report the receipt of the following message from His Excellency the Lieutenant-Governor:

Lieutenant-governor

ADMINISTRATION OF THE GOVERNMENT OF THE STATE

The PRESIDENT: I report the receipt of the following message from Her Excellency the Governor:

Governor

ADMINISTRATION OF THE GOVERNMENT OF THE STATE

The PRESIDENT: I report the receipt of the following message from His Excellency the Lieutenant-Governor:

Lieutenant-governor

FIREARMS AMENDMENT BILL 2008

Message received from the Legislative Assembly returning the bill without amendment.

DEATH OF THE HONOURABLE GORDON RAYMOND IBBETT, A FORMER MEMBER OF THE LEGISLATIVE COUNCIL

The PRESIDENT: I report to the House the death on 17 July 2008 of the Hon. Gordon Raymond Ibbett, aged 80 years, a member of this House from 1984 to 1991. On behalf of the House I have extended to his family the deep sympathy of the Legislative Council in the loss sustained.

Members and officers of the House stood in their places as a mark of respect.

INSPECTOR OF THE POLICE INTEGRITY COMMISSION

Report

The President announced the receipt, pursuant to the Police Integrity Commission Act 1996, of the annual report for the year ended 30 June 2008, received out of session and authorised to be made public on 16 July 2008.

Ordered to be printed on motion by the Hon. Tony Kelly.

INSPECTOR OF THE INDEPENDENT COMMISSION AGAINST CORRUPTION

Report

The President tabled, pursuant to the Independent Commission Against Corruption Act 1998, a report entitled "Report of an Audit of the ICAC's Compliance with the Listening Devices Act 1984", dated 27 June 2008, received out of session and authorised to be made public on 29 July 2008.

Ordered to be printed on motion by the Hon. Tony Kelly.

NEW SOUTH WALES CHILD DEATH REVIEW TEAM

Report

The President announced the receipt, pursuant to the Commission for Children and Young People Act 1998, of a report entitled "Trends in Child Deaths in New South Wales: 1996-2005", Volumes I and II, received out of session and authorised to be made public on 29 July 2008.

Ordered to be printed on motion by the Hon. Tony Kelly.

NEW SOUTH WALES OMBUDSMAN

Reports

The President tabled the following reports:

1. Ombudsman Act 1974—Special report entitled "Supporting People with an Intellectual Disability in the Criminal Justice System: Progress Report", dated August 2008, received out of session and authorised to be made public on 6 August 2008.

Ordered to be printed on motion by the Hon. Tony Kelly.

INDEPENDENT COMMISSION AGAINST CORRUPTION

Reports

The President tabled, pursuant to the Independent Commission Against Corruption Act 1988, the following reports:

Ordered to be printed on motion by the Hon. Tony Kelly.

TABLING OF PAPERS NOT ORDERED TO BE PRINTED

The Hon. Eric Roozendaal tabled, pursuant to Standing Order No. 59, a list of papers tabled since 3 June 2008 and not ordered to be printed.

TABLING OF PAPERS

The Hon. Eric Roozendaal tabled the following papers:

Ordered to be printed on motion by the Hon. Eric Roozendaal.

STANDING COMMITTEE ON SOCIAL ISSUES

Report

The Clerk announced the receipt, pursuant to standing orders, of report No. 40, entitled "Overcoming Indigenous Disadvantage in New South Wales—Interim Report", dated June 2008, received out of session and authorised to be printed on 27 June 2008.

The Hon. IAN WEST [11.09 a.m.]: I move:

Debate adjourned on motion by the Hon. Ian West and set down as an order of the day for a future day.

AUDITOR-GENERAL'S REPORT

The Clerk announced the receipt, pursuant to the Public Finance and Audit Act 1983, of a report of the Auditor-General entitled "Oversight of Electricity Industry Restructuring", dated August 2008, received out of session and authorised to be printed on 21 August 2008.

AUSTRALIAN CAPITAL TERRITORY-NEW SOUTH WALES CROSS BORDER HEALTH AGREEMENT

Production of Documents: Return to Order

The Clerk tabled, pursuant to resolution of 24 June 2008, documents relating to an order for papers regarding the Australian Capital Territory-New South Wales Cross-Border Health Agreement, received on 8 July 2008 from the Director General of the Premier's Department and Cabinet, together with an indexed list of the documents.

Production of Documents: Claim of Privilege

The Clerk tabled a return identifying those documents that are claimed to be privileged and should not be tabled or made public. The Clerk advised that pursuant to standing orders the documents are available for inspection by members of the Legislative Council only.

PETITIONS

Electricity Industry Privatisation

Petition opposing electricity privatisation, received from Dr John Kaye.

STANDING COMMITTEE ON LAW AND JUSTICE

Reference

The Hon. CHRISTINE ROBERTSON: I inform the House that in accordance with the resolution of the House relating to the establishment of standing committees, the Standing Committee on Law and Justice resolved on 4 August 2008 to adopt the following reference:

DEFERRED ANSWERS

The following answers to questions without notice were received by the Clerk during the adjournment of the House:

GARRAWARRA HOSPITAL CROWN LAND

GAMBLING

FUEL SUBSIDY

MR MARK STANDEN ARREST

NEW SOUTH WALES CRIME COMMISSION OPERATIONS

MR BASILIO REYES 457 VISA EMPLOYMENT

457 VISA TEMPORARY EMPLOYMENT SCHEME

CANNABIS DEPENDENCY

MR MARK STANDEN ARREST

NEW SOUTH WALES CRIME COMMISSION OPERATIONAL OVERSIGHT

MOOREBANK INTERMODAL FACILITY

JUVENILE OFFENDERS

PROGRAM OF APPLIANCES FOR DISABLED PEOPLE FUNDING

BIOSECURITY SAFEGUARDS

SEXUAL ASSAULT PRISONER PROGRAMS

On 19 June 2008 Ms Sylvia Hale asked the Minister for Justice a question without notice regarding sexual assault prisoner programs. The Minister for Justice provided the following response:

PUBLIC LIBRARY FUNDING

HYDROPONIC DRUG CULTIVATION

BATHURST HOSPITAL REMEDIATION

ILLAWARRA REGION UNEMPLOYMENT

Growing Our Skills

TEENAGE SELF-HARM

SAVANNAH CAT IMPORTATION

BEECHWOOD HOMES

NEPEAN HOSPITAL MENTAL HEALTH STAFF SAFETY

BEECHWOOD HOMES

DR ANOOP RASTOGI AND COSMETIC SURGERY REGULATION

Medical Practice Amendment (Advertising) Regulation 2008.

CONDUCT OF BUSINESS OF THE HOUSE

Ministerial Statement

The Hon. TONY KELLY (Minister for Lands, Minister for Rural Affairs, Minister for Regional Development, and Vice-President of the Executive Council) [11.13 a.m.]: It is a matter of public knowledge that Parliament has been recalled today to deal with a specific issue, namely the two electricity industry restructuring bills. There is no impediment to the bills of which notice has just been given by the Treasurer being introduced in this House. It is the Government's intention to deal with the bills in this House this calendar day. The Government believes that securing our future energy supplies is one of the most significant issues facing New South Wales. Although two bills on this subject were introduced in the other place in June, the Legislative Council takes no cognisance of the proceedings in that other place until they are communicated in the proper manner by way of message to this House. I have been advised in accordance with the rules, conventions and practices of this Chamber of the mechanism by which these bills can be dealt with this calendar day.

The House will be immediately adjourned to a stated time later today. There is precedence for the House to be so adjourned to allow two sittings to take place on one calendar day—I refer members to pages 247 and 248 of the New South Wales Legislative Council Practice under the heading "Unusual Session in 1982". When the House meets again at a later hour today that sitting will be sitting number 64 of the Fifty-fourth Parliament, this morning's sitting being sitting number 63 of the Fifty-fourth Parliament. As a new sitting, business of which notice has been given during this sitting—number 63—can be proceeded with. The adjournment of the House to a stated time later today is necessary, and the bills will be proceeded with later this calendar day.

As it is the Government's intention to move the adjournment of the House before 12.00 noon, question time therefore will not take place before 12.00 noon today. However, question time will take place later today. According to sessional orders, when the House commences the new sitting this afternoon, question time will commence within 30 minutes after the appointed time for the commencement of that sitting. However, I advise that it is my intention to seek the leave of the House for question time to commence upon resumption immediately after formal business has been dealt with.

BUSINESS OF THE HOUSE

Suspension of Standing and Sessional Orders: Precedence of Business

Motion by the Hon. Tony Kelly agreed to:

Precedence of Business

Motion by the Hon. Tony Kelly agreed to:

Notice Paper

SPECIAL ADJOURNMENT

Motion by the Hon. Tony Kelly agreed to:

ADJOURNMENT

The Hon. Tony KELLY (Minister for Lands, Minister for Rural Affairs, Minister for Regional Development, Acting Minister for the Central Coast and Vice-President of the Executive Council) [11.20 a.m.]: I move:

COOMA BUSINESS ENTERPRISE CENTRE

The Hon. MELINDA PAVEY [11.20 a.m.]: The local business enterprise centre in Cooma is on the brink of closure as a result of the Labor Government's narrow-minded pursuit of centralisation of services. While this may be viewed as merely a blip on the Iemma radar, it is the individual small business people of Cooma and the regions beyond who will cop the brunt of the State Labor Government's continuing economic mismanagement. Business enterprise centres throughout all States and Territories in Australia endeavour to work with and on behalf of the micro and small business sectors. Business enterprise centres essentially source opportunities to benefit their members and clients and act as a voice for small business. However, the role stretches much further than at first may seem possible. As the local people of Cooma will tell you, the Snowy Business Enterprise Centre is a community asset to be protected and supported as its services funnel down to maintain the livelihoods of small business people, the bread and butter of our communities.

The Snowy Business Enterprise Centre has been embarking on a new era in assisting with the development of Cooma's local economy. However, the fact remains that due to the brutal effects of the drought in southern New South Wales there are currently eight empty shops in Cooma, with potentially another four on their way out. The enterprise centre stated recently in a media release:

I cannot overstate the community's disappointment in the new Federal member for Eden-Monaro, Mike Kelly, and his failure to respond to the community of Cooma, coupled with the inaction of Steve Whan, the supposed local member. While the Snowy Business Enterprise Centre is frantically searching for ways in which it may avoid the harsh effects of Labor's centralisation, The Nationals recently decided to launch a "Save the Snowy Business Enterprise Centre" campaign—which might be this invaluable asset's last chance. Andrew Stoner, my State Leader, and I met with Mayor Roger Norton and the business enterprise centre executive to discuss the future prospects of the service, which the local member has continually failed to do.

The Hon. Ian West: Point of order: The honourable member has served in this House for a reasonable period and should be familiar with the standing orders. I draw her attention specifically to Standing Order 91 (3), which provides that "a member may not use offensive words against either House of the Legislature, or any member of either House, and all imputations of improper motives and all personal reflections on either House, members or officers will be considered disorderly". Her comments have directly attacked an honourable member, Steve Whan, and I ask that she be reminded that that is inappropriate.

The PRESIDENT: Order! I uphold the point of order. The comments of the member are inappropriate and contravene the standing orders and rulings of this House.

The Hon. MELINDA PAVEY: The Nationals petition is part of a joint effort to put pressure on this Government and the local member to take action to fight to save a treasured community asset. The contract is due for renewal in September, and that means that without any action the service may be closed in the next few weeks. While the service has become more self-sufficient in recent years, it should be proud of its achievements over the past 15 years. Without the injection of Government support, the longevity of the organisation may still be threatened. It will continue to offer business advice and utilise the expertise of staff to meet client needs. The Snowy Business Enterprise Centre will work with organisations such as chambers of commerce from around the region to identify needs and training opportunities.

The solution proposed by this Government is to have a Queanbeyan-based car service come to Cooma. That is not supported by the Cooma community or the Queanbeyan Business Enterprise Centre, which I understand is unhappy about having to take on the load and would prefer to concentrate on clients in its community. The fact that hardworking Cooma locals may be forced to travel more than an hour to Queanbeyan Business Enterprise Centre is a reflection of the mindset of the local member, whose inaction I have referred to.

The Hon. Ian West: Point of order: The honourable member has been directed by you, Mr President, not to contravene standing order 91(3). The member is flouting your ruling and I ask that you call her to order.

The PRESIDENT: Order! I remind the member of my earlier ruling, to which she should adhere.

The Hon. MELINDA PAVEY: I point out that between 1993 and 2008 the business enterprise centre has had an estimated investment of 300 start-up businesses at $10,000 on average— [Time expired.]

WAGGA WAGGA TAFE RIVERINA INSTITUTE

The Hon. TONY CATANZARITI [11.25 a.m.]: I recently had the great pleasure of attending the TAFE Riverina Institute at Wagga Wagga to inspect the completion of its latest upgrade. I have visited the institute a number of times now and have witnessed very important improvements there. This latest $5 million upgrade has resulted in significant improvements. The upgrade I visited consists of the following new and refurbished facilities: plumbing workshop; plumbing drainage yard, amenities and general purpose classrooms; four new water storage tanks; nursing training area to extend nursing training; amenities and general purpose classrooms; staff and student facilities; car parking; and associated landscaping.

I am not sure that urban members would be aware of the importance of such upgrades to a rural facility such as the institute, but the provision of an extra 20 car spaces alone, one of which is a parking space for disabled people, has a marked and lasting impact on staff and students by significantly improving amenities. I am sure that I do not need to comment further on the utility of the four new water storage tanks for the facility. Clearly they will make a lasting improvement. I was impressed with the new plumbing workshop and drainage yards. This is state-of-the-art material. The facility has also been upgraded to include a gas laboratory so students are able to work with gas appliances.

Members will be aware of the report of the Standing Committee on State Development into skills shortages in rural and regional New South Wales. I believe I can safely inform members that the institute generally and the Wagga Wagga campus in particular have acted in the spirit of the report. They are doing a great job addressing this important need. Wagga Wagga's refurbishment of block A, the nurse training area, will assist in this valuable work. The training area, lecture rooms and office accommodation have all been significantly improved. For example, the lecture rooms are now enabled with videoconferencing and smart boards, which are electronic whiteboards attached to computers and digital projectors. These have been important improvements to the Riverina institute generally and I am pleased to see them, as the institute is an important part of the area of the State in which I live. It services a catchment of 155,000 square kilometres in the Murray Riverina and is our largest provider of post-secondary vocational education. Importantly, over half of all enrolments are in customised or commercial training. For example—time allows me to comment only on the Wagga Wagga campus—the campus comprises the Building and Construction Training Centre; Plumbing Technology Centre; National Aerospace Training Centre of Excellence at the RAAF Base Wagga Wagga; and the Primary Industries Centre, North Wagga Wagga.

Wagga Wagga TAFE also provides courses in fine arts, community services, children's services, welfare, health and aged care, information technology, tourism, hospitality, automotive and electrical engineering, cookery, hairdressing and beauty therapy, and business. If that were not enough, the campus works closely with Aboriginal communities, at-risk children and their families, and refugees to provide much-needed education opportunities to people who have historically slipped through the educational safety nets. All of this impressive work needs impressive educators and administrators and I want to make special mention of the institute's director, Rosemary Campbell, and her team for what I think is a remarkable education facility. It is very important not just to the Murray Riverina but to all of New South Wales. I suggest members should make themselves familiar with the institute and, given the opportunity, visit it and its campuses.

GRIEF AND LOSS PROGRAM

Reverend the Hon. Dr GORDON MOYES [11.29 a.m.]: I inform the House of a worthwhile program that has been running in the northern beaches area for the past three years and addresses community grief and loss. Established first in early 2005, the Grief and Loss Program is dedicated to "helping people say yes to life again" after every kind of loss. The program enables, educates and empowers grieving people, at low cost and potentially makes assistance available to everybody who needs it.

More than 130,000 deaths per year occur across Australia, leaving behind in the community a vast number of grieving people who may need assistance dealing with a range of complex emotions they are simply not prepared for and unanticipated life changes. Support is often needed for transition to a new life and social role perhaps as a widowed person or a childless parent. I have been interested in this proposition for more than 40 years, having lectured for more than 25 years on counselling people who suffer grief and loss and having written a book entitled In Time of Death, which has sold in excess of 800,000 copies.

The Grief and Loss Program's manager on the northern beaches, Helga Olsson, is an experienced facilitator who has been trained as both a grief and loss counsellor and as a hospital chaplain. She conducts sessions for two hours per week over eight weeks in which she leads participants to examine such topics as understanding grief, identifying loss, seasons of grief, coping with special days such as birthdays, anniversaries and holidays, keeping a simple perspective, dealing with anger, relaxation techniques, and the importance of affirming oneself. Individualised counselling is available, and so are special group sessions for women or men.

For the first three years of its existence, the Grief and Loss Program was funded by the Manly-Warringah Rugby League Club and operated out of the Northern Beaches Community Service. Wairere Australia stepped in to help temporarily, and additional funding was received from the Commonwealth Department of Health and Ageing. But now those financial arrangements have come to an end, and this worthy endeavour is having some trouble finding ongoing support for its outreach programs for the community of the northern beaches and north Sydney. The bereavement counselling service has been of great help to many people in the northern beaches community.

Many grateful participants have written testimonials in support of the organisation's search for funding to ensure continuation of the important work that is being accomplished in the interests of the community's mental health resilience. I commend the Grief and Loss Program and its manager, Helga Olsson, for the important work they do and wish them success as ongoing funding is sought to allow them to continue their work in the future.

MR HAROLD EDWARD GILBERT AND SIR DONALD BRADMAN

The Hon. IAN WEST [11.33 a.m.]: Yesterday, on 27 August 2008, events were held throughout Australia to celebrate the 100th birthday of the cricketer regarded as the best the world has ever seen, Donald Bradman. The prowess of the man cannot be denied. His figures were so far ahead of anyone else in his time to result in being perceived almost as not humanly possible. But while much coverage of Bradman's 100th birthday focused on the Invincibles tour and the famous duck that brought Bradman's career to a close, there was another duck in Bradman's career that is one of the most interesting stories, albeit not well known, in Australia's sporting history.

When Bradman travelled with the New South Wales side to Brisbane for the first Sheffield Shield interstate match of the 1931 season there was a great deal of excitement. The year before Bradman had returned from England a hero, having dominated in Australia's against-the-odds victory in reclaiming the Ashes. Although Queenslanders cheered Bradman's performance for Australia, memories were still fresh of Bradman's 452 not out against their State's side in January 1930. But in 1931, the Queenslanders had the secret weapon—a bowler whose deliveries were rumoured to blow dust off concrete like smoke from the tyres of a skidding car. One ball from his hand was said to have beaten his wicketkeeper, crashed through a fence and killed a passing dog. Despite some doubt over the accuracy of stories, the rumours fuelled anticipation of the day when Don Bradman would meet Eddie Gilbert.

While a young Bradman was hitting golf balls with a cricket stump, Gilbert was growing up on an Aboriginal reserve north of Brisbane. Gilbert's family had been moved there from their homelands in north Queensland as a result of Queensland Government policies. Before Eddie Gilbert was old enough to go to school, he was separated from his parents and put in a dormitory, as were other children from the reserve. They were actively discouraged from speaking their own language, even to their parents whom they were occasionally allowed to visit under the supervision of police, and were taught to speak English.

Described as a quiet, average student, Gilbert took to cricket. He gradually developed a bowling style unlike anything anyone had seen previously. Through the strength and flexibility of his wrist, which he used to crack like a whip, Gilbert could generate incredible speed from a short run-up. Though the unorthodox nature of the delivery became, for some, ammunition to accuse him of chucking—an accusation that sadly would haunt him for the rest of his life—his style was resurrected decades later in bowlers such as Jeff Thomson. Certainly Gilbert's style had caused quite a buzz throughout Queensland.

With Bradman's appearance at the Gabba in November 1931, it was time for that State to get square. Rain and the Queensland captain's decision to bat first delayed the showdown, but when it was finally time for New South Wales to take to the crease, the crowd of 4,000 did not have to wait very long. Gilbert claimed opener Wendell Bill's wicket for a duck with his first ball. The speed of the delivery and the bounce caused the right-handed batsmen to take cover under his bat, and wicketkeeper Len Waterman caught the deflection.

After that fearsome delivery, Bradman made his way to the crease. Gilbert's first ball to Bradman was blocked while the second ball caused the Don to fall to the ground. A few balls later, Bradman would face the delivery he would later describe as the fastest he had ever faced. The New South Welshman attempted a hook but the speed of the ball knocked the bat out of his hands. Then came the moment when the next ball came down the pitch, and Bradman again attempted a hook. This ball caught the edge of Bradman's bat and landed in Waterman's gloves—and the greatest cricketer the world had ever seen was dismissed for a duck!

Queensland had had its revenge. The Gabba crowd cheered. Bradman gave a smile as he left the pitch. Many thought he was relieved to be given out. There were also cheers back at the settlement where people were gathered around a schoolmaster's radio. I highly recommend to anyone who is interested in finding out more about the great Australian Aboriginal cricketer, Eddie Gilbert, a book entitled Eddie Gilbert: The True Story of an Aboriginal Cricketing Legend by Mike Colman and Ken Edwards. Eddie passed every test asked of him and went on to play a total of 23 matches for Queensland. He took 87 wickets with an average of 28.98 runs. Eddie Gilbert died in obscurity in 1978 after having spent almost 30 years in Wolston Park Hospital, Goodna.

CAMDEN ISLAMIC SCHOOL

Reverend the Hon. FRED NILE [11.37 a.m.]: I draw to the attention of the House yesterday's announcement by the Quranic Society that it will appeal to the Land and Environment Court to override the unanimous decision of the democratically elected Camden Council to reject the society's development application for a new Islamic school in Camden. It is a pity that the Quranic Society intends to proceed with its appeal. If it succeeds—I trust it will not—and an Islamic school is established in Camden against the clear evidence of strong opposition from a majority of residents for a wide range of reasons, there will be ongoing tension and division in the community that will not help the Muslim religion but rather will generate a negative response to the Muslim religion from residents in the Camden area and other areas.

The Mayor of Camden, Mr Chris Patterson, stated that the "Council made its decision based on 100 per cent planning grounds" and that the "Council believes it's made the right decision on those grounds for the specific site." I understand that the appeal will be brought before the Land and Environment Court next month. I draw the attention of members to questions I raised in Parliament on 8 November regarding the school, when I asked the Minister for Education and Training:

That would put a lot of pressure on transport and roads in that rural community. I note also that the Quranic Society has failed to fulfil its obligations as an association. In a letter dated 25 February 2008 the Commissioner for Fair Trading said that the Quranic Society has "failed to lodge the required (immediate six years from 2001 to present) annual statements" and, further, that "Fair Trading will review the financial position and in particular determine whether it is appropriate that the association continue to be incorporated under the Act". There are a number of questions about the society, its financial base and operation, and the ideology or philosophy that would be taught in the school, because there have been allegations of an association between the Quranic Society and radical Islamic groups. I urge the Land and Environment Court to reject this application in the interest of maintaining harmony in the Camden rural area.

BUNDEENA-MAIANBAR AMBULANCE SERVICES

The Hon. JOHN AJAKA [11.41 a.m.]: Today I speak about the frustrations and hardships the local ambulance services and communities in the Bundeena and Maianbar areas are currently facing. The lack of proper ambulance services has tormented the residents of Bundeena and Maianbar for the past 15 years, and epitomises the shaky nature of the current New South Wales health system and the lack of medical support in regional areas. For the past 15 years Bundeena and Maianbar residents have been relying on the charity of three local ambulance officers who, while working in ambulance services in other suburbs, volunteer to be on call when they are not attending their normal duties at their official place of work. Last year these officers answered 190 calls in addition to their regular shifts and overtime. It was not uncommon for them to work relentlessly for 20 hours straight on many occasions.

It came as little surprise that on 13 May this year these dedicated ambulance officers were compelled to withdraw their on-call services due to unsustainable work conditions and a lack of support from the Government. The 2,500 year-round residents of Bundeena and Maianbar have been denied a local full-time ambulance station due to the Government's assertion of a low number of callouts. This assertion that the callout rate justifies the deprivation of adequate medical facilities is absurd. Each and every person is entitled to adequate and immediate ambulance services. The official Bundeena ambulance is stationed at Engadine, which is a good one-hour round trip for an ambulance along a winding and dangerous road through the Royal National Park. As a result, it is not uncommon for those in urgent medical need to rely on a loved one or, worse still, to resort to driving themselves to the nearest ambulance station or hospital—a revelation I find completely unacceptable.

For more than a decade the Bundeena and Maianbar communities rightly demanded the development of a local full-time ambulance service and a better range of medical facilities in their home towns. Yet for the entire month of June and most of July these people found themselves without any local ambulance personnel on call. Their calls for help have been answered with the Government's usual ill-planned measures rather than implementing measures that will meet the needs of these residents. On 22 July the Minister for Health announced a "first response service" to administer first aid until an ambulance arrived in the area. This involved fire brigade officers acting as interim medical staff while an ambulance made its way from the Engadine or Caringbah ambulance station.

The Minister for Health announced that an agreement had been reached between the Health Services Union, the New South Wales Ambulance Service and the three local ambulance officers to reinstate the on-call roster. The Government is mistaken if it truly believes that turning fire officers into first responders solves the Bundeena-Maianbar question. The local Ambulance Action Group has proposed a number of reasons that it is not a workable solution in these regional areas: first, fire brigade officers are trained only in first aid, meaning that they can neither make a full diagnosis nor administer potentially life-saving drugs; secondly, patients need to be transported to a hospital in an ambulance, with the necessary equipment and drugs; and, lastly, fire brigade officers are not bound by the same medical ethics and protocols as ambulance officers.

In response to this initiative, which was headed by Dominic Morgan of the Ambulance Service of New South Wales, the Ambulance Action Group of Bundeena-Maianbar said that the first response solution is no solution. It also stated:

Despite continuing fears among the local community that the implementation of the first response service and the reinstatement of the three officers clearly will not suffice, the Government has determined that it is a suitable solution. An article in the St George and Sutherland Shire Leader of 24 July, with the headline "Ambo crisis over", stated that the Bundeena and Maianbar communities had won the fight to retain on-call paramedics. The health Minister announced:

I will now examine why this is not a good outcome. First, the new restrictions on local officers being on call between their normal shifts and the limit to one officer being on call effectively means that ambulance services to Bundeena, Maianbar and the Royal National Park are now reduced even further. Secondly, it was recently discovered that a patient at Maianbar had waited 2½ hours for emergency help to arrive. Lastly, and by far the most shocking— [Time expired.]

LAND FOR WILDLIFE

Mr IAN COHEN [11.46 a.m.]: A growing group of dedicated private individuals in this State are picking up the baton of conservation on their own properties. Just as our environment sustains us over time, we need to move from fighting for small parcels of land to protecting our whole landscape. While governments are moving too slowly towards this essential goal, Land for Wildlife in New South Wales and around the country is attempting to manage and protect natural assets on private land. This might be a melaleuca forest saved on Myall Lakes, a salt marsh saved next to an estuary and a national park on the Central Coast, or it could be a collection of landowners who together can form a wildlife corridor between two rivers or waterways. Linkages and community connectivity support the movement and survival of wildlife.

Individuals who join Land for Wildlife, arrange gazettal of their land as wildlife refuges or, even better, place a voluntary conservation agreement on their land go a long way towards protecting biodiversity in our State, which is integral to the survival of life on the planet. Only 8 per cent of New South Wales is protected in national parks and nature reserves. In 2005-06, 1,947,934 hectares or 2.4 per cent of private land in New South Wales was being managed for conservation. This is an increase of 286,166 hectares since 2002-03. Clearly there is a great will amongst many people in New South Wales to protect biodiversity and manage habitat through preserving vegetation that represents a wide range of ecosystems.

Good economics means looking after the resources on which we all depend—not destroying them by overexploitation, like the disaster of the Murray River. Planning agencies at the local and State levels need to work together with private individuals to find ways for people to preserve ecosystems while also receiving an economic benefit. For some, this may sometimes mean forgoing farming income while the Government provides compensation that acknowledges the work of people who protect and naturally enhance their land through programs involving revegetation, weed management and the exclusion of feral animals. Maintenance and support are much more effective than damage followed by repair.

Our society depends greatly on the values of altruism that private individuals bring to natural resource management, and I applaud those who work tirelessly to protect the natural environment. This Government must address the continuing loss of native forests through land clearing and private native forestry. If we are serious about addressing the challenges of climate change, we need to provide greater support for programs such as Land for Wildlife, working with individuals and local catchment management authorities to protect our incredibly important natural environmental assets.

Question—That this House do now adjourn—put and resolved in the affirmative.

Motion agreed to.

The House adjourned at 11.48 a.m. until 12.17 p.m. on the same day.

(For commencement of second sitting see page 9647.)

LEGISLATIVE COUNCIL

Thursday 28 August 2008

[Second Sitting]
__________

The President (The Hon. Peter Thomas Primrose) took the chair at 12.17 p.m.

The President read the Prayers.

BUSINESS OF THE HOUSE

Suspension of Standing and Sessional Orders: Order of Business

Motion by the Hon. Tony Kelly agreed to:

Order of Business

Motion by the Hon. Tony Kelly agreed to:

ELECTRICITY INDUSTRY RESTRUCTURING BILL 2008 (NO. 2)

ELECTRICITY INDUSTRY RESTRUCTURING (RESPONSE TO AUDITOR-GENERAL REPORT) BILL 2008

Bills introduced, and read a first time and ordered to be printed on motion by the Hon. Michael Costa.

Bills declared to be urgent bills by the Hon. Michael Costa.

Question—That these bills be considered urgent bills—put and resolved in the affirmative.

Declaration of urgency agreed to.

Second Reading

The Hon. MICHAEL COSTA (Treasurer, Minister for Infrastructure, and Minister for the Hunter) [12.23 p.m.]: I move:

These bills are the most important pieces of economic reform contemplated in this State in a generation. Without them we face a very stark and unavoidable choice: Either run unacceptable risks to the security of the power supply or divert taxpayer funds away from front-line services and vital infrastructure. Neither of those choices is desirable or necessary; and that is not political posturing but the advice of an independent expert inquiry headed by Professor Tony Owen that, 12 months ago, reported to the Government on the State energy needs. The warnings that the Owen report contained, in terms of a looming baseload shortage by 2013-14 and the $15 billion cost pressure that would be placed on the State's budget, cannot be ignored by either a responsible Government or a responsible Opposition.

The Government has provided for an exhaustive scrutiny with no less than four independent inquiries: the Owen report, the Unsworth review, the Auditor-General's Report and the Rural Community Impact Statement. The advice from the Auditor-General was clear: if we are going to act, we need to act now—to delay would only create uncertainty amongst investors willing to invest billions of dollars into the New South Wales economy.

The Rural Community Impact Statement also found that the Government's reforms would provide a net benefit to rural and regional communities and there would be no adverse impacts on jobs, prices or service levels. Importantly, these reforms are not remarkable. The national electricity market is largely dominated by private sector players following similar reforms by Coalition governments in Victoria and South Australia and by a Labor Government in Queensland. With the introduction of a national emissions trading scheme, the energy landscape will be transformed, and now is no longer the time to cling to assets that reflect the status quo, particularly in the retail and generation sectors. An emissions trading system will demand massive new investment in lower carbon technology, where the private sector is better placed to manage the risk.

In spite of the current market conditions, there are many potential bidders interested in these assets. The Auditor-General stated that he understands that a wide range of bidders has expressed an interest in these particular assets. Indeed, the report pointed to the successful disposal of power assets currently being undertaken by the Singaporean Government. The first sale of a Singaporean generator has been successfully undertaken for $A3.2 billion, which was more than 50 per cent debt funded. On the basis of strong investor interest, the Singapore Government is set to continue with its sale of retail and generation assets. Yes, current market conditions are challenging, but the Singapore experience shows that the world has not stopped. The Auditor-General's report found that the Government's sales strategy is flexible enough to accommodate current market conditions.

Honourable members will be aware that the Electricity Industry Restructuring Bill 2008 and the Community Infrastructure (Intergenerational) Fund Bill 2008 were introduced into the Legislative Assembly on 4 June 2008. The Community Infrastructure (Intergenerational) Fund Bill 2008 deals with the appropriation of transaction proceeds from a special-purpose infrastructure fund. As such, it is required to originate in the other place. Nevertheless, that bill and the bills currently before this House should be seen as a single package of legislation. The Government will bring the Community Infrastructure (Intergenerational) Fund Bill 2008 to this House immediately after it has been passed in the other place. However, the Government believes it is appropriate that the authorising legislation be voted on in this place first. There is a simple reason for this: the investment community requires certainty. The Auditor-General said that if we are going to act we should act now, and we need to know where everybody stands on the most important economic issue facing this State.

It is the vote in this place that will determine whether the electricity industry restructuring will occur. So it is desirable that this House is the first to vote on this package of bills. For this reason the Electricity Industry Restructuring Bill 2008 and the Electricity Industry Restructuring (Response to Auditor-General Report) Bill 2008 will be considered in this place first. Following their passage in this place, the Premier will introduce the two bills in the other place, where they will be considered simultaneously with the Community Infrastructure (Intergenerational) Fund Bill 2008, which was introduced on 4 June 2008, and associated amendments. Since June the Auditor-General (Supplementary Powers) Act has been passed and the Auditor-General's review has been laid before Parliament. His review found there was nothing that caused him to believe:

While the Auditor-General did not make any recommendations for amendments to the legislation, the Government has decided to introduce the Electricity Industry Restructuring (Response to Auditor-General Report) Bill 2008 in order to implement legislatively suggestions of the Auditor-General's review. It delivers exactly what has been sought by members opposite: to give effect to the results of the Auditor-General's review. The Electricity Industry Restructuring Bill 2008 will authorise the restructuring of the New South Wales electricity sector to secure our State's future electricity supplies. This will involve the sale of the State's retail electricity operations and the long-term lease of the State's generation assets.

It can be foreshadowed that following the passage of the Community Infrastructure (Intergenerational) Fund Bill in both Houses, the proceeds from these transactions will be paid into that fund. The bills that I am introducing today will enable the Government to implement its longer-term plan for securing the State's future energy supply. The proposals follow the investigation and report by Professor Owen. His report recognised the critical need to be prepared for additional investment in base-load capacity from 2013-2014. It identified the importance of ensuring that the appropriate commercial and policy signals are in place to encourage the private sector to invest in this generation capacity when it is needed.

Creating the right conditions for this investment is the most efficient way of ensuring that the State's future energy needs are met. The transactions authorised by the bills will avoid the need for New South Wales taxpayers to provide additional expenditure of up to $15 billion for necessary investment in the competitive retail and generation sectors of the industry so that the Government can concentrate on investing in roads, trains, hospitals, schools and other essential infrastructure including electricity transmission and distribution businesses, which we will continue to own and operate.

In response to Professor Owen's report we have developed a plan that will provide for private sector operation of the retail and generation businesses and promote further future private sector investment in generation capacity while at the same time ensuring that electricity infrastructure remains in public hands. The Electricity Industry Restructuring Bill will authorise and facilitate this plan. The bill will provide for the State's electricity distributors, Energy Australia, Country Energy and Integral Energy, to retain the network distribution businesses while transferring their retail operations to the private sector. The Government has consistently made it clear that the network distribution and transmission assets, the poles and wires, will remain in public ownership and the bill expressly provides that these assets must be owned by the public sector.

In relation to the State's energy generators, Macquarie Generation, Delta Electricity and Eraring Energy, the bill authorises the leases of their power stations. Clause 4 of the bill, and other provisions, will allow authorised transfers of the generation and retail assets to be combined in a single transaction, including by way of a public share offer or an initial public offering. It should be made clear that the bill does not authorise the transfer of any assets held by TransGrid. Indeed, the bill includes an express provision that requires that TranGrid's transmission assets must remain in public ownership. The bill provides that power stations may only be leased and cannot be transferred directly or indirectly. The only exception is if there is a public float of an electricity generator's business.

While the bill authorises a share offering, it does not require it. The decision on whether to proceed with an initial public offering will depend on prevailing market conditions and on advice from our expert financial advisers. If an initial public offering is undertaken, the bill will impose a shareholding restriction for between three to five years. This restriction limits any individual stake in the float company to no more than between 10 per cent and 15 per cent. The Auditor-General, in the normal course of the function of the Audit Office, will be able to perform an audit of the process. He will no doubt be in regular contact throughout the process with Government offices and the businesses involved and shall have full access to financial advisers and other experts who are assisting the Government on this reform. I expect that the Auditor-General will also form a view at the time as to whether the entire portfolio of transactions has met the Government's stated objectives. In conducting any such audit, the Auditor-General will be able to determine whether the transactions were carried out effectively, economically and efficiently in compliance with all relevant laws. Under the Public Finance and Audit Act the report of such an audit is required to be tabled in Parliament. However, the Auditor-General also has the discretion to report to Parliament on any matter at any time if he finds it necessary.

An imperative of the reform package is to ensure competition in the New South Wales electricity market. Our plans are designed to deliver competitive outcomes and encourage new investment in industry. The Australian Competition and Consumer Commission will play an important role in ensuring competitive outcomes in the market. In recognition of this, I have written to the chairman of the Australian Competition and Consumer Commission detailing the basis of the New South Wales Government's sale and lease strategy. The Electricity Industry Restructuring Bill contains important provisions ensuring that existing employees affected by these reforms will retain their accrued sick leave, annual leave, long service leave and superannuation entitlements. The Government has previously announced that it will provide certain guarantees in respect to jobs and conditions of public sector retail and generation electricity workers. The bill enables the Government to meet these commitments including by expressly allowing for the making of transfer payments to employees.

The bill also contains provisions to protect consumers. The bill will ensure that the State's independent pricing regulator, the Independent Pricing and Regulatory Tribunal, continues to set electricity retail prices for households and small businesses until at least 2013. The bill also allows for the date to be further extended by regulation. The Government will maintain electricity retail price regulation beyond 2013, if necessary. The Government is committed to ensuring that electricity retail price regulations remain in place until it is satisfied that there is sufficient competition in the retail energy market to keep prices as low as possible.

As part of our plans the Government will also be introducing a $272 million electricity safety net package to help consumers, including increased electricity rebates for pensioners, funding support for a new no-disconnections policy, and other assistance for families facing severe financial hardship. The Government will shortly commence a consultation process to deliver these expanded social programs on energy. Key consumer stakeholders will be asked to contribute to ensure workable and responsive outcomes continue to be delivered to those in need. Stakeholders that will be consulted include the Energy and Water Ombudsman of New South Wales, the energy and water consumer advocacy program, the Australian Council of Social Services, the Council of Social Services of New South Wales, electricity retailers and other community welfare organisations.

The Electricity Industry Restructuring Bill facilitates these programs by strengthening the Government's regulation making powers under the Electricity Supply Act. These amendments are designed to ensure that the Government has the power to implement the full package of consumer protection measures it has promised. The bill also expands the existing information gathering powers of the Independent Pricing and Regulatory Tribunal and the Minister for Energy. This will give them the tools that they need to carry out their regulatory functions in a privately owned retail environment.

I can foreshadow that following the passage through this Chamber of the Electricity Industry Restructuring Bill and the Electricity Industry Restructuring (Response to Auditor-General Report) Bill, the Premier will introduce them into the Legislative Assembly at the same time as he introduces the Community Infrastructure (Intergenerational Fund) Bill. He will do that to enable debate on those bills to take place and for any proposed amendments to them to be considered. I can foreshadow that subsequent to the passage of the bills all proceeds from the restructuring will be paid into a new Community Infrastructure (Intergenerational) Fund, which will be established under the Community Infrastructure (Intergenerational) Fund Bill. The income from the investment of this fund will replace the dividends and the equivalents currently being received by State-owned electricity retail and generation businesses.

The fund will also be used to provide significant additional infrastructure spending for future generations in metropolitan, regional and rural New South Wales. It will be used to provide additional funding in areas of transport, health, education and water. It will also provide support funding for the Government's priorities, including the development of clean energy such as cleaner coal technology and renewable energy technologies.

The Government has already announced funding of $100 million to establish a Clean Coal Fund, an additional $60 million to increase the Renewable Energy Development Fund to $100 million. The Government acknowledges the appetite of the community for progress in these areas. To help monitor this progress, the Government will establish a parliamentary joint select committee comprising representatives of both Houses of Parliament to report on the delivery of the Government's commitment in regards to renewable energy and clean coal technology.

The Government has also agreed to establish a community infrastructure fund advisory committee with representatives of the business sector, community groups and trade unions. The committee's role will be to provide input to the development of the fund's charter. Secondly, it will receive reports from the Crown as to whether the fund is complying with its charter and governing legislation. The committee will provide reports twice a year to the Treasurer coincidentally with the half-yearly budget review and annual budget. The fund will be subject to audit by the Auditor-General under the Public Finance and Audit Act.

The Electricity Industry Restructuring (Response to Auditor-General Report) Bill 2008 addresses issues arising from the Auditor-General's review of the Government's transaction strategy. In response to the Auditor-General's review the Government is introducing new provisions. First, the bill provides that the Government is required to determine the retention value and reserve price of the State's electricity assets prior to any transfer to the private sector. Naturally, these amounts are market sensitive and will be kept confidential. In particular, they will not be disclosed to any prospective bidders. They will however be taken into account by the Government before undertaking any transactions. They will also provide a benchmark for the Auditor-General once the restructuring is complete to assess its effectiveness in meeting the Government's objectives.

The bill provides a prohibition on providing indemnities to lessees of New South Wales generators in relation to liabilities arising under a carbon emissions trading scheme; that is, it ensures that any risk that flows from the introduction of the Commonwealth's carbon pollution reduction scheme is borne by the private sector. The bill requires the Treasury to continuously evaluate the proposed transaction strategy against the impact of external factors, including financial market conditions, infrastructure capital demand and the carbon pollution reduction scheme, with the scope to delay generator transactions if the Commonwealth's white paper does not provide sufficient certainty. Further, as transactions are completed a review of the State's financial position and particularly the State's forward capital program will be undertaken. In response to the issues raised in the Rural Community Impact Statement the Electricity Industry Restructuring (Response to Auditor-General Report) Bill 2008 will also mandate for the continued operation of Country Energy's customer service centres in support of their distribution network businesses, which will remain in public ownership.

The bills I am introducing today provide for the implementation of the New South Wales Government's plans, which are necessary to ensure our future energy needs are met. As I have said before, we must act now to secure a continuing supply of electricity and to ensure continuing prosperity for the State. The plan the Government has developed will enable private sector investment in electricity retailing and generation while at the same time ensuring that the critical infrastructure remains in public hands. The solution will deliver extra electricity supply, retain public infrastructure in public hands and deliver necessary investment in research and development to obtain lower carbon energy outcomes. This solution will promote competition and keep maximum pressure on prices by keeping them as low as possible.

The bills will ensure that these objectives are met. The process has been subject to exhaustive independent analysis. No fewer than four reports have been commissioned to review and recommend improvements to the Government's proposals. In each and every case—the Owen report, the Unsworth review, the Rural Community Impact Statement and the Auditor-General's review—the Government has accepted the recommendations and acted. It is clearly time to put the public interest first. I commend these bills to the House.

[Business interrupted.]

DISTINGUISHED VISITORS

The PRESIDENT: Order! I acknowledge the presence in my gallery of the Clerk of the Legislative Council of Victoria, Mr Wayne Tunnecliffe.

ELECTRICITY INDUSTRY RESTRUCTURING BILL 2008 (NO. 2)

ELECTRICITY INDUSTRY RESTRUCTURING (RESPONSE TO AUDITOR-GENERAL REPORT) BILL 2008

Second Reading

[Business resumed.]

The Hon. MICHAEL GALLACHER (Leader of the Opposition) [12.44 p.m.]: The Government has had 13 years to get the important issue of this State's future power generation right and, as members will shortly hear, it has got it wrong. The New South Wales Liberal-Nationals Coalition will not support the Iemma Government's Electricity Industry Restructuring (Response to Auditor-General Report) Bill and the associated cognate bill. The Liberal-Nationals Coalition does not take this decision likely. There are three key reasons for our dissatisfaction with this proposed electricity industry restructuring: the continued uncertainty surrounding the Commonwealth Government's emission trading scheme; the current state of capital markets is not conducive to the sale of such a valuable asset; and the Iemma Government's history of financial and infrastructure delivery mismanagement and incompetence. Underpinning all three reasons is the fundamental issue of trust. The community does not believe that the Government can be trusted to get this privatisation right. The community does not believe that the Iemma Government can be trusted to spend the proceeds of the sale in a transparent and honest manner. The community also does not believe that the Iemma Government can be trusted to put public interest ahead of the Labor Party's re-election plans.

The community's concerns are well founded. The 2007 State election did not deliver the Iemma Government a mandate to embark upon the sale of this State's electricity assets. In fact, the Iemma Government issued emphatic denials that any such sale would take place. The arrogant dismissal of concerns held by the Government's own members and its party, whilst contemptible, is not surprising. The Government's failure to put the question to the people of New South Wales demonstrates beyond any shadow of a doubt that this is a Government out of control, out of step and out of options. Mr Iemma betrayed the trust when he refused to reveal his true plan about the future of electricity prior to the 2007 State election. By opposing this legislation the New South Wales Liberal-Nationals Coalition will ensure that the people of the State are not betrayed.

The Treasurer's ever-shifting position on the privatisation of electricity portrays him as a political opportunist. As an executive member of the Labor Council he opposed the privatisation of electricity. On 12 February 1998 as acting secretary of the council he moved the following executive recommendation:

At a Labor Council meeting on 21 October 1999, in his position as Secretary of that council, he moved the following executive recommendation:

As well as opposing electricity privatisation the Treasurer has also spoken of the need to put social concerns above market fundamentalism. In his inaugural speech to this House in September 2001 he spoke of what he imagined as a better world:

Perhaps the Treasurer should have considered his own advice before bringing this legislation to the Parliament. In addition to those sentiments in his inaugural speech, he said:

As I said earlier, the Treasurer is a recent public convert to the "privatisation at all costs" agenda. As late as before the last State election—in this House on 23 November 2006—the Treasurer said:

A month out from the State election, on 20 February 2007, he was reported in the Australian Financial Review as saying:

There are no plans to sell our retail electricity businesses.

Yet here we are in an extraordinary sitting of this Parliament, having been recalled at great expense to the taxpayer, to pass legislation to privatise the electricity assets. That I stand shoulder to shoulder with my Coalition colleagues, the Nationals, and accuse the Government of betrayal is not political rhetoric. The Government's Ministers pledged that they would not sell our State's power in any restructure, but not 12 months later, in a backflip, they announced that they would. That is a betrayal. The Treasurer does not have a monopoly on opportunism when it comes to electricity privatisation. In the other place on 9 May 2007 the Premier said, when referring to the Owen review:

The Government goes into this review with an open mind, and only two things will be ruled out. The first is nuclear power. As I have stated previously, there will be no consideration whatsoever of nuclear energy for New South Wales. Second, there will be no sale of electricity generation, transmission or distribution. On all other matters I am yet to be convinced and will await Professor Owen's expert advice.

The Premier even has been accused of lying to Unions NSW. In a Sydney Morning Herald article dated 25 May 2007 he was reported as stating in a letter to Unions NSW:

The privatisation of the State Government-owned energy companies is not on our agenda. In fact, the NSW Government's commitment to this sector is stronger than ever … with record investment in new and upgraded electricity infrastructure.

I reiterate: This represents a betrayal of trust. It is a lack of trust that underpins the Coalition's opposition to these bills. While such significant uncertainty surrounds the creation of the proposed emissions trading scheme, New South Wales's taxpayers cannot be confident they are receiving full value for their assets. My colleague the Deputy Leader of the Opposition in this House, the Hon. Duncan Gay, will further outline our concerns regarding the Federal Government's emissions trading scheme.

The great disappointment in all of this is that rather than engage in a constructive conversation with the Rudd Government, Michael Costa has wasted time threatening Labor rank and file and berating the Opposition. When the bills are rejected by this House, responsibility will fall squarely at the feet of the Treasurer. From the outset he misled the community, isolated his colleagues and politicised the process. The Treasurer has failed to show leadership. Leadership is about engaging the community in open dialogue, leadership is about asking the hard questions, and leadership is about inspiration and bringing people along on a journey toward a desired outcome. At no point has the Government engaged the New South Wales public in anything resembling leadership consultation. Conversely, it has betrayed and engaged in spin, and in this House it will pay a hefty price for its hubris.

The proposal to privatise electricity does not meet the public interest test. In so many ways Australia's capital market conditions are not conducive to a positive outcome for the people of New South Wales. Since the release of the Owen report in 2007, Australian stock markets have fallen significantly. The Australian All Ordinaries fell almost 20 per cent, and the Australian utilities sector index fell almost 30 per cent. The impact of falling markets is clearly evident in the Hon. Michael Costa's consistent downward revision of the value of the assets. In December 2007 the Treasurer described a $15 billion price tag as conservative. In June 2008, he estimated the price at "around $10 billion". If a public company mysteriously lost $5 billion off the value of an asset in the space of six months, the Australian Securities and Investment Commission would declare an immediate audit. I point out that $5 billion is equivalent to the cost of 5,000 hospital beds or 130 new schools.

Importantly, the negative impact of capital markets will not be limited to initial public offerings; it will also affect trade sales. Market multiples will be used as a part of any basic valuation for a trade sale. Furthermore the global credit crunch makes it more difficult for companies to secure debt funding. My colleague in the other place the member for Manly estimates that the cost of underwriting $10 billion in current market conditions is $400 million more than at the same time last year.

The Iemma Government has spent the last week trying to make the future of its electricity plans all about the Opposition. The Treasurer has made numerous claims about why the Opposition should support the legislation—claims that simply do not stand up to scrutiny—and says that the Owen report found that $15 billion needs to be spent on electricity infrastructure. However, he is yet to explain why spending on electricity assets has been so neglected and why allegedly we need to come up with $15 billion by 2013. We reiterate that even as late as before the 2007 State election on 23 November 2006 the Treasurer stated in this House, "There is no energy crisis in New South Wales … In fact, New South Wales has surplus energy."

Responsible government is about planning for the future and anticipating the need for the replacement and ongoing maintenance of assets, particularly major assets such as power stations, hospitals, schools and police stations. The Treasurer claims that the details of the Commonwealth's emissions trading scheme will be clear by the end of the year, but what he does not point out is that, just as the New South Wales Government does not control its upper House, the Rudd Labor Government does not have control of the Senate. There is no way the Treasurer can be assured that legislation for the emissions trading scheme will be in place by the end of the year or that that legislation, even if it is amended or passed, will operate as intended.

The Treasurer also believes that financial market conditions, now or indeed at the end of the year, will be conducive to the sale of our State's electricity assets. Nobody, not even the Treasurer, knows what the market conditions will be at the end of the year. What we know now is that since the release of the Owen report in September 2007, the Australian stock market has fallen significantly. As I have said, the Australian All Ordinaries fell by almost 20 per cent and the Australian utilities sector index fell by almost 30 per cent. International rating agency, Fitch Ratings, stated:

The final valuation of NSW's coal-fired generation assets will be affected by the details of (the) carbon pollution reduction scheme (CPRS) due to be introduced in 2010. Uncertainty over how the CPRS will affect the electricity generator's cashflows and of the present state of credit markets are likely to affect the value of proceeds.

It should never ever be forgotten that the only reason the Government faces defeat is that it has failed to secure the votes of its own caucus members. This predicament is entirely of the Government's own making. The Coalition's approach to electricity privatisation was never about ticking boxes or meeting deadlines. It has always been about what is in the best interests of the New South Wales community. Our approach to this legislation has not been about the father-knows-best politics of the Australian Labor Party. From the outset, it has been about doing what the people expect of us.

My colleagues in the other place each represent more than 40,000 voters in their respective electorates. The Leaders of the New South Wales Liberals-Nationals involved each and every one of those 40,000 voters in formulating the Coalition's final position. The Hon. Michael Costa and his leader cannot say the same. The Auditor-General's Report and the Rural Community Impact Statement have played an important role in our decision. We also considered a range of factors, including external economic conditions and the current state of flux in the energy sector. The process has involved wide consultation with groups ranging from business interests to energy sector employees and of course the general community.

Ultimately the Coalition decided that the Government cannot be trusted with the privatisation of electricity. Let me echo the words of the State's Leader of the Opposition, Barry O'Farrell, who confirmed this morning that the New South Wales Liberals-Nationals will have an energy policy to put to the people of New South Wales before the next election. Our policy will include the principle of private sector involvement where it meets the public interest. It will consider the broadest range of methods that deliver to the public the best outcomes in electricity. What our electricity policy will not be is the singular agenda of an individual member of Parliament who is intent on rushing through a fire sale of the State's most valuable asset.

Much has been said in the press concerning the effect that this decision will have on the Coalition's relationship with the business community. Irrespective of what some business groups might think about the role of private enterprise in electricity generation, most members of the business community would agree that the Government cannot be trusted with even the most basic economic endeavours, let alone something as substantial as electricity privatisation. Ultimately, the key stakeholders in the proposed sale of the State's electricity assets do not sit in New South Wales boardrooms; they sit in lounge rooms. They open a power bill every three months. They will watch as market forces, both external and internal, affect the retail price of power generation. Some of them will be renters, some will pay mortgages, some will have children, and some will live on a pension.

While the Iemma Government decides how to divide the spoils of its sale across marginal constituencies, these people will decide what to cut from the family budget as the cost of living in New South Wales continues to increase. It should never be forgotten that if this legislation fails today it will be because the Labor Party has split. Two parties with conflicting agendas now run the New South Wales Government. I am proud to stand shoulder to shoulder with my Coalition colleagues The Nationals in condemnation of these bills and the manner in which they have been introduced. Today we oppose legislation that puts Morris Iemma and Michael Costa's interests and quick-fix financial gains above the interests of the people of New South Wales. The Opposition opposes this legislation.

The Hon. TONY KELLY (Minister for Lands, Minister for Rural Affairs, Minister for Regional Development, and Vice-President of the Executive Council) [1.00 p.m.]: I move:

Question put.

The House divided.

Ayes, 19

Mr Brown
Mr Catanzariti
Mr Della Bosca
Ms Fazio
Ms Griffin
Mr Kelly
Mr Macdonald

Reverend Nile
Mr Obeid
Ms Robertson
Mr Roozendaal
Ms Sharpe
Mr Smith
Mr Tsang

Ms Voltz
Mr West
Ms Westwood

Tellers,
Mr Donnelly
Mr Veitch

Noes, 18

Mr Ajaka
Mr Clarke
Mr Cohen
Mr Gallacher
Miss Gardiner
Mr Gay
Ms Hale

Dr Kaye
Mr Khan
Mr Lynn
Mr Mason-Cox
Reverend Dr Moyes
Ms Parker
Mrs Pavey

Mr Pearce
Ms Rhiannon

Tellers,
Mr Colless
Mr Harwin

Pairs

Mr Costa	Ms Cusack
Mr Hatzistergos	Ms Ficarra

Question resolved in the affirmative.

Motion for adjournment of debate agreed to.

Debate adjourned and set down as an order of the day for a later hour.

SPECIAL ADJOURNMENT

The Hon. TONY KELLY (Minister for Lands, Minister for Rural Affairs, Minister for Regional Development, and Vice-President of the Executive Council) [1.08 p.m.]: I move:

That this House at its rising today do adjourn until Tuesday 23 September 2008 at 2.30 p.m. unless the President, or if the President is unable to act on account of illness or other cause the Chair of Committees, prior to that date, by communication addressed to each member of the House, fixes an alternative day or hour of meeting.

Question put.

The House divided.

[In division]

The Hon. Amanda Fazio: Point of order: Members are speaking to visitors in the public gallery, which is against Standing Order 197. I ask that you ask them to desist.

The PRESIDENT: Order! I remind members that the House is in division. Members must not converse with people in the public gallery. I am grateful for the respect that has been given thus far to the debate by the people in the public gallery, and I ask that that level of respect continue to be given.

Ayes, 19

Mr Brown
Mr Catanzariti
Mr Della Bosca
Ms Fazio
Ms Griffin
Mr Kelly
Mr Macdonald

Reverend Nile
Mr Obeid
Ms Robertson
Mr Roozendaal
Ms Sharpe
Mr Smith
Mr Tsang

Ms Voltz
Mr West
Ms Westwood

Tellers,
Mr Donnelly
Mr Veitch

Noes, 18

Mr Ajaka
Mr Clarke
Mr Cohen
Mr Gallacher
Miss Gardiner
Mr Gay
Ms Hale

Dr Kaye
Mr Khan
Mr Lynn
Mr Mason-Cox
Reverend Dr Moyes
Ms Parker
Mrs Pavey

Mr Pearce
Ms Rhiannon

Tellers,
Mr Colless
Mr Harwin

Pairs

Mr Costa	Ms Cusack
Mr Hatzistergos	Ms Ficarra

Question resolved in the affirmative.

Motion agreed to.

ADJOURNMENT

The Hon. TONY KELLY (Minister for Lands, Minister for Rural Affairs, Minister for Regional Development, Acting Minister for the Central Coast, and Vice-President of the Executive Council) [1.16 p.m.]: I move:

ELECTRICITY INDUSTRY PRIVATISATION

The Hon. DUNCAN GAY (Deputy Leader of the Opposition) [1.16 p.m.]: Today we have witnessed the contrast between two leaders: one leader who divided the party and another leader who brought two parties together. Never before have we seen greater contrast in this State. We have a political party that wants to hide in the back rooms of this State and not take decisions to the people. Its members do not want to walk up the front path to the front door of a house, knock on that door and say to the constituents in that house, "This is what we want to do." That party has defied the people's house of New South Wales and has not gone into the Legislative Assembly where the elected members of this Parliament represent the electorates of New South Wales.

We have seen vicarious cowardice on the part of the Premier and his tyrant Treasurer, who is probably already out there with the failed Babcock and Brown hunting for a job. Never before in this Parliament have we seen a greater contrast between those who are willing to listen to the people of New South Wales and act in the community's interest and a group who refuses to do so. That particular group unwisely spent taxpayers' money to recall the Parliament to debate a flawed scheme. The Parliament was offered one option, a flawed option that does not add up with the trading schemes yet to go before the Australian senate.

The balance of power in the Senate will be held by a small group of Independents, including the newly elected South Australia Senator, Nick Xenophon, the Family First party and the Greens. Who knows what cost that will put on power generation in New South Wales? The Treasurer, in a rare bout of honesty in this House, indicated that cost could be as much as $3 billion. No-one knows what that cost will be out of Canberra. No-one knows what the competing cost will be out of the current fire sale at Babcock and Brown, as it divulges similar interests into the markets in this country.

Yet, we were given one option: to support the sale, or nothing! Today in this House, questions must be asked: What has the Government been doing for the past 13 years? Why is it suddenly Barry O'Farrell's fault? For 13 years the Government has had a chance to fix this problem. For 13 years former Treasurer Michael Egan and Treasurer Michael Costa have told Parliament that the New South Wales taxpayers have had a surplus through the good financial management of the Labor Party. Treasurer Michael Costa told New South Wales taxpayers before the last election that they had nothing to worry about. One reason why the people of New South Wales and the Opposition cannot support this legislation is because the Government's Ministers cannot be trusted. Their word is not what they stand for.

The Government promised to fix the roads, it promised to lower hospital waiting lists and it promised to provide extra police, but it has not delivered on one of those promises. Not one Government promise has been fulfilled. The electricity legislation that was introduced today is dead in the water, because the Government did not consult with the people of New South Wales and it gave a flawed plan. The Government has reaped its own revenge. The Government has lost, and it deserved to lose. The contrast is stark—we will go to the people with a proper plan. [Time expired.]

ELECTRICITY INDUSTRY PRIVATISATION

Dr JOHN KAYE [1.21 p.m.]: I join with the Deputy Leader of the Opposition in opposing the motion for adjournment. It is an act of total cowardice to avoid debate on a central plank. Treasurer Michael Costa and Premier Morris Iemma have said that the vote on the electricity industry privatisation legislation was the most important single vote to be taken in this Parliament. But what did the Labor Iemma Government do? It ran away from the vote, and it seeks to hide from the inevitable defeat that this bill would have inflicted. Why did the Government do that? It knows that 80 per cent of the New South Wales population is opposed to electricity privatisation. The Government knows that 80 per cent of its own party is opposed to electricity privatisation, and it knows that every sensible and independent observer of the electricity industry agrees.

Handing public assets into private hands would be a complete and total disaster. To adjourn the debate is simply an attempt to avoid inevitable humiliation. It must be accepted now that the Costa-Iemma electricity privatisation is dead in the water. And it is dead in the water without appropriate debate and vote, and they have inflicted a cowardly death on the legislation. I note that Minister Kelly is now leaving the Chamber; he is embarrassed by what he had to deliver for the Costa-Iemma Government, and embarrassed by his failure to allow the bills to be debated appropriately.

The underpinning of privatisation was the Owen inquiry. The Chamber has not had the opportunity to debate the Owen inquiry, or the opportunity to determine whether the State needs new baseload capacity. The Chamber has not had the opportunity to test the presumption that we cannot afford to buy new baseload capacity, or to test the assumption that the private sector will not invest in the New South Wales electricity industry as long as it is publicly owned. As long as those assumptions are not tested in this Chamber, the Owen inquiry remains a document of propaganda and ideology. The Government lacks the courage to allow that document to be subjected to the scrutiny of the New South Wales upper House. In doing so, the Government denies the people of New South Wales the debate that Michael Costa and Morris Iemma promised them.
For the past 12 months, Premier Iemma and Treasurer Costa said that there would be debate on the privatisation of the electricity industry, but that has now been denied us. If Premier Iemma and Treasurer Costa sneak away from this Chamber and try to privatise the industry behind closed doors, this Chamber will go after them as will the New South Wales union movement—the activists who have campaigned long and hard against privatisation—and 80 per cent of the New South Wales population who are opposed to it. We will find whatever rock they will hide under, and we will make sure that they pay the price for selling off assets.

It is time this Chamber had a debate about privatisation. We will make sure when the Chamber resumes that that debate is held; it has to happen. The Government cannot run the propaganda and lies in the media that have been heard from Michael Costa and Morris Iemma and not conduct that debate in this Chamber. Adjourning the Chamber now will not avoid debate at a future time. The Government has extended the agony for itself. The Government does not have the majority in this Chamber—the media and the people know that. People who have campaigned against privatisation know that, and Government members know that full well. Running away and hiding will not destroy the evidence that power privatisation was always going to be bad for the people, bad for households, bad for the economy and bad for the environment.

It remains absolutely true that the Government cannot continue down the path of spreading myths from Tony Owen that have been propagated by the Business Council of Australia, the Alliance for a Better New South Wales, the business lobby and the Premier and the Treasurer. The Government cannot keep relying on those myths unless it is prepared to hold debate in this Chamber; if it is not, it will have no public credibility. By hiding from this debate, all it has done is guaranteed that the people know what is really going on. The Government will not stand up to the scrutiny of this Chamber; and it cannot, because what it is doing is a complete and total tissue of lies. If debate on this matter is not listed for when the Chamber resumes on 23 September 2008, we will have to take matters into our own hands to ensure that it is held. The Greens oppose the adjournment.

WORLD YOUTH DAY 2008

The Hon. KAYEE GRIFFIN [1.26 p.m.]: I take this opportunity to say a few words about the success of World Youth Day 2008 celebrations held in Sydney from 15 to 20 July. During that period, 93 State schools in the Sydney metropolitan area were home to 10,000 World Youth Day pilgrims. In addition, Catholic schools in Sydney accommodated a further 70,000 people and 15,000 pilgrims were housed in Sydney Olympic Park. It was wonderful to see the Sydney and wider Australian communities welcome pilgrims into their homes and communities. It was a tremendous display of hospitality and tolerance for all religious beliefs.

In my local parish of Campsie I had the opportunity to visit some of the many pilgrims who stayed at St Mel's church hall and school. The pilgrims in Campsie were largely from Korea with smaller contingents from the United States of America and Paraguay, and all were warmly welcomed by the Campsie parish and local community. It was heartening to see the many volunteers who arrived throughout the days and evenings to assist in preparing meals and general duties as well as members of the broader community and the parish who made a special effort to help pilgrims feel more at home.

In Campsie, St Mel's Primary School was used as a catechist centre for Korean pilgrims with three different Korean bishops conducting lessons and saying Mass each day. The programs were conducted in Korean with other Korean pilgrims who were staying outside Campsie travelling to Campsie to attend. At the end of the sessions the bishop would say Mass in Korean and would welcome the local parishioners. I have been informed that the Korean influence on the music and singing for the Masses was a real eye-opener for local parishioners. I certainly understand that, having attended a Mass in a cathedral in Seoul and hearing those beautiful voices uplifted in song. It was wonderful. I envy Korean people their wonderful voices. Many local parishioners came to prepare hot meals for the pilgrims, some arriving at 5.30 each morning to prepare breakfast and assist in organising the pilgrims for the day ahead, and returning later at night when the visitors had returned from events in the city centre, giving many hours of their time.

Campsie's rich multicultural community was on show during the pilgrims' stay, with Korean parishioners preparing traditional Korean dishes in order to give Korean pilgrims the feeling of a home away from home. Other parishioners, including members of the Arabic, Italian and Filipino communities and others from a wide range of non-English speaking backgrounds, brought samples of their traditional cuisine. The local support was tremendous, with people turning up unannounced to donate food and blankets.

The United States visitors turned up much earlier than expected but I understand that, following a few telephone calls, the hall was full of volunteers donating food and making coffee. Many pilgrims who stayed at St Mel's also visited the homes of a number of parishioners to have showers or a meal. I know of one Korean lady who in just one evening apparently took 14 pilgrims home for showers. I am sure that these sights in Campsie were no different from what was going on all over Sydney, and I have heard many similar accounts from others. What I witnessed in Campsie was a wonderful show of hospitality and a great example of what can be achieved when many people make contributions and work together for a common cause.

When the pilgrims left Campsie tears were shed with the goodbyes to new friends. Despite the language barriers between the international visitors and locals, the close confines meant that friendships were forged quickly in a short period. I am proud of the way in which the wider Sydney community welcomed the visitors. Regardless of one's personal religious views, I believe hosting World Youth Day 2008 was a great benefit to the international reputations of Sydney, New South Wales and Australia. The successful hosting of such a large variety of overseas visitors and one of the world's best-known public identities, Pope Benedict XVI, was a credit to all involved. It was a pleasure to see the excitement and happiness on the faces of the young visitors as they enjoyed all that Sydney had to offer. The atmosphere and general sense of optimism and goodwill that was present throughout the week was refreshing. I acknowledge the efforts of all those who participated in the organising and operation of World Youth Day events and members of the general public who were not involved but who encountered visitors from around the world and shared pleasant times with them. I thank everyone for their efforts in making World Youth Day such a memorable event for Sydney residents and for the wider Australian community.

ELECTRICITY INDUSTRY PRIVATISATION

Ms SYLVIA HALE [1.31 p.m.]: Two years ago this Government attempted to privatise the Snowy Hydro scheme. That time it was saved from itself by a statewide campaign of opposition that made it clear that privatisation was unacceptable to the community. Protests and opposition started in the Snowy region and spread across the State, from village to town and into the cities. The State Government tried to tough it out, but ultimately the Federal Government's withdrawal from the process forced the hand of the State Government, which then withdrew from its attempted privatisation of Snowy Hydro. That decision was significant in saving the Government at the subsequent State election in March 2007.

Unfortunately, the State Labor Government has wilfully chosen not to learn from its mistaken attempt to sell Snowy Hydro. In 2008 the New South Wales Labor Government is determined not to save itself. It is so determined to thumb its nose at the people of New South Wales who overwhelmingly oppose privatisation that it took the extraordinary step of recalling Parliament to try to push through its bills. It has now taken the extraordinarily cowardly step of adjourning Parliament rather than face a defeat on the floor of the House. The Government has lost its commitment to the best interests of the residents of New South Wales, its ability to read the electorate, and its instincts for self-preservation. In the face once again of statewide community opposition, the Government appeared initially determined to push ahead with a privatisation proposal for which it has no mandate and to which the vast majority of the people of this State is opposed.

In the face of overwhelming opposition from the community, from the trade union movement and from its own rank and file members, why is the New South Wales Labor Government so keen to tread this self-destructive road? Many people in New South Wales will look at what has happened today and wonder what the Labor Party has become and whose interests it now serves. It appears that the leadership of the parliamentary Labor Party has determined that the future of the New South Wales Labor Party is as the party of big business. It has deliberately turned its back on its own members, on the trade unions and on the community generally in order to embrace the agenda of the State's large corporate interests.

It was instructive this week to see the pro-privatisation urgings of the corporate sector being led by the so-called Alliance for New South Wales' Future. This is the latest front group set up by the head of the Property Council, Ken Morrison, and his corporate lobby group mates. The last such group Mr Morrison fronted was the Coalition for Planning Reform. That was the group whose wish list formed the basis of the Government's deeply unpopular changes to the planning system—changes that, like the privatisation proposal before us, pretty well every Labor candidate in the upcoming local council elections is trying to disown. All these various coalitions and alliances that Mr Morrison fronts are supposedly motivated solely by the best interests of the residents of New South Wales, and their members become deeply offended by any suggestion that they are merely pursuing the financial interests of the corporations that make up their membership. They may claim public altruism, but there is no doubt that they are really lobbying in the financial interests of the big end of town. That is fair enough; it is what their corporate sponsors pay them to do.

What is disturbing, however, is the extent to which the so-called Labor Government has embraced the agenda of these corporate interests. One can hear the eager, servile capitulation of the Premier, the Treasurer, and the Minister for Planning: "Rewrite the planning laws the way you want them? Certainly, Mr Morrison. Hand the State's electricity assets over to the corporate sector? Of course, Mr Morrison". I do not know why Labor does not simply appoint Ken Morrison as Premier and cut out the middleman! The policy outcomes would be the same. The relevant bills were introduced in the lower House on the same day that Frank Sartor introduced his developers' wish list of a planning bill. This demonstrates clearly and finally for all to see that Labor's parliamentary leadership has turned its back on its rank and file members and its trade union base in order to fall into the loving embrace of the corporate sector that now funds its election campaigns and sets its policy agenda. As with Snowy Hydro, from the outset the Greens have opposed the privatisation of the State's electricity assets. We are united in our condemnation of the Government's pro-privatisation agenda.

NRMA BOARD ELECTIONS

The Hon. AMANDA FAZIO [1.36 p.m.]: I have been a member of the NRMA since 1976 and I recently received in the mail a new gold card. Included with the card was a letter from Dawn Fraser, telling me that she is the NRMA board member for the area in which I live. I thought, "Why is a letter from Dawn Fraser stuck in with my gold card; what is the point of this?" I then thought, "Well, it is the NRMA after all; it is probably election time". So I looked on the NRMA website and discovered that, sure enough, it is NRMA election time. Board incumbents are being challenged in every area of the State. That explains why I received a stupid letter from Dawn Fraser, who, apart from appearing on 2CH in radio advertisements for beds and over-the-counter medicines, we do not hear much from—except when she squawks about not being invited to attend the Olympic Games or veterans' swimming events for free.

So I decided to see what has been going on with the NRMA lately. One of the first things I discovered is that the NRMA proposes no longer to send copies of annual reports to members. The NRMA claims that it wants to be seen as "green" by saving paper. If the NRMA were serious about conserving paper it would not include gratuitous self-promoting letters from board incumbents when issuing new gold cards. The NRMA is attempting to cover up its annual expenditure by no longer sending reports to NRMA members. Why would the NRMA want to hide what it has been doing? An explanation was offered on 10 August this year when the Fairfax media broke the story that the NRMA had made political donations of $225,000 across the board that it did not declare in returns either to the Australian Electoral Commission or to the State Electoral Office. The NRMA has since rectified that matter, but the simple fact is that it attempted to cover up $225,000 in political donations, and its reports were not being sent out to people so they had less chance to find out about it.

What else has the NRMA done lately that shows it is a good organisation and how concerned it is about road safety? Earlier this year it opposed the introduction of more cycleways and increased funding for bicycle safety. I do not ride a pushbike, but members of my family do and they know how dangerous it is to ride them on main roads without bikeways. Australia has an obesity epidemic and there could be no better way to get kids to do more exercise than to have safe bikeways on which they could ride a bike rather than being driven by a parent, often in a four-wheel drive, or to be on buses and complain about being late for school because the buses are crowded or late. It is reasonable to think that if there were more cycleways it would be easier for motorists because they would not have to contend with bikes or look out for them. No, the NRMA is opposed to more cycleways and to an increase in funding for bicycle safety, something for which it should stand condemned.

The current regime changed the voting systems for the NRMA and introduced a gerrymander whereby for no logical reason the State was divided into about eight or nine geographical zones. The NRMA claims it has approximately 220,000 members in each zone. But the gerrymander stopped statewide tickets being run for the NRMA. The NRMA attempted to organise groups like the Motorist's Action Group and others from being able to run proper statewide tickets. That system has not been of any benefit to the membership of this system. In fact, it has resulted in a decrease in democracy within the NRMA. It is time for a change in the NRMA. It is time to get the current mob off the NRMA gravy train, which it certainly is, and it is time for people who generally care about a whole range of issues, including transparency, openness, road safety, improving activities for cyclists to be elected and to dump the current mob, in particular, Dawn Fraser. [Time expired.]

CHAFFEY DAM

The Hon. TREVOR KHAN [12.41 p.m.]: I refer to a most important issue to the people of the Tamworth and Peel Valley regions, that is, the proposed augmentation project of Chaffey Dam. In January 2007 the State Water Corporation [State Water] produced a document titled "Chaffey Dam Upgrade: Upgrade Options Technical Fact Sheet" wherein the context and reasoning behind why a Chaffey Dam augmentation is required was outlined. In 2003 the State Water Corporation embarked on the Chaffey Dam upgrade program to bring the dam in line with modern practices of flood protection. Interim works were completed in 2004 that increased the protection of the dam and downstream communities from very large floods.
During the process it was identified that the dam needed augmenting due to the drop in reliability of irrigation allocations and an increase in the probability of town water restrictions. The current, pre-augmentation, average reliability of six in ten chances of irrigators receiving an 80 per cent irrigation allocation on 1 July each year is predicted to reduce to a two in ten average reliability over the next 10 years. Similarly, the present frequency of town water restrictions in Tamworth is one in nine years, and this will increase to one in seven years without an enlargement of the dam.

As my learned colleague in the other place the shadow Minister for Water and member for Murrumbidgee pointed out when the Chaffey Dam enhancement was raised on the 27 September last year, Chaffey Dam has been raised as an issue for a very long time and it has always been the responsibility of the State to upgrade and maintain dams. The member for Murrumbidgee was referring to a motion that amongst other things welcomed the State Government's commitment to the project and called on the Federal Government to expedite its financial commitment to the project. Members on the other side amended the motion to further call on the Federal Government to immediately clarify its funding so construction on this important upgrade can commence. Much posturing and gesticulating was done by members on the other side of this debate crowing about the action of the State Government and purported inaction of the Federal Government.

These events are important when seen in the context of our contemporary situation where it is right to voice concerns about a perceived lack of action by another vital organ of our government system in every State Parliament or the Commonwealth Parliament. Where is the similar action today? Where are the calls of State governments for the Commonwealth Government to make good on the commitment made by the former Liberal-Nationals Coalition Government? Unfortunately, it seems that the augmentation project has become a ball on the political pitch. The great injustice is the complete disregard that the Rudd Government has had for the augmentation project and the utter contempt that it has had for the people of the Tamworth region, as displayed by its initial funding freeze and now stone silence on its position. It is time for both the State and Federal governments to come good on this project. It is time for the augmentation project to be commenced.

SUSTAINABLE ENERGY AND THE TREASURER, THE HONOURABLE MICHAEL COSTA

Mr IAN COHEN [12.44 p.m.]: I draw attention to the issue of sustainable energy. Some 13 years ago this House debated the Sustainable Energy Development Bill at a time prior to the Kyoto Protocol when the political mainstream did not take anthropogenic climate change seriously, a time when my advocacy for a transition to renewable energy in this House was met with disdain. If only the House had taken note 13 years ago we would have already made significant inroads to insulating the State environment and economy from the challenges of energy security and climate change rather than witnessing the blunt and senseless push for privatisation. It is obvious and it has been well espoused that the Treasurer is a climate change sceptic, along with fellow sceptics who live in caves and indulge in grand conspiracies of the Intergovernmental Panel of Climate Change manipulation and fringe science, who suggest that he remains a principled individual.

Prosperity, opportunity and fairness are the three central principles the Hon. Michael Costa wants to deliver to the people of New South Wales. On 19 September 2001 the Treasurer drew to a close his inaugural speech to the New South Wales Parliament with an aspirational declaration, still relevant to this day. He said:

Today we certainly saw an example of that. We have not seen a stronger alliance between a Premier and a Treasurer. The Treasurer has provided the Premier an unbalanced alliance of domination only ever seen in history in my mind between the domination of Tsar Nicholas by Rasputin. Let us just hope that the political end of Treasurer Michael Costa is somewhat quicker.

RECALL OF PARLIAMENT COSTS

Reverend the Hon. FRED NILE [1.46 p.m.]: Will the Legislative Council send the account for the recall of Parliament to the Opposition for failing to announce its policy one week ago?

Question—That this House do now adjourn—put and resolved in the affirmative.

Motion agreed to.

The House adjourned at 1.46 p.m. until Tuesday 23 September 2008 at 2.30 p.m.

_______________

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