House debates

Wednesday, 3 February 2010

Appropriation Bill (No. 3) 2009-2010; Appropriation Bill (No. 4) 2009-2010

Second Reading

12:17 pm

Photo of Chris TrevorChris Trevor (Flynn, Australian Labor Party) Share this | Hansard source

Today I will seek to restrict my comments to the actual contents of Appropriation Bill (No. 3) 2009-2010 and Appropriation Bill (No. 4) 2009-2010. The contents are very important not only for the people in my electorate of Flynn but also throughout Australia generally. The bills will provide vital funding for critical programs provided by my government and its agencies and for capital injections into new and expanding programs and projects.

The appropriation of these funds provided by these bills is sought for government decisions included in the Mid-Year Economic and Fiscal Outlook and decisions taken since its release. Bill No. 3 aims to provide additional money out of the consolidated revenue fund for the ordinary annual services of the government and for related purposes. The total appropriation being sought by the provision of this bill is some $1.68 billion. The key measures arising from this proposed appropriation include $0.5 million for the establishment of a key Local Government Reform Fund, $510.8 million for additional funding for the Solar Homes and Communities Plan, $290 million for additional funding for the Home Insulation Program, $45.2 million for funding for the government’s response to the H1N1 influenza virus pandemic, $40 million for additional funding for the General Employee Entitlements and Redundancy Scheme and $63 million to meet the cost of increased irregular maritime arrivals.

The proposed appropriations in this bill arise from changes in the estimates of program expenditure as a result of variations in the timing of payments and predicted increases in program participation reclassifications and from policy decisions taken by the government since the last budget. Included is an additional $510.8 million, which will be provided to the Department of the Environment, Water, Heritage and the Arts to ensure commitments under the Solar Homes and Communities Plan are met.

While this program was terminated on 9 June last year, it was replaced by the Solar Credit Scheme, which provides assistance to households, small businesses and community groups with the upfront costs of eligible small-scale renewable energy systems installed subsequent to the date that the previous plan was terminated. When considering the achievements of the Solar Homes and Communities Plan, which are quite substantial, and the predicted future of it, the appropriation of these funds is not only necessary but absolutely vital. More than 50,000 systems had been installed as at the end of September 2009 under the scheme, with another 70,000 expected to be installed under the program in the future. The funds that are sought for this program will ensure its continued success, a success that benefits both the community of Flynn and the environment and the people of Australia.

In addition to this, the government proposed to bring $290 million forward from the 2011-12 budget for the Department of the Environment, Heritage and the Arts to meet an increase in demand for the home insulation program. As was outlined by the department, this program will cover all eligible households until 21 December 2011 or until the date when the funds allocated for the program are exhausted. As we know, due to the fact that there has been such a high take-up of the program already, the funds needed to be brought forward to meet the demand.

In my own home electorate of Flynn in Central Queensland this program has seen huge success, which is evident in the large influx of applicants for the assistance that it provides. It has been so successful in Flynn that I have received calls from a number of suppliers of insulation that cannot source product quickly enough to keep up with the demand. It is an important program, not only for the people of Central Queensland and the electorate of Flynn but also for the people of Australia. In some parts of my electorate, temperatures quite often drop to somewhere near below zero in winter and soar above 40 degrees in summer. In these parts of Flynn, insulation makes a huge difference to homes by helping to regulate the temperature in an energy efficient manner. This program makes the lives of many of my constituents easier and their support for the program is a testament to that, with many calling our office to express their gratitude for the assistance. The bringing forward of this funding is necessary to continue to meet the increasing demand for what I believe to be an excellent program.

Another important matter that this bill seeks to address is the proposal to provide the Department of Health and Ageing with some $45.2 million in response to the H1N1 influenza virus pandemic. The funding is sought to manage this pandemic and to enhance preparedness for any future pandemics by supporting activities including but not limited to the storage, compounding and distribution of antivirals and protective equipment to health workers; production, processing and distribution of immunisation consent forms; and the conduct of an immunisation awareness campaign. As at September 2009, there were 36,028 confirmed cases of H1N1 virus in Australia. While the frequency and severity of the virus was substantially lower than its originally anticipated potential, the Australian government recognises that the pandemic needs to be properly managed. As a country, we need to be prepared for any future pandemics.

As a family man and a father of five children living in a close-knit community, I am a huge supporter of this initiative to enhance preparedness for future pandemics and the management of the virus. I have personally witnessed in my own electorate fears expressed by parents of young children about the devastating potential of the virus. It is indeed reassuring for these families to know that we as their government are actively enhancing preparation to combat future pandemics. The appropriation of funds for this excellent initiative is another vital component of this bill that has my full support.

The Department of Education, Employment and Workplace Relations will be provided with some $40 million in additional funding to meet an increase in demand for assistance from the General Employee Entitlements and Redundancy Scheme due to a rise in bankruptcies and insolvencies. I find this scheme invaluable in my electorate of Flynn. There is no denying that we are at the tail end of an absolutely devastating global financial crisis and, while our country was protected from the worst of it by the exceptional initiatives implemented by my government, many bankruptcies and insolvencies have occurred and will continue to occur as we pass over the tail end of it.

As the member for Flynn, which is arguably—or will soon be—the economic powerhouse of the nation, I know that initiatives like this will provide employees and their families with an additional security should their employer’s situation turn sour. It is a safety net that serves a very important purpose, and the appropriation of additional funding for it is something I strongly support—not just for the people in my electorate of Flynn but for all Australians who may come to need this assistance.

An additional appropriation of $63 million is proposed for the Department of Immigration and Citizenship to meet the costs of increased irregular maritime arrivals. It is quite obvious that recently there has been an increase in the frequency of irregular maritime arrivals so it is undeniable that additional funding is necessary to meet the increase in these arrivals. A new clause has also been included in the bill to give effect to the government’s decision to reduce the amount of unspent and uncommitted depreciation and make good funding that agencies have accumulated since the introduction of accrual appropriations in 1999-2000.

Appropriation Bill (No. 4) 2009-2010 aims to appropriate additional money out of the consolidated revenue fund for certain expenditure and for related purposes. Appropriation Bill (No. 4) includes amounts which have previously been provided for as follows. Some $114.9 million has been reclassified from administered expenses to make payments direct to local government for the East Kimberley development package. There has been $18.3 million reclassified from payments which were to be made under the Federal Financial Relations Act 2009 to payments direct to local government for various Nation Building Roads to Recovery projects, and $10 million, which was unspent last financial year due to delays in the negotiation of funding arrangements, is proposed for the Regional and Local Community Infrastructure Program.

The Department of Infrastructure, Transport, Regional Development and Local Government will be provided an additional $12 million with the appropriations proposed in both of these bills. This will be utilised for the establishment of a local government reform fund to help councils manage their infrastructure and to plan for their future needs. In additional to this it will provide funding under the Regional and Local Community Infrastructure Program to support investment in community infrastructure such as libraries, community centres, sports centres and environmental infrastructure. It will improve the capability of local governments to manage their assets to better provide outcomes for communities through management of assets and financial planning processes and anticipated infrastructure needs. For all councils across Australia this is a positive step in the process of helping them build a better future for their residents.

The appropriation bills provide scope for vital funding of critical programs provided by government agencies, and capital injections into new and expanding programs and projects. It is irrefutable that the purposes for which these funds are to be appropriated are very important for the future of Australia and it is undeniable that these programs and projects are tremendously positive for all Australians.

Comments

No comments