Luke Gosling (Solomon, Australian Labor Party) Share this | Link to this | Hansard source

The Northern Territory can see right through the Treasurer's plan to change the measure of horizontal fiscal equalisation from 'equal' to 'reasonable' in relation to the GST. We know that this is just a short-term political fix to pick up some votes in certain jurisdictions but it will have a devastating long-term impact on the Territory, leading to a permanent drop in the Territory's GST revenue. You won't be closing the gap on Indigenous disadvantage; you'll be widening it. You won't be developing the North; you'll be killing it off.

Horizontal fiscal equalisation recognises that different jurisdictions in our Federation have different capacities to generate revenue that we need to pay for things like education, housing, health and policing. The Treasurer proposes to permanently reduce the standard of services and infrastructure development in the Northern Territory. The Productivity Commission is consulting around the country but not in Darwin—not in the northern capital of Australia, the very jurisdiction that's most under threat. I call again on the Treasurer and Senator Scullion to fix this injustice, bring the Productivity Commission to Darwin and make sure that Territory voices are heard in this very important debate for our Federation.