Helen Coonan (NSW, Liberal Party, Shadow Minister for Finance, Competition Policy and Deregulation) Share this | Link to this | Hansard source

My question is to the Minister representing the Minister for Infrastructure, Transport, Regional Development and Local Government, Senator Conroy. I refer the minister to the OECD’s recent world Economic Outlook, highlighting the fact that infrastructure projects currently underway from the Rudd government’s stimulus spendathon require transparency and more rigorous scrutiny. Given that the Treasurer stated in September 2008 that the government’s infrastructure would be subject to ‘rigorous cost-benefit analysis’, can the minister confirm that a cost-benefit analysis has been carried out on all of the government’s infrastructure projects?

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

Thank you for that question, Senator Coonan. This issue has been canvassed extensively at Senate estimates. I know Senator Coonan has many responsibilities, so she perhaps has not been there when this has been extensively canvassed, and I appreciate that she is drawing on a recent OECD report to try to freshen the question up, but it has been pursued at length by Senators Parry and Abetz.

What Infrastructure Australia have indicated is that they have done an enormous amount of work, and I am happy to go and get those references from Senate estimates just to confirm absolutely Mr Deegan—

Eric Abetz (Tasmania, Liberal Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

A blank page doesn’t answer the question.

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

I think that, particularly on Mr Deegan from Infrastructure Australia, you are casting quite a slur there, Senator Abetz, and I know you do not actually mean to do that. I assure you Mr Deegan has had full opportunity to address your questions and he has done so, so I will endeavour to get for you copies of his transcript about the processes of Infrastructure Australia.

Let us be clear about this. The Rudd government put in place an economic package that dealt with the short term successfully—despite being opposed by those opposite—and that has medium- and long-term solutions: the infrastructure spend to deal with the medium-term situation and the infrastructure outcomes in rail, ports, broadband and roads. We are looking at all of these as medium- and long-term solutions that this economy needs and that were the subject of enormous neglect by your government. There were 18 reports, from recollection, from the Reserve Bank that made mention of the fact that the country had infrastructure bottlenecks. Your government chose—

Nick Sherry (Tasmania, Australian Labor Party, Assistant Treasurer) Share this | Link to this | Hansard source

Twenty reports.

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

Twenty was it, Senator Sherry? It was 20 reports, not 18; I am corrected. (Time expired)

Helen Coonan (NSW, Liberal Party, Shadow Minister for Finance, Competition Policy and Deregulation) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. The minister would be aware, no doubt, of similar criticisms by the government’s independent Chairman of the Productivity Commission, Mr Gary Banks, who recently stated, ‘It would be desirable to delay the progression of larger scale “nation-building” infrastructure proposals that were brought forward and selected without the opportunity to conduct adequate cost-benefit analysis.’ Is the Chairman of the Productivity Commission of Australia correct?

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

All projects funded under the Building Australia Fund were recommended by Infrastructure Australia. The prioritisation methodology used by Infrastructure Australia in assessing projects is publicly available on the website. It has been canvassed ad infinitum at Senate estimates. In relation to the Oakajee Port, the government’s decision was subject to further consideration by Infrastructure Australia, and this was clearly stated in the budget. The government also took decisions in the budget to fund additional infrastructure projects separate to the Building Australia Fund that were considered to have merit. The decision to fund the Cooroy to Curra section of the Bruce Highway was based on the fact that this section has the worst safety record of any road on the national network, with crash rates 40 per cent above the national average. (Time expired)

Helen Coonan (NSW, Liberal Party, Shadow Minister for Finance, Competition Policy and Deregulation) Share this | Link to this | Hansard source

We will never know whether the minister agrees whether the Productivity Commission chairman is correct. Mr president, I ask a further supplementary question. As it is clear that only seven out of the 15 infrastructure projects slated to go forward have been approved by Infrastructure Australia, will the minister now admit that the government has signally failed to ensure value for money for Australian taxpayers for its $8½ billion infrastructure stimulus spendathon?

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

It is disappointing that those opposite, who made the wrong call on the economic stimulus package from day 1, are now again digging the hole deeper by criticising, attacking and opposing these infrastructure projects, which they neglected for 11½ long years—projects like the O-Bahn track extension, which was not formally submitted to Infrastructure Australia for prioritisation. However, the government considered it to be a significant Major Cities project. It is the most highly patronised public transport corridor in the Adelaide metropolitan area. We have seen $1.2 billion for the Australian Rail Track Corporation. We are seeing the Brighton bypass in Tasmania. Yet I hear Senator Abetz interjecting that Tasmania got nothing. We have the Northern Expressway in South Australia, the western ring-road in— (Time expired)

Eric Abetz (Tasmania, Liberal Party, Deputy Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

Mr President, I raise a point of order. That was a gross misrepresentation. This was a very rare occasion where I was in fact not interjecting.

John Hogg (President) Share this | Link to this | Hansard source

Order! There is no point of order.

Stephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | Link to this | Hansard source

I accept your admonition, Senator Abetz.

John Hogg (President) Share this | Link to this | Hansard source

Order! Your time has expired, Senator Conroy. We will go to the next question.