SCHOOLS, ECONOMIC STIMULUS PACKAGE

Mr VENNING (Schubert) (16:52): Today, I want to speak about the lack of opportunities for regional companies to tender for school building projects. The federal government's much publicised stimulus package includes many measures relating to schools: provisions to build or upgrade large scale infrastructure such as halls or libraries in every one of Australia's 9,540 schools; to build 500 new science laboratories and language learning centres in schools that can demonstrate need; and to give up to $200,000 to every Australian school for maintenance and renewal of school buildings.

There has been much debate about whether or not the measures relating to schools in the package will help improve educational outcomes for Australian children, and many from within school communities are critical that they do not have a choice in where the money is going to be spent within their schools. They are being told that they have to have a new hall or an upgrade to the library, when, in fact, they may need extra computers.

The aim of the stimulus package (as stated in the press release by the Prime Minister) is to support jobs and to invest in future long-term economic growth. However, I strongly doubt that this will result, as is starting to show. Rather, our country will be thrust into a period of extreme debt. It has been brought to my—

The Hon. J.D. Lomax-Smith interjecting:

Mr VENNING: Wait until I have finished. It has been brought to my attention by a constituent that there is no directive in the federal plan encouraging regionally based companies to tender for the work or giving them any sort of priority to provide services in the building of schools' infrastructure within rural and country South Australia. By 10 May, the federal Department of Transport, Energy and Infrastructure will announce the selected builders to whom various schools will be allocated. However, there is no requirement or encouragement by the Rudd Labor government for the builders to invite or select local or regional suppliers or contractors to provide the services or equipment needed.

As quite rightly pointed out by my constituent, this could very well mean that no work could be allocated to any regionally based organisations on projects being undertaken at schools within that region. It makes one ask the question: how then is the building schools part of the stimulus package going to create jobs and stimulate the economy for local businesses located in rural and regional areas? Or is the Rudd government aiming to help big companies and corporate organisations based in cities or metropolitan areas?

There are many businesses and companies located in rural and regional South Australia, and no doubt Australia, that would be capable of providing the services needed to construct and upgrade school infrastructure. Given the current strain being felt by country communities as a result of the drought and difficult economic times, I believe that the federal Rudd government should have encouraged regional businesses to tender at the very least and should have even mandated that a certain percentage of the work should be allocated to regionally based companies.

The long-term goals that the Rudd Labor government has for future generations of sustainable employment, thriving small business and a strong rural market economy will not be helped one bit by the building schools program, or any part for that matter of the stimulus package. This on top of the state government's shared services initiatives is hurting country South Australians. This particular constituent I have mentioned here—

The Hon. J.D. Lomax-Smith interjecting:

Mr VENNING: I am happy to show the detail to the minister, if she will keep quiet for a bit. This particular constituent heads up one of South Australia's very long-term businesses of historic significance—a name synonymous with our state—and it has been one of the largest and most successful. Its success is pivotal to the small country community where it operates. I hope this can be addressed before it is too late.