Ministerial Statement

AUTOMOTIVE INDUSTRY

The Hon. J.W. WEATHERILL (Cheltenham—Premier, Treasurer, Minister for State Development, Minister for the Public Sector, Minister for the Arts) (16:16): I seek leave to make a ministerial statement.

Leave granted.

The Hon. J.W. WEATHERILL: On Saturday, the Australian people elected a Coalition government led by the Prime Minister-elect, the Hon. Tony Abbott MP. I wish the new government well and look forward to working constructively with Mr Abbott and the new government for the benefit of South Australia. I also take this opportunity to thank both Kevin Rudd and Julia Gillard for their contribution to our nation and to South Australia. The Labor government of the last six years has delivered a policy legacy of which our nation and our party can be proud.

For South Australia, in particular, the delivery of the Murray-Darling Basin Plan, the construction of new infrastructure like the South Road Superway and the extension of rail to Seaford, and the development of the South Australian Health and Medical Research Institute will help secure our state's future. The introduction of DisabilityCare and the increased funding under the Better Schools package are also significant reforms.

In South Australia, the most urgent economic priority is to secure the future of the automotive industry in our state. Since the last meeting of this house, Holden workers have made the difficult decision to forgo pay increases and change some of their working conditions to do what they can to secure the future of the plant. This was a very difficult decision for those workers.

On the day of the ballot, the government joined with many non-government organisations from across South Australia in committing to purchase locally-manufactured vehicles and back the Australian car industry, so that those workers knew that they had the support of the whole community. These community organisations included RDNS, the Royal Society for the Blind, Centacare, the Guide Dogs Association, Minda Incorporated and Uniting Communities. Their commitment came on top of commitments made by other organisations including the City of Salisbury and Anglicare.

Now that Holden workers have made their tough decision, it is time for the incoming commonwealth government to make clear its approach to the automotive industry. Before the election, the Liberal Party pledged to remove $500 million from the Automotive Transformation Scheme. This was reaffirmed in a costing document that was released by the Liberal Party in the last week of the campaign.

The Liberal Party also stated that it planned to subject the next phase of the funding in the Automotive Transformation Scheme to review by the Productivity Commission. These cuts were backed fully by their state Liberal colleagues opposite. The industry cannot afford these cuts, and we urge the incoming Coalition government to find a new approach.

We will stand up for the interests of the automotive industry and fight to secure the up to 16,000 jobs across our state, just as we stood up for the interests of South Australia over the River Murray and fringe benefits tax changes under the previous commonwealth government. We will continue to push for changes to the fringe benefits tax arrangements because we believe that the current FBT system does not provide the level of support for local industry that it should.

The first responsibility of every member of this house is to do what is in the best interests of South Australia, regardless of party allegiance. The government has proven that it is willing to do so. On the other hand, those opposite have chosen to lock in behind the cuts made by the Liberals in Canberra. South Australia cannot afford to trust its economic future to them.