House of Assembly Fifty-Third Parliament, Second Session (53-2) 53 2 Parliament of South Australia House of Assembly published Question Time Motor Accident Commission Motor Accident Commission Ms CHAPMAN House of Assembly Bragg Deputy Leader of the Opposition Motor Accident Commission Ms CHAPMAN (Bragg—Deputy Leader of the Opposition) (14:25): My question is to the Treasurer. Has the government undertaken any modelling or received any advice regarding the likely changes to the cost of CTP premiums after the cap on pricing is removed? The Hon. A. KOUTSANTONIS House of Assembly West Torrens Minister for Finance Minister for State Development Minister for Mineral Resources and Energy Minister for Small Business Motor Accident Commission The Hon. A. KOUTSANTONIS (West Torrens—Treasurer, Minister for Finance, Minister for State Development, Minister for Mineral Resources and Energy, Minister for Small Business) (14:25): What we have done is we have got PricewaterhouseCoopers to do some modelling for us about the best model to allow a competitive market to grow in the compulsory third-party premiums area. There has been a lot of confusion, I think, by the media and members opposite, that we are somehow selling the Motor Accident Commission as a monopoly provider— Members interjecting: The Hon. A. KOUTSANTONIS House of Assembly The Hon. A. KOUTSANTONIS: I know you want to be noticed where we send backbenchers to die, but it's okay, we know you are there; it's alright. What we are doing is we have got modelling about what is the most efficient way to allow South Australians to have more choice when it comes to compulsory third-party premiums, remembering that we compel South Australians—every South Australian that registers their motor vehicle—to have compulsory third-party premiums. So, it is a compulsion on South Australians, and we now have a government-run monopoly that issues those premiums. We believe, as do our commercial advisers, that the best option for South Australians is that that go out to a competitive market. Mr Marshall House of Assembly Mr Marshall: You can do that with the existing legislation. The Hon. A. KOUTSANTONIS House of Assembly The Hon. A. KOUTSANTONIS: Yes, we can. The legislation that we are seeking to introduce is to have an independent, industry-specific regulator. What the Leader of the Opposition is talking about is, 'Well, why don't you just use the government guarantee to protect taxpayers'— Mr Marshall House of Assembly Mr Marshall: Don't put words in my mouth! The Hon. A. KOUTSANTONIS House of Assembly The Hon. A. KOUTSANTONIS: —like a bank— Members interjecting: The Hon. A. KOUTSANTONIS House of Assembly The Hon. A. KOUTSANTONIS: —like a bank— Mr PISONI House of Assembly Mr PISONI: Point of order, sir: the minister is— The Speaker House of Assembly The SPEAKER: Why is the member for Unley waving his arms about? Mr PISONI House of Assembly Mr PISONI: —entering debate. When he refers to what he believes the Leader of the Opposition has said, he is obviously entering debate. The Speaker House of Assembly The SPEAKER: I thank the Leader of the Opposition for answering my question. I don't uphold the point of order. The Hon. A. KOUTSANTONIS House of Assembly The Hon. A. KOUTSANTONIS: The advice that our commercial advisers gave us is the Motor Accident Commission cannot guarantee that premiums won't increase or decrease under a government monopoly. The best way to ensure a competitive market which will actually give motorists a more competitive outcome is that we will allow the private sector, in a competitive way, to offer people premiums. I know members opposite are harking back to the 1980s, when there were great socialist initiatives by using government guarantees to run public institutions. We do not believe that. We believe that the private sector can do this better. I am stunned that there are members in the Liberal Party who actually think issuing government guarantees in the private sector is a good thing, and I am looking specifically at the member for Davenport— Members interjecting: The Speaker House of Assembly The SPEAKER: Point of order. Mr GARDNER House of Assembly Mr GARDNER: The Treasurer's characterisation of what he believes Liberal Party members' views are is clearly debate. The Speaker House of Assembly The SPEAKER: I think the Treasurer has made his point. Supplementary, deputy leader.