Parliamentary Committees

Economic and Finance Committee: Annual Report 2017-18

Mr DULUK (Waite) (11:21): I move:

That the 2017-18 annual report of the committee be noted.

The report outlines the activities of the Economic and Finance Committee since 1 July 2017, which include work undertaken in the 53^rd parliament prior to the election. I thank those former members for their service to the committee. The House of Assembly appointed the eighth Economic and Finance Committee on 3 May 2018, when I was appointed to the committee together with the member for Colton, the member for Lee, the member for Morphett, the member for Narungga, the member for Ramsay and the member for Wright.

On 10 May 2018, I was pleased to be appointed as Presiding Member by the committee. On 31 July 2018, the member for Finniss was appointed to the committee, replacing the member for Narungga. I thank all members, past and present, for their contributions to the committee throughout the 2017-18 period, particularly my predecessor as presiding member, the member for Elizabeth. On this note, I want to continue to chair the committee in the fine way that you did, member for Elizabeth, especially in the manner and good grace that you afforded opposition members at the time. I long to be that even, fair-minded presiding member, especially for the member for Lee, as the committee continues.

The committee tabled three reports in the reporting period, including the final report for its inquiry into primary producers, entitled 'From the paddock to the plate: a fair return for producers', which was tabled in the last parliament. I know that the committee is looking forward to the response from government in regard to that inquiry. As part of that inquiry, the committee received 17 submissions and heard from 35 witnesses across seven hearings. The final report made 13 recommendations aimed at improving government support for primary producers in South Australia.

In June 2018, the committee commenced an inquiry into South Australian investment attraction policies. The committee received 27 submissions and has heard from 27 organisations across nine public hearings, including a hearing in Salisbury on 9 October 2018 and in Murray Bridge on 11 October 2018. The committee also visited Beston Pure Foods' cheesemaking facility following the hearing in Murray Bridge. I thank the City of Salisbury and the Rural City of Murray Bridge for hosting the committee for those hearings. I thank all those businesses, local governments and others who met with us, including the member for Hammond, who is always a strong supporter of his community. The committee plans to table its final report on this inquiry in early 2019.

The committee also performed its various statutory functions during the reporting period, including reporting on the annual emergency services levy, considering the sport and recreation fund allocations and hearing evidence from the Auditor-General in relation to his annual report. The committee plans to continue its busy work schedule throughout 2018-19. As noted in this report, the committee commenced an inquiry into the economic contribution of migration to South Australia in August 2018 and has received 30 submissions to date. The committee held its first hearing a fortnight ago and has already heard two inquiries in relation to this matter.

On behalf of the committee, I thank all those who have contributed to its inquiries and assisted the committee with its important work over the past year. The committee has been supported by Dr Josh Forkert, Adam Marafioti, Lisa Baxter, Shannon Riggs and Peta Spyrou, and I thank them for their assistance. I commend the Economic and Finance Committee's annual report for 2017-18 to the house.

The Hon. Z.L. BETTISON (Ramsay) (11:25): I rise to speak to the annual report of the Economic and Finance Committee. I was a member of the committee in 2017 and rejoined it this year. This year, we are hosting two inquiries; the first is into investment attraction and the other into migration. We were keen to conduct an inquiry into sports betting, which is pervasive and increasing in our state. Alas, we were not supported by government members, with the Chair utilising his casting vote on every occasion to defer this inquiry.

My remarks today will focus on the current investment attraction inquiry. Advertised on 30 June 2018, we received 26 submissions and heard from 22 organisations across seven hearings. What was the purpose of this inquiry? Was it the acknowledgement, independently analysed by the South Australian Centre for Economic Studies, that under investment attraction in South Australia 36 projects were secured and announced, leading to the creation of almost 9,000 jobs, more than $2.275 billion of capital investment for this state and a 10-year analysis that the gross impact of GSP was to be $9.08 billion? No, it was not. It was a witch-hunt.

The arrogance that Labor got it wrong and only the Liberal Party will know how industry investment attraction will best benefit South Australia—that is what this inquiry was about, not an acknowledgement of what had been achieved, independently analysed. Let's have a look at what has happened. This government has killed off Investment Attraction South Australia, kicking to the kerb Rob Chapman, chair of the board. They said to TechInSA head, Joe Thorp, 'Thanks, but no thanks.' To Marco Baccanti, they said, 'Yes, health industries is important, but now you're just part of the department. And of course we'll get a bloke from New Zealand to review everything.' That is a consultant. I wonder how much he will cost.

We have heard a lot about transparency and not picking winners, so imagine my surprise when Mitsubishi Motors Australia was supported with $2 million from the Economic and Business Growth Fund. Did this go through the governance group? No, it did not. Let's talk about that governance group, the group that will support the Economic and Business Growth Fund. David Reynolds is the Chief Executive of the Department of Treasury and Finance. Jim McDowell is the Chief Executive of the Department of the Premier and Cabinet. Mike Hnyda is the Chief Executive of Department for Trade, Tourism and Investment. Mark Duffy is in the group as Chief Executive of the Department of Industry and Skills, along with Scott Ashby, the Chief Executive of the Department of Primary Industries and Regions, South Australia.

What will this group do? It will assess whether proposals meet the government's industry financial assistance principles and then advise the economic and infrastructure committee of cabinet. Did this newly formed governance group assess the support for Mitsubishi? No, it did not. What we heard is that this government will not pick winners and that it will be transparent, yet at the first hurdle it has failed.

Recently, in the Economic and Finance Committee, I asked a witness, 'How will companies apply for the Economic and Business Growth Fund?' I was told that there will not be an application process. In fact, to this very day, the criteria remain a mystery—so much for transparency. If you cannot actually apply for this fund, how will organisations know that they can access what is, I think, $100 million over the forward estimates? Is it a mysterious process followed on some principles that are not made public that this governance group will assess? There is just hypocrisy here.

What makes me most concerned is that this government was willing to dismiss the great independently analysed work that was done with Investment Attraction South Australia looking at the benefits for this state. They just could not bring themselves to do it. They could not say, 'That was a good process.' They just had to tear it up.

What we see here is a government without a plan. It has gone from saying it will not pick winners to its very first act out of the Economic and Business Growth Fund to make a decision to give Mitsubishi $2 million without going through a process. Today, I have spoken about the Economic and Finance Committee and looked at the report. This is a concern of mine and I will continue to raise it in this house.

Mr ELLIS (Narungga) (11:32): I rise today to speak to the Economic and Finance Committee Annual Report. I note that I was delighted to be appointed to the Economic and Finance Committee at the start of this parliament, along with the members for Waite, Colton, Morphett, Wright, Lee and Ramsay. It was a tremendous honour. They are a tremendous bunch of people on a very important committee.

Prior to my leaving the committee, I very much enjoyed the way the member for Waite ruled that committee with an iron fist. I think it was a well-run committee, kept very much in line by a capable Chair. That was reflected when the member for Waite chaired an estimates committee, which was also similarly well run. It ran seamlessly, stayed on topic and never strayed too far from the primary purpose of that particular committee. I congratulate the Chair, the member for Waite, on the studious way that he runs this committee and congratulate all members currently serving on it.

I had to vacate the Economic and Finance Committee in order to facilitate other committees taking place. It was relayed to me that there was no other possible time for the Crime and Public Integrity Policy Committee to sit when every member would be available and, as such, that a change of committee membership would be required to facilitate both committees continuing.

Although I was regretful, I was immensely proud to join the Crime and Public Integrity Policy Committee, and I am sure that the Economic and Finance Committee may well be even better off now that the member for Finniss has joined in my stead. I am sure that committee members would argue that he would probably be a far more capable member than I could have ever hoped to be and I am sure his contribution has been great.

Whilst I was on the committee, I did get to enjoy the handing down of the ESL bill reduction report, which was a tremendous honour, particularly for me as a regional member. It was a great honour to see that put in writing and its importance validated through that report. The surprise tax hike that the previous government imposed on ordinary South Australians post the 2014 election was an abhorrent decision, in my view, and it was good to reverse that, with $90 million returning to the pockets of ordinary South Australians.

South Australians were doing it tough at the end of 2014 and taking away more of their disposable income so they had less to put towards groceries, utilities and other basic life expenses was a difficult thing to do, I imagine, and should never have happened. There was obviously less money for utilities, groceries and basic living requirements. However, in my view, it was even more impactful for regional landowners with large parcels of land when their ESL bills increased dramatically by huge percentages and became even more burdensome for those people. It was pleasing for me to be on the committee and hand down that report.

I think the biggest shame, according to constituents I talked to after the ESL bill hike, was that there did not appear to be, in their view, a great deal of improvement in the emergency services that were being provided. One would have assumed that, with an increase in the ESL levy, there would have been a corresponding increase in the level of emergency services provided to regional South Australians, and to metropolitan South Australians, for that matter. Landowners felt that they were out of pocket significantly and that there was no corresponding improvement to the quality of service they were receiving, for which that money was supposed to be provided.

As I have said a number of times, it was good to be a part of that committee. I very much enjoyed the review of the ESL bill reduction, and I look forward to seeing the continued benefit it provides to ordinary South Australians, particularly those who are perhaps less fortunate, such as the pensioners or older people who have even less disposable income than others do and struggle to make ends meet for basic life expenses. They will now have more in their pocket to ensure that they can continue to warm their house in winter and cool it in summer—and that may be needed today. That was a tremendous honour.

I think I was also on the committee when the idea for an investigation into red tape was mooted by, I believe, the member for Waite. That is a fantastic proposal that should immediately take precedence over other ideas on that committee. So many South Australian businesses are suffering from overbearing rules and regulations. The lengths that some business owners have to go to in order to simply operate a business, or simply to employ people, is staggering. It honestly sometimes makes you wonder where we find people who are willing to put themselves out like that to do such a thing, but thank God they do. It is vitally important that we continue to have small business operators who are willing to take people on and are willing to provide employment to our South Australian people.

I certainly know that a lot of small business owners in the electorate of Narungga will be eager to make a contribution to that particular investigation. I will make sure that I make them aware of it when it comes on. I will encourage them to contribute and make sure that submissions are obtained from right around the state to ensure that we can reduce some of the red tape and regulation that we have in South Australia at the moment.

I believe it is the place of government to make things easier for individuals in business, not harder. We need to be putting measures in place to encourage prosperity, and then we need to get out of the way to allow that prosperity to develop and to foster it so it can continue to grow and provide the environment for business to succeed. With so much red tape and regulation in place at the moment, that is an impossible task.

Finally, we have a government who recognise their role, understand what they ought to do and are willing to do that. I am sure the submissions of businesses around the state will be taken seriously and will be given due and sincere consideration. I look forward to seeing that report, which I believe will be tabled early next year. I wholeheartedly support the committee and implore them to get on with that investigation, give it precedence, skip it to the front of the queue and make it a priority of the committee to investigate red-tape reduction in the state of South Australia.

The other investigation that I would like to briefly touch on in the remaining minutes I have is the opportunity that the investment attraction investigation gave to South Australians in general. My information from the annual report, which appears to be slightly different from the member for Ramsay's information, was that there have been 27 submissions received and 27 businesses heard from over nine public hearings around the state.

It is great that the committee made its way to Murray Bridge to receive submissions and also to the City of Salisbury to get out amongst the constituents and hear from them directly in a comfortable environment. It was pleasing to note that, and it was good to see a wide range of submissions received by the committee. I am sure that the report will be insightful reading. My view is that that was an important investigation for two reasons. Firstly, this new government should be ideologically different from the former one in terms of investment attraction. It should have a different point of view and a different method for doing it, and I do not think that is a secret.

But it is important that this committee ascertains what worked for the previous government and what did not. Politics should be placed to one side, and if it can be proven that measures taken by the previous administration worked, then we should continue to provide them. These measures should be meaningful, long-term improvements to the environment that are required to attract and sustain business. Attracting investment needs to be long-term and not just cash gifts immediately prior to an election so that there are photos that can be taken and publicity that can be gained.

Attracting investment requires an environment which can be fostered and which provides for long-term, year-on-year investment. It is no good having a business arrive and, when the handout runs out, they up and leave again. We need a long-term environment to provide for sustainable, year-on-year investment. For that reason—I hope, anyway—it is important that we ascertain what the previous government did well and what they did wrong so that we can continue to improve the South Australian outlook.

Their methodology has been tested and, if it has been proven not to work and ineffective, then it is time to abandon it and, similarly, the opposite applies as well. I am led to believe that report will be tabled in early 2019, and I am hoping that it will confirm the course of action that this government has taken and, if not, then politics needs to be placed to one side and what works needs to be endorsed.

I would like to also take this opportunity to thank the staff of the Economic and Finance Committee, particularly former staff Ms Lisa Baxter, Mr Shannon Riggs and Ms Peta Spyrou for the work they did prior to my arrival, and the current parliamentary officer, Dr Josh Forkert, and research officer, Adam Marafioti. They are wonderful staff who make sure the committee works well, and they are doing a tremendous job. I would like to also congratulate, as I said earlier, the committee members who currently serve on there: the members for Lee, Ramsay, Colton, Morphett and Waite.

I look forward to seeing the work this committee can do over the next three years. I am sure that the important work with the investment attraction investigation, as well as the other investigations it undertakes, will provide enlightening reading when they are tabled in this place going forward. With those short remarks, I once again commend the work of the committee and look forward to hearing the contributions from all members in this chamber. I look forward to the reports being tabled in due course.

The Hon. S.C. MULLIGHAN (Lee) (11:41): I rise to speak about the second report of the Economic and Finance Committee, the 2017-18 annual report. It is, along with my colleagues, a pleasure to serve on this important standing committee of the parliament. It has a number of roles provided to it by the parliament, some of which we have just heard about from the member for Narungga. It is great that he was able to make a contribution on this important report; perhaps wonders will also never cease because perhaps Chad Wingard will come back to the 2019 end of season drinks for Port Adelaide—maybe that will also happen as well.

It has been wonderful to have the member for Narungga's insights, despite his no longer serving on the committee. It is also great to hear that he celebrates the $80 ESL bill relief provided by the government, on average, to the constituents of Narungga. It is unfortunate that the member for Unley is not here for this debate. I presume he is in his office in the parliament. Maybe he is celebrating with his constituents the $400 relief that they received—

The SPEAKER: There is a point of order, member for Lee.

The Hon. S.C. MULLIGHAN: —in the 5061—

The SPEAKER: Member for Lee, be seated for one moment.

Mr DULUK: As much as I enjoy the member for Lee, it is unparliamentary to reflect on whether a member is present or not in the chamber.

The SPEAKER: Yes, that is true. Member for Lee, can you please cease doing that and get on with it. Thank you.

The Hon. S.C. MULLIGHAN: Thank you, Mr Speaker, and I thank the member for Waite for his interjection and trying to break my flow; alas, it will not have any success. Perhaps there is a celebration going on amongst the constituents of postcode 5061 of Unley Park with the more than $400, on average, that they are getting—five times the amount that regional constituents of members of the Liberal Party are receiving as a result of the ESL changes.

However, unlike what happens in this chamber, I am pleased to report to the house that the numbers do bind when it comes to votes on the Economic and Finance Committee, and that has been important for the Liberal government, because not once, not twice, but 13 times have they voted against motions by Labor members, moved by me, to try to bring on the first inquiry that was agreed to by the committee, and that is into online gambling and sports betting.

It might just be the case that there was another priority to try to chase down a political ghost that is not in existence, or some offence that was created against the small 'l' Liberals on the other side when the government was providing industry assistance grants. Unfortunately, as we have already heard, that has really turned up nothing, other than to establish the projects that were supported under the former Labor government.

The average cost per FTE, under the industry attraction South Australia projects that were superintended, was about $10,000 per FTE. That sounds a lot in isolation, but when you consider that against the $2 million financial assistance that the Liberal government has given Mitsubishi—$100,000 per FTE; $2 million to secure an extra 20 FTEs—it sounds like a bargain. When you consider it against the $42 million loan to the Stadium Management Authority, allegedly to secure 100 extra jobs at $420,000 a job, then it stacks up as even more of a bargain.

I will not go on about the industry attraction inquiry; no doubt, we will have nothing to litigate on that in this chamber in future when we finally report on it. I did want to talk about that deferred inquiry into online gambling and sports betting because this is a problem in our community. This is important for the parliament to be turning its mind to and to address, though not in the minds of those opposite, of course, with their denying the opportunity for a committee of the parliament to investigate this issue 13 times.

When I have raised this issue in here, and when I have raised this issue in the media, what is the response that we get from the Liberal government? We saw only last week the extraordinary measure taken by the Attorney-General to complain that a member of parliament had had the temerity to raise an issue on behalf of his constituents about online gambling and sports betting. She tried to issue some sort of defence about why she had presided over and superintended over part of her portfolio responsibilities that saw the opening up of more gambling markets in South Australia and, in particular, the new opportunity for online sports betting and gambling to be done on amateur sport: in volleyball, in non-US grid iron and in a range of other sports here in South Australia.

The justification that was provided would be laughable if it were not so terrifying. The justification was, 'We asked the office for rec and sport and they weren't aware of any problems, so we went and asked the agency that requested that these markets be opened up for online sports betting. We went and asked Tabcorp if there were going to be any problems and they said, no, there wouldn't be any problems. "Don't worry, we'll do the right thing".' Fancy a national, if not multinational, gambling house providing an apparent assurance to a government that, 'Don't worry, we'll do the right thing. There's nothing to see here. Please just rubberstamp it.' Well, that is outrageous.

I have provided evidence to the media, and I have provided evidence in my remarks previously to this place, that there are gambling agencies providing bets on amateur sport here in South Australia—bet365 and Ladbrokes to name two. There are markets that are being offered on amateur soccer at the moment just because a contingency had previously been approved for soccer matches affiliated with the national soccer body, which is how contingencies are organised by the Independent Gambling Authority.

You might think that we would not have to worry about this because the Liberal government has taken the extraordinary measure of abolishing the Independent Gambling Authority, the authority that is meant to provide, by virtue of its name and legislation, independent advice about gambling activity here in South Australia. That is gone now and is now just to be presided over by a public servant who is being given no additional resources to conduct these extra responsibilities and requirements. Maybe in future, maybe when Tabcorp, bet365, Sportsbet, Ladbrokes or some other multinational gambling house wants to allow us to start betting on tiddlywinks in early learning centres, we will not even be able to ask them if they intend to do the right thing by our state. Maybe we will not have the resources to check. Maybe it will just be rubberstamped.

For the Deputy Premier to come into this place and say, 'Don't worry. There's nothing to see here. It's not a problem,' is just outrageous. The funny thing is that, in only the manner that the member for Bragg possibly could, she said, 'If the member for Lee has a complaint about this, if he's got some evidence, he should put up or effectively shut up.' Well, here is something that was reported to the media, to which the Attorney has had access, from guess who? Volleyball SA, one of the amateur sporting codes that will now be subject to online gambling markets in South Australia. According to the report:

Volleyball SA commercial manager Anne-Marie McAinsh said her organisation became suspicious of potential betting activity on June 28 when a man phoned asking about where and when State League matches were scheduled for that weekend.

A market appeared on Bet 365 that night offering live odds…

It is not just volleyball; representatives from amateur soccer organisations have contacted the media to say they have seen suspicious-looking characters standing on the far sideline of soccer pitches with a laptop, assessing who is in good form and who is not, and presumably reporting back to their betting masters so that appropriate odds can be offered on those matches. People who have been travelling overseas wearing the strip of their local amateur soccer team have been recognised in international airports because people are used to betting on those amateur teams.

Not only has this government shut down inquiries that could possibly stop the proliferation of this sort of behaviour in the community but the Deputy Premier has her head in the sand on this issue, justifying it because Tabcorp told her agency that it was okay. That is outrageous. We know from SACOSS and from testimony of former AFL stars that online sports betting and gambling is crippling people. It is sending them bankrupt, it is ruining careers, and it is ripping families apart.

While it might be a source of jocularity for members opposite who sit on the Economic and Finance Committee that they have been able to use their numbers to vote down this inquiry, the question has to be asked: how much more damage is going to be done by this scourge in South Australia while they sit on their hands and chase down some ghost of an industry attraction grant or loan that they do not agree with? It is shameful. I look forward to the 2018-19 annual report of the Economic and Finance Committee, and I hope I will have some better news to convey.

Mr COWDREY (Colton) (11:52): I rise to also speak on the second report of the Economic and Finance Committee, the annual report of 2017-18. I acknowledge that it is an honour to serve on this important committee in this place, and I thank the other committee members for their diligent work across the year. The committee is ably presided over by the member for Waite, with contributions by the member for Finniss, the member for Ramsay, the member for Wright, the member for Lee and the member for Morphett. We had the pleasure of the member for Narungga joining us for a short time at the beginning of the year when the committee membership was established.

Given that we are entering the Christmas break, it seems appropriate to recognise the great work of the parliamentary officers who have supported our committee so well over the year. I thank Mr Shannon Riggs for his work during the committee's transition period. He very ably supported the committee during that time. The appointment of Dr Joshua Forkert as secretary and Mr Adam Marafioti as research officer was well received, and the committee is thankful for the work they have undertaken over the year.

The Economic and Finance Committee is tasked with a number of responsibilities, and one of the most important is the emergency services levy. That report was brought forward in this place earlier in the year. Prior to the last election, the government committed to reduce the South Australian emergency services levy by 50 per cent, and that is exactly what was delivered after the election. The emergency services levy was a huge burden on a number of South Australians in my electorate and across the board, particularly given the 50 per cent increase. It was neither foreseen, foreshadowed nor in the best interests of South Australians in terms of cost-of-living pressures, and many South Australians were burdened with the costs over that time.

It was certainly well received by everybody I have spoken to within my community, well received more broadly from what I understand. It not just helps and assists that reduction in the emergency services levy in households but also supports community groups and others who were impacted by the unforeseen rise brought forward by the former Labor government. It does not seem that they like good news. They do not like to hear that it has been so well received by many in our community. We certainly know that it has been.

Aside from the emergency services levy, we are also responsible for the sport and recreation fund. The CE of the Office for Recreation, Sport and Racing, Kylie Taylor, and her team presented to the committee around the operation of the sport and recreation fund, which we know so ably supports so many of the sporting clubs and grassroots clubs throughout all our electorates and across South Australia. We are very thankful for their contribution to the committee and obviously their understanding of that fund that they impart more broadly across South Australia.

To skip back to the emergency services levy, I will take the opportunity, as we go into summer, to bring the house's attention to where our emergency services levy is used. That fund supports emergency services in South Australia. As we head into the warmer months, we should reflect on the commitment of our emergency services volunteers and paid employees and what they do for our communities.

Unfortunately, there was a fire in Henley Beach South yesterday evening. The Yankee Cafe had a blaze go through their roof cavity, which affected a couple of local businesses in the strip of shops on Henley Beach Road. I want to pass on my thoughts to the businesses and business owners affected. That strip of shops is a very popular spot on Henley Beach Road, visited by so many over the summer months, and there are some very popular eateries, and we certainly hope that they are able to recover and get up and running as quickly as possible.

The MFS certainly responded incredibly quickly and we are very thankful for the work that they do in all of our communities. Likewise with the CFS, particularly in our coastal seats, Surf Life Saving South Australia, the Sea Rescue Squadron and all the other emergency services that do such a great job continually supporting and doing what they can to keep our community safe in all aspects.

This year, a number of inquiries were started, the first being the investment attraction inquiry. As a committee, we had the great pleasure of going out to a number of places in South Australia. We held hearings in Salisbury and Murray Bridge. I place on the record my thanks to the members of our community who came forward and made submissions to the committee at that time. We had representatives from the City of Playford, the City of Salisbury, Northern Futures, northern economic leaders, the University of South Australia and Myriota. We certainly recognise and note the success of Myriota this week in regard to the rocket launch in South Australia and look forward to their future success and leadership in the space industry in South Australia. It certainly is exciting times for that company.

We also had representatives from La Casa Del Formaggio, who make fantastic cheese products in South Australia, Green Frog Systems and VeroGuard Systems. In Murray Bridge, we had representatives from the Rural City of Murray Bridge, the Mid Murray Council, Thomas Foods International, Beston Pure Foods, Big River Pork, Regional Development Australia Murraylands and Riverland and also the Murraylands Food Alliance, and the member for Hammond made a sterling contribution to the committee on that day.

Serving on the Economic and Finance Committee, I am taken aback and very much impressed by the level of detail in submissions put forward to our committees. It really is in the best interests of South Australia to have committees that are working effectively, and the way that works best is when we have the best and the brightest, those who have an interest in each of the inquiries put forward, submitting and taking part in the democratic process that is the parliament of South Australia.

I want to make a few brief comments in regard to the investment attraction inquiry and reflect on the past and future direction of investment attraction in our state. It has been well said that this government is looking to shift our focus from picking winners in individual businesses to a whole-of-sector support approach as, unfortunately, I think we had a number of submissions from companies who had taken an approach of soliciting to the highest bidder, where they had shopped around in different jurisdictions to see how much money they could solicit from a state government in terms of their location.

I do not think this is helpful from a broader perspective, that we are pitting state against state and spending more and more money to try to attract individual jobs. If there is whole-of-sector support, that allows people to make informed decisions about where their company should set up and we are not reduced to a bidding war around who moves where. From a longer term perspective, it is not sustainable to take that approach if, in three or four years' time when the money runs dry, that business then has the incentive to pick up and move and chase a dollar somewhere else.

The investment attraction inquiry will be finalised later in the year, and I look forward to seeing the recommendations that come from that report and the good work of the committee in that regard. I also look forward to future inquiries the committee is looking to undertake over the year ahead. The committee as a whole, I think, from a bipartisan perspective, from both sides of this chamber, has a particular interest regarding the impact of migration and the ability of migrants coming to South Australia to contribute to our great state.

We have heard a number of very detailed and well-developed submissions in that regard, and I think there is the potential for a large body of reform to come from that particular inquiry. I look forward to the future year and to serving on the Economic and Finance Committee in the year ahead.

Mr ODENWALDER (Elizabeth) (12:02): I rise to make a very brief contribution to this debate. I was not going to, but I thought I had better respond to the comments of the member for Waite, who was very generous in his praise of my previous stewardship of the committee. I thank him for that. I understand he has taken up the mantle and approaches Estimates Committee B in a similar bipartisan fashion, being fair to all sides.

I want to make a very brief contribution. I really enjoyed my time on the Economic and Finance Committee, particularly chairing the Economic and Finance Committee. Sadly, I understand, member for Waite, that the Treasurer has made some efficiency savings on the committee which—

Mr Duluk interjecting:

Mr ODENWALDER: We are all tightening our belts, member for Waite; there are crueller cuts in the budget than that. I understand he is doing a fair job in keeping up with the bipartisan approach that I well established on that committee.

As others have, I would like to take the opportunity to thank the hardworking staff of the committee, as I have done in this place before. Obviously the members all work very hard, but I want to make particular mention, from last year, of Lisa Baxter and Peta Spyrou, who made enormous contributions to that committee and who have gone on to other things in various places. I wish them all the best of luck in their future careers.

I will finish on this note. I understand—I could be wrong, and I will wait for the current Presiding Member's final concluding comments—that there is a report back from the minister that is overdue. Last year, or perhaps even the year before, we started an inquiry into primary producers, and I understand there is a statutory obligation for the minister to respond within a certain time frame. I understand that time frame has long passed, and I hope the Presiding Member will address this issue.

It was an important inquiry and made some important recommendations; indeed, it directly affects many of the members of the government backbench in terms of rural communities and the effect on primary producers. I look forward to the minister's response to that and I look forward to the Presiding Member of the Economic and Finance Committee reporting back to the house. With those remarks, I commend the report to the house.

Mr PATTERSON (Morphett) (12:04): I also rise to speak to the second report of the Economic and Finance Committee; in fact, it is the annual report 2017-18. It provides an overview of the activities that were undertaken by the Economic and Finance Committee in both the 53^rd and 54^th parliaments between 1 July 2017 and 30 June 2018. It also provides an update of the committee's ongoing inquiries that are happening as we speak in 2018.

The new committee, as of the March 2018 election for the 54^th parliament, was put in place, and on 3 May 2018 the House of Assembly appointed the eighth Economic and Finance Committee. The member for Waite, as we have heard, was appointed as the Presiding Member of the committee, and that was done on the committee's first meeting on 10 May. He has been even, fair and bipartisan in how he has gone about progressing the committee's work. There is a lot of work being done into some of our inquiries, as members have heard, and I will touch on those a bit later.

Our main function is to consider matters in relation to the state's finances or economic development, along with other specific statutory functions referred to from other acts of parliament. I believe the inquiries we have underway at the moment are looking at the state's finances and economic development, and we are well led by the member for Waite on those. It is effectively the public accounts committee of the South Australian parliament.

In terms of our statutory functions, one of our first acts was to consider the material we received on 31 May 2018, which was a copy of a written statement containing determinations from the Treasurer which will form the recommendation to the Governor in respect of declaring the emergency services levy for 2018-19. Subsequent to that, the committee conducted a public hearing on 8 June 2018 when we heard from a number of witnesses who were representatives from the Department of Treasury and Finance, and RevenueSA on budget and performance. Also in attendance were representatives from the emergency services sector from SAFECOM, the South Australian Metropolitan Fire Service, the Country Fire Service and the State Emergency Service.

We know that the South Australian emergency services sector plays an essential role in the safety of all South Australians, both metropolitan and regional. The emergency services sector comprises the three services just described and SAFECOM. We heard from Mr Jackman from SAFECOM, and he explained that in the last year the first responders from the Country Fire Service, Metropolitan Fire Service and State Emergency Service were dispatched to some 45,000 incidents which resulted from calls either to 000 or the 13 25 00 number. It is fair to say that the South Australian public are very appreciative of all the work that the emergency services do for this state and they have high levels of trust and respect for what the emergency first responders do.

In terms of the emergency services levy for 2018, there was an expenditure target of just over $318 million which will be funded principally by the emergency services levy to the extent of $315 million and then also some other minor revenues from the Community Emergency Services Fund of $1.9 million and a rundown in cash in the Community Emergency Services Fund for the cost of expenditure carried over from previous years of $1.4 million. This levy itself consists of a charge to owners of fixed property to the extent of $267.5 million and mobile property as well to $47.6 million.

Remissions for general property were introduced in the 2018-19 year, which effectively reduced the ESL bills paid by property owners and these remissions helped reduce the emergency services levy to $90 million and was consistent with the government's election commitments. It was well received in the community as those first bills came out. The comments I have had back from people are that it is money they can spend on things they want, rather than being directed to spend it by the government.

The report that the committee considered also outlines that the government will pay $130.3 million into the Community Emergency Services Fund in 2018-19, reflecting amounts equivalent to that fixed property levy that revenue has forgone through the remissions and also through pensioner concessions. They are still tied up in that $40 million of pensioner concessions, which is important. It was fantastic news for South Australians who were struggling to keep up with the rising costs of living, and it demonstrates this government's commitment to delivering lower costs for all South Australians. That report was tabled on 20 June 2018.

We also received the 2016-17 report on the sport and recreation fund. The report was sent to the committee on 15 January but, due to the state election, we did not consider it until July 2018. We heard from representatives from the Office for Recreation, Sport and Racing, who appeared before the committee in July 2018. The fund's value in 2016-17 was $3.7 million, which included an additional $200,000 for distribution from the Stadium Management Authority. In 2017-18, this amount increases to $400,000 and continues to grow until 2020-21, when it reaches an additional $1 million. This fund really can help out many sport and rec funds and community groups throughout South Australia.

In terms of the distribution of this $3.7 million, $2.55 million of that was to the Active Club Program, $750,000 was to the Sport and Recreation Development and Inclusion Program, and the final $500,000 was for the state facilities fund. The active program goes to not-for-profit community-based sport to help develop their programs and services and also help with their facilities. It is done via two rounds each year for these facility applications and also program and equipment funding. There are priorities for some of the clubs, and one is that they have either completed or registered as a Starclub.

Overall, 268 applications associated with the program and equipment rounds were approved. Morphett clubs, I am happy to report, received just under $23,000. In terms of the facility grants, 118 were awarded, and Morphett facilities received $9,625 from this program. It should be pointed out that, of those 118 applications, 113 projects were for both genders, three for female-only and two for males. A lot of these community clubs have small footprints, and most of the square metreage of their surface is dedicated to playing grounds, and then they have their facilities. They are making the best use of the grant to make sure that both males and females can use the facilities.

I was lucky enough to hand out a grant to one of the clubs in my electorate in Plympton, and it was used for their change rooms. It has made a marked difference. They have both male and female sport operating from the club, so it was really well received. Just small amounts can make a huge difference to these clubs. I was also fortunate to provide grant cheques to the Sacred Heart Old Collegians Football Club and the Glenelg Cricket Club for training equipment. On each occasion, they were very thankful and spoke to me at length about how this would help both young and old. A lot of these clubs have junior and senior sport, so it is a good program that is appreciated by the community.

We also received the Auditor-General's Report. The Auditor-General was asked to appear before the committee. When we were talking about 2017-18, they did have the Auditor-General come along, and a report was tabled on 17 October 2017. I was not present for that, obviously, but it was similar in the 2018-19 year, when we did the same. I look forward to reporting on that when we table our committee's report next year.

In the time I have remaining, it is worth touching upon the fact that we are undertaking two hearings at the moment, one into investment attraction and the other into migration. I point out that these were made priorities. As I said at the start of this contribution, the role of the committee is to look into matters in relation to the state's finances and economic development, and these hearings are doing that. We were hosted by the City of Salisbury and the Rural City of Murray Bridge, where we heard from local businesses about what they are doing and what can be done by the state. I look forward to reporting on those hearings and our 2018-19 annual report that we will bring back to this parliament.

Mr BASHAM (Finniss) (12:14): I also rise to comment on the annual report 2017-18 of the Economic and Finance Committee. I had the privilege of joining this committee at the end of July/early August because of a request to solve a problem with the member for Narungga's diary that had a clash. I feel very privileged to have joined this committee and to work with the member for Waite, the member for Morphett, the member for Colton, the member for Ramsay, the member for Wright and the member for Lee. I joined this committee after the period this report covers, but am very pleased to be part of the committee and have enjoyed my role very much so far.

Some of the highlights from my time on the committee have been the hearings into investment attraction and our two visits. I was really pleased to see the four Liberal members of the committee attend both those hearings. Unfortunately, the only Labor member of the committee to attend was the member for Ramsay, who came to her own electorate at Salisbury to attend the hearings. I was really pleased that my fellow colleagues see the importance of going out into the regions and outer suburbs to hear evidence.

It was good evidence that we heard at those meetings. We heard about the work that is being done in the Salisbury area, in particular. Certainly, I have some personal interest. La Casa Del Formaggio is looking to take their dairy business into a larger facility out there. During my previous roles in the dairy industry, I have watched the growth of that business, and many of my fellow dairy farmers around the Mount Compass area supply milk to that business. It is an important, growing business in South Australia and to hear their thoughts has been very important in our deliberations.

I also very much enjoyed the trip to Murray Bridge in the area of the member for Hammond. I thank him for taking the time to come to the hearings to present and also to be there while all the others presented during the sessions. We heard from the mayors of that region, from both the Rural City of Murray Bridge and the Mid Murray Council. It was really good to hear their thoughts and the importance of the particularly large businesses that operate in the region. We had the privilege of several of those businesses coming in to speak to us. I have certainly had contact with some of these businesses at times.

Thomas Foods, for example, has certainly been a company I have had dealings with in my business. Unfortunately, they are unavailable to me at the moment as a company I can sell my cattle to because of the tragic fire that occurred there. We must make sure that we do all we can to get the factory rebuild going in the right direction as quickly as possible to get that back up and operating for the rural sector not just around Murray Bridge but for all South Australia. The other businesses we talked to were Big River Pork and Beston Pure Foods, both great businesses operating in the Murray Bridge region.

Certainly, Beston has done a fantastic job of recommissioning two dairy factories, one at Jervois and one at Murray Bridge, and I was very pleased that I was able to be part of the tour with the committee through the Beston factory at Murray Bridge. I have been through that factory several times previously, and they have certainly got it up and running well. They have done an amazing job to get it back functioning as well as it is from the state it was left in by the previous owners. With that, I conclude my remarks by expressing my thanks for the opportunity to make comment on this. I commend the report.

Mr DULUK (Waite) (12:20): In summation, I thank the members for Ramsay and Narungga, the member for Lee for his always entertaining contributions and the members for Colton, Elizabeth, Morphett and Finniss for their contributions today.

Mr Cowdrey: And the member for Wright.

Mr DULUK: I will thank the member for Wright next year when he speaks on the 2018-19 report. It is a very good committee and a very important committee of parliament. It undertakes not only a lot of statutory functions but also inquiries. The inquiry we are completing in regard to investment attraction is very important because it is helpful for any organisation—and government is no different—to have a chance to review past practice and look at best practice, and that is certainly what the committee has been doing. Of course, the current migration inquiry we are undertaking is also very important at this point in time. With those words, I once again thank the committee. I wish all committee members and staff a very merry Christmas.

Motion carried.