Desalination Plant

Mr COWDREY (Colton) (14:22): My question is to the Premier. Can the Premier update the house on how South Australia is stepping up to support our nation in times of need?

The Hon. S.S. MARSHALL (Dunstan—Premier) (14:23): I must say that I thank the member for Colton for his question. This is a time when South Australia has been given an opportunity of stepping up in a very difficult situation: drought conditions across much of our country. I was contacted by the Prime Minister to see what we could do here in South Australia to support that effort. Can I just say, I am absolutely delighted to announce that we have reached an historic agreement with the federal government to switch on the desal plant here in South Australia.

When I say 'switch on', I mean switch it on to achieve its full capacity in this state: 100 gigalitres. I think the taxpayers of South Australia have been bewildered for a long period of time as to why they continue to pay for this massive piece of infrastructure without seeing the benefit from it. Now we have an opportunity to contribute at a national level.

Members interjecting:

The SPEAKER: Member for Ramsay! Member for Reynell!

The Hon. S.S. MARSHALL: Can I say, we will now put this piece of infrastructure through its paces, see its capacity and iron out the problems, and we will be doing it at no cost whatsoever to the taxpayers in our state. In fact, the federal government will be meeting all the costs of the production of this water. They will be meeting all the energy costs. They will be meeting all the pumping costs and the production costs.

In addition to that, the Prime Minister has negotiated a $10 million contribution to a drought resilience fund here in South Australia. We have committed 40 gigalitres this financial year. In the middle of April next year, we will review the situation. It's our intention to, if possible, provide a further 60 gigalitres of water next financial year.

This is a very important contribution to the national effort to help farmers and communities across this country who are doing it extraordinarily tough at the moment. I think a lot of people looking at the television images and looking into the newspapers at some of the gut-wrenching images are very pleased that the South Australian government has seen fit to be able to sign this historic agreement, or at least reach this historic agreement, with the federal government.

Of course, the federal government will be paying the costs of this water. They will then be selling it back, at a subsidised rate, to farmers along the Murray-Darling Basin, who will produce fodder for livestock in Australia, in particular breeding livestock because we know that if we don't do this the actual road to recovery, post this drought, will take even longer and be even more expensive. We are absolutely delighted to be working with our federal parliament and our federal colleagues in the Coalition to deliver this relief to farmers.

Of course, this subsidised rate to produce fodder will be available to farmers here in South Australia. It's part of a package announced by the Prime Minister last week, which is more than $1 billion. That is $1 billion going into that relief—$1 billion that will provide grants directly to local governments affected by drought conditions. We know many of those are here in South Australia. We also know that there will be loans available: no interest for the first two years, is my understanding, and low interest thereafter to support our farmers at this pretty difficult time.

That's not the only way that we are helping the national effort. I must say, as the Premier of South Australia, that I feel extraordinarily proud at the moment to see the effort that South Australian firefighters—whether they be volunteer members of the CFS, MFS, SA Ambulance or the Department for Environment and Water—are contributing to the effort to fight the fires in New South Wales.

Already, we have sent more than 200 South Australians to assist with that effort. On Saturday morning, I was out at RAAF Base Edinburgh to farewell another 34 brave South Australians who were heading over to New South Wales. We are standing up. We are standing up for our fellow Australians in this time of their need.