Regional Growth Fund

Mr CREGAN (Kavel) (14:30): My question is to the Minister for Primary Industries and Regional Development. Can the minister update the house on how the Regional Growth Fund is supporting economic development in the Hills?

The Hon. T.J. WHETSTONE (Chaffey—Minister for Primary Industries and Regional Development) (14:30): Yes, I can. The Marshall Liberal government's Regional Growth Fund once again has been an enabler up in the Mount Barker district—and that is exactly what the Regional Growth Fund is about—with a $1.25 million grant towards a new 500-megalitre water storage facility. For those who are uneducated, 500 megalitres is half a gigalitre. Half a gigalitre has a capacity to produce a large amount a food. It grows—

Members interjecting:

The SPEAKER: Order!

The Hon. T.J. WHETSTONE: —the local economy. What I would say is that this grant will provide much-needed support as part of stage 1 for a significant investment of $6.96 million for climate independent water storage. Climate independent water storage is a great initiative for any form of agriculture food production because it's not reliant on rainfall and it's not reliant on surface water; it is reliant on water being treated and re-used.

What we see up at Mount Barker is the new storage facility. It is going to provide droughtproof water for our horticulture sector to produce high-value crops up there. That is not only about the high-value crops, whether they be tree crops or the high-value crops: it's about helping our local economy grow. We are seeing that our exports are on the rise. We see that there is significant pressure on food production globally. It needs to be enhanced, and if we can drive the use of re-used water into food production it's a win-win for South Australia, particularly for our regional economies.

The agriculture sector up in the Mount Barker region already equates to about 13.3 per cent of the local economy. It employs a large amount of the workforce up there. This water storage is an enabler. It will not only attract new capital investment but create new opportunity for land that's currently not being used. It has a satisfactory climatic requirement for food production. It's resistant to frost, and that is critically important. Also, some of that unused land at the moment is very important for our brand. The South Australian clean green brand has never been more prominent on the global stage than it is today.

What I would say is that reliable water will be an economic enabler. It will create around 25 jobs through construction, and then we will see the ongoing benefits as private investment comes on board. The Mount Barker council has shown initiative. It has come forward to re-use treated water for food production. It will create opportunity for local jobs, and ongoing we will see picking, packing and the logistics of that enterprise, which will see benefits for the local community.

The Regional Growth Fund is not about picking winners. The Regional Growth Fund is about the three Cs: it is about collaboration, it is about clustering and it is about community benefit. What we are seeing now with the infrastructure uplift through the Regional Growth Fund is exactly that. We are giving a benefit to the community, we are giving a benefit to collaboration and we are giving a benefit to the betterment of South Australian food production.

If we look around South Australia, every opportunity where there is an ability to re-use water, or to redistribute re-used water particularly, is an economic absolute boon. We see the NAIS and we see what is currently going on with South Australia through the drought. If we can continue to provide opportunities for those water infrastructure projects, it is a win-win for South Australia because #RegionsMatter.