EDUCATION WORKS

The Hon. R.I. LUCAS (15:25): I seek leave to make a brief explanation before asking the minister representing the Minister for Education a question about claimed savings from schools, PPPs and Education Works projects.

Leave granted.

The Hon. R.I. LUCAS: In the 2006-07 budget year, the Rann government announced Education Works, which was a $216 million program. Stage 1 was $134 million for the six super schools which have subsequently been done by PPP, and stage 2 was for $82 million and involved a series of voluntary mergers and amalgamations of schools and children's services centres.

In the 2006-07 budget, the government announced that the savings from Education Works would total $16 million per year from the 2009-10 financial year. Since the 2006-07 budget, we have become aware that the Education Works stage 1 has now progressed in that the super schools PPP project has proceeded and a $323 million project was announced which was, according to Treasury, 3 per cent or $10 million more expensive than if it had been done in the traditional way through the public sector.

The Budget and Finance Committee, over a series of months, has taken evidence from Education and Treasury officers in relation to the expected savings from the Education Works program. On 10 November this year, some three years after the 2006-07 budget was announced, the education department advised the Budget and Finance Committee that of the Education Works stage 2 program only $8.2 million of the $82 million had been spent in that three-year period.

In relation to the Education Works stage 1, the efficiencies had generated only $2.3 million per annum in efficiencies from 2010-11 onwards. As I said, I noted that the 2006-07 budget claimed savings of $16 million per year from 2009-10. My questions to the minister are:

1. When will the Rann government actually spend the claimed $82 million of Education Works stage 2 that it announced in the 2006-07 budget documents?

2. Is it correct that the claimed annual savings of $16 million per annum for 2009-10 have not been achieved in 2009-10?

3. Is it correct that they will not be achieved during the forward estimates period? In other words, during the forward estimates period will the claimed savings of $16 million per annum be achieved by the Rann government?

The Hon. G.E. GAGO (Minister for State/Local Government Relations, Minister for the Status of Women, Minister for Consumer Affairs, Minister for Government Enterprises, Minister Assisting the Minister for Transport, Infrastructure and Energy) (15:29): I thank the honourable member for his questions and will refer the matter to the relevant minister in another place and bring back a response.