RIVERLAND REGIONAL DEVELOPMENT

The Hon. G.A. KANDELAARS (15:15): I seek leave to ask the Minister for Regional Development a question about regional development in the Riverland.

Leave granted.

The Hon. G.A. KANDELAARS: The minister has previously provided information on commitments made by the government to help revitalise the Riverland. Can the minister update the chamber on recent developments in this region?

The Hon. G.E. GAGO (Minister for Agriculture, Food and Fisheries, Minister for Forests, Minister for Regional Development, Minister for the Status of Women, Minister for State/Local Government Relations) (15:16): I thank the honourable member for his most important question. It is with great pleasure that I return to this very important topic. I have recently visited the Riverland again and I have to say, even though it was obviously very dry, the region is looking remarkably good. It is astounding how people's morale has improved, and it was good to see the level of high community morale.

It was wonderful to get out to see some of the businesses which have been helped by grants from the Riverland Sustainable Futures Fund. As you may remember, sir, the $20 million over four years has been distributing funds for projects which meet the objectives outlined in the Riverland prospectus. The prospectus set out a vision for the future and the 20 year investment objectives and identified key potential growth areas such as value-added food and beverage processing, tourism and suchlike.

The fund's aim is to facilitate projects that improve infrastructure, support industry attraction, help grow existing businesses and help attract new businesses as well. It is expected that, over time, this initiative will deliver structural change, population growth and enhance employment outcomes for the Riverland.

The fund will focus on ensuring the key enablers of the economy are in place to build on the existing strengths of the region and to improve its competitive advantages. The state government will pursue a strategic approach that focuses on short, medium and long-term tangible results to leverage for sustainable growth in the Riverland. The state government has now supported 26 projects with $15 million in grants from the Riverland Sustainable Futures Fund, helping to create around 220 jobs.

I was able to visit one of the sources of great produce in the Riverland, which exemplifies our priority of premium food and wine from our clean environment, Lowan Fruits. This family-owned business received a grant of just over $318,000 from the fund last year which helped to support a just on $640,000 project to expand and improve its Renmark North packaging operations. The new building and packing line helps the company further expand its offering to the market of fresh fruit, particularly nectarines, peaches and apricots.

The new premises have streamlined and increased capacity of the operation, installing new coolrooms to receive fruit from orchards and upgrading the packing line to state-of-the-art facilities, as well as ensuring comfortable amenities for their employees. Not only does the premises work better, the new works were completed ahead of time and it was a great pleasure to meet the proprietor Dino Ceracchi and his father, who still works there. His father was there on the line helping out, which was quite remarkable, and it was great to see how dedication and excellence has paid off for this family-led company.

Another local business which is set to make an impact following a grant from the fund is the Pike River luxury apartments. Andrew and Bronwyn Caire saw the opportunity to develop high-end accommodation in the Riverland and, following the grant of $340,000 committed in November 2011, have been working hard to construct two new luxury villas and an eco-friendly function centre. These are located on a beautiful spot on the river, looking over the river, and it is well on track at this point in time for completion.

The $680,000 project will see a new business centre with a capacity of 30 people, as well as the function centre capacity increasing by up to 130 people, allowing for sizeable events at this beautiful scenic spot. I understand that expansion means that the first wedding to use the facility is booked for April this year, so already this project is generating lots of interest in the market.

Vall's Styrene, which is based at Berri, has moved to expand its existing styrene box business in a very new and exciting direction. I was able to visit the factory site and proposed expansion site to hear about the plans for premises to manufacture new eco-friendly insulated roofing and wall panels. It is fascinating to hear how, since 1983, this again family-owned business—both brothers, Tony and Frank, are involved—has grown from small origins to provide a diverse range of mouldings, including industrial and refrigeration packing and building products. They are working on a $2.64 million project in total, supported by $1.2 million from the fund. The new manufacturing plant, which is expected to be up and running by mid-2014, is an exciting prospect and I certainly wish the brothers well.

In addition to these visits, I had great pleasure in formally opening another great local development which has been kicked along by a grant from the fund—the renovation of the Loxton Community Hotel. Since 1946 the hotel has been community based, which means it is owned by community shareholders, with the dividends or surplus profits reinvested into the local area. The $1.7 million project saw the renovation of existing hotel units to modern standards from what were pretty ordinary little rooms—and they look fantastic. They are just stunning; they are overlooking the pool complex. It is a really attractive site.

They have done an incredible job there. The main function room has been refurbished to a high standard. The new Reflections Room looks out over the hotel's pool as well. There is fabulous new landscaping for the venue, and I understand that already the venue is attracting bookings for weddings and functions, while there has been an improved occupancy rate in the hotel's rooms, which is great. The state government fund committed around $870,000 to the project and it has been a great result. Again, I believe that this project was not only slightly ahead of time but on budget. Congratulations to all those grant recipients.