Legislative Council: Thursday, February 06, 2020

Contents

Address in Reply

Address in Reply

The Hon. R.I. LUCAS (Treasurer) (15:59): I bring up the report of the committee appointed to prepare a draft Address in Reply:

To His Excellency the Hon. Hieu Van Le, Companion of the Order of Australia, Governor in and over the state of South Australia in the Commonwealth of Australia.

May it please Your Excellency—

1. We, the members of the Legislative Council, thank Your Excellency for the speech with which you have been pleased to open parliament.

2. We assure Your Excellency that we will give our best attention to all matters placed before us.

3. We earnestly join in Your Excellency's desire for our deliberations to serve the advancement of the welfare of South Australia and all its people.

The Hon. R.I. LUCAS (Treasurer) (16:00): I move:

That the Address in Reply as read be adopted.

In doing so, I will make some brief comments as the first speaker in the Address in Reply debate. At the outset, on behalf of the government, but I am sure I speak on behalf of all members in this chamber, I want to thank His Excellency the Hon. Hieu Van Le and Mrs Le for the extraordinary work they do on behalf of South Australians generally and on behalf of the state. They are outstanding representatives. They bring much joy and cheer wherever they go—

The Hon. J.S. Lee: Rock stars.

The Hon. R.I. LUCAS: Yes—in regional communities or metropolitan communities. Their collective work ethic is well known to all of us and I am sure that after many years it is now becoming increasingly well known to many community organisations and others generally.

His Excellency is always sensitive to the needs of the community. I know in relation to the bushfire issues he has been in close contact with the Premier and senior public servants and other officers to ensure that, whilst he can provide comfort and support by attending the impacted communities, he has always done so mindful of the best advice that he receives as to the most appropriate time, for example, for him to visit impacted communities. I think that is an indication of the sensitivity that he has brought to his job over a number of years and we are delighted that he will be able to continue for the foreseeable future.

I thank him and Mrs Le for the work they both have done over a number of years. Particularly in relation to the Address in Reply speech, I thank His Excellency for the speech with which he has opened this new session of parliament. There has been some debate about the issue of prorogation, I suppose in part generated by the events in the United Kingdom and Brexit-related events of recent times, but having had some work undertaken by parliamentary officers, I think I am correct in indicating that there has been no parliament in the history of South Australia that has not prorogued at least once during the parliamentary session.

In the very early days of my involvement with the parliament in the 1970s and 1980s, there were occasions when there were up to five sessions. Indeed, if one goes to the Hansard volumes outside this chamber, one will see some of those earlier parliaments when the term was only actually three years. They were not four-year terms, they were only three years. It was not uncommon to see four parliamentary sessions within a term and certainly most common to see at the very least two or three during those terms. As I said, that was for a three-year term rather than a four-year term. Whilst a small number of people sought to make some play of the issue, in the greater scheme of things it has always been the case that at least once during a parliamentary term there is a prorogation and a reset of the agenda.

In terms of the Legislative Council, if nothing else it does at least cleanse the private members' agenda, albeit for a brief period of time, and members can then revisit which of those items are still of some relevance. As we all well know, some of them will not be moved again because time has moved on in relation to the particular motion or issue that might have been canvassed.

As I said, on behalf of the government, I thank His Excellency for the speech with which he has opened the parliament. I am not going to take up the time of the chamber as a member of the government, and obviously as part of the government agenda that was placed on the record by His Excellency, to go through my particular view of all aspects of the Governor's opening speech. I will leave that to other members in the chamber to comment in terms of their views of the priorities of the government.

I could conclude by saying that what it does indicate is that the government has a comprehensive program outlined not just for this year but for the next two years. It is not always legislative. The solution to all our problems is not necessarily legislative. A number of the initiatives that were announced are issues that will not require legislation. They are indications of government intention, government action, policy statement or action. They do not always involve more and more legislation to implement. Some do but, in many cases, they do not have to. With that, I conclude by again thanking His Excellency not only for his opening speech but also for the work that he undertakes on behalf of the people of South Australia.

The Hon. D.G.E. HOOD (16:06): I second the motion and I rise to support it, of course, in appreciation of the address with which His Excellency the Hon. Hieu Van Le AC, Governor of South Australia, opened the Second Session of the Fifty-Fourth Parliament. I would like to take the opportunity to thank both His Excellency and Mrs Le for their extensive work over the past six years on behalf of South Australia, and I commend their resolve to always act in the best interests of all South Australians.

I certainly wish them well as they continue in their esteemed roles and trust our parliament will endeavour to continue working in support of their objectives to improve and advance the welfare of our state. I also acknowledge His Excellency's attendance at the opening service to mark the beginning of the parliamentary year hosted by the Parliamentary Christian Fellowship this morning. Indeed, since the Governor's appointment in 2014, I do not recall him ever having missed this annual event. His presence is always greatly appreciated.

I would like to take this opportunity to congratulate you, sir, on your appointment yesterday as President of this place and wish you the very best in your endeavours as you preside over us. I would also like to acknowledge the contribution of the Hon. Andrew McLachlan as President for the past two years. I congratulate him on his appointment to the Senate this morning. No doubt, he will do a fine job. I am sure all members would agree that Andrew consistently carried out his duties in this place with sincerity and with a great respect for the institution. Although Andrew will certainly be missed, he will be a great asset to our federal parliament, where I have no doubt he will continue to represent South Australia very well.

It has been a great privilege to have supported the Marshall Liberal government in its first two years in office, throughout which it has successfully implemented many initiatives that form part of its comprehensive and in some ways innovative agenda. The revitalisation of our economy in conjunction with vast improvements in infrastructure and our health and education systems, the introduction of measures to ensure greater transparency and accountability in government and the enactment of laws to protect the most vulnerable sectors within our community are all contributing to a better standard of living for all South Australians and reducing costs.

As His Excellency stated in his speech, independent research has concluded that living in Adelaide is now 16 per cent more affordable than Melbourne and 28 per cent more affordable than Sydney. He touched on important government initiatives that have contributed to this outcome, including significant decreases in our emergency services levy, which was cut by $90 million per annum on all eligible fixed properties to provide welcome relief to households, businesses, farmers and community organisations across South Australia.

From July this year, South Australians can also expect lower water rates and the implementation of land tax reforms that set to benefit 92 per cent of smaller investors and 75 per cent of company groups in addition to reduced energy costs and decreased third-party insurance premiums. Many of us are already saving hundreds of dollars each year due to the Liberal government's sound fiscal management.

Another major impost for South Australians that has been addressed by the Marshall Liberal government is payroll tax, a clear barrier to the creation of job opportunities that South Australia was burdened with for far too long. Payroll tax has previously been imposed upon businesses with payrolls of just $600,000 or more, effectively meaning small to medium-sized businesses, which should have been afforded the most incentive to prosper, were under the most strain when subject to the previous tax regime.

By relying on this stream of revenue for a quarter of its tax income, the former government was arguably preventing our state from reaching its economic potential, or certainly putting the brakes on, if I can put it that way. Fewer jobs inevitably leads to a greater reliance on government handouts and less money being injected back into the local economy. Excessive payroll tax rates had in the past been a deterrent for business owners to expand their operations and made entrepreneurs think twice about whether the incumbents had been worth the risk of undertaking a new venture in South Australia.

Our state government is focused on creating an environment where existing businesses can thrive and to which start-ups are attractive by removing payroll tax to small businesses with payrolls between $600,000 and $1.5 million as of January this year. Sir, as you know, payroll tax for small business has been abolished.

It has been no surprise that under the control of the Marshall Liberal government South Australia has defied the national trend in relation to small and medium business confidence. Recent survey results revealed owners and operators of these enterprises are now the most positive concerning their business prospects in the nation with a significant lift within regional South Australia and Adelaide outperforming all other capital cities. It also found our government continues to lead the way in supporting small and medium businesses, with approval of state government policies at a six-year high.

Given there are well over 140,000 small businesses in South Australia, comprising no less than 98 per cent of all private enterprise that provide employment to over one-third of our workforce and contribute $35 billion through our economy, the government is intent on ensuring this important sector thrives unabated. As anticipated, this tax reform has unquestionably contributed to the creation of new jobs. In fact, since the last election, 3,500 more jobs have been generated, with a record 854,300 people employed in trend terms, according to the Australian Bureau of Statistics, in South Australia.

As His Excellency noted, the take-up of apprenticeships and traineeships alone increased by almost 20 per cent in the first year of the state government's Skilling South Australia program, which is helping to retain our state's best and brightest, and naturally statistics have confirmed that there has been a significant drop in people leaving South Australia since the Liberal government took office.

We are serious about investing in education to ensure our young people are well-prepared with fundamental skills that are required to enter the workforce with confidence regardless of whether they have attended public or private schools, and we are also committed to ensuring that they have incentive to invest back into our state well into their adulthood through pursuing exciting and rewarding careers right here in South Australia.

His Excellency outlined another way in which the Marshall Liberal government is seeking to retain South Australians and entice others to relocate to our state, and that is through the development of its Growth State plan. This plan comprises new approaches to supporting industry through leveraging global competitive advantages to further stimulate economic growth and employment prospects. The state government has identified key opportunities in defence, space, energy and minerals, food and wine and agribusiness, international education, tourism, high-tech, health and medical industries, and creative industries, towards which almost $100 million of funding has been approved to execute specific Growth State initiatives.

The government is well aware that its aim to achieve and sustain our state economic growth to 3 per cent, double what has been achieved over the past decade, is largely dependent on fostering strong, pragmatic partnerships between government, private industry and business that will serve to enhance our competitiveness.

Of course, one of the unforeseen and devastating challenges to many of our valuable industries has been the destruction caused by the recent bushfires that have ravaged beautiful parts of our state, including Yorke Peninsula, Eyre Peninsula, the Barossa Valley, the Mid North and Kangaroo Island. As we are aware, these fires sadly resulted in the tragic loss of the lives of three South Australians, as well as livestock, wildlife and property. As you know, sir, we had the chance to visit Kangaroo Island with other Liberal colleagues last week, and it was extremely confronting to witness the inconceivable scale of loss and to hear firsthand how locals are attempting to recover and rebuild. The resilience in the wake of such devastation is just astounding.

Mayor Michael Pengilly has reported the number of livestock killed could be as many as 100,000, but even at conservative estimates of 53,000 that alone is twice the amount of livestock that has been lost on mainland Australia. The island's plantation timber industry has also been decimated, with 95 per cent of trees either damaged or completely destroyed in the industry.

I echo His Excellency's sentiments wholeheartedly that the situation could have been far worse had it not been for the courageous efforts of our volunteer firefighters and other emergency services workers. Their willingness to risk their lives by placing themselves in direct danger in order to protect others in our communities and their possessions is nothing short of extraordinary. I know that the Marshall Liberal government is working on all fronts in an effort to assist the individuals, families, communities, primary producers, businesses and emergency services personnel and volunteers who have been deeply affected by this crisis.

I must say it has been very heartening to see friends and family making the effort to visit Kangaroo Island, the Adelaide Hills and other fire affected areas to support these particular parts of South Australia in their recovery. You may have seen on social media people using the #BookThemOut as they post about their trips, which is part of the state government's campaign to encourage much-needed tourism and patronage.

Tourism has become a very lucrative industry for South Australia under this government, with latest statistics showing a record $7.8 billion has been spent by tourists, with visitor expenditure up 13 per cent in the last year. Although our tourism sector is thriving and experiencing considerable growth, there are certainly challenges ahead in the wake of the bushfires for some of our state's most pristine tourist destinations.

That is the reason why last year the state government, together with industry leaders, released the South Australian Visitor Economy Sector Plan 2030, which sets an ambitious, indeed bold agenda for tourism. The aim of this industry-led and endorsed strategy is to grow the state's visitor economy to $12.8 billion by 2030 and generate an additional 16,000 jobs.

During my commute to Kangaroo Island and other parts of the state, I have also been impressed by the vast improvements in our state's infrastructure, both throughout the metropolitan and regional areas and not least with the remarkable changes along our north-south corridor that are underway.

As His Excellency mentioned, the Marshall Liberal government has secured unprecedented cooperation with the federal government to facilitate even more major projects. We now have a fully funded pipeline of infrastructure works, totalling an historic $12.9 billion over the next four years. It is anticipated this will create and support an estimated 80,000 construction jobs to underpin this very vital industry.

Just some of the works our constituents can expect to benefit from are the electrification of the Gawler line, extension of the Tonsley line, duplication of Victor Harbor Road, grade separations on Torrens Road at Ovingham and Brighton Road at Hove and upgrades to the intersection of Cross Road and Fullarton Road, Princes Highway, Eyre Highway and the Sturt Highway. The state government's planned projects include not only roads but schools, hospitals and affordable housing to support numerous sectors within our economy to improve the lives of everyday South Australians.

I am sincerely proud to be part of a government that has been diligently fulfilling its election promises to South Australians since its appointment to office. I wish to join with honourable members in assuring His Excellency of our continued commitment to conducting all elements of our duties as elected representatives of our state and its people to the best of our abilities. Obviously, I have only touched on some of the highlights that were mentioned in the Governor's speech. There is so much more we could talk about. As I say, the Governor outlaid a great vision for South Australia and I look forward to it unfolding. I commend the motion to the council.

Debate adjourned on motion of Hon. E.S. Bourke.