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House of Assembly - Fifty-Second Parliament, First Session (52-1)
2011-03-09 Daily Xml
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GOVERNMENT SPENDING

Mr VENNING (Schubert) (15:26): Madam, just when we thought we had heard it all with this government and their ridiculous financial decisions, just last week the government advertised for tenders for 1,500 brand-new plasma TVs for our prisoners at a time when cuts to services are being made across the state. It is just absolutely ridiculous. What a way to spend taxpayers' money, and what messages are we sending to the people of South Australia?

A recent report by the Centre for Independent Studies found that South Australia has the worst financial ranking of any state in Australia because of high taxes and poor controls on government spending—what a condemnation. The report shows the government is spending $9,329 per head of population to provide services, $668 per annum more than any other state. Expenditure on government expenses is even worse. South Australia is well above the average of all the other states, averaging $8,861.

Perhaps people would not react so badly if the money was being spent in areas of need, such as assisting the Keith Hospital, or if it meant cuts to other health services, schools, the public sector, such as jobs in PIRSA were prevented, but this is not the case.

It was recently revealed that whilst the planning for all the cuts announced on the 2010-11 budget were under way, the Labor cabinet, under the leadership of premier Rann, embarked on a spending spree, a spree which cost $792 million. What was the money spent on, you might ask. You would not believe: 12 plush ministerial office developments—not on doctors, not on nurses, not on police, but on offices. No wonder South Australians have had enough.

This cannot be true. I would just love somebody to say we have got that information wrong. I have heard nothing about it yet. The Sustainable Budget Commission recommended a 30 per cent cut to the cabinet office, but in the end only a very minuscule cut was implemented. The commission also recommended a cut in the Premier's own personal office, but again we have seen no cuts or minuscule cuts and a splurge of $792 million before any cuts were made.

How long would that keep the Keith, Moonta and Ardrossan hospitals open? It could build a new Barossa hospital and run it for decades on that money, well after the minister has well and truly gone. Let's compare that to PIRSA's position.

The government announced that 179 positions will have to go in the 2010-11 budget. Where is the equity in that? The Rann Labor government has one rule for themselves and another for everyone else. What value do we get from the millions spent in the Premier's department, especially the Premier's notorious spin team; but that is not all. The financial mismanagement continues.

The Rann government has given up the rent-free property they utilised in Walkerville used by the Department for Transport, Energy and Infrastructure in favour of renting a property in the CBD at a cost of $137,000 per week, signing a 12-year lease. That amounts to $86 million that the government will pay in rent—extra rent—over the life of the lease. On top of that, the minister is now seeking cabinet approval for a $13 million refit of those premises. Where is the restraint in these tough times? What sort of financial decision is that, who made it and who is and should be accountable?

Instead of stopping their reckless spending they have taken the axe to jobs, small school grants and have absorbed the pension increase by cancelling public housing rent assistance for pensioners, rises to all fees and charges—driver's licences, motor registration, water bills—I could go on and on. Madam Speaker, this is a government that is mired in self-indulgence at the expense of the taxpayers of this state. We have all these cuts, yet the total estimated revenue of 2010-11 actually increased by $52 million in the three months since the delayed budget was handed down in September. However, spending has also increased by $156 million during this time—so, we were down by $104 million. In October the then treasurer said during estimates:

There is no question that the blowout in expenses is our problem...There is no question that expenditure overruns are the biggest threat to public finances.

He has admitted defeat by resigning. I could not agree more with the previous treasurer's sentiments. Why should South Australians have to fork out and go without just so the Rann government and co can pad out their own nest? As my leader reminded the house yesterday, the Rann Labor government after nine years in office is still having trouble with the Public Service, and it is doing yet another report—report No. 6—in nine years.

Time expired.

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