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House of Assembly - Fifty-Second Parliament, Second Session (52-2)
2012-09-19 Daily Xml
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CONSTRUCTION INDUSTRY

Ms BETTISON (Ramsay) (14:07): My question is to the Premier. What action is the government taking to support the construction sector?

The Hon. J.W. WEATHERILL (Cheltenham—Premier, Minister for State Development) (14:07): I thank the honourable member for her question. Yesterday, I was pleased to meet with a cross-section of representatives from the construction industry, including builders, contractors, unions, representatives from local government, together with my ministerial colleagues the Deputy Premier and the Minister for Housing, to discuss ways in which we could tackle the challenges the construction industry is currently facing. Dwelling approvals are currently at the lowest level in over a decade and we have also seen a substantial slump in construction starts.

The government has already taken action (in the last budget) to stimulate demand in the construction sector, including extending the first home owners boost for another year and granting stamp duty relief to purchasers of off-the-plan apartments in the city, Bowden and Park Terrace at Gilberton. We have also taken steps outside of the budget process to stimulate demand in this sector, reforming outdated city planning rules. I acknowledge the fine work of the Deputy Premier in piloting through probably one of the most significant changes in the planning regime in the City of Adelaide that we have seen. We have about $1 billion of committed expenditure.

The Hon. P.F. Conlon: 1.2.

The Hon. J.W. WEATHERILL: $1.2 billion, indeed, off the back of those changes. We recently brought forward some much needed maintenance work in schools. We decided to shift some funding from the capital program into the maintenance program and bring it forward so that we could generate activity in the building trades. There is no doubt that there is more to be done, so yesterday, as I said, myself and my colleagues announced, together with the planning agencies, that we would put in place low-risk residential planning decisions that would have availability for private certification, speeding up application times and saving money. This is a move that has been long called for by much of the industry and, indeed, was called for in the lead-up to the round table by industry participants.

The changes will see private operators able to certify developments that comply with the residential code similar to the way private certifiers currently certify compliance with the building code requirements. While many jurisdictions have introduced private certification for other sorts of approvals, South Australia will lead the nation in providing private certification for planning applications.

Following the roundtable discussion, the government will consider a range of other measures to help stimulate demand in the building and construction sector. We will continue to consult with industry and the community about how we shape those reforms, and we will be working to provide the support the industry needs to meet its present challenges. All of those participants at the round table participated in a constructive fashion. They, unlike those opposite, understand the financial imperatives—

Mr VAN HOLST PELLEKAAN: Point of order.

The SPEAKER: Point of order, member for Stuart.

Members interjecting:

The SPEAKER: Order!

Mr VAN HOLST PELLEKAAN: Ninety-eight: the question was very specifically about the government's action, and straying from that should be considered debate.

The SPEAKER: Thank you, member for Stuart. I am sure the Premier will return to the question.

The Hon. J.W. WEATHERILL: I would be assisted by those opposite ceasing their interjections.

Members interjecting:

The SPEAKER: Order!

The Hon. J.W. WEATHERILL: The opposition—

Members interjecting:

The SPEAKER: Order!

The Hon. J.W. WEATHERILL: —leader keeps chirping about stamp duty. The truth is that at the meeting there was a general understanding of the financial constraints that were facing the government. They understood that they needed to work within the existing fiscal envelope that the government provides, and that is what we were doing together. We were doing the hard work of actually working on detailed policy prescriptions, something that those opposite would be a stranger to. That is what we are trying to do: come up with real policies that advance a real issue, which is the present circumstances of the residential, in particular, construction industry in South Australia.

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