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House of Assembly - Fifty-Second Parliament, Second Session (52-2)
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GM HOLDEN

Mr ODENWALDER (Little Para) (14:12): Can the Premier advise the house about the costs and benefits of the government's co-investment in Holden to the future of car manufacturing in Adelaide?

The Hon. J.W. WEATHERILL (Cheltenham—Premier, Treasurer, Minister for State Development, Minister for the Public Sector, Minister for the Arts) (14:12): I thank the honourable member for his question and, obviously, his keen interest in the manufacturing plant at Holden's, an important source of employment for members of his electorate. Today I was at Techport, as I have just mentioned, with the Prime Minister, to discuss the importance of defence to our manufacturing sector. But another fundamental plan of our manufacturing sector is, of course, the automotive industry, and last Friday I was proud to join Holden workers at Elizabeth for the reveal of the VF Commodore. These South Australian workers will be making the most technologically advanced car ever built in Australia. Alongside the Holden Cruze, the only small car currently built—

The SPEAKER: Premier, would you be seated. The member for Davenport has a point of order.

The Hon. I.F. EVANS: I draw your attention to standing order 128 which is repetition. This matter has been subject to a full debate by the Premier's own motion in the house and by standing order 128 it is out of order, I believe, sir.

The SPEAKER: I doubt whether that point of order applies to question time. It is about debate rather than question time, and so far I think it would be harsh to say of the Premier that he had engaged in tedious repetition. Accordingly, as the point of order has no merit, I call the member for Davenport to order. Premier.

The Hon. J.W. WEATHERILL: Thank you Mr Speaker. The future of the car industry in South Australia is a matter of vital interest for people on this side of the house. For South Australians, car making is in their blood. Many of the workers who built the Commodores and the Cruzes today were the sons and daughters of workers who built classic cars like the Kingswood and the Monaro. As I said when I was actually addressing the workers, it was something to say that you were a Holden's worker. It actually meant something in your family and it meant something in your community, and many of those workers are proud of it.

The automotive industry is vastly changed since those early days, but the importance of the industry to this state remains. Indeed, we were reminded of it down at Techport. So many of the workers who are there came from the Mitsubishi factory. It was a fantastic opportunity for them to continue to use their skills in the manufacturing sector. That is why the decision that was taken by this government last year to invest $50 million as part of a $275 million package with the commonwealth and Victorian governments to ensure that the VF Commodore would not be the last Holden model that rolls off the assembly line in Elizabeth was so crucial.

Some people at the time were questioning this investment and calling for a cost benefit analysis. An example of what the future looks like, Friday's announcement makes clear. The cost is $50 million. The benefit we know from the work of Professor Barry Burgan at the Business School of the University of Adelaide was the potential loss of 16,000 jobs and the loss of $1.5 billion to our gross state product, a benefit to the state that these workers—

Mr PISONI: Point of order.

The SPEAKER: The Premier will be seated. The member for Unley.

Mr PISONI: Yesterday, you asked me to address the Chair. I ask that you be consistent in your observations in the house.

The SPEAKER: The Chair is always consistent, member for Unley. Premier.

The Hon. J.W. WEATHERILL: —a benefit to the state that those workers who were attending that Friday launch of the two cars understood. They would have been there receiving the details of their redundancy packages but for this investment. A benefit to the state is that the automotive component manufacturers now have a more certain future and also an opportunity to become part of GMH's global supply chain.

If we want automotive suppliers to make the investments, they need to know that they have to continue to be competitive. We on this side of the house are very clear about our commitment to this plant. We have no hesitation in our support for Holden; federal Labor has no hesitation in its support for Holden.

Mr GARDNER: Point of order, sir.

The SPEAKER: The Premier will be seated. The member for Morialta.

Mr GARDNER: Even allowing for your adjudications, we are now up to four minutes and 30 seconds, so sessional orders would suggest that the time is up.

The SPEAKER: I call the member for Morialta to order. That is not a point of order. There is still 58 seconds on the clock. The clock was stopped because of previous obstructive points of order. Premier.

The Hon. J.W. WEATHERILL: Thank you, Mr Speaker. This is the future of our advanced manufacturing sector: to invest in those businesses that carve out a niche for themselves in the world. We would be appreciative if the federal Coalition was similarly supportive of this industry rather than speculating about a $500 million cut to this sector, and it would also be useful to know whether the Leader of the Opposition is still questioning the value of Holden's assistance.

The SPEAKER: Of course, the Premier is not responsible to the house for the Leader of the Opposition's position, mercifully. The leader.

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