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House of Assembly - Fifty-Third Parliament, Second Session (53-2)
2015-06-16 Daily Xml
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Motor Accident Commission

Mr MARSHALL (Dunstan—Leader of the Opposition) (14:45): Can the Treasurer guarantee there will be no increases in the CTP premiums paid by South Australian motorists over and above inflation following the winding-up (or privatisation) of the MAC in June 2016?

The Hon. A. KOUTSANTONIS (West Torrens—Treasurer, Minister for Finance, Minister for State Development, Minister for Mineral Resources and Energy, Minister for Small Business) (14:45): Mr Speaker, any politician who makes that promise is crazy. But, what I can say—

Members interjecting:

The Hon. A. KOUTSANTONIS: What I can say, Mr Speaker, is it is just as ridiculous to say that prices will increase by privatisation. The Leader of the Opposition fundamentally misunderstands the process we are undertaking. This is not a sale process: we are not selling the Motor Accident Commission, we are not treating the Motor Accident Commission like ETSA was, by fattening it up before sale. What we have done is we are allowing the competitive private sector to offer compulsory third-party—

The Hon. T.R. Kenyon: Do you remember that? Do you know what that is?

The SPEAKER: The member for Newland is called to order; he has been doing it all day. Treasurer.

The Hon. A. KOUTSANTONIS: Mr Speaker, this is about whether you believe that the private sector can offer a more efficient claims management unit and more efficient services, whether bundling your home insurance and your car insurance and maybe your life insurance together will get you a better deal, or whether you think a government-run monopoly could do a better job. It is obvious that the Leader of the Opposition believes in state-run enterprise, and he said this morning that government guarantees—

Mr GARDNER: Point of order: we are clearly in debate, sir—standing order 98.

The SPEAKER: The leader's belief or otherwise in state socialism is not relevant.

The Hon. A. KOUTSANTONIS: Perhaps he should spend less time at karaoke with the Greens, Mr Speaker, and more time listening to the younger members of his caucus. I say to the younger members of the caucus: retake your party!

Members interjecting:

The Hon. A. KOUTSANTONIS: Retake your party; retake your heritage. Don't allow the Greens infiltrator to take over your party. You all know what I'm talking about!

Members interjecting:

The SPEAKER: Point of order!

Mr GARDNER: He is debating. He is—

The SPEAKER: I uphold the point of order, and I warn the Treasurer for the first time, magnificent though this oratory is. Treasurer.

The Hon. A. KOUTSANTONIS: Thank you very much, Mr Speaker. What we want is we want South Australians to have more choice. We don't believe that a government-run monopoly is the only way to offer compulsory third-party premiums. I know the Leader of the Opposition is calling for more subsidy for the private sector, rather than funding public institutions. That can be his policy at the next election. What we say is: compulsory third-party premiums can be offered more efficiently by the private sector; they are better at it than we are.

I also point out to the Leader of the Opposition that CTP prices have been recommended to increase by the Motor Accident Commission when they don't have sufficient solvency and when the other indicators have been put into place that call for increases. It has been the government that has protected consumers. In fact, if it wasn't for the hard work of the health minister over the past two years—we have had a $140 reduction in CTP pricing—$140. The fundamental question here is: do members opposite really believe that a government-run monopoly and a government guarantee is better than the private sector? If they do, they are lost.

Members interjecting:

The SPEAKER: The member for Chaffey is given a second second warning.

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