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Legislative Council - Fifty-Fourth Parliament, First Session (54-1)
2018-05-29 Daily Xml
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Question Time

South Australian Tourism Commission

The Hon. K.J. MAHER (Leader of the Opposition) (14:26): I seek leave to make a brief explanation before asking a question of the Minister for Trade, Tourism and Investment.

Leave granted.

The Hon. K.J. MAHER: On 30 April 2018, John Baker, Joint Managing Director of KWP, was reported in The Advertiser as saying:

…it surprised me and I asked specifically whether the Minister had been across this decision and I was told categorically that he had and also we were then subsequently told that, you know, thirty seconds it had gone to the Premier's office.

He went on to say:

…my understanding from the response is that the Minister had been aware of it and had signed off on it and I was told, and this wasn't prompted, this was unprompted. I was told in the same conversation that it'd gone to the Premier's Department.

This is in relation to the new state government's decision to award a lucrative contract in tourism to a Victorian company. My questions to the minister are:

1. What was the exact process for the approval of this contract?

2. At what stage of this process was the minister or the minister's office informed of this contract going to an interstate company?

The Hon. D.W. RIDGWAY (Minister for Trade, Tourism and Investment) (14:27): I will refresh the memories of the members present regarding the process. In late 2017, under the Labor government—a government that the member opposite was a cabinet minister in—the procurement committals of the State Procurement Board approved the acquisition for the establishment of a new contract for the provision of creative service of the SATC.

The process was initiated and largely completed under the previous Labor government. Two of the 35 companies were shortlisted. So 35 companies applied or showed interest, and two were shortlisted prior to the state election. It has now been publicly stated that the tender process involved 10 steps before the final agency was chosen. Each of those steps was designed to ensure the agency selected gives South Australia the best opportunity and the best value for money.

Since the announcement of that contract, as I said earlier in an answer to a question, I met with the chief executive and the chair of the SATC board to clarify the process and confirm the actions that will be taken to ensure South Australian companies would be in the best possible position to win the future contract. This state government always supports South Australian companies and expresses disappointment if and when they are not the winning bidder, and we remain committed to supporting them in any possible way in the context of a fair and competitive market.

When I became aware of this—my recollection is that it was, I think, on a Friday but I can't remember the exact date, whatever that date was—I requested further information. I then left on the Sunday for an overseas trade mission to start the process of opening our trade offices and do some bidding for an incentive event. As soon as I got back I had a meeting with the chair of the SATC and the chief executive—I will repeat—to confirm the actions that would be taken to ensure that South Australian companies would be in the best possible position to win future contracts.

We have dealt with this before. I am not quite sure what the former minister is digging around for. We made sure that TBWA will be using, wherever possible, as much South Australian local content as possible. It is a matter that was dealt with some weeks ago. As has become clear, I was aware just prior to going overseas. I wanted more information because I wanted to understand what had happened in the whole tender process. At no stage was I given the opportunity or was I under any obligation to approve it. The contract was approved by the Tourism Commission and I was never given any opportunity nor do I have any role in the approval process.

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