May 15, 2014
While the Federal Budget has been greeted by dismay in some quarters – and State Governments are meeting to discuss cuts which will affect health and education funding – others are less displeased with the government’s efforts:
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AgForce General President Ian Burnett said given the tough budgetary challenges before the government, there were no surprises in the Budget.
“As an industry we are acutely aware of the debt our country must contend with and the need for fiscal responsibility at this time,” Mr Burnett said.
“For this reason we acknowledge the government has honoured the majority of its election commitments and are additionally heartened by a commitment to investment in infrastructure amounting to $11.6 billion to work towards boosting total infrastructure investment by Commonwealth, State and Local Governments as well as the private sector to more than $125 billion by 2019-2020.
“This will include development of the second Toowoomba range crossing and we would clearly hope this funding would also be channelled to other infrastructure that would benefit agricultural productivity.
“While we are concerned the re-indexation of the fuel excise will add costs to our regional communities we acknowledge the off-road diesel fuel rebate will also reflect that increase following strong lobbying by both AgForce and the National Farmers’ Federation.
“Additionally, given around 80 per cent of Queensland is in drought, we are relieved to see a continued commitment to drought assistance funding.
“We do have concerns about maintaining the ongoing efforts to raise productivity in the sector and lifting agriculture’s contribution to the economy at a time when there are enormous opportunities presented from the growing Asian middle class.
“Cuts to funding of the CSIRO, the RIRDC and changes to the Cooperative Research Centre model also raise questions as to how research and development for the rural sector will continue to be delivered effectively.
“Another key point of concern is lack of information as to how the new national Landcare scheme will be funded and operate and what monthly Pay As You Go requirements will be for trusts and sole traders.”
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The Queensland Farmers’ Federation acknowledged the groundwork being undertaken by the Federal Government to return the Budget to surplus and pay down debt.
The peak farm group for Queensland’s intensive farm sector said that while the Budget was not without cuts that would impact agricultural sector, it understood the need for the work of restoring the Budget to be shared among many.
“Importantly, the Federal Government has matched the diesel fuel rebate to increases in the excise,” QFF CEO Dan Galligan said.
“This rebate is critical for ensuring farmers maintain competitiveness in a global market, where already so many of our other costs are among the highest in the world. It also acknowledges the off-road use of diesel by farmers, given the excise is targeted toward road maintenance and upgrades.
“We also welcome the commitments to infrastructure in the Budget, including the long-awaited Toowoomba Range crossing.”
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Federal LNP Member for Maranoa Bruce Scott said the 2014-15 Budget was a win for bush infrastructure and reinforced the Coalition Government’s commitment to build road and rail networks of the 21st century in the electorate.
“We have a $1 billion National Stronger Regions Fund, together with $200 million of new Black Spot funding, and $350 million extra for Roads to Recovery which will deliver jobs and better roads across regional and rural Australia,” Mr Scott said.
“Infrastructure projects will relieve pressure on existing infrastructure and unlock the economic capacity of the Maranoa, making it an even better place to live and do business.
“Take the Inland Rail as an example. It will significantly improve freight movements – including agriculture and coal – within Maranoa including the Western Downs and Surat Basin.
“The government is also re-introducing fuel indexation where every dollar raised by the increases will be linked, by law, to the road-building budget.”
Mr Scott said there was a number of programs guaranteed funding within the Maranoa including:
- Roads to Recovery Program: A further $350 million per annum to extend the program from 2014-15 to 2018-19 to assist local governments to maintain and upgrade local roads
- Bridges Renewal Program: $300 million over the next five years
- Community Development Grants Program: More than $300 million to support needed infrastructure that promotes stable, secure and viable local and regional economies
- Regional Development Australia: Funding of $3,860,085 will be provided to the 12 RDA committees in Queensland
Federal Member for Wide Bay and Deputy Prime Minister Warren Truss said the decisions that the Coalition Government had made in its first Budget would set Australia on the course to an economically sustainable future.
“This Budget is an important part of the Coalition’s Economic Action Strategy, which is designed to strengthen the economy, take pressure off families, and provide opportunities for business to create jobs,” he said.
“This is a Budget for Australia, which sets our nation on a sustainable path.
“The centrepiece of the Budget is a massive new commitment to upgrade Australia’s road and rail networks, with more than $50 billion provided for new land transport infrastructure projects over the next seven years.
“Mobile phone black spots will also be addressed through a new $100 million competitive grants program that extends mobile phone coverage to those communities where it has not been viable for the private sector to make those investments.”