 
Return to speeches menu
Inaugural Speech to Parliament - 25th September 2002
Thank you Mr Speaker.
I am very pleased to have the opportunity to address this House today.
I am humbled by the privilege that the electors of Bass have bestowed upon me by electing me to this place.
It was only 7 years ago that I began my association with the Liberal Party.
My good friend Richard Trewethie introduced me to Warwick Smith and together they spoke to me about Menzies and the Liberal philosophy of the rights and freedoms of the individual
and the need to encourage initiative, responsibility and independence.
With the recession of the early 1990's and our growing indebtedness to the rest of the world, they knew from my many public statements that I was concerned about this country's direction.
They suggested that rather than being one of the many who complained but offered no real alternatives, I should join the Liberal Party and play my part in working for a better Australia.
That comment struck a chord in me and initially I managed Warwick's campaign to a successful conclusion at the 96 poll, then took on the opportunity to work as an advisor to Senator Newman in her capacity as a Cabinet Minister and Minister for Social Security.
Tough decisions were made for we couldn't continue with the Labor legacy of double digit unemployment, interest rates and inflation.
When I left for Ireland in 1998 Australia's economy was righting itself - interest rates were falling, national unemployment was falling and economic growth was on the increase.
Since then, strong fiscal management has provided us with a robust national economic framework of low interest rates, low inflation and rising employment opportunities.
Most other States have grasped these opportunities and since January this year the number of unemployed in the nation has fallen by almost 45,000 people.
But in Tasmania we actually have more Tasmanians unemployed now than at the beginning of the year.
This simply isn't good enough - Tasmanian's deserve better.
I have been fortunate enough to experience other economies both interstate and overseas.
I've experienced the optimism, the security and the opportunity that a vibrant growing well-managed economy can offer to it's people and I believe all Tasmanians deserve these same opportunities.
I am well placed to draw comparisons between these economies and Tasmania
and I can assure you that for a very long time in this State we have practiced nothing more than the economics of survival.
This is not to say that many of us have not prospered.
I know many who have.
I know many who are at the leading edge of their particular field of endeavor.
But ask yourself this question, "If Tasmania's economic performance had been on a par during the last 20 years with the rest of Australia, what other opportunities may have been available?
What could have been achieved if we'd been competing on a level playing field with the others states?"
Let me explain what I mean.
For most of the last century our growth rates have lagged that of mainland Australia and since the 1980's our economy has only grown at about half the rate.
In per capita terms the production of goods and services has been less than two-thirds the rate of growth of mainland states.
This slow economic growth has also meant a decline in the incomes for the majority of Tasmanians, which are now 20% below the national average.
This means that Tasmanians are around $6,000.00 after tax worse off than the average Australian household.
During the last century our population declined relative to the rest of Australia by around 30%.
Of more pressing importance though is the fact that in the last 10 years the greatest change in our population has occurred in the 18 - 38 year old bracket where nearly 20,000 people have left the State.
Had our population and employment growth been at the same rate as it has on the mainland, we could have had another 50,000 people employed last year.
Income and wealth aren't everything though.
Many of us - myself included - would argue that the lifestyle and environment we enjoy in this State is one of the best and safest in the world.
However for the majority of Tasmanians these advantages do not translate into a better standard of living.
Other than the Northern Territory, Tasmanians live on average a shorter life span than other Australians.
We are more likely to suffer from cancer, diabetes, heart disease and obesity.
We are significantly more dependent on social welfare, our children are less likely to have attended higher education and more likely to be living in a household where no parent is employed.
Is our poor economic performance a key factor in these outcomes?
Of course it is. The correlation between wealth and health is well documented as is the relationship between education and productivity.
Healthy, wealthy and wise the majority of Tasmanians should be.
But unfortunately, for many, this not the reality.
This situation demands action.
Mr Speaker, Tasmania's problems aren't new.
Three key studies have been conducted into this State's performance in the last 80 years.
Let me share with you three quotes from the authors:
"The financial position of Tasmania is one of serious moment and calls for immediate attention." Sir Nicholas Lochyer 1926
"Tasmania is beautiful, Tasmania is tranquil, Tasmania is economically challenged." Sir Bede Callaghan 1977
"Without change Tasmania's decline will continue. There are no short cuts to prosperity. Decisive action is required." The Hon Peter Nixon 1997
Highlighting these problems is easy.
Three eminent Australians - far more qualified and respected than I - have pointed out our shortfalls and offered solutions.
Yet the most difficult challenge of them all remains - having the courage to take the necessary action.
I want to take on that challenge.
I believe that Tasmanians do want more opportunity, more jobs, better health and longer lives.
I believe that Tasmanians don't want to leave this state in search of opportunity nor do they want to see their children have to leave.
So what needs to be done?
There are some key fundamentals that need addressing if this State is to grow it's population and economy and provide more opportunities for all Tasmanians:
Industry development is the number one priority.
If we can create jobs, people will remain in this State.
If we can create jobs people will return.
If we can create jobs, we will create opportunities.
How do I know?
When I was living in Ireland, its economy was booming.
Nearly one thousand people per week were flooding into the country because of the opportunities there.
How did Ireland do it?
How did they go from being the beggars of Europe to having a celtic Tiger economy?
Well, firstly no one can discount that they received a lot of European Union money to develop their infrastructure but at the same time they made some key structural changes during the last century which I believe we can learn from here in Tasmania.
The Irish Government committed itself to developing a business base during the latter half of the last century.
We need to make that same commitment in Tasmania.
Mr Speaker, my second priority is developing the right product and an attractive business environment to be able to promote that product.
There are two key issues here - business taxation and access to capital.
If we want to truly compete, we need to create within this State the most attractive business environment within the nation for businesses to operate in.
We need to be prepared to take bold but responsible action.
We desperately need to develop a strategy that allows for the reduction of taxes, especially payroll tax, and also provides real encouragement for new businesses to set up in Tasmania.
Access to investment capital is an issue that we have struggled with in Tasmania for too long
especially when you consider that around $400 million leaves this state in superannuation payments annually.
$1 billion every two-and-a-half years leaves Tasmania while we struggle for venture and infrastructure capital.
The reluctance by the managers of institutional funds to invest in Tasmania is understandable when considered in the context of our dismal economic performance over the last century.
However, we have to provide a mechanism to break this dreadful cycle
for without investment we'll get no economic activity
without economic activity we'll get no growth
without growth we'll get no investment.
Until we can demonstrate a more attractive track record, I believe that we need to develop a mechanism to encourage fund managers to invest in Tasmania.
Properly structured this could provide a conduit to investment funds that when coupled with an attractive taxation regime would make Tasmania a very attractive place for investment and development.
The need for Tasmania to improve its attractiveness, as a business proposition could not be better illustrated than by the events that have affected North East Tasmania during the last week.
Globalisation forces competition which ultimately ensures consumer benefits through lower prices.
But in a global economy forward planning is crucial.
In fact it is critical.
Labour costs and technology are the double edged sword that hangs over the head of all our industries as emerging countries hungry for the wealth that exports deliver, fight to establish their place in this global economy.
Simplot, Tassal, Blue Ribbon and Incat are - and have been - Tasmanian icons
large employers and part of our Tasmanian culture.
All of them important to our economy but all of them along with many others susceptible to the pressures of a competitive market place.
Tasmania has to get in front of the game.
We need to be proactive and recognize that in some markets we will only ever be marginally attractive but in others we have enormous competitive advantages.
We need to assist our existing businesses to grow but we also have a responsibility to establish new areas recognising that we are - and always will be - in a changing dynamic world.
Mr Speaker, I want to make mention of my parents and acknowledge their efforts in ensuring that all of their children - myself included - were given what I consider to be one of lives greatest gifts
the ability to take responsibility and think for ourselves.
I also want to especially thank my wife, Amanda, for her untiring support
and Amanda's parents Barry and Kaye who have been wonderfully supportive to us both.
I want to reaffirm my commitment to the people of Bass
and to my wider role as Shadow Treasurer, Shadow Minister for Employment and Shadow Minister for Economic Development.
Indeed, I commit to working for the best interests of all Tasmanians
and to a bipartisan approach to my role as a member of the State Opposition
which I have already displayed in my willingness to join with the Government on finding solutions to the crucial public liability issue.
Mr Speaker, I conclude with a quotation from an Irish colleague which has always impressed me
especially as events unfolded over the following months, the real significance of it became more apparent
and Alan Duke's statement of Fine Gael intentions came to be seen, and rightly seen, as a landmark political development.
He said - and I quote:
"
when the government is moving in the right overall direction, I will not oppose the central thrust of its policy. If it is going in the right direction, I do not believe that it should be deviated from its course, or tripped up on macroeconomic issues. I will not play that game, because it would not produce any real or lasting advantage for the Irish people - least of all for those who currently have neither political nor economic advantage."
Similarly, Mr Speaker, my colleagues and I commit to the same approach to our role in this 45rd Parliament.
Thank you.
Return to speeches menu
|
