Submission

Coastal Shipping Enquiry. Peter Brohier 121h August 2008

The terms of reference of your committee in the clearest possible terms cover Bass Strait, part of 's coastal waters.

The following are excernts from Some ranerq relAting to thf.. issue of crossing Australian coastal waters between Victoria and for the purpose for tourism and freight.

The full version of these papers are possibly held by Ministers, in the large PM's file described by Bob Cheek in his book Confessions of a Fei-ret Salesman and by relevant departments of the states of Tasmania, Victoria and the Commonwealth.

The Melbourne City Council's CEO Elisabeth Proust was the first CEO to support the equitable link. She said:

-7i Tsp $txJ.gy 1992. itravorts natioad approaches to major 1ss2e4 &v1optnnt of a oaf-Iona aansport. suateu barzcl.. on the approprime. ra of tranoz. The Bass Strait -ferry coo:am-don xvdc an et= and .should he 2.-%-7 'es part "of .a pa-ordur te. ,ding. . sate

This was followed by the Victorian Labor Caucus and in the lead article on the font page of the Herald Sun and on the billboards and support from the Kennett Government.

All major industries in Tasmania supported the link, so did TT Line. It's acting CEO said:

2775:.Ciontinittee or Batt SolaJt Plays* -airy chafre4-hy Mr fie,ter&Mick-lw eti feeeti ai,ern-hicnt 41th-ckE.,la BasiS .47 bib-4ex oast tranrieort =az All=4-att: to ai-which verinp that .Y 1 r dtsra-nr. teiltirita 7r„ the 27,z,fge.,,m4rd atm Lii -igot ago& Bas.f. &att. Lencot tag ihc teges qS,Ar"ac1Ld 4. a IL'irisL CaiNparty ity 111 Conir-atec jar • 7IVI4VOri Equal*

or _ethic* gat e (2Mg o Dray* to likBrah ;04 hIs rol.yrt.begrkrattyam7c

Keating then offered dramatically low passenger and vehicle fares for the 1996 Federal election. The Coalition in 1996, at the time of the 1996 Federal election, promised this:

.s.ithrtrf a un t2 mate lq3 weaR11. lerit has z a lave flat ror Ta.'IrriariFiared.serrk' op pppc4tgaidesfor „ The:. Coalition• 'nee s. trim 61 ,c 49:VWpalet'g *11E:pills:marl ti.*.

efl. aeaz tralc f• seffous ar."41*poputift for Tr-

It expected competition to drive passenger fares down. This did not eventuate possibly because Tasmania introduced large under utilised capacity crossing Bass Strait. The Coalition also recognised Bass Strait as part of the National Highway. They were intent on passenger fares dropping through competition.

OUr bflef is 014 can- eton fr v&;e and passenger traffic 'across /Ba - trz ls e mosz eecvs mans achieving affordable movement of vetgsgs and and-therefore ihe CPaMii- will wpt with the lasnlgillan G4v I - au a raja LIS 00niaettilYe MA IC:1°111.'4V Y. f iii d 'Vat ger saroces 2oross as

is part of the nationa s tilt at las reoNnises that 11$.

In the same document they expected lower fares and a review of the scheme annually for equity to be maintained. They said:

is a qra'ast.ireof ongtrm erit * Thssiàft1.,- tz'aliem - it's not a short-feral mprover expedient. an 4?-if-e,nicg1- ifia fair and acuitaLlei ald:PitY474.1.TiOt E4P2e t'is.tZ1 has had bipartisan suport. sinc:4'tU waSIlrit.i."z,-1u 4..tucn keers ago: PriCOUra e-Qregar pa,ss&rigernumbers.through idvier fare-• e.oqi,,,raoe...- titimlierrtinby eriabili• cr opetitOti to Prov'. 1t3 ne rr rectly driver cf vOhicia. not In= -fsp<,Irt- OptO to ati • ..?n9vr vehicles :and drItt-r) (I; .:;ng rnotof ;;y0:es), a directly tied to the ,--,ornparative cos; - / rtg ---zilent distance On milortzi 1119hway, "attnti ur-ail of Tren maintain .ocnim TCE1 to east.: riurnbers as waff as irr, '!•-virig the-sttractiverss' nia asa ES a result of ha '

The BSPES schen:. .s 4esigneci to achieve this, by being linked- to vehicie movements. The TT line es m$ 11 carries aa pass r every vehicle - friereff''' 3rripts to raise fa-es to tetat *NVhiCkis only app are , a (iriver v•Fzlitle would ts c/ 4 and wouc on to are paid

01.red.ly tiOd to the c'h....rnpataiiva r:g a. va.rzic' _t distance c1-1/4 as-tic:nal highyray. revIe -J n u1y by th tii;rt of imrt nag CZ I. CE) tc-fraintai6ew I Pr:1T c' numbe:$ as well as incre ng the -stiractiveness-of -?sliA a rfvo as a respit of, the tiction of the co vfrn,

AB SPES SCher%. Clesigne:1 to -,,.z..:1, -11evethis,.by being finked:to iCj rnovel:;nents.. The Tr '1'tne estIrriaies itC1TE 3passe-,-Igirs aveN, vehlcie thf pts to (alSe fares. absorb fin e, whrch. is only s'pri,- aras paid L• r Grrver- and cc q‘aunter,-produckwear would fk.w on to fats

The Coalition went on to say:

Eqvalis;stiori S,..88.PES) iflita for °40ia. mtss,ar; asthe.' name invites, it $4,394.c* to se the oost f travail-it by'*.oa higitwa.,/betwori TOsroa. corrtpared with un raJona higiway rk

Then three officers, one from Tasmania, Victoria and the Commonwealth estimated the cost of full equalisation, based on the following fares at $28 million a year but the estimate made in 1996 by the Coalition for 1998 / 1999 was to be $22.5 million a year for full equalisation. The two figures are very close and equalisation was very affordable and within the range contemplated by Canberra.

The following fares were assessed to be the basis for the scheme.

001 .EQUALISATION ESTIMATED to cost S28 roil io a Year

set at $47.50 for foot passengers and $19J) r aa± in passengers

1 1&i t7 ▪ c;,e1,49, tBase.d on 80,00Q.''''Ihides in 19 199,1759>. it Increasing y hId

• _e Iwall: FWIyazuel,11:v.i FA:- il....:0 r:71:2 7e rcc 1-7-0.4.1 ::=T/ces 501 la= S" °" .Y4 that f rit.e 'F.nt..1! em-e-' 1.c....,gan=1-,=recainirtg un. ed-Artz =xi emr-Is Lb Oa= sew operarg :let 2c..1,- 1:14 ' ottips ts in 199t- ., --—serranaingt 4S1 end Z wzrart =tee (with -4-thicle cap rei - I" aLl s rn- 237940 ir.bides -an :"-ra.wease of $1.1..2z 2001:02 fi .-.--ffe m st< ••• -mt koala iler..t ,fi.`4,3in over rid abbr.: ope=aluel c•lez _wizi ziin- 1.{.14.77ir-sn'- leo the r.f.A.3 for crcew mzIke..-7, iccrx,trza&ery pe;rrat..-' or 2 azw4.7436 @ VC zoo pi 1.4 14210

oe af_illim Use oczmu="ed prerision_53r . apPZ:eae. dividend I ir_- --7,:a..- le a - - matly less than ta 'mark. a

The same report concluded the following, contrary to equalisation promises, destroying equalisation and trying to move away from National Highway promises. 6. Folly Hoed fares -should'not be in beeguso.the.fare sirt.cfure is .-nr.q.,--able for the operator- without' • arAIMXi rebate, incriw..03_ to the. Cerninonwesit.h Govenmtent uhrie SPVES, [Section 7 (4)1

The Commoriveakh Government consiaer introdating..a flat rebate •irrespe of 'season $125- would he cost 'tett-4 S1.50 wiauld r gaidonal VintDion pa -ection 7(b)). 4#1 ,=”--# in -

14, Bass Sfrait shotrld not be deelared 3arf of the Nationni Highway. (Section SaJ

I would expect that the estimate cost far more than the $3 million suggested.

Then a Tasmanian Minister, Brenton Best of Tasmanian Labor, promised

IlLab6r wi64 the 689E011 OIL AtIgint 290V4 L.v...tquitiatljpjLas i suggaateAl.bY VM.iilialt s r" 45.-P

And I negotiated a trial of highway level fares in winter that brought the following increases as reported in a Federal BTRE report.

April 20000 24 59 1 23,0 11/13Y 5 21478 . Julie 11970 20253 Total- 2/ 5718 259523 20.3 _per wixge• 731 829 13.4 gruirrA• r

I /It Should be noted thAf, clumig 1996/97, the Tasmanian clov=azaw4 prOVidad i350,000 for a dmaottat in the eff.peak APEX fare for 'voi,-Tosolarnan aod =Inland passer,ger$, A 1 11,666 tickets were said, whfcb • thity Izelp =plain Othe Of the '56;atg rrala iy.r.ity to Juno 1997picld.".

And Peter Nixon in the Federally funded Nixon Report into Tasmania wrote after the BSPVES was introduced:

_As_lt_And&-via tniat6 -.• EveL____g24 *Li al CD aribia 41..!.rapagdv- 0.114 TA51714111/013 6 tO Even with,thiragand I:ott tfa alarr iontktrentm tr-y LI,a1ACOCA• V sti6idys the in excess cf 1 000;iflazius cam stgatimodaticia. The impact of the BSPVES was said to:

' auttitedtlitiA.,kzf bt11, yiat 4 tte qtrIM -eh vavid -rQtr 6alarol the thrli SPat5 er.tp.-at. gff izcpedtitwa, th,r,13a6on4ari

Then in a report prepared by a newspaper reporter:

..ake a àffezvitw .p16'0r-tang el" ,rnes a'..-ross -14,e Trish S. eas or the Ero,S.'ligft Chas eSSOW IthltiOitOf 18Sr-71as-1'4 the-resrit-lime-is t}vt the;e is to ronlp.arisba The 13K :nil Lion people and urop zs-D. populEdots of abtillt tliVIC:`,4 4 i1.1" about 18 million pe•ople ivithi-440,000 LJ Tes-rnriip `I'-1nazir4ta and w eomttrsac.'-‘,4v=id r other 111-12d, 330t elfryeDe agrees. -ays the wswer ov. ti f Icheap etr.

Then a $400,000 report substantially funded by the Commonwealth found

tants nc l'.fer:Band /V ?..ve-t. to:Tasmania .are price

rgvi_SX' ci a:,1* crsea dernand incre.ases, goal .7srld re not suhrtitutw fof Each otha% . a of those p.eengsss will have trferred fforri the ttle bur 1.1e effirr.... srnait. Mostfy it is mtw travel airang",-.1.-MeAt-S. gerierif by'lmorovPments

When discussing the difficulties with Spirit Three from Sydney to Devonport that duplicated a major part of the national sea highway link and used a limited capped version of the BSPVES.

Totn*ri JrAir KSaM1 yerd y,re,jetedcIiThatSpittUl was ov

i cot k is becv.m-a- we targ nk, :a market here7lylr Beam said.

takt-a ite uprr Ct notekno0 ch4irks, tht the type of people they need to get irito

VECCI urged the Transport Minister of Victoria, who came with me to Canberra some years before, to fight for a highway link

vi,,-,1- ..1- .7,4:,,,,w-- ::: 4:(...ri..:-A,posi• '.4- toli„:0.- ..14.tivo,t?ii4t4grA--arritit tg.-1---• •E- e s e.43.4:,. *4:8. t- --.14.fhifirrti-V4A1&.,-Eti . . -gaba.. . 7fA. . kr);..,g' 4. -alii...- ,IAq4 i ri.! fitrilitxk*ts. . tir4 . ria. a;`.!ts•. _ , 4 Mirgrrid.. tt-i-',IP.33t)a.-t, aa zuri-E.40.ii kx•i !,.--ti4-4-4/1 Isi,K...Lrad arid E14EIts2., . . 4 ti,gr=irra 411:3 zo, tr a 4 ,:*c- tvio.ndaq.b.) iry:.11.44a till sWIrtillp.tina ei..tv..z....5-4.Atiz,vt. 11'4' , .,zogro, lig,4.00fy6.pg..,,,-VA*-4. t'ir tti, *,:tr,-,ci-P1,2??40 itirti1/r:tig, 411; 404ry: ;100 ,,ftliii6: for!iggr,i 4,1-ci ,Itg:ifrim tb.-Erazi&. -. :. . -674-frOatt., 610d- f.f tx-pr..;ZI, lc= TAIWtat.,_ WI .- t .4: itteitttrAfg g (;4., fr; ,.,

Then ANRA representing the nation's major retailers said

agth Aus.link. the Povertiment has ,ciemonstrated.a major commitment to inVrOving the movement of goods across the nation. If this approach. 'Pouid be eXpAnded, to ificlude Bass .Strait shipping it vould promote the movement of goods and people in both directions-and encourage investment in Tasmania and on the .mainiand. ).5.ciditionalty such an approach would benefit Tasmanian exporters who are currently not eligible for the subsidy. 0 would help grow the. sie of the domestic market in Tasmania and in so doing, further reduce retail -prices. in exploring such an approach it would be important to ensure that the &tine! intention of the scheme were not undermined. and the Productivity Commission TFES report said

71-ES to e- .12)heitty take itho occe.Mni. could WV. isllS

This leaves open an Auslink link and no need to specifically direct TFES to cover exports.

Then John Howard followed somewhat the officer's advice er veh)ote -tquaiisation chlietne ass St, ,as always put Tasmanian inoustry and commerce at a -•dVaritage. SucrJassive LtheJ Governments have acknOwledged ills with the establishment of the Tasmanian Freight Equalisation Se me arid the Bass Strait Passenger Vehicle E.qualiSaton Scheme (BSPITES) --wthich are now worth around $82 million per annum. The scherrw. are uncapped and c6rnand driven. .9ar SexInd teiii we romniitted out-selves to both sthern navided-a $15 million boost to the Freight EqUaOsation Sdie, harks to tie sound economic management• -• o, the Hower° Government. we can announce a Urther enhancement of the Espx,T.s. A third HoweatiGovemment will provide an estimated $15.2 ro enhancement of the BSPVES by introducing:

A fat rebt..4e, irrespective of trle tourist season; The current rebate per4..-ar is between $100 and $150 eath way depending on the. sP...ason. A re-elect.ed Coalition Government will incd-rease the reoa'. to a fiat $300 per car on a return trip. Tnis will give greater assistance to Tasmania's vital tourism seQto by encouraging travel to the island in shoulder and low seasons;

But Commonwealth officers could and should have ensured that sea passenger fares were reduced in summer to maintain all year equal total fares and maintain the equalisation scheme. They however let the BSPVES turn into an assistance scheme with no sea-based competition.

In rejecting a Productivity Commission TFES interim finding John Howard said

Tasmarrian Freight EqualisatiOn Scheme -was introduced by a oalition goyemrnent in 1976. The scheme remains art important elemen f AtistraliAti .,zaverramerit programs that equalise cost disadvantage .vcen the states afid the tenitories.

Then the Tasmanian peak tourism group in 2008 said of the BSPVES

But didn't acknowledge that for equalisation it should equalise up to 5 people in a car and the scheme had cost Commonwealth taxpayers many time that of the Keating offer as it was the stated intention of the scheme through federal cost of also funding competition under the BSPVES to force passenger fares down.

Then the focus of the BSPVES changed from the first BTRE report to Tasmanian travel packages not "equalisation"

TREgratefutly acivx.wiedges ty -Fru-tine, TC.I.LitanTitrania, the Tasmanian Assise Services team :0 Cantrell* and:theaaltime and Lend TrariSpOf Oi& of the Departmententrisport and RwiOnaf- SerceS.

fr! AL thr.

of broadly Into V* d''-‘irritt mbate 4 context,. , A is uSatc.ii tii. .corISICW the •co st - 0gt - _el!' transport packages in 2tX/540: This camper so needs to be treated with caution-,paliculatly .g.ive,:n the variability of disoeunt air fares.

ifVlietsOineW visitors -.-,pent- an average -of $2146. ber'person. .. t. then the net ne:..y-tbrisITI . •sPOldindi.o.;oiiiii have been S.4 mon in 200E-03 This estimate Of spending by these new f,.t./i 1"$.1s.t.iitliOliire only and i.s fqr. visitors .travtrflim . for leVure-Pi_irpeses between Melbourne ,DeVenport•:-.•-it does riot irodyde additional vending by visitors travelling for business and ,.,. _. _.1.,•Se.s. sitors Losing the Sydriey—r..";evenoort. service, or benefits to Tasmanian ..ent.S.r-tr:.avelf.:ha try sa vei-O• reciaiveci tile rebate.

.:•Ttle. Minister. noted that inf... resulting fare reductions would help to increase the demand for Iv'. tra•Y-1. eaPs '6eSS.... , Btrait,., . wIth direct benefits to the tourist industry and potential growth in investment and population for Tasmania (Sharp 1996 p• 1) i .,4 i. ja-....^-,— ...... - ..e,,,...4,....4z,,,,C4." ,--• / ,..- A . . Signifi*t d;tanges tro-tv.serna in the September 2002 Ministerial Direations included .1...aefri4.the• . ..- preyieui . Seaional. structure for rebates by a constant rebate throughout the year, and extending the Schemeto irclude additional vehicle types

By redLing. . .he cos4 Of travel. , to TasMania, the Scheme would be expected to result in .additiorial visitor's to Tairnarile However, Lilo Schernc by effectively reducing the cost of sea trv64.-Iso.incriaiss- . . the aitrar..liveness- , of sea travel. as compared to air. When considering ,sea:ravel Coons the .prospedive . visitor to Tasmania. .would . consider more.thanjust. ----m- -ribst -notably the coils of rental cars._. In order. put the. rebate for ajigjtije passenger 1oontex1ji . is.useful to Consider the occst c=f broadly Comparable Se.3 and air ng into at:co:int the„ayera9e:195'.tkotetay in Tatmeni&by sea an erentes:in visitor spending on tien"Sport. The package sea fare used is for - ard. e,;•;c4.)mpanied passenger. . :. Vehicfe between MelboLinie and..

' While the TT line said to the public that And the Productivity Commission last year in its TFES report referred to the stated Victorian Government position as follows

Tictortait Govertmetti -also .ivw an over between ilusLitac OC121rS and thas- being inir:ytted by the - Twiiyzign.,eight schoies.. 11 saw scofiv for -pursuing m. fttionci- L tn/14)on ohjeetiws by backing ' finproved freight !rawer! conneefivityCl: The Vietortan GovenitneAn Suggests that the :nom etective and equitable w.ay to align the TFES and AuSLialz:Pnlides would In to extend the sub-sidv -to final' fids in the southbound cfire,ction. (sub 60, p tv)

and Aura said

Austalian Bureau of Statistics December quarter report on retail prices indicates is 2% dearer than Melbourne based on a very small basket of some 50 items. An earlier comparison by an AN RA member of some 2000 items suggests pnce differential May be considerably higher. Freight is a significant

Then the CEO of TT Line "ales I Ty iiiy dose to z par iib discoLiiat CjD x; W7til

, ue:th. titer sale - :trdity, with discount fares mMyz -tact offers cipixxcilW 'with an art.nourtcernent that genem fares ,ril 16 as th:-.. -rapts to turn aronnd a $10 mi 1 loss.

And then Federal Labor supported the suggesting of the Tasmanian peak tourism body re the BSPVES accepting the highway link and an aim to move the cost of travel to that of bitumen.

The scheme cannot do that without federal direction and this increase in funding can do the opposite.

t Leber increases Bass Strait Passenger Vehicle Equalisakl" Pr. tit& ne and reaffirms support for Tasmanian freight schernes tq bytp? • sae.rchee

Media Photo Gantry ferrent tames :ter for lrarepoct, Roads and Tourb-rn, Nadia Ferguson i. In D-- eonpoot today to re frame *tot Oorwai7nent yea infrows* the rebate tor taking prem.r tors saws Bass Str on patoneat Orme Toorroania by $30. roxiucing thsi tare from $71 to $49 ear.h sway. talorsowoloo foto •wouki to:tura to $10 rriliion per year Wedv fr4o accrAsrd thee increased fwmixtr at CerUckitts ttr tak-2 advents*. or/ ere scheme. Ltalct Tasman:a5 14nroiry to S•rt rnaWardtr.nictrig by Ws0- 0.1ot fah-Noel. ot t _ the number vistors traseatrog by sea to Tasmania dedned te-, 5,500 - airr=t 4 - f'n- Cent - the farntoYCIT rzdirohtar's!r4‘41-41/0 by l.6 to the matntind atso by 3 Per .4 cent

Forgusal sdld 1l, cod of travel Co7 • Bats 5frel IS dearly rrz.lor Invertirnt-Jst trivel betwreo., the frstagapd and Tosmarea

-WithOut tl*. passenger ee1-4r.4e rebato, 4,175 rew tb-uxiss syouid f`4.4 have Vdite---(1Tattrar02 41 205 ond the Stole trouir) have rrissrs100.1 $9.4 rraMon in tiXtri 3

ths,e has been ,ro;r

and the new CEO of TT Line then acknowledged the difference between A to B travel

said to be wanted by Tasmanians and packages said to be wanted by mainlanders. But what about ordinary Australians wanting A to B travel interstate to all states of their nation?

rpas reigniting the passion of Tasmanian's to traye, o Spirit of Tasmania was a major goal for the company.

TFle prs eg.:"..!ird the Spi'is as icons of tlie.State the ciao, 6--shipS as a. irieans to get, from point- to poi rathe a travel option that Provides a unique traVei eve! .2A Thesad.

Ve ne.e1±:t1 te advantage of the icon status and encourage Tasrmanians to travel on our ships rather than .the low cost, t

kno ttt 0 ,. a- -e with .rs bcaus r A t, : S t;TTS 4,-iit

IC .‘,.. s.. :, ::= omoia Provtues f t-aveiting vehir-le and the oppo esh,, z-,,t,antan pr..duce onboaro.

The Tasmanian Leader of the Opposition said last year:

instead, fors have st.a.adity increased on the hack of massive subsioes irr. orn :the contrrionweafth Government.: -111- 0::E3.SOVES was not designed to up:a govizirnment enterprise but provide a fair and equitable access co rtatjOnal.highway for Tasmanians.

Then Federal Labor acted, but there was still no mechanism for passenger fares to reduce, rather the opposite without any national mandate for just an assistance scheme save irr'the context of "equalisation" a basis used by the peak Tasmanian tourism group to obtain Federal Labor's commitment at the last election. Dt.ti saysth n s rk 1. I

, v--f]C a ;' r I. s sc,.... , v • ,, -, %.--;,- - tik,,'.8. zr4c1 -I '' nes- D:nartycies, . •_-4:,,,-..-1.5. • v ''''''

'

Then in a submission to the current Coastal Shipping enquiry TT Line said

IT-L.ine is involved in two very competve markets -in freight and passenger IransPorl, in freight. 11 Lire offers its freight 'services against Toll Shipping, Searoad Holdings and ANL,

itOurist /ire* market TT-Line competes with Clant* 4ets1ar, 'lily Tiger Ainitays as wII as the variout: internationat elrfin.„

But are the competitive markets re passenger transport that of "end to end" sea versus air, end to end, air packages as previous comments in this submission suggest that such competition is not that of direct discount air fare verses sea fare competition.

Bob Cheek said in his book said

ci e:Z • ne and productd int .. , ....• rtrry, .., ii)f3i I as part a. Tasmang pac,...age ri_ arrof-R t.- n Launceston z ., .1.1 -4 n Ailgust about- extendirq the',existing Bass Sua subsdy rnakiric cars theaper to itp across. the ,o ,ssengers; this would . allow ' . - foot tra c to board-.- the err- f5O At that- stage, .ie subsidy. . 'as o vehicles on a car tc et an'Y oeriefir; again, it ;as geared -:'..to - Fi5i in I ° war.red mobile passengus I van:3 .rtwPvI5 of rng. ou vc got thing you wanted 'there, fe-A., met ail n - • trap., :41,5' , - 1 tn .1111Z. propyA a tflnilf i , Elie .6:-45iii1g:. 'IC (1.4.tbs'Idy...a , r;,;,•. ri..wl'5,:ii; mth.r r • wai totally L.•-i)ri. ftise.d -ortit...y-f,,u i ' • .. :-.,•:, yThIng s ie. :::th::.1 , vih1-.yr)u ..aslted:' ' .1 1,11-:(111k; r6it : 1710-ward fr.-c)r-ri 1.-.st,,-,Ii) .. . ._ . . . ..l'ic,)idirtp,- . .. . .. •Ati .;IX.:Idit'it , .... .. ..- St'ilif.;1"), Villa. ,.... 1 - .C.'1 t ..:;:*j ':iii:'i2:t1rig ,.((itirt. .:s.7:',. .1t.-,rii it 'Iji..4. .vi !lion 1.0:i 'the4-) ncirf_- csS- " Litirr;:. 13 '. IttiOki:a 'iiibc. t-,;, al rritilf, h cell ' t. urn- :, ..., .... c c ,I .). fx1 hi<;2. , -Iii:a .aho. iit 6.01: , , tti1 r i Alcv. In, 2 . A -- g6.7).i...1 tt.'i..4•,-....,,,i-,its::,-1.-tail.ties /ge.61,1-4.1t i y )2lic vt.;.. (he .Pm. hii'd dtl,iycrc- pit . on vez 'ci.,-' 1 It'i--•-,..disci..). 4.1.4113ni.an ... .. . *.ized.. . that 4. . pr i:lufi '.p scna 45rs.,.-;ietity7 on i behalf of the 1.;iiiiiistri. . • Cciuncti;: vrt v,;,-inted.r e hk k : . cpr t6.vellitle_5, had. styctiled tile passeng,er pr()pip,!FA I locard roasn t. ;•isra.re Of it. "Ilic, t(iiii-i5rri b(.),,s had w()n sq.-1 icitia 1 ., ScA • 1 figiliNity. . C1-)1.1111iittCe , . vas.• cievastated:. . t --,..)d-bt.-eri ur, it Ili 1:•-,-) :; and rtil-: Ec'.11; - r ell_ 143SE . Clia3iCe. • . , • • ty dcbinde rds 1" liTn-VnTIVr. 1 i if •

But the Cheek comments about a business lobby. It was a lobby for the people as well as business and the in 1996 offer was not just for a car.

Then Minister Albanese called the BSPVES a transport subsidy and said DOUBLE BOOST FOR TASMANIAN TRANSPORT SUBSIDIES

Federal Infrastructure and IrenePod Minister Anthony Albanese today confirmed that two programs to encourage growth and development in Tasmania will be increased an.o. extended as part of the Rudd Labor Government's first Budget.

An allocation of $34.4 rhillion will be provided to the Bass Strait passenger. Vehicle. Equalisation Scheme, enabling the subsidy for standard passer ger vehicles to De increased from $168 to -$180 — honouring a. election pledge.

,ssistance to othcr elighie vel"iicles (including motor homes, buses, motor cycles. Vehicles towing caravans and bicycles) will also be increased by .20 per cent.

'The SubSidies, which will now be indexed to the Consumer Price Index, Will benefit all.Atistralians who take their cars across Bass Strait,' said Mr Albanese.

'They will provide a significant stimulus to Tasmania's tourism industry by creating more affordable transpoh links to the mainland. —

:The- subsidy's ongoing indexation also provides tourism operators with the torifidence TO further invest and grow their businesses.'

As total prices for passengers and cars increased numbers crossing dropped

Premier Lennon said of Peter Brohier

•Mr LENNON f. That Is probably appropriately addressed to Me. Mr Brohier has been a very strong advocate for a better deaf for o on Sass Strait I think he has done a terrifie job over the last feW years. Through rsfs efforts he Is probably more responsibie than anybody &se for .the Introduction of the vehicle subsidy,- I :vould think: He continues to lobby Federal politicians about that maffer, and my department continues to support him in those efforts. Essentially that Is an issue that needs to be taken up at a government levet, rather than with •TT-Line management. What we have provided for here is the closest thing to a highway we will probably eller see ori Sass Strait frankly, with a daily monohull servic and operating all year round with a massive increase In the number of :ars that we bring across Bass Strait in a year compared to the current service. kdr Stonier new has much more ammunition for his or campaign with Werel politicians of both poldical persuasions because we have the road now ma we ‘.'ill continue, to support hlm in his efforts to get the Cost down of •ave./ling,on that road to that car

And Reuters ran the headline a few months ago

"Australia Islanders say they are modern convicts"

So I call on this Committee to turn Bass Strait into a fair transport link and not primarily a one-sided upper level assistance scheme, so that through it all may benefit not just some.

This is an issue about Australia's most substantially used shipping route in coastal waters and directly relates to tourism and falls clearly within your terms of reference. Peter Brohier

lth August 2008 1. Excerpt from a letter from Elizabeth Proust to Bob Collins, 15th September 1993. 2. Excerpt from a letter from Mr Brand, Acting CEO, TT Line given to Peter Brohier. 21st February 1995. 3. Excerpts from the Federal Coalition election papers 1996 (5), 7th February 1996. 4. Excerpt from document supplied to the Federal minister for Regional Services, Victorian Minister for Ports and the Tasmanian Minister for Infrastructure, Joint Working Group on Bass Strait Sea Passenger Access and Infrastructure, Revised 9th November 2001. 5. Media release, Brenton Best MP, 4th August 1998. 6. BTRE - BSPVES Monitoring Report Nol, 1996 /1997, 27th April 1998. 7. The Hon Peter Nixon, Background Report 1997, p. 269. 8. Hobart Mercury, The Tasmanian, 22 June 2003. 9. Unpublished article, 20 February 1998. 10. Bass Strait Visitor Access Study, 12 October 2001, p. v. 11.-1Iobart Mercury, A fare go, 29 May 2004. 12. Neil Coulson, CEO, VECCI, correspondence to Peter Brohier, 9 August 2004. 13. Margy Osmond, letter from ANRA to Senator Fergusson, 1 March 2007. 14. Productivity Commission, Tasmanian Freight Subsidy Arrangements, 14 December2006, p. 98. 15.The Coalition election papers, 2 November 2000. 16. Media release, John Howard, 7 September 2006. 17. Media release, Tourism Industry Council of Tasmania, 29 October 2007. 18. BTRE monitoring report 2005-2006 & BSPVES Monitoring Report 2005- 2006. 19.TT Line Pty. Ltd. media advertisement, 2 October 2004. 20. Productivity Commission, TFES Tasmanian Freight Subsidy Arrangements, 14 December 2006, p. 98. 21. Margy Osmond, letter from ANRA to Senator Fergusson, 1 March 2007. 22, Hobart Mercury, 12 April 2007. 23. Media release, Martin Ferguson, 9 September 2007. 24:Media release, TT Line Pty. Ltd., 6 May 2008. 25. , 7 August 2007. 26. Media release, Duncan Kerr, 10 May 2008. 27. TT Line Pty. Ltd., Submission No. 41, Standing Committee on Infrastructure Transport, Regional Development and Local Government inquiry into coastal shipping, 20 October, 2008. 28. Bob Cheek, Confessions of a ferret salesman. 29. Media release, Anthony Albanese, 14 May 2008. 30. Paul Lennon, Parliament of Tasmania Hansard, 12 April 2002.