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Submission: SA 2021–2022 State Budget

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Submission: SA 2021–2022 State Budget Advocating for SA Submission: SA 2021–2022 State Budget March 2021 756k+ $50m 70k+ members member discounts insurance claims and savings settled RAA at a glance South Australia’s Advocating for South $230m+ Australians341k+ for over 38k+770k+ 1000+ insulargestrance claims road se rvice currenttravel members staff employed membershippaid organisation 115cal loutsyears (55%bookin of SAgs adults) across SA 13% 20% 75+ 16—34 37% 31% 150k+ 55—74 35—54 Largest 340k+ RAA29k+ members are Our1000+ members span 7k+personal lines roadside callouts peoplealso edu cyclistscated on road, Southall adult Aust ageralians groups vinsurerehicle in SA per year bike and child safety employed inspections 500+ 530+ businesses accredited 27k 23k+ tourism providers through RAA’s Approved SA school students educated free lessons delivered to promoted13k+ on Experience SA Repairer12k+ network on 1.3k+road safety each year keep SA learner drivers safe driver education COVID-19 COVID-19 2 lessons care calls care deliveries Contents Foreword Executive summary 4 RAA is South Australia’s largest member organisation, Road safety 5 representing more than 770,000 South Australians – Public transport 6 about half the state’s population. Our diverse motor, Future mobility 6 home and travel expertise means that we can help translate public policy into opportunity for South Cycling 7 Australians and advocate for the things that matter. Tourism 7 RAA’s advocacy efforts support the economic prosperity Key recommendations for the 2021–2022 8 of South Australia, including its regions – recognising State Budget our role as an employer of almost 1,000 people across Road safety 9 our state. Public transport 13 RAA has been a trusted advocate in transport and Future mobility 16 mobility developed over the last 118 years. We have also Cycling 19 provided South Australians with travel services, ranging Tourism 22 from holiday planning and bookings to travel insurance References 26 and international driving permits, for over 60 years. This means we have an expert understanding to provide unique insights into services and public policy settings to encourage improved transport, mobility planning and services and tourism infrastructure to help support and benefit our members and the broader South Australian community. Our advocacy is evidence-based: we consult and engage with industry, government and our members; and we use open-source data, research and technical field work to develop and test our recommendations. RAA is pleased to provide our insights and key budget recommendations for the 2021–22 State Budget in the greater interest of our stakeholders – our members and the South Australian community – and highlight key areas for investment that can support our State’s recovery and ongoing prosperity. RAA submission: SA 2021–2022 state budget – March 2021 3 Executive summary South Australia’s economic recovery from COVID-19 is gathering pace with business conditions and confidence at its highest levels since before the pandemic began, confirming South Australia as amongst the nation’s best performers.1 Whilst consumer confidence has been resilient, the legacy of the pandemic will linger within our economy for some time. Broad state and regional economic growth, job creation and adapting to a new normal will continue to be challenges faced by the South Australian Government. RAA commends the State Government’s decision to implement a strong budget in 2020–21, delivering against RAA’s call for significant investment in road safety and infrastructure, for moving towards sustainable energy and transport networks and stimulus spending to reinvigorate the economy. While the level of government debt will need to be carefully managed, the State Government recognised in its 2020–21 budget papers that a stimulus response needs to be provided over multiple years.2 RAA therefore urges the South Australian Government to continue its commitment to stimulus spending and industry support to ensure the economy and jobs grow. Smart investments to support road safety, public transport, cycling and tourism, and investments in future mobility, will continue to propel our economy, setting South Australia up for greater long-term, sustainable growth. RAA submission: SA 2021–2022 state budget – March 2021 4 Executive summary (continued) Road safety Last year marked the final year of Australia’s National While advances have been made in the past decade, Road Safety Strategy 2011–2020 and of South Australia’s it is clear that a lot more work needs to be done to complementary Towards Zero Together 2020 Road Safety make South Australia’s roads safe. RAA commends Strategy. Both aimed to reduce road crash fatalities and the Federal and State Governments for investments in serious road crash injuries by at least 30 per cent by the South Australian road infrastructure safety upgrades end of 2020 (compared with the 2008–2010 average). In announced over the past 12 months, including targeted the case of South Australia, this amounted to a target of road safety works, a regional road network package fewer than 80 fatalities and 800 serious injuries by 2020. and the Australian Government’s Road Safety Program. However, a large amount of the state’s road network Tragically, in 2020 South Australia recorded preliminary still falls short of acceptable safety standards and in figures of 93 fatalities and 740 serious injuries. We particular of the target for 80% of travel on state roads failed to achieve the targeted improvement in fatalities and 90% on national highways to meet a minimum and South Australia’s road fatality rate per 100,000 3-star AusRAP rating.6 population remains substantially above the national average.3 Regional areas continue to be over-represented: RAA recommends the State Government continues to From 2015–2019, 57% of South Australian road fatalities inject new funding into road upgrades and maintenance and 41% of serious injuries occurred in regional areas.4 and direct this at our regional roads to improve road user safety and help to reduce road trauma. This is particularly In addition to the enormous personal impact of road important with the increased strain on our regional roads trauma, the economic costs in Australia (including due to greater intrastate travel. Each incremental star loss of life and health, vehicle damage, disability care, rating improvement to a road is estimated to reduce health services and travel delay) are estimated at nearly fatalities and serious injuries by at least 40%.7 Not only $30 billion. The costs to government budgets (including will these much-needed road safety treatments help save lost taxation, income support and health services) are lives and improve journeys, but they will also support estimated at nearly $4 billion per year.5 a pipeline of work securing jobs and providing the In June 2020, RAA surveyed our members about road necessary boost to our regions. safety in South Australia. From a list of nine different transport policy areas, improving road safety was ranked as the highest priority for the State Government to address, with only a quarter of members feeling ‘extremely’ or ‘very safe’ using South Australia’s roads. RAA submission: SA 2021–2022 state budget – March 2021 5 Executive summary (continued) Public transport It is critical that people feel safe returning to public transport and that there are dedicated investments from Public transport is critical to connect people to jobs, our government, so that public transport remains central home, schools and essential services, and to help manage to our transport systems to place South Australia at the the capacity of the road network. However, the need forefront of being a thriving and successful city. for social distancing during the COVID-19 pandemic has impacted the usage and patronage of our public transport system. During the peak of COVID-19, public transport Future mobility patronage in most Australian cities dropped by 10–30% of normal levels as people went out less and found alternate Increased availability of new vehicle technologies and means to get to work, with greater working from home refuelling infrastructure will give South Australians and fewer students.8 A Member Panel survey conducted greater choice and provide additional productivity, by RAA on the impact of COVID-19 on transport usage emissions reduction, fuel security and air quality in (October 2020) found that 3% of members were using future years. The South Australian Government has public transport more and 55% were using it less during demonstrated its commitment to sustainable energy and COVID, with the main reason cited as not feeling safe or transport networks, announcing $18.3m to encourage avoiding use all together. the uptake of electric vehicles as part of the 2020–21 State Budget. The establishment of hydrogen hubs in While congestion and emissions reduced in the initial South Australia and $37m allocated to the upgrade of the lockdown period, overall traffic levels recovered quickly Port Bonython jetty also as part of last year’s budget are and have now returned to roughly pre-pandemic levels, all welcomed steps in the Government’s plan to position with a greater reliance on people using cars for their South Australia as an exporter of green energy to global mode of transportation. An increased uptake in second- markets. However, it is important that the Government hand vehicle purchases has been observed, indicating continues to deliver against its target of achieving net that higher car usage may persist for some time in 100% renewable energy by 2030. the future. To avoid putting the road network under excessive strain, it is important that the South Australian The South Australian Government has the opportunity Government acts now to encourage patrons back to to capitalise on our state’s strength in renewable energy public transport. This should be done through measures generation by developing additional energy storage and communications to reassure the public of the safety facilities and trialling the use of hydrogen-powered of public transport and by investing in improvements to vehicles.
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