4 Sep 1996 Ministerial Statement 2391

WEDNESDAY, 4 SEPTEMBER 1996 equivalent to an after-tax return of $12.6m. The Queensland Government will receive a dividend payment of $10.9m and a further $8.6m in income tax equivalents. Mr SPEAKER (Hon. N. J. Turner, Nicklin) The QIDC's results indicate some read prayers and took the chair at 9.30 a.m. encouraging signs in Queensland's rural sector, although wool and beef are still suffering badly and much of the State is still in PETITIONS drought. The result also indicates the inherent The Clerk announced the receipt of the strength of the QIDC and the important part following petitions— that it will play in the merged financial entity. However, it also shows why the merger is School Cleaners necessary, that is, to protect the QIDC's Queensland-orientated expertise and to give From Mr Bredhauer (160 signatories) rural clients of the QIDC even more services. requesting the House reverse the State The Government believes that the best way to Government's decision to privatise cleaning in achieve this is by including the QIDC in the Queensland schools, thereby ensuring clean merged entity to increase the capital mass of hygienic State schools and secure long-term the whole. The QIDC's expertise and employment of cleaners in schools. experience in the rural sector will be a valued Similar petitions were received from asset, and its business banking experience will Mr Springborg (174 signatories) and also be well utilised. The QIDC has continued Mr Purcell (282 signatories). its expansion of branches and agencies in country areas, and those branches and agencies will provide expanded services once Gun Control Laws the merger goes ahead. From Miss Simpson (110 signatories) Under the previous Labor Government all requesting the House to demonstrate its firm community service obligations for the QIDC support for uniform national gun laws and to were removed, and it has operated on a take all possible action to expedite their purely commercial basis. This is a fact that implementation, and resist all calls for the Labor does not talk about now. It is a fact that control measures to be watered down or there is no community service obligation in the abandoned. QIDC charter and, in fact, it was specifically Petitions received. removed by Labor. As a commercial entity the QIDC has proved itself successful. It has succeeded admirably in the commercial arena, MINISTERIAL STATEMENT and this success has meant that, to all QIDC Financial Results 1995-96 concerned, the QIDC is now ready to move on Hon. J. M. SHELDON (Caloundra— to a new stage as part of the merger with Deputy Premier, Treasurer and Minister for Suncorp and Metway. The Queensland The Arts) (9.32 a.m.), by leave: The 1995-96 coalition Government does not believe that financial results will be released today for the Governments should be in the business of QIDC, and they show that the corporation has banks, building societies and insurance achieved good results in a difficult economic companies. environment. Improving conditions in some Opposition members interjected. rural sectors and a sustained and aggressive Mrs SHELDON: Because of the business development program have resulted Government's belief, it will sell down its in the improved performance by the QIDC. shareholding in the new entity to 15 per cent. The QIDC lifted its profit result by 23.2 per However, at the same time, we believe that cent over the previous 12-month period to there should be a major Queensland-based achieve an after-tax profit of $27.1m. The financial entity so that our State does not result came through strong lending growth, continue to be little more than a branch office improving rural conditions and consistent asset for Sydney and Melbourne. The merger is the quality. Total lending and other receivables for best of both worlds for Queensland and the QIDC grew by $493.2m, or 23.2 per cent, Queenslanders, and the QIDC will play an to $2.6 billion, while capital and reserves important role in this major Queensland increased by a total $14.6m, or 7 per cent, to financial entity. The Labor Opposition has $221.9m. The corporation's net profit rose done its best to talk down the QIDC and $5.1m on last year's result of $22m and was Suncorp or to claim that the QIDC's rural and 2392 Ministerial Statement 4 Sep 1996 commercial expertise will be lost once the number of requests for rulings on complex tax merger takes place. I believe that today's issues. There have been a number of release of the 1995-96 results shows that the amendments to public rulings and four new QIDC, and its rural expertise, will be a major rulings have been issued. Rulings ensure that player in the merged entity. I commend the Government owned corporations subject to board and management of the QIDC for their the tax equivalents regime are neither good work over the past 12 months and for advantaged nor disadvantaged in comparison their enthusiastic support for the merger of the with their private sector competitors in the QIDC with Suncorp and Metway. There are Commonwealth tax regime. exciting times ahead for all concerned and for Queensland as a whole. Changes include that the value of assets contributed to a Government owned corporation or cash contributions towards the MINISTERIAL STATEMENT assets of a Government owned corporation will be treated in a tax neutral manner, and that State Tax Equivalents Regime tax deductions for payment of sales tax Hon. J. M. SHELDON (Caloundra— equivalents will be permitted only in the year Deputy Premier, Treasurer and Minister for payment is made. Several new rulings have The Arts) (9.37 a.m.), by leave: I wish to table been introduced, including the following: a tax a number of amendments to the Treasurer's deduction for depreciation of sealed airport Tax Equivalents Manual, a document runways will be permitted; Government owned authorised by the Government Owned corporations may pro rata their fringe benefits Corporations Act, which provides the tax liability in the year in which they enter the mechanism for administering Queensland's tax equivalents regime; public officers of tax equivalents regime. The tax equivalents subject entities will not be personally liable for regime was implemented under an agreement tax penalties incurred or tax owing by a subject reached at the 1994 Premiers Conference. entity; and a proportionate tax deduction, This agreement, which was concluded by the based on the arm's length value of any Commonwealth and all the States and standing timber held by DPI Forestry at the Territories as a micro-economic reform date it entered the tax equivalents regime, will measure, requires State trading enterprises, be permitted in the year that timber is felled. I such as Queensland Government owned lay this program upon the table of the House. corporations, to be subjected to a State tax equivalents regime which mirrors the Commonwealth's own tax regime. MINISTERIAL STATEMENT The manual was first issued in 1994, and Surgery on Time experience of its use has demonstrated that a number of amendments are now required. Hon. M. J. HORAN (Toowoomba Most of these are procedural in nature or South—Minister for Health) (9.40 a.m.), by correct minor numbering or typographical leave: On 1 July 1996, Cabinet approved a errors. There are, however, a number of planned approach to enhancing elective matters of policy, including that the definition surgery services in Queensland public of "subject entity" has been amended. This hospitals under the title Surgery on Time. The term is used in the tax equivalents regime to initiative targets those aspects of the health describe taxpayers, and its definition now system that impact on elective surgery services, including: better information and includes Government owned corporations, reporting arrangements; appropriately qualified their wholly owned subsidiaries and and trained clinical staff; enhanced capital commercialised business units of Government infrastructure; better utilisation of our operating departments. This ensures that the significant theatres; strategies to increase day surgery business activities of Government rates; improved post-acute care in the departments operating in direct competition community; the development of better clinical with the private sector are subject to the tax equivalents regime, as is required by the practices; and extra funding and incentive National Competition Policy. packages to ensure that our objectives are achieved. These strategies are currently being The time limit for the tax assessor to implemented and target the broader issues respond to requests from subject entities for that impact on elective surgery services in private tax rulings has been extended from 30 Queensland public hospitals. Their days to 60 days. Initial experience has shown implementation has resulted in a 12 per cent that 30 days was insufficient time for the tax overall reduction in the number of Category 1 assessor to deal with a comparatively large patients in Queensland public hospitals and a 4 Sep 1996 Ministerial Statement 2393

44 per cent reduction in long-stay Category 1 any deterioration in a patient's condition will be patients. This represents a net reduction of taken into account. 243 long stay Category 1 patients. Unfortunately, time delays are a part of Following an extensive consultation the difficult task we face in orthopaedics, which process that included discussions with the has traditionally been underfunded. The specialist medical colleges and associations, a coalition Government is moving quickly to number of specialty areas were identified that remedy funding for major joint surgery required additional support. These include undertaken in Queensland public hospitals. orthopaedic surgery, ophthalmology, ENT These changes will be introduced in January surgery, urology and cardiac surgery. The 1997. We are also currently negotiating an additional support provided by the coalition increase in ophthalmology and ENT services in Government to these speciality areas includes a number of hospitals around the State. It is an additional $1.2m provided by the coalition anticipated that these negotiations will be for cardiac surgery at the Prince Charles finalised by 30 September 1996, further Hospital, which provides an additional six enhancing the major cuts to waiting times for Category 1 operations per week and has elective surgery already achieved by the reduced this waiting list to zero. Special thanks coalition Government. is due to the staff at the Prince Charles Hospital. An additional $900,000 for urology services in North Queensland is expected to MINISTERIAL STATEMENT eliminate the urology waiting list, with a locum Workers Compensation Fund already in place making major inroads. The Hon. S. SANTORO (Clayfield—Minister reopening of 60 beds at Royal Brisbane for Training and Industrial Relations) Hospital has reduced the waiting list by 230. (9.44 a.m.), by leave: I would like to address An additional $300,000 provided to Cairns matters relating to the Workers Compensation Base Hospital for three additional staff in the Fund, in particular the current state of the fund emergency department has also improved and the need for a realistic response to the waiting times. problem. Following my tabling of the Kennedy Queensland Health has also recently report on 10 July 1996, groups opposed to the undertaken a review of case payments in a Government implementing the number of specific areas. As a consequence recommendations have unreasonably of this review, the case payments for patients suggested that Commissioner Kennedy "got it undergoing major joint surgery such as hip wrong" and overreacted. Based on claims replacements and knee replacements will be data to 31 January 1996, the actuaries increased to take into account the high cost of projected an "optimistic" deficit of $143m and prostheses used in these operations. I can cite a "pessimistic" deficit of $290m, with the an instance from my own city of Toowoomba, probable deficit being $220m at 30 June where nine people are awaiting hip 1996. At the time, Mr Kennedy said— replacement and seven are awaiting knee ". . . reaction by the Government should replacement. In recent months the waiting list be predicated on the pessimistic estimate has been reduced from 24 months down to of an unfunded liability of $290m." four to 18 months, depending on the procedure required. A number of groups, including the Law Society and the Bar Association, pointed to that One of the nine people waiting for hip recommendation and suggested that the hard replacement is an elderly patient who was decisions need not be made, on the basis that referred to the hospital in February 1995 under the lesser figure was more appropriate. Those Labor and was placed on the waiting list in groups do not have to put up the money. August 1995 under Labor. The patient's GP subsequently sought a review of the patient's I would now like to the inform the House condition in November 1995. of the latest actuarial advice, which clearly shows that things are getting worse rather A Government member: Who was than better. The independent actuaries have the Health Minister? now updated their projection, based on a Mr HORAN: Who was the Health further five months claims data to 30 July Minister at the time? Based on the clinical 1996, to a "pessimistic" figure of $441m, with needs of all people on the list, the hospital has the probable projected unfunded liability being indicated that the patient will be treated in the $323m. I would like honourable members to next 12 months. The hospital will continue to note that this figure is greater than the one monitor the patients on the waiting list, and which Commissioner Kennedy recommended 2394 Ministerial Statement 4 Sep 1996 we adopt and which opponents of the rescue MINISTERIAL STATEMENT package branded as extreme. Eco-Challenge In light of this update, I instigated actuarial briefings last Friday for the Workers Hon. B. W. DAVIDSON (Noosa— Compensation Board, the Opposition Minister for Tourism, Small Business and spokesperson and member for Kedron, the Industry) (9.49 a.m.), by leave: It is my great member for Gladstone, the Law Society, the pleasure to inform the House that Queensland Bar Association, the Insurance Council, plus has won another major international sporting key unions and employer groups. The and tourism event. Thanks to the efforts of the actuaries stated clearly and simply that the Queensland Tourist and Travel Corporation, fund's deterioration is due entirely to the the Queensland Events Corporation and the deteriorating common law experience. It is not Australian Tourist Commission, Queensland caused by economic changes or statutory has managed to snare the world famous claims or by incorrect treatment of multiple Eco-Challenge away from its planned 1997 files. It is, I repeat, caused by the common law location, Hawaii. More than $4m will be directly experience. injected into the Queensland economy Importantly, the actuaries have concluded through the Eco-Challenge. An additional $7.2m in international exposure will result from that the 1 January 1996 changes introduced worldwide television coverage of the event. by Labor are totally inadequate to address the The US-based Discovery Channel will screen a problem now confronting the fund. This is due five-hour miniseries covering the event, taking to the basic flaw in the now Opposition's the Cairns region into more than 100 million assumption when it made its botched attempt homes across 148 countries. We will have a to fix the problem. Yes, it is true that when double shot at publicity in the US, with Labor said it would fix the problem within five coverage on the NBC network's top-rating years it assumed that the increase in common Dateline program. More than 15 million law claims from 1993-94 to 1994-95 was a Americans consistently tune in to Dateline. "one-off". I can now inform the House that, based on actual—and I stress, "actual"— The Eco-Challenge will involve 50 to 75 claims data to 30 June 1996, the number of teams of five people racing across a planned claims intimated over the 1995-96 year has course through the far north of the State. A risen a further 37 per cent. Clearly, the key suggested course could see competitors begin assumption underlying Labor's package, now the race with a five to eight-hour leg on in force, is a dud. horseback around the Atherton Furthermore, the average common law Tableland/Mareeba area. The second leg payout has grown from $83,300 in 1995 to would see the race continue on foot for two to $97,000 in 1996. It must be noted that this three days to the North Johnstone River. The increase of 16 per cent affects the actuarial next stage would be down the Johnstone provision for all claims currently in the system. River by raft for one to two days before moving This increase alone has led to a $95m hike in to a foot race through the Bellenden Ker the actuarial provision to 30 June 1996. This National Park, via Josephine Falls and Mount all adds up to proof that Labor's 1 January Bartle Frere, ending on the coast south of 1996 changes to workers' compensation are Cairns. The race would continue by kayak totally inadequate for returning the fund to around the Frankland Islands and conclude surplus before the National Competition Policy with a mountain biking leg through the new takes a hold. Indeed, the actuaries have routes developed for the World Mountain Bike stated that the levy Labor imposed to fix the Championships, ending finally at Port Douglas. problem within five years will take at least three This is a unique event which is sure to times that long—in other words, more than 15 capture the imagination not just of locals in the years—to work. far north of the State but people right across The fund is now at least $323m in deficit Australia and the world. Aside from the and, according to the actuaries, in order to fix obvious immediate benefits of winning this the problem the Labor Government's solution event, the long-term impacts will be significant. of placing the burden on the employers would Ecotourism is the fastest growing travel need to be increased to a 37 per cent levy, segment in the world. While Queensland has instead of the 10 per cent levy it introduced. It already established a good reputation is too late for tinkering at the edges. It is too amongst ecotourists world wide, no single late for soft options. It is too late for inaction. event is likely to give us better exposure to the Implementation of the recommendations of Mr ecotourism market than the Eco-Challenge. I Kennedy are needed now if we are to save commend the efforts of all involved in winning the fund from total collapse. this event for Queensland. 4 Sep 1996 Ministerial Statement 2395

MINISTERIAL STATEMENT fully integrated, dealing with waste from the Waste Management point of generation to final disposal; secondly, the principles of polluter pays and user pays Hon. B. G. LITTLEPROUD (Western should be applied where possible to promote Downs—Minister for Environment) (9.51 a.m.), responsible waste management; thirdly, waste by leave: This Government is committed to the generators and product designers are objects of the Environmental Protection Act, responsible for the fate of their wastes and which are to protect Queensland's products until correct waste management or environment while allowing for development disposal is assured; and, fourthly, waste that improves quality of life, both now and in management should be based on a hierarchy the future, by adhering to a process of which orders management strategies from ecologically sustainable development. An least to most desirable; that is, prevention, important element of any responsible which incorporates waste avoidance and environmental policy needs to address the reduction; recycling, which incorporates reuse; problem of waste management, an issue reprocessing and waste utilisation; treatment which is specifically referred to in the and, finally, disposal as a last resort. Environmental Protection Act. Any system of waste management must The previous Government ignored the act at all stages of the waste cycle. The Waste need for appropriate integrated hazardous Management Strategy outlines a set of waste treatment and disposal facilities to meet proposals which, when fully introduced, will the expanding needs of Queensland industry. establish an integrated system of waste This lack of facilities will be highlighted further management and which will, in a practical and with the Brisbane City Council's proposed responsible way, demonstrate this closure of the Willawong Liquid Waste Government's continuing determination to Treatment Facility in two years. To help protect and preserve our environment for the redress this deficiency, the Government sees benefit of this and future generations. a clear role for the private sector to play a significant role in the future, based on experiences in Queensland and other States MINISTERIAL STATEMENT where private enterprise has shown it can deal responsibly with hazardous wastes. I intend to Solar Hot Water Grants Scheme foster the private sector's involvement in this Hon. T. J. G. GILMORE (Tablelands— area. Minister for Mines and Energy) (9.54 a.m.), by The Government does not see itself as a leave: In February, following the transition to major operator or joint venture partner in waste Government, the payment of all rebates under disposal facilities but does have a the solar hot water grants scheme was responsibility to facilitate, monitor and regulate suspended in response to the Treasurer's this process. As a first step in the process, a curtailment of expenditure across Government local government waste management working while the Budget was being reviewed. The group has been established by the rebates, introduced by the previous Department of Environment. One of the first Government, had been set at $500 for a new issues to be addressed will be the formation of two panel system, $300 for a new single panel regional groups to develop waste system, $200 for replacement systems and management plans. In some instances, work $100 for replacement panels and tanks. is already well advanced. The department is On 3 April, the payment of rebates was also considering a survey in south-east reactivated and, in line with the coalition's Queensland to provide data on waste sources, energy policy, it was decided to expand the types and quantities to help determine in scheme to also offer a $500 rebate for conjunction with local government the best replacement of an existing two panel system way to meet industry's needs for waste and a $300 rebate for replacement of a single disposal. We are also working on an panel system. Within a few weeks, however, it environmental protection policy on waste became increasingly apparent that the management, which will regulate best practice available Budget could not support the design, siting, operation and monitoring increased rebate levels. The consequence of criteria. this was that the Department of Mines and To address the issue of waste Energy had to revert to paying the previous management in a comprehensive way, the rebate levels. Department of Environment has developed a In the changeover process, a number of waste management strategy with four key applicants for replacement rebates were paid principles: firstly, waste management must be at the lesser rebate when they quite rightly 2396 Ministerial Statement 4 Sep 1996 held an expectation that they would receive undertakings to be pursued. In the meantime, the higher rebate. When this matter was I can report that the initial response to this brought to my attention, I took action to coalition Government initiative has been remedy the situation. The department was nothing short of amazing. It seems people out instructed to arrange the necessary steps to there have been crying out for that priceless pay an equity anomaly grant to applicants who commodity of water, but their pleas fell on had purchased replacement solar hot water deaf ears under the previous Labor systems and missed out on the higher rebate. Government. If, as the honourable member for Mount Isa Mr Crothers reports that some 470 contends, for some reason an applicant has responses to notify submissions have been missed out on the higher rebate and that received up to a short time ago, and they were applicant believes he is entitled to it, he should still arriving. In total, these proposals amount contact the Department of Mines and Energy to projects worth billions of dollars, far in and the matter will be quickly resolved. excess of the $1 billion the Government has On Thursday, 8 August, I was asked a earmarked for water infrastructure spending question without notice by the honourable over the next 15 years. However, the strong member on solar rebates. As part of my indications also are that planned Government answer, I advised the honourable member spending could be boosted by as much as $2 that the Government now provides a full $500 billion more in private capital. Of interest is rebate not only to people installing new that, of the nearly 500 water projects systems, but also to those installing proposed, some 75 of those are for new dams replacement systems. I undertook to get back alone. That is a huge response in anyone's to the honourable member at a later time terms, especially when one considers that my because it was also a matter that we were department currently manages 27 major dams looking at in the context of framing the coming built over previous decades. State Budget. As part of that budgetary process I had, on the very day preceding the Overall, Queensland's water infrastructure honourable member's question, approved new built up over many years has a current guidelines for solar hot water rebates. These replacement value of some $2.5 guidelines, which are to be given effect from 1 billion—somewhat less than the total value of July 1996, reflect coalition policy, and provide new demands reaching the task force. These for a $500 rebate on the cost of a new two demands cover a wide area of water-related panel solar hot water unit, as well as a $500 needs ranging from new dams, weirs, irrigation rebate on the cost of replacing an existing two schemes and off-stream storages to waste panel system, and $300 on the cost of a new water reuse, treatment plants, pipelines, single panel solar hot water system unit as well catchment management, flood mitigation and as $300 on the cost of replacing an existing drainage, fisheries improvements, electricity single panel system. generation and financial incentive schemes. More will be said on solar rebates next It is clear that Mr Crothers and his task week in the Budget but, quite clearly, the force have uncovered an awakening giant in information I provided to the honourable Queensland, and they have a huge member in answer to his question was responsibility to ensure that their absolutely correct. recommendations will be the appropriate path towards meeting the State's future water needs. There is one word of caution to MINISTERIAL STATEMENT proponents of water schemes, and that is that Water Infrastructure Task Force in the end such schemes must be based on economic reality, and receipt of proposals by Hon. H. W. T. HOBBS (Warrego— the task force does not necessarily imply Minister for Natural Resources) (9.57 a.m.), by endorsement. The 15-year water reform leave: I wish to inform the House of some agenda of new works will be scheduled on a developments that have occurred in the prioritised basis, and projects identified as ongoing work of the Water Infrastructure Task having a high priority will be subject to strict Force. Formed on 30 May, under the project evaluation and impact assessments chairmanship of Mr Henry Crothers, the task before being recommended for construction. force has been visiting areas of the State to take submissions and meet with proponents of There is no item more important to this water infrastructure developments. It is a big State than the provision of adequate water task that will come to fruition later this year supplies, whether it be for urban, industrial, when the task force reports with a agricultural or other uses. In many cases, the recommended prioritised list of water-related seemingly simple provision of water can make 4 Sep 1996 Ministerial Statement 2397 the vital difference between progress and My department continues to closely expansion in some industries, or leave them monitor interest rate movements, and the languishing. As a Minister in this coalition latest reductions totalling 1.25 per cent are Government, I am determined to do my part welcome and good news indeed. to ensure that we take this State to its prosperous destiny so often spoken about. MINISTERIAL STATEMENT Ambulance Service Staffing Incentives MINISTERIAL STATEMENT Strategy State Government Home Loan Interest Hon. M. D. VEIVERS (Southport— Rates Minister for Emergency Services and Minister Hon. R. T. CONNOR (Nerang— for Sport) (10.02 a.m.), by leave: I am Minister for Public Works and Housing) delighted today to again be the bearer of (10 a.m.), by leave: It gives me great pleasure positive news for emergency services in today to announce yet another interest rates Queensland. This week, a new incentives cut affecting thousands of people with strategy has been launched which will Queensland Government variable rate home significantly improve opportunities for the loans. It is the second fall in four weeks and is Queensland Ambulance Service in attracting ahead of the major banks. Together, the two and retaining ambulance officers who live and reductions represent a drop of 1.25 per cent. work in isolated, remote and rural areas of the The latest reduction has lowered the variable State. Under this incentives package, some rate from 9.75 per cent to 9.25 per cent. The ambulance officers will receive additional latest reduction is effective from 1 September. remuneration in terms of isolation bonuses Average estimated monthly savings after both plus paid rent, airfares and assistance with cuts range between $33 and $78 for the transfer and relocation costs. people on the major variable lending schemes. Many of the ambulance officers in the bush are on call virtually 24 hours a day, and The Government's home loan rates were in many areas they are the only emergency worked out on an average of the rates medical help available. They should be paid charged by Australia's four biggest banks: well for that, but sadly, despite almost two Westpac, ANZ, National Australia Bank and years of asking for this package, their calls the Commonwealth Bank. The latest fall, have fallen on deaf ears. which comes ahead of the major banks delivering their next round of cuts for existing Mr Elder interjected. variable rate borrowers, will benefit more than Mr VEIVERS: The honourable member 8,000 Government home loan borrowers. should take note of that. Those 8,000 people represent about 45 per Under the package, ambulance staff in cent of the Government's home loan portfolio; remote areas will be entitled to: special leave the balance are borrowers on fixed interest for up to three days for staff development; rates. isolation bonuses consistent with the public This latest interest rate reduction service locality allowance—the former represents estimated monthly interest savings Government had six years, but it did nothing; of between $13 and $31 for people on those an integrated transfer program, including term major variable schemes. The average savings appointments and improved transfer had been calculated against average loans conditions and entitlements; housing provided ranging from $31,400 under the flexible term or subsidised in selected locations; and scheme up to $74,600 under the previous payment of an incidental expenses allowance Government's HOME loan scheme. Other for overnight relievers away from home. estimated monthly savings as a result of the The problem the Ambulance Service latest reduction include $14 on an average faces is that it has some 100 vacancies across loan of $33,800 under the interest subsidy the State, many of those being in isolated, scheme and $21 on an average loan of rural and remote areas of the State. Thirty $49,900 in the Queensland housing loan ambulance stations throughout the State are scheme. affected by the incentives package, with these The extent of the savings to borrowers is stations being divided into three separate even greater when the previous interest rate categories, ranging from locations such as cut in August is also taken into account. On 1 Weipa and Thursday Island to Julia Creek, August the variable rates were cut from 10.5 Mount Isa, Texas and Theodore. Whether per cent to 9.75 per cent. they live in Bamaga, Barcaldine or Brisbane, 2398 Estimates Committees 4 Sep 1996 people quite rightly expect the same high China, our fifth-largest partner, fell to ninth standard from their local ambulance service. position, and Indonesia rose from eleventh to The package has been developed within seventh. As Trade Minister, I am proud of the the wider context of the current QAS work my department is doing in assisting enterprise bargaining agreement and after Queensland exporters to achieve this extensive consultation with the ambulance outstanding result. I seek leave to table the union, the Australian Liquor, Hospitality and statistics on the trade figures for Queensland. Miscellaneous Workers Union, local Leave granted. ambulance committees, Government agencies, community groups and ambulance ESTIMATES COMMITTEES officers. Increased payments under this incentives strategy will begin this month. This Sitting Days; Membership Government is firmly committed to improving Mr FITZGERALD (Lockyer—Leader of emergency service delivery to all Government Business) (10.07 a.m.), by leave, Queenslanders, no matter where they live. without notice: I move— This package will help achieve that "(1) Notwithstanding anything contained commitment. in the standing orders, the Budget Estimates for the 1996-97 financial MINISTERIAL STATEMENT year for the purpose of debate in the Legislative Assembly shall be in the Trade Figures form of an Appropriation Bill and an Hon. D. J. SLACK (Burnett—Minister Appropriation (Parliament) Bill. for Economic Development and Trade and (2) The estimates committees are to Minister Assisting the Premier) (10.05 a.m.), by meet to hear evidence in accordance leave: It has been a great year for the unsung with the following schedule— heroes of Queensland prosperity—our (a) Estimates Committee A— exporters—who have achieved a leap of $1 Tuesday 17 September 1996 billion in trade between Queensland and the world. Our latest trade figures for 1995-96— (b) Estimates Committee B— $13.59 billion—show that it was a record year, Wednesday 18 September compared with $12.5 billion for the preceding 1996 year. This is especially good news for the (c) Estimates Committee C— Queensland economy, which has been Thursday 19 September 1996 constrained by drought and low commodity (d) Estimates Committee D—Friday prices. 20 September 1996 This result sends a strong message to the (e) Estimates Committee E— world that the Queensland economy is Tuesday 24 September 1996 internationally focused and that it is delivering (f) Estimates Committee F— wealth for all Queenslanders and for the whole Wednesday 25 September of Australia. We are a trading State and a 1996 trading nation. We should all realise how much exports contribute to our economic (g) Estimates Committee G— development and personal prosperity. Given Thursday 26 September 1996 our current national economic problems, (3) In accordance with the resolution exporters are truly national heroes and should agreed to on 3 September 1996, be acknowledged as such. I am especially Members be appointed to estimates pleased that our exporters have achieved so committees as follows— much given the 12 per cent rise in the Estimates Committee A— Australian dollar and the fact that these figures Messrs Beattie, Grice, Hamill and refer only to merchandise exports and not Harper, Ms Spence and Mr services. Springborg The latest figures also show some Estimates Committee B— interesting changes in the ranking of our trading partners. Whilst Japan and Korea Messrs Barton and Carroll, Mrs remain our top trading destinations, India has Cunningham, Messrs Foley, replaced the USA as No. 3. Exports to India Schwarten and Stephan leapt 21.4 per cent and reflected a firming in Estimates Committee C— the price for coal, which accounts for 94 per Messrs Braddy, Bredhauer, Hegarty cent of all Queensland exports to that country. and Lester, Ms Spence and Mr Tanti 4 Sep 1996 Notices of Motion 2399

Estimates Committee D— The committee has also welcomed the Mrs Bird, Messrs Mackenroth, amendment of its terms of reference in April Mitchell and Rowell, Ms Warwick and this year to enable it to examine public Mr Welford transport issues for the first time. This was a timely decision of the Assembly given the Estimates Committee E— rapid urban growth in provincial centres across Messrs Elliott, Gibbs, Malone, the State and the increasing congestion of our McGrady, Palaszczuk and Radke roads system. Better public transport is an Estimates Committee F— obvious solution, and the Travelsafe Committee looks forward to examining this Mr Baumann, Ms Bligh, Messrs area of Government administration in detail in Elder, J Goss, Healy and Mackenroth the future. It is my pleasure to submit this Estimates Committee G— report on the committee's activities. Mrs Edmond, Mr Elder, Mrs Gamin, Miss Simpson, Mrs Woodgate and NOTICES OF MOTION Mr Woolmer." Pacific Highway Expansion Motion agreed to. Hon. J. P. ELDER (Capalaba—Deputy Leader of the Opposition) (10.11 a.m.): I give TRAVELSAFE COMMITTEE notice that I shall move— Annual Report "That this Parliament expresses its Mr J. N. GOSS (Aspley) (10.08 a.m.): I grave concern at the Government's seek leave to table a report. proposed $1.2 billion upgrade to the Brisbane to Gold Coast Highway. In Leave granted. particular, those concerns are: Mr J. N. GOSS: I lay upon the table 1. The grave implications for the annual report of the Travelsafe Committee expenditure on roads in the rest of for the period 1 July 1995 to 30 June 1996. In Queensland over the next four years, retrospect, this has been both a difficult and given the Treasurer's commitment on an exciting year for the committee. The July 19 March that the Government would 1995 election and change of Government in not borrow for infrastructure projects February this year resulted in significant down that were unable to service debt and time and stalled much of the valuable work of the Federal Government's slashing of the Assembly's committees. There has also national highway expenditure; been a loss of many experienced members with intimate knowledge of the issues under 2. The dislocation caused by the inquiry. To this end I wish to acknowledge the resumption of at least 200 properties contribution made by the previous chairman, for the expansion, in clear breach of the member for Archerfield. As a select the Government's agreement with committee with no permanent statutory basis, VETO signed on 12 July 1995, that the Travelsafe Committee has been the coalition's alternative would 'be particularly affected by these events. I thank confined within the bounds of the my fellow members and the committee's staff general present alignment of the for keeping its inquiries moving forward. Pacific Highway corridor'; The loss of life on our roads remains a 3. The impact on Brisbane suburbs and very serious issue which affects all inner suburban road network of the Queenslanders directly and indirectly. Motor inevitable restriction of access at vehicle accidents are the single greatest Marshall Road and Cornwall Street at contributor to fatal injury in Queensland and least in peak hour that will flow from the major cause of death of 15 to the massive increase in capacity and 24-year-olds. In addition to the immense traffic flows south of Mains Road; human costs, road accidents drain between and $900m and $1 billion every year from the 4. The disruption and dislocation that is State's economy. The Travelsafe Committee being wrought on communities on will continue the important task of monitoring either side of the southern section of and reviewing the Government's road safety the highway and the lack of concern programs on behalf of this Parliament and flag for the needs of those local possible reforms for its consideration. communities." 2400 Private Members' Statements 4 Sep 1996

Salmonella Outbreak two-thirds capacity; the business community to Mr CAMPBELL (Bundaberg) whom we talk reckon that the Government is (10.12 a.m.): I give notice that I shall move— operating at one-third capacity and that that is as good as it will ever get. "1. That this House views with grave concern the national salmonella food Let us look at what the Premier has done. poisoning outbreak traced to the On Monday, he took to Cabinet three Kingaroy based peanut processor economic documents: the State Economic and notes the paper presented to Development Strategy, which I table for the the Australian Institute of benefit of the House—— Environmental Health State Mr BORBIDGE: I rise to a point of Conference stating there is a order. For the benefit of the Leader of the substantial under-reporting and Opposition I point out that I did not take inadequate investigation of food- anything to Cabinet on Monday; I was sick. borne illnesses and that the food Mr BEATTIE: What a sensitive petal! I inspection system was outdated and table the three economic documents that were needed an overhaul; and taken to Cabinet on Monday. Had the Premier 2. That this House places the utmost been there, he would have done. They form importance on a high standard of the framework for the Budget next Tuesday. hygiene to ensure the public health The Premier ought to be embarrassed by the and to protect the export market documents, because they are only a sprinkling 'clean food' image of Queensland. of previous Labor initiatives with a layer of 3. Therefore, this House will establish privatisation on top. They have no depth, no an all-party select committee to vision and no commitment to the future of this inquire into and make State. In those documents, the Government recommendations concerning the discusses taxation. It is going to keep it under hygiene of food processing, including review. The Government is saying in code that prepared and take-away foods, food Queensland will have extra taxation under this handling, adequacy of inspection Government. It has recommitted itself to and testing procedures, reporting of Eastlink and discusses privatising all the other food poisoning cases, public warning entities that Queenslanders do not want procedures and any other matter privatised. concerning food hygiene; and 4. That the select committee report to National Servicemen's Association of the House by the end of February Australia Medals 1997." Mr TANTI (Mundingburra) (10.15 a.m.): I wish to detail some facts that show to what PRIVATE MEMBERS' STATEMENTS extent the union and Labor Opposition will go to either unsettle me or attack me in my Lytton By-election position. Yes, I accept that that is part of the Mr BEATTIE (Brisbane Central—Leader game and I am learning daily, but for them to of the Opposition) (10.13 a.m.): Next Tuesday throw threats at me for wearing a National the Treasurer will deliver the State Budget in Servicemen's Association of Australia medal is this House. The people of Lytton—25,000 the low of the lows. people—will not be represented during that I received a letter and phoned a Mr Bill budgetary process. This Government stands Thompson in relation to his letter that was condemned for not giving 25,000 pushed under my office door. My Queenslanders their democratic right. understanding is that Mr Thompson is a Tom Burns' resignation was effective from member of the Australian Services Union and the end of May, and the Government has not that his wife worked for the previous Federal had the courage to call a by-election. It has member for Herbert, Mr Ted Lindsay, until he disfranchised 25,000 people. Under the law, was defeated easily at the last election. Also I 26 days' notice is required before a by-election received a letter from the member for can be held. Gun legislation is before this Thuringowa asking on behalf of a constituent House and a Budget is soon to be brought the same question about my medal's down, and the Government will not let the authenticity. I have all the paperwork to prove people of Lytton have a say. It is little wonder that my medal is legal and that I wore it as that this morning the Premier said on 4BC that required by the association. The threats of his Government was only performing at going to the papers do not scare me in any 4 Sep 1996 Private Members' Statements 2401 way. I warn them that, if they have nothing This is not a case of a Minister correcting better to do than attack me and former an error as soon as it is found out; this is a nashos, they should be prepared to take the case of a Minister who can no longer cover up flak that that association will run at them. because of an FOI request. This is a clear I am proud to wear this medal. The case of a breach of the Westminster following information will inform honourable convention on ministerial accountability. The members of the numbers involved. It has Minister should take the proper course of been estimated that, during 1951-1959, up to action and resign. 250,000 young nashos served their country Time expired. across the three services. In Queensland, approximately 40,000 Nashos passed through Wacol. In the 1965-1972 period, military Tully/Millstream Project conscription was reintroduced coinciding with Mr ROWELL (Hinchinbrook) the Vietnam conflict and 761,854 men who (10.19 a.m.): During the last session of turned 20 years between 1965-1972 were Parliament the Leader of the Opposition potentially eligible for call-up into the Army. raised the fact that I read the Courier-Mail. I The National Servicemen's Association thought that that was extremely interesting. I was established by the late Barry Vicary in do not read that paper necessarily for its 1987 based in Toowoomba. In 1994 the newsworthy items. Recently I was made aware organisation was incorporated under of an article written by Brendan O'Malley and Queensland's Associations Incorporation Act Brian Williams dated 22 February that related under the name National Servicemen's to the Tully/Millstream. I am not questioning Association of Australia (Queensland) Inc. the information that is provided in the article, Time expired. but I am extremely concerned about the pictorial information that is provided in it, which is untrue. The article refers to Tully/Millstream Minister for Local Government and and, of course, the various people involved in Planning the process. However, the caption at the Hon. J. P. ELDER (Capalaba—Deputy bottom of the photo is a matter that interests Leader of the Opposition) (10.17 a.m.): The me greatly. It states— Westminster convention on ministerial "The Tully Valley site proposed for responsibility requires that a Minister who the Tully-Millstream project." misleads the House must correct that mistake in good faith at the first opportunity or resign. That is absolutely untrue. They have no idea Last night the Minister for Local Government where the Tully/Millstream project is proposed. admitted that she had misled the House. She I think this type of information that is provided did not do it at the first opportunity or in good by the Courier-Mail is absolutely deceitful. It is faith. She did it because a freedom of a disgrace that a national paper such as the information request lodged by the member for Courier-Mail should provide this type of Murrumba forced her hand. information. The caption is absolutely untrue. She had told the House she had not had The proposed Tully/Millstream project is lunch with a representative of Transtate. The some 700 metres above the valley floor of the FOI search exposed the fact that she had had Tully gorge, which is depicted in the photo. So lunch on Tuesday, 4 June, with a group of the Courier-Mail is providing totally incorrect people including Peter Marshall, Managing information. It is giving people in this particular Director of Transtate. It exposed also the fact part of the world, in which the paper has a that she had received the invitation on 14 wide circulation, an incorrect understanding of May. Last night she admitted that she had where this project is proposed. misled the House because those documents It is little wonder that there are so many were going to hit the public arena and she objections raised to Tully/Millstream. I think could not cover up any more. A Minister is that the paper should correct the item. It entitled to have lunch with developers. The should write a retraction. I table a copy of the objection is not that she had lunch with a article. representative of Transtate but that she denied that she had and ridiculed the member for Murrumba. She relied on the sophistry that Public Hospitals Mr Marshall was not there representing Mrs EDMOND (Mount Coot-tha) Transtate but supposedly representing the (10.21 a.m.): Ever since Mr Horan got his Urban Development Institute—until her own hands on the Health portfolio, he has been documents caught her out in the deceit. madly making haste to privatise Queensland's 2402 Private Members' Statements 4 Sep 1996 public hospitals—something Queenslanders on Saturday afternoon on the ABC as well as were promised would never even be some 6,500 fans who came to Suncorp contemplated under this coalition stadium witnessed one of the great games of Government. Yet again, Queenslanders have league this season. Around a dozen or so been betrayed by a coalition Government that packed coachloads of Toowoomba fans promised that the privatisation agenda of our journeyed to Brisbane to support a young health system was not and never would be the team of heroes from the bush who took on the policy of the Borbidge Government. might of the highly fancied Redcliffe Dolphins Remember the hysteria when the Labor Party and won. My commiserations to my colleague questioned its intentions prior to the election the member for Redcliffe. last year? Queensland Rugby League needed That broken promise has all the hallmarks something to bring back fans to the game of Stage 1 of a wholesale privatisation of our following the damage caused by the treasured free public hospitals system. No ARL/Super League debacle. As Clydesdales' matter what Mr Horan says about Labor, he Board Chairman, I am the first to admit that knows, and his department knows, that there we in Toowoomba were not quite sure if this was no plan on the part of the Labor new Statewide competition would help to Government ever to sell off existing or new repair the damage. However, as each week hospitals or to hand over the control to private went by, little by little fans were coming back to hospitals. His tiresome squawks in this place watch the cream of young Queensland talent about what Labor did with certain contracts is as an alternative to or to supplement their just hot air designed to deflect attention away desire to follow an Optus Cup club. from his own decisions and clearly shows that The game on Saturday brought back he does not know the fundamental difference memories of some of the magnificent Bulimba between public/private collaboration and Cup games that I used to go to see as a kid, privatisation. There is a big difference between when Toowoomba teams would battle it out working with the private sector and handing with Brisbane and Ipswich. I publicly over total control of hospital facilities to private congratulate each and every member of the operators. The Minister's assurance to team from coach and chief executive, Gary privatise only new hospitals is about as honest Lawrence, to captain Don Saunders, to the as Mr Borbidge's and "Backdoor Bob's" managers, trainers and team officials. promise not to privatise school cleaning. Hopefully, the new competition will This broken promise on privatisation breathe new life into Rugby League, reveals two things quite clearly: not only was particularly in country Queensland and New Labor right to warn Queenslanders that the Guinea in years to come and, if the standard coalition was talking with its coalition mates in of play remains as high as that of last Victoria during the July State election about Saturday's game, I am sure that many people how to privatise public hospitals, Labor was will return to the greatest game of all. also right to warn Queenslanders that Mr Horan's election promises in health were not However, the QRL still needs to do a little genuine and were totally unfunded. Even work to ensure that harmony exists between more vile is Mr Horan' announcement in city and country. I am certain that the QRL yesterday's Courier-Mail that central power President, John McDonald, knows that this plants—— important competition is too good to allow to fail in future years. Right now, Rugby League Time expired. faces enormous challenges from many other sports which are actively promoting Toowoomba Clydesdales Rugby themselves to gain patronage. Last Saturday, League Team Rugby League hit back and a team of bushies became instant heroes. Mr HEALY (Toowoomba North) (10.23 a.m.): Today, I take great delight in informing the House of the magnificent victory Royal Children's Hospital recorded last Saturday at Lang Park by the Mr T. B. SULLIVAN (Chermside) mighty Toowoomba Clydesdale Rugby (10.25 a.m.): Last week, yet another broken League team in taking out the grand final of promise by Health Minister, Mike Horan, came the inaugural QRL Channel 9 Queensland to light. It was revealed that the Royal Cup. Children's Hospital was being told to close a Many thousands of Rugby League fans key ward as part of a cost-cutting drive throughout Queensland who watched the final endorsed by Mr Horan. As a result, the 4 Sep 1996 Questions Without Notice 2403 hospital had no option but to close the Sega condemn the actions of the Australian Liquor ward for at least six months and also Hospitality and Miscellaneous Workers Union decommission its specialist infectious diseases in dealing with the current situation in regard to unit, the Patterson ward, to make way for school cleaners. budget cuts. If members want me to be At the outset, I want to state emphatically technically correct, I say that this broken that I am not union bashing, nor am I cleaner promise amounts to two broken promises by bashing. I have met with cleaners in my Mr Horan. electorate, and I respect them as they do me. Mr HORAN: I rise to a point of order. I Naturally, I have a great deal of sympathy for take personal exception to the member saying their plight and I have done and will continue that the ward was closed. It is a trial voted 49 to do all in my power to assist them. I have to 1 by the senior specialists to keep the same chosen to do this by speaking with the Minister number of beds and save the Royal Children's and in the party room. I communicated this to Hospital $1m. I ask for that reference to be the cleaners and they appeared satisfied. withdrawn. These school cleaners are genuine, Mr SPEAKER: Order! The Minister asks hardworking, decent people and that is why it for the withdrawal. makes my blood boil to see the way in which Mr T. B. SULLIVAN: I withdraw. That the union is manipulating them. I suspect that shows the cowardice of the Minister. He takes the union does not give a damn about school between seven minutes and five minutes to cleaners. Don Brown, who is the general answer questions and gives ministerial secretary of the ALHMWU, is also the statements, but he will not give a member Queensland President of the Australian Labor even two minutes to speak. The Minister is a Party. Whom is he working for—the cleaners coward, and he knows it. He has been telling or the Labor Party? If he cares so much about lies throughout the State and he does not cleaners, how come he has no hesitation in want people to know that he has been lying being critical of school cleaners who work for about the closures. That is why. The Minister contractors? I talk about the suggestions that has broken two promises. "they cut corners", or "they have paedophile Mr HORAN: I rise to a point of order. I tendencies". Is it the livelihood of school take personal exception to those particular cleaners about which he is concerned or is it comments and I ask for them to be withdrawn. the loss of $1m annually which would occur if he lost union membership currently being paid Mr T. B. SULLIVAN: I withdraw. If by school cleaners? What a hypocrite! members want me to be technically correct, I say that the Minister has broken two When in Government, the Labor Party was going to axe up to 12,000 jobs. I refer to promises—to keep wards open all year round the Sunday Mail of 16 March 1993, which and not to cut health funding. states— On 10 July, the Minister told Parliament "Up to 12,000 State Government that $10m had been approved to keep the employees could lose their jobs under wards open across the State. "Which State?", planned cost-cutting moves in education ask the staff. The decommissioning of the and health. Patterson ward causes serious concern among parents and nursing staff because of Private contractors would take over the heightened risk of cross-infection between the work of government employees in young patients. cleaning, catering and laundry services in hospitals and schools. To make matters worse, the Minister said that he would fine staff for cross-infection of Similar work in other departments is patients in public hospitals. However, he was also being considered." quick to change his mind when he realised Time expired. that he had actually made the move by trying to mix infectious beds with general beds at the hospital. Again, the Minister has been caught QUESTIONS WITHOUT NOTICE breaking promises. Mirvac Group Time expired. Mr BEATTIE (10.30 a.m.): I ask the Minister for Natural Resources: in complying with section 108(5) of the Land Act, is it the Australian Liquor Hospitality and policy of the Government for a property Miscellaneous Workers Union developer who requires a road to be closed in Ms WARWICK (Barron River) connection with a subdivisional development (10.27 a.m.): I take this opportunity to to pay full market value for that land? 2404 Questions Without Notice 4 Sep 1996

Mr HOBBS: I thank the honourable left a Budget blow-out which would have member for his question. I need to try to get amounted to $240m if we did not rein it in. the information that the member is asking for, The figures will be in the Budget so members because I have no information that relates opposite can see for themselves. What the particularly to the incident that the member is Labor Party did to this State will be there. We referring to. I need some further clarification. have faced a $250m cut from the Federal Government and, of course, the current Leader of the Opposition, Mr Beattie, blew his Mirvac Group recurrent Health budget to the tune of about Mr BEATTIE: I refer the Premier to the $70m—some economic management! answer given by the Minister for Natural As I said, this Budget will take into Resources, and I ask: can the Premier advise consideration initiatives that came out of the the House why he took a submission to Commission of Audit. The Government will Cabinet to make an ex gratia payment of look at some of them. We have done a very $150,000 to the Mirvac Group equal to the strong cost-cutting exercise across $150,000 Mirvac paid for a road closure in departments to make them focus on connection with its development at Newstead? outcomes and not process. Under the Why should this ex gratia payment be viewed previous Government, departments were other than being highly irregular and setting an totally process-focussed, with no outcomes. undesirable precedent? Have any other Through our programs, we are delivering developers received similar ex gratia services to the people of this State—services payments? How many more ex gratia in health, in law and order, in transport and in payments does the Government intend to education. There will be no "Reebok" uniform make? Is it the policy of the Government that allowance such as the failed ex Minister for full market value be paid? Education, now the unimpressive shadow Mr BORBIDGE: I could advise the Treasurer, proposed. Nor will we have a koala Leader of the Opposition to direct his question tunnel, as was suggested by the failed ex to the Minister for Natural Resources, but I will Minister for Transport. When it comes to not do that. In relation to the matters raised by financial matters, the credibility of both the the Leader of the Opposition, there were quite shadow Treasurer and the Deputy Leader of a number of unusual and extenuating the Opposition is really open to question. circumstances. I do not have all the This Budget will set a financial basis for information available to give the Leader of the the State on which we can move ahead under Opposition a detailed answer today, but if he the good economic policies of the coalition. is happy to place the question on notice, I will On a number of occasions the Premier has arrange for full details to be provided to him stated that there will be no early election. All tomorrow. that the Leader of the Opposition is trying to do is destabilise the Government, which has Budget been his intention ever since he moved to Opposition. He has been running around the Mr SPRINGBORG: I refer the Deputy State saying that he is bipartisan and that he Premier, Treasurer and Minister for The Arts to is looking after the interests of the people of today's Courier-Mail in which the editorial and Queensland. The only interests he is looking other articles accuse the Government of after are his own, and he does not mind telling preparing a soft Budget to pave the way for an untruths to do that. early election. I also note the dire need for This Budget will set the blueprint for the tough budgetary measures revealed in the State. We will see cranes on the skyline again. FitzGerald Commission of Audit. I ask: will next Tuesday's Budget confront these difficult Opposition Members: Oh! problems or be diverted in the shallow exercise Mrs SHELDON: The people understand dreamed up by the ALP? what that means, although members opposite Mrs SHELDON: I thank the member for may laugh. Under the former Government, his excellent question. This morning, I read the nothing happened—there were no cranes, no words of the Labor Party. All I can say is that productivity, no industry and no development, the Leader of the Opposition can dream on, because all Opposition members can do is because that is about all this amounts to. The whinge and whine and knock and be negative. coalition Government is serious about bringing This Budget will set the blueprint. We will down a tough but fair Budget. Consider what go forward. We will have a solid Government. we inherited from the Labor Party—economic We will absolutely floor the Opposition at the mismanagement on a gross scale. We were next election. Remember, 54 per cent of 4 Sep 1996 Questions Without Notice 2405

Queenslanders did not want the Opposition Mr BORBIDGE: The Deputy Leader of Labor Party in July. Have Opposition members the Opposition might like to table his speech seen the latest polls? to prove me wrong. Mr Elder interjected. Mr Elder: I'll do that tomorrow. Mrs SHELDON: We have done ours, Mr BORBIDGE: If the honourable too, and the Labor Party is not doing too well. member is offended, I withdraw. Mr Braddy interjected. Mr ELDER: I rise to a point of order. I ask for a withdrawal. Mrs SHELDON: Look who is talking! The failed ex Police Minister! The only time we Mr SPEAKER: Withdrawn. hear from him now is when he interjects. He Mr BORBIDGE: I have received never asks a decent question. Mind you, he telephone calls from a number of people who never gave a decent answer when he was the were at that conference, including public Police Minister, either. servants. They have told me that the Deputy The Government has no intention of Leader of the Opposition made it perfectly putting this State into election mode. Much as clear that if his party was returned to Opposition members may think that by making Government, it would be dealing with large these ridiculous comments they will destabilise numbers of public servants who had let it the Government, they will not. The people of down when it was in Government. Queensland know what a sham they are. Mr ELDER: I rise to a point of order. That statement is untrue and I ask for it to be withdrawn. Public Service Hit List Mr SPEAKER: The honourable Mr HAMILL: I refer the Premier to his member for Capalaba asks that the comment press release of 30 August, in which he be withdrawn. claimed that he had not seen any Public Service hit list. I ask: does the Premier deny Mr BORBIDGE: All I advised the House ever having prepared a hit list of people in was that I had received telephone calls to this respect to a number of Government effect. appointments? Mr BEATTIE: I rise to a point of order. Mr Speaker, I draw your attention to the Mr BORBIDGE: I welcome the invitation Standing Orders. I would have thought that from the Opposition to comment on this particular exercise. I confirm the comments the Premier of this State would have enough made in that particular press release. The respect for this institution to follow the Standing Orders. simple fact is that there was no "hit list", as the member puts it, prepared by me or prepared Mr SPEAKER: I will decide if it is a point under my direction in regard to the transition to of order. I thank the member for his Government. assistance. I am waiting to hear if the Premier withdraws. I am advised that just a couple of weeks ago in Mackay the Deputy Leader of the Mr BORBIDGE: Mr Speaker, I am Opposition spoke at a conference of the Bus reporting to the House what was reported to and Coach Drivers Association. I understand me. What did the honourable member say? that in his address to that particular Mr ELDER: I rise to a point of order. I conference—which upset an enormous asked for it to be withdrawn. number of the people present—he attacked Mr SPEAKER: Order! The member for the Public Service and said that they should Capalaba has found some remark offensive have got rid of more people. He said that and has asked the Premier to withdraw it. when his party is in Government again, they will not make the same mistake twice. This Mr Elder: Withdraw it. once again shows the duplicity and the Mr BORBIDGE: Petal, I will withdraw it hypocrisy—— for you. Mr ELDER: I rise to a point of order. The Mr Elder: Withdraw it. No "Petal". Quote Premier is misleading the House. That is not me. Don't misquote me, just withdraw it. what I said to the conference. I ask for it to be Mr SPEAKER: Order! The Premier has withdrawn. If the Premier is going to quote me, withdrawn. he can at least quote me accurately. Mr BORBIDGE: I think it is my Mr SPEAKER: The member asks for a responsibility to report to the Parliament the withdrawal. antics of the Deputy Leader of the Opposition 2406 Questions Without Notice 4 Sep 1996 and what he says when he thinks he is in a from the keen interest he has developed in his closed gathering compared with what the electorate. The honourable member for Opposition says publicly and openly. Springwood, similar to most of us, represents If the Opposition wants to talk about hit a very strong small-business community which lists, let us remember the antics of the Goss is becoming increasingly alarmed by the Government when it came to power in 1989. hysterical statements made by certain people, Let us remember the shameful and shabby particularly members opposite, the union way in which it treated professional public movement and some commentators. servants in this State. Let us remember the The Opposition is claiming that Gulag and the assortment of directors-general Queensland is running the risk of descending and senior bureaucrats that the former into industrial chaos and disputation. When we Government placed in a room with a desk, but analyse their statements and have a close without a telephone, paper or any work, look at what happened under the Labor because it did not have the common decency administration compared with what is to say to these public servants, "We don't happening now, we see that the figures want you any more. We will honour your indicate something totally different. contracts." The former Government did not Honourable members may be interested to want to honour their contracts, so it humiliated know that, in 21 of the past 27 months, them into resignation. Queensland ranked first out of all States in It is about time that honourable members terms of working days lost. For 78 per cent of opposite started to take on board some of the the time, we ranked first. When in Opposition, basic facts with respect to this matter. The for month after month, I came out with the simple fact is that new contracts that this figures and statements indicating that, thanks Government has signed for public servants at to the Labor Party's industrial relations policy senior levels will be on a two-year basis. That at both Federal and State levels, Queensland is because I and the Government collectively had earned the undeserved reputation of took the view that, should there be a change being the strike capital of Australia. of Government—and I do not expect that Members opposite say that the policies of there will be at the next election—it should be this Government are forcing Queensland to the right of the incoming Government to become badly regarded as a result of determine its senior public servants. Over and industrial disputation. However, I would like above that, with respect to every public honourable members opposite and every servant who has departed under this member on this side of the House to note Government, their legal rights have been that, in 21 of the past 27 months, Queensland totally and absolutely met by this Government. ranked first in terms of industrial disputation. I That was not done by the member for Logan, will elaborate on those figures shortly. In five of the member for Cairns, the current Leader of the six remaining months, Queensland ranked the Opposition and the current Deputy Leader second, behind Western Australia. This is of the Opposition when they came to power in where the crunch comes. 1989. The former Government would not pay out contracts. It put people in rooms and What has happened since we came into humiliated them into resignation, whereas this Government and this party and coalition have Government has totally honoured its legal represented the people of Queensland? In the obligations and commitments. I am sorry, but most recent month, Queensland ranked third, on this side of the House we do not require behind Western Australia and New South any lectures on moral ethics from honourable Wales. In spite of hysterical statements by members opposite. members opposite, the trend has been clearly established that, under this Government, unions are not as dissatisfied as they were Industrial Disputes when members opposite were in Government. Mr WOOLMER: I direct a question to I wish to refresh the memory of the Minister for Training and Industrial honourable members opposite. Do members Relations. In view of claims by the Labor Party opposite remember when the teachers that industrial disputation in Queensland is on marched on Parliament House and in the the increase, I ask: will the Minister outline to streets against their policies? Do they the House the record of the Labor Party when remember when the nurses marched on in Government with respect to industrial Parliament House against their policies? Do disputes? they remember when the "firies" took Mr SANTORO: I thank the honourable unprecedented action and abandoned their member for his question. I know that it stems duties, so frustrated were they with the policies 4 Sep 1996 Questions Without Notice 2407 of members opposite and their total lack of this Government has extended the olive sympathy in relation to the Remote Area branch to the union movement. We have Incentive Scheme? Only yesterday, the always been very willing to receive the genuine Honourable the Minister for Emergency representations of union people. That is one Services released the package that the of the reasons why industrial disputation in this "ambos" kept on telling him that the former State is trending downwards. Government did not have the guts to release Only one group of people will incite the when it had the opportunity to do so over six union movement to indulge in disputation, and years. For the first time, we saw the "firies" that is members opposite. This Government marching. will not be responsible for doing so as it goes I will be a bit more specific. Let us look at about fixing up the problems created by the what happened in 1995, in the year before the former Government. It will be the Labor Party Labor Party went to the election and lost that will incite the union movement, and the Government. In 1995, under the Goss private sector and public servants will respond Government, Queensland recorded the accordingly and afford the Labor Party no highest number—I have mentioned the support whatsoever. percentages, but let us get a bit more down to earth—of days lost of all States and Territories, that is, 182,700. For the purpose of Public Sector Hit List comparison, this means that, in 1995, Mr ELDER: I ask the Premier: in light of Queensland made up approximately 18 per his previous answer, why then did he on 3 cent of the national work force but contributed October 1991 have prepared and personally 33 per cent of all days lost. If we want more sign a department-by-department hit list revealing facts and figures, let us look at the identifying public sector employees he key areas in which industrial disputation took considered inappropriate for Government place. It took place in those areas in which the appointment? Will he explain why 19 of the State's bread and butter is produced and names appearing on his 1991 hit list also where the Labor Party's industrial relations appear on the current hit list, which he claims policies let us down. Strikes occurred in the never to have seen, and why 16 people from mining industry at MIM and CRA. There were his list have been sacked or moved from their also strikes within Queensland's meatworks jobs? I table for the information of the House and in the building and sugar industries. the list compiled in 1991 and signed by the Mr T. B. Sullivan: Five minutes, come Premier, and a list of those people who have on. been sacked or moved. Mr SANTORO: The member for Mr BORBIDGE: In reply to the Deputy Chermside, who in the six years I have been Leader of the Opposition—I was not even here has not yet made an intelligent Leader of the Opposition in 1991. interjection, again demonstrates his very Mr MACKENROTH: I rise to a point of limited capacity to count. order. I think that the Premier should really In the key areas within the private read what he signs. sector—within the mining, sugar and meat Mr SPEAKER: There is no point of industries—strikes were rampant and we order. earned the reputation as the strike capital. Within the public service, the teachers, nurses and "firies" marched and protested. In the Mr K. Davies end, they threw out members opposite. Had there been—as there soon will be—political Mr TANTI: I refer the Attorney-General object funds provisions within the legislation, it and Minister for Justice to the headline on page 4 of today's Courier-Mail, "Mundingburra would have been shown that union members donated to the Liberal and National Parties claims may not be bribery, says Davies", and I rather than to the Labor Party during the ask: is there any truth in the headline? Mundingburra by-election and the recent State Mr BEANLAND: I thank the effective, election. Members opposite will all live long hardworking member for Mundingburra for that enough to see that happen. The union question. movement, dissatisfied as it is with members Mr HAMILL: I rise to a point of order. opposite, will be making donations to coalition What purports to be the question from the parties. member for Mundingburra really seeks an As the Premier stated in the Parliament opinion from the Attorney-General as to the yesterday, in contrast, since coming to power meaning of the headline. Mr Speaker, I seek 2408 Questions Without Notice 4 Sep 1996 your ruling, because I suggest that it probably Of course Mr Davies is expressing concern is out of order. about this whole issue—an issue about which Mr SPEAKER: Order! My ruling is that I the Labor Party feels very hurt. It is marvellous am allowing the question. how the Opposition is trying every little trick in the book to try to stop this issue from being Mr BEANLAND: It is interesting how discussed in any shape or form. That is very hurt the Labor Party becomes about this understandable, because it hits right at the whole issue. The headline in today's Courier- Labor Party. The Leader and Deputy Leader Mail is at odds with the article. of the Opposition will go to any length to avert Mr WELLS: I rise to a point of order. Mr this issue being aired again. It is typical of the Speaker, I refer you to 68 (c) of the sessional tactics we have seen in recent times of the orders, which states— Opposition playing the person and not the "Questions shall not ask ball. Members opposite are not interested in the real issues coming out; they are interested (ii) for a legal opinion." only in getting stuck into Mr Davies and I ask you to so rule. ensuring that this issue does not come to light Mr SPEAKER: I have ruled the again. question in order. If the member wishes to move against my ruling, he can do so by Hit List, Department of Mines and putting a motion to the House, which will be Energy debated at a later date. I call the Attorney-General. Mr T. B. SULLIVAN: I ask the Minister Mr BEANLAND: I want to refer to a for Mines and Energy: will he confirm letter I received this morning from Mr Davies, speculation rife in his department that there of which the Leader of the Opposition received are hit lists circulating within the department a copy. I thought that he would be first up. which name public servants under the According to Mr Davies, he is sending Mr headings "retention not recommended Beattie a copy of the letter. I will refer to the beyond Budget" and "long-term retention not letter very briefly to explain the matter. Mr anticipated"? Can the Minister confirm that Davies says— these lists are circulating in his department? "I am writing this letter to you this Mr GILMORE: I can give this House an morning as a result of an outrageous absolutely uncategorical answer—— story in today's Courier Mail headlined Opposition members: "Uncategorical"! 'Mundingburra claims may not be bribery, Mr GILMORE: I meant "absolutely says Davies'. When you read the article unqualified". you will not find a quote from me, remotely resembling the headline. The Mr Beattie: You and Hobbs went to the reason—I did not say it. Nor did I imply it same school. or express any doubt. Mr GILMORE: We never went to I feel as strongly today as I did in school! The answer is, without qualification, January that inducements were offered to that if there is such a list circulating in my me by the ALP to get me to go quietly. department, I have no knowledge of it . . . whatsoever. I have certainly not seen it, and neither would I promote such a list. My previously unexpressed private view is that the ALP offers are ten times worse than anything the Carruthers Karawatha State Forest Inquiry is looking at. Mr CARROLL: I direct a question to the . . . Minister for Transport and Main Roads. Since While I have made it clear that I do the release of the draft Integrated Regional not wish to enter the political debate, I Transport Plan on 13 August, there has been thought it important to write to the a great deal made by the Opposition Premier, (the) Opposition Leader . . . and Transport spokesman, Mr Elder, about a to you to clarify the record. railway line traversing the Karawatha State Forest. I welcome this Inquiry as it should ensure that the offers made to me are Mr Robertson interjected. investigated properly, not like the 'white- Mr CARROLL: This is a matter that the wash' conducted by the CJC." member for Sunnybank should be thinking 4 Sep 1996 Questions Without Notice 2409 about instead of interjecting. I ask the Minister: Motorway is in the Federal seat of Rankin, not is there any truth in Mr Elder's accusation? in the Federal seat of Griffith. Mr JOHNSON: I thank the honourable Mr SPEAKER: Order! What a beautiful member for Mansfield for the question. The speech. There is no point of order. honourable member certainly has his finger on Mr JOHNSON: I will take that point of the pulse in relation to that part of Brisbane. order, which shows that they were protecting The previous Minister for Transport was their friends, which is what I will come to now. the instigator of the Integrated Regional Transport Plan—a process that this As a result of this direction from the Government supports totally. It is about former Minister, on 9 September 1995 the planning in the south-east corner of the State then Minister for Transport, the Honourable for the next 25 years. It is a very important Jim Elder, placed a hold on all design and document and one into which I hope local construction activities south of Compton Road. authorities and the wider community in this This hold was subsequently limited to the area part of Queensland, as well as representatives between Ch 3200 and Ch 5200. Following community consultation between the Minister of the Government and the Opposition, will and Stretton residents, the Minister directed have input. A week or so back—since 13 that the road alignment be shifted between 50 August, when I released the Integrated metres and 70 metres to the east and that the Regional Transport Plan—the member for western severance of the Paratz property Capalaba and Deputy Leader of the would become part of Karawatha Forest and Opposition referred to a railway line that he include reforestation at a cost of $500,000. He claimed would traverse the Karawatha State directed that a 6-metre high mound with a 2- Forest. I will tell members the truth of the metre high sound fence be constructed matter. As I said, this document is about planning for the future, and it is a process into adjacent to existing houses, and he said that which the people of the south-east corner of the redesigned road maintained previously Queensland will have input. I can tell members established criteria that no drainage from the one other thing: there will be no interference road flowed east into Karawatha Forest. from the Government in this process of On 28 September 1995, the redesign planning for the future of the State. I note that commenced, and the overall consequences of the former Minister is presently leaving the this scope change are: a delay of 165 days to Chamber. I hope that he does not go too far, the project, thanks to Mr Elder; the generation because I am going to stand him right up here of an additional 300,000 cubic metres of in a minute. material to be excavated; additional wet The position is that this document is weather risk to the contractor because paving about planning, not about ministerial planning. operations were pushed well into a second wet Let me talk a little bit about ministerial season; the relocation of an already relocated planning. Last year, prior to the Federal Brisbane City Council 750 mm diameter water election, when Mr Elder was the Minister for main; and the project would forgo the recovery Transport and when his very good friend Kevin of a minimum of $2m in the retention of the Rudd was trying to win a seat on that side of western severance of the Paratz property for Brisbane, Mr Elder decided that he would its inclusion in the Karawatha Forest. move the boundaries in relation to the Logan This ministerial decision has cost an extra Motorway. I will give the House a bit of an $8.69m. Overall, it has added an extra insight into that matter. $18.19m to the cost of this project. Mr ELDER: I rise to a point of order. The Mr Elder interjected. Logan Motorway is nowhere near the Mr JOHNSON: It cost an extra $18.19m electorate for which Mr Rudd was challenging. because the member was protecting his I never moved the boundaries for the Logan mates. Motorway; however, I will admit that I did move the boundaries for the Stretton bypass. Mr ELDER: I rise to a point of order. I did not move the Logan Motorway, I moved Mr JOHNSON: I said that I would stand the Stretton bypass, and I moved it for the the member up, and he did get to his feet. To benefit of that community, not my mates. protect their very good friend Kevin Rudd, they decided to move the alignment of the Logan Mr SPEAKER: Order! There is no point Motorway. Who gave that direction? It was of order. none other than Jimmy Elder. Mr JOHNSON: It was not moved for the Mr ROBERTSON: I rise to a point of benefit of the community. The cost was about order. For the Minister's benefit, the Logan $10m over and above what it should have 2410 Questions Without Notice 4 Sep 1996 been, because the member was looking after Mr GILMORE: I refer the honourable his mates. member to my previous answer when I said Mr ROBERTSON: I rise to a point of that I have not seen such a list, and neither order. would I promote such a list. Let me take a few minutes of the Parliament's time to mention Mr SPEAKER: Order! Is it another the list, if it is floating around, and why it has frivolous point of order, similar to the member's come into the possession of the honourable last point of order? member. As members would be aware, the Mr ROBERTSON: Can the Minister previous Minister left my department in a total confirm or deny whether he intends to build a shambles. There was no identity whatsoever railway line through Karawatha Forest? That placed on the core business of the was the question the honourable member department and there was no knowledge of asked. the functionality of the department or the processes of the department. Having been Mr SPEAKER: Order! There is no point restructured several times by the previous of order, and I ask the member to stop taking Government, the department was in total frivolous points of order. chaos and was a total shambles. Mr JOHNSON: I will come to that. I have recently established an audit of my Mr SPEAKER: Order! I would like the departmental function. It is an organisational Minister to finish his answer. and procedural audit which has been put in place and, in respect of that audit, I have Mr JOHNSON: I will finish, Mr Speaker. recently addressed three lots of individuals— This Parliament and the people of about 100 at a time—in the auditorium in my Queensland should be informed of what department. occurred. The people want roads built in this State, but blokes like the member for Mr McGrady: On the ground floor. Capalaba are busy looking after their mates Mr GILMORE: I have also had a and at the same time unnecessarily increasing telephone link-up with all of the regional the cost of the project by $10m. offices, and other people involved in the I refer to the point of order taken by the department, to discuss with them at some length the process through which the member for Sunnybank. Some hard and fast department is now going. It is not a review of decisions need to be made. This Government the department, it is an organisational and will listen to what the people of Queensland procedural audit. have to say about the railway and other corridors that have to be put in place in the We are attempting to determine the core south-east corner. This Borbidge/Sheldon functions of the department, how we go about coalition Government will not be walking away the process of delivering those functions and from the hard decisions. service deliverability and getting rid of some of the concerns that remain within the Mr Elder interjected. department about its capacity to pay for Mr SPEAKER: Order! I warn the services which have been put into the member for Capalaba under Standing Order department by way of specials which the 123A. department can no longer sustain. One of the questions that was raised with me, when I was on the ground floor, as the Hit List, Department of Mines and member for Mount Isa said, was whether I Energy could guarantee that there would be no Mr McGRADY: In view of the response redundancies within my department as a result the Minister for Mines and Energy gave to the of this process. Of course I could not member for Chermside, I table the two hit lists guarantee that. However, I did guarantee that which the Minister denies exist and I ask the part of the terms of reference for the group Minister for Mines and Energy: why has he conducting this audit are that, wherever deliberately misled the Parliament? Why were possible, they are to utilise the existing human these people selected for the hit lists? Who resources of the department. If there is going compiled these lists—was it the Minister or his to be some change of focus from one section staff? Have the lists been shown to the of the department to another, and people will Premier, his staff or people in his department? therefore have to be shifted from one side of Does the Minister really know what is the department to the other, then a training happening in his department? package will go with them. 4 Sep 1996 Questions Without Notice 2411

Every single person in my department is Gladstone Dance Festival Association highly valued. Their opinions are valued. They Mr ELLIOTT: I refer the Deputy are now valued much more than they were Premier, Treasurer and Minister for The Arts to when the honourable member for Mount Isa an article in the Gladstone Observer dated left them. We are going about a process of Wednesday, 21 August 1996 titled "Arts making this department nothing less than the bodies give mixed reaction to funds call". In best administered department in this that article, the Opposition Arts spokesman, Government. Those are the instructions. Matt Foley, says that a number of arts groups, Mr McGrady interjected. including the Gladstone Dance Festival Association Incorporated, contacted his office Mr GILMORE: The honourable member with concerns regarding funding for local artists is waving around a piece of paper which I and cultural groups. I ask: could the Minister have already said to this Parliament that I please tell the House whether she is aware of have not seen. any concerns regarding funding raised by the Mr Borbidge: He may have written it Gladstone Dance Festival Association which himself. were specifically referred to by Mr Foley? Mr GILMORE: He probably prepared it Mrs SHELDON: I thank the member for himself. If he did not, it may well have been his question and note his great interest in the prepared by some person in the department. arts. I have seen the article in question. I point Believe me, there are some hurt people in the out that it quotes the president of the department. There are some people who are Gladstone Dance Festival Association unhappy. It may well have been prepared by Incorporated, a Mr Kevin Butler. Mr Butler is somebody simply to try to sling something quoted in the newspaper as saying that he is across this Chamber. But let me assure this not aware of any approaches made by his House once and for all that the people in my association—— department are highly valued by me as Mr Foley: He sent me a copy of his Minister and by this Government. We are letter to you. looking after them in a far better way—— Mrs SHELDON:—to Mr Foley. In fact, An Opposition member: How? Mr Butler went on to say that, last year, the Mr GILMORE: I am glad the member association received an $800 grant but this asked that question. I will take a few more year would not be applying for one—not that minutes to answer that. he did not get one; he would not be applying. He said that the association hoped to run its We are going to give those people some annual dance festival through community certainty. We are going to ensure that they sponsorship, allowing other groups the have training. We are going to ensure that opportunity to obtain funding. So according to there is a sufficient budget to make sure that Mr Foley, an organisation which is not even we fulfil our obligations—both statutory and applying for funding this year contacted his policy—to the industries of this State. office to register concern about not receiving Mr McGrady interjected. any funding. So much for Mr Foley's credibility! Mr GILMORE: The honourable member Mr Foley has been running around this should put that document down. I will read it State—because he has nothing much else to after he has tabled it. I am quite sure that it is do—trying to whip up a scaremongering not authentic. I have already said that I have campaign amongst regional arts groups about not seen it. Waving around documents in this funding that they will or will not receive. When House does not give any credence to the a member of my staff contacted Mr Butler on member's argument; it simply shows the Thursday the twenty-ninth, he was assured paucity of brains between his ears. that what was in the newspaper reported accurately what Mr Butler has said. I assure the House that we are going to redevelop the department into a fine Mr Foley: They sent me a copy of their administrative model for the rest of letter to you. Government. The people within the Mrs SHELDON: In fact, Mr Foley is so department will be carefully looked after and irrelevant that Mr Butler said, "Who is Matt properly trained. They are highly valued. At the Foley?" He did not know who he was. We had end of the day, this Government will be proud to explain to him who Matt Foley was. He then of the Department of Mines and Energy for said, "Well, I have certainly never spoken to the first time in six years. him, because I have never heard of him 2412 Questions Without Notice 4 Sep 1996 before." Mr Foley was Arts Minister when in Miss M. Jackson; State Government Government. May I also say that Mr Foley—— Hit List Mr SPEAKER: Order! The Deputy Ms SPENCE: I refer the Premier to his Premier will refer to the honourable member defence of the appointment of Miss Meredith as "the member for Yeronga". Jackson, when he said that it would be a sad day if people were denied positions on the Mrs SHELDON: The honourable basis of the person to whom they were member for Yeronga—I am repeating his married, and I ask: why, in the Premier's 1991 name because no-one knows who he is and I hit list, did he single out five people as am trying to help him along. unsuitable for Government employment on The honourable member has also been the basis of the person to whom they were running around the State saying that this married? Why are there also three people mentioned in his 1996 hit list on the basis of Government was going to cut RADF funding; their spouses' positions? that we were going to cut the budget; that we were not going to help the councils. That is not Mr BORBIDGE: I am confused. Now true. The honourable member did not even there is a 1996 hit list. As I indicated earlier in bother contacting me to find out what was response to some document that the going to happen. Had he done so, I would Opposition has and I do not, dating back in have told him the truth—as I always do. But excess of five years—it is ancient history. that would have stopped his scaremongering around the State and his spreading of those Health Funding, Cairns and North mistruths. Queensland I would like to place on record exactly Ms WARWICK: I direct a question to what this Government is doing. As an initial the Minister for Health. A group of Cairns- step—about which I have written to all based doctors has been recently reported in councils—there will be no cut in the RADF the Cairns Post as saying that Queensland funding to those councils. The honourable Health regards Cairns as a tin-pot town. I ask: member for Yeronga has been running would the Minister please outline what health around saying that the capital base has been funding initiatives have been provided to reduced from $15m. He knows—and his own Cairns and north Queensland since the figures would show this—that it never was coalition came to power? Would the Minister $15m. also tell the House what other significant Mr Foley: Rubbish! health funding initiatives have been provided by the coalition to other Queensland regional Mrs SHELDON: No, it is not rubbish. centres since coming to power? The member never delivered $15m. That is Mr HORAN: There is no doubt that part of the misinformation that he has been those doctors in Cairns were referring to the spreading. previous Government because, in the past few Mr SPEAKER: Order! The Deputy months, the Cairns Hospital and health Premier will not debate the issue. facilities in that whole area have been operating on the budget legacy left to them by Mr Borbidge: The same sort of the previous Government. Next week we will management we saw with the Workers see what sorts of rewards Cairns can get. Compensation Scheme. However, I will say this about the Cairns Hospital: it has been one of the well-managed Mrs SHELDON: That is correct. I am so hospitals in this State. It is one of the hospitals pleased that the Premier mentioned that. I that have worked within their budgets. It does had forgotten about it. The honourable deserve some additional resources because of member was the superman—the economic that. manager—behind the failed Workers Compensation Scheme. It is no wonder that It is important that this House and the he cannot get RADF right. people of Queensland, particularly north Queensland, are told just what this coalition The fact is that we have written to all Government has done in six months for those councils in this State setting out exactly far-north Queensland, particularly Cairns. We what the situation is. After the Budget is have been able to confirm the $90m Cairns delivered we will get back to them with more Base Hospital redevelopment. We have been specifics about their funding initiatives under able to do what Labor could not do and fix up RADF. the bed numbers. The demolition is 4 Sep 1996 Questions Without Notice 2413 completed, and work on the car park and the health workers in the Cape York area. psychiatric unit is about to start. We have Representatives from that area form part of provided $300,000 for three doctors in the the newly appointed Rural Health Advisory accident and emergency section at the Cairns Council, which met recently in Roma. Base Hospital. No doubt that has been greatly Representatives from Bamaga, Mornington appreciated by the medical staff of the Cairns Island and Cairns are on that very important Hospital. I believe that they also would have council. No doubt, doctors would now know appreciated the $60,000 for specialist that this Government, unlike the previous operating equipment in the theatre at the Government, does not consider Cairns to be a Cairns Hospital. A total of $1.1m has been tin-pot town. I have listed just some of the provided for minor capital works projects for enormous strides and advancements that are health facilities in Cairns and throughout Cape being made in Cairns and far-north York, and $900,000 has been provided for a Queensland. north Queensland public urology service, The second part of the question referred which north Queensland never had. It had to what the Government is doing in other waiting lists going to beyond the year 2000. regional centres throughout the State. I could We have provided $904,000 to the Townsville fill a book with what is going on! I might ask Hospital, which already has a locum my friend from Chermside to put the clock on. undertaking urology services. He has already I will mention just a couple of issues. done some work in Cairns and Mackay. That service will also be provided to outpatients in Mr Pearce: Can you fix Blackwater Mount Isa. We have appointed a professor in Hospital up for me? obstetrics and gynaecology at the North Mr HORAN: Yes, we helped out the Queensland Clinical School based in Cairns. member at Blackwater Hospital. We fixed up Mr Bredhauer interjected. the little things that he requested. It is all in order. He is lucky that we are here. He has Mr HORAN: The member for Cook only to ask and we will help him out. should listen to this. The Government has committed $7.5m to A total of $30,000 has been allocated for minor capital works for areas outside Brisbane. a functional plan for the Bamaga The sum of $280,000 has been committed to Hospital—something which that mob opposite the Toowoomba General Hospital for specialist never even considered. The far north of this monitoring equipment. The sum of $111,000 State was left out of their calculations. We has been committed for new accident and have put in place a functional plan for the emergency equipment—and that is just at Bamaga Hospital, and we will be delivering Townsville. We have already announced the what members of the previous Government commencement of $10.5m worth of capital refused to deliver. They walked out; they works at the Ipswich Hospital. Money has turned their backs on it. They could not have been allocated for people all across cared less about Bamaga and far-north Queensland, particularly those in regional Queensland. We are now looking after it. Queensland. For haemophiliacs, a $2.2m We have gained agreement on the bed funding package will provide Factor 8. Funding numbers for the Thursday Island Hospital. has been provided for additional dental clinics Again, that is something that the members on the Gold Coast. A $1m funding package opposite could not do. They had no has been provided for seven hospitals outside agreement on bed numbers at the PA, RBH, of Brisbane as part of the Surgery On Time Thursday Island and Cairns Hospitals. There program. was no agreement, so nothing could proceed. Almost $0.5m has been committed for We have announced a $34m project for radiology equipment at the Beaudesert Thursday Island for the hospital, and for Hospital. A $2.3m funding package has been accommodation and community health provided to reduce alcohol and drug abuse in centres throughout the strait. The sum of places such as Cairns, Townsville, Mount Isa, $300,000 has been committed for special Mackay, Rockhampton, Gladstone, indigenous health issues in the Cairns area. Longreach, Bundaberg, Roma, the Sunshine No doubt all of the $3m that we have just Coast, Ipswich, the Darling Downs and the received from the Federal Government for Gold Coast. Does that not remind honourable Aboriginal community medical services will go members of that song? to north Queensland, Cape York and toward The complete staff recruitment plan has Aboriginal and Torres Strait Islander health in been announced—and this is the important the gulf. The Government will also provide one for the beached whale from Hervey additional educators for nurses and Aboriginal Bay—for the Hervey Bay Hospital, which 2414 Questions Without Notice 4 Sep 1996 equates to a recurrent budget of $18m for the I am winding up and I will not go into next financial year, with a complete range of detail. I was planning to talk about services. Rockhampton, Gladstone, Toowoomba and Mr NUNN: I rise to a point of order. This Mount Isa; however, I will point out that all of man misleads the House and make gross that has occurred in just six short months. claims for his own benefit. All he is doing is Again, the coalition is delivering. continuing what the Labor Party in Government had planned to do. He is a Mr P. Connolly "falser" of the first order, and he should be made to resume his seat for misleading Mr BRADDY: I ask the Parliament. The people of Hervey Bay know Attorney-General: given the importance of the about him. judicial inquiry, is he aware that Mr Peter Connolly, QC, gave an opinion, which was Mr SPEAKER: Order! There is no point submitted by the defence of the Police of order. Minister, Mr Cooper, relative to allegations Mr HORAN: He is just another satisfied against Mr Cooper in the Carruthers inquiry? customer on that side of the Chamber. He is Given the connection between the Carruthers very happy that we are in power. inquiry and the Government setting up a Mr NUNN: I rise to a point of order. I find judicial inquiry into the CJC, will he rule out Mr those words immensely—— Connolly in those circumstances as an appropriate former judge to conduct that Mr SPEAKER: Order! I cannot hear the inquiry? member's point of order, and I know that it will be important. Mr BEANLAND: I did note an article in the media that indicated that Mr Connolly was Mr NUNN: I find those words immensely giving some opinion in relation to a matter hurtful. I am deeply hurt. I am bleeding all before the Carruthers inquiry. I am not aware over. I ask that he withdraw. I know that he of any other matters. As to the matter in does not know much, but at least he should relation to the retired judge conducting the know how to withdraw gracefully. inquiry into the Criminal Justice Commission— Mr SPEAKER: Order! I know that the that is a matter for another day. Today I am honourable member has asked the Minister to not starting to rule in or rule out anyone. We withdraw. The member will be withdrawing could have one list today and tomorrow we from the Chamber if there are any more could end up with three, four or half a dozen frivolous points of order. other names. No consideration has been Mr HORAN: Not only is he a satisfied given at this stage to the guidelines of that customer, but so also are all the people in inquiry nor to the person who might conduct Hervey Bay. He can talk about what Labor that inquiry. That is a matter for another time. planned. We all know about all the unfunded promises. I could list them all day if he likes. Asbestos Mrs EDMOND: I rise to a point of order. Mr BAUMANN: I refer the Minister for The Minister is misleading the House. He has Public Works and Housing to articles in the been quoted in the paper as saying that the Sunday Mail and the Queensland Times Hervey Bay Hospital is state-of-the-art, that it referring to asbestos. I ask: are the statements was finished ahead of time and on budget. So made by the Opposition in those articles a true he cannot say that that was unfunded. reflection of the Government's policy on Mr SPEAKER: Order! There is no point asbestos in Queensland? of order. However, I ask the Minister to Mr CONNOR: The article in the Sunday conclude his answer. Mail, which was headed "Asbestos row flares", Mr HORAN: I thank very much the states— member for Hervey Bay for his complimentary "Opposition Public Works words which were quoted in the paper spokeswoman Anna Bligh accused the recently. I know how happy he is to see us Government of a 'disgraceful penny- deliver. Last weekend, advertisements were pinching act of environmental neglect' placed in the paper for all the positions that we which could put families at risk." are funding. Is the member not happy that we are in power and things are finally happening? The article in the Queensland Times headed I was pleased to see that the member has "Asbestos in mum's ward" states— turned around finally and changed his tune "The health of babies in the special because he knows just how lucky he is. care nursery at Ipswich Hospital was at 4 Sep 1996 Ministerial Statement 2415

risk because the State Government had and the Mirvac Group, the concept has since failed to remove asbestos, the Opposition been altered. said yesterday. Under the original development concept, . . . two pathways were dedicated as road in 1990 Don Livingstone yesterday accused the by the Brisbane City Council, the then Government of placing the health of proprietor of the land. Under the amended children at risk 'in a disgraceful act of development proposal, the two pathways penny-pinching'." which had previously been dedicated as road are to be closed and two different pathways of If that is the case, honourable members can nearly double the area are to be dedicated by blame the member for Ferny Grove, because the Mirvac Group to provide public access to that is his policy. He put it in place in 1994. I the river. have not changed anything or changed any funding for it. The funding has been included In June 1995, Newstead Quays Pty Ltd up to the Budget. The policies are the same. applied for permanent closure of the two pathways on Newstead Terrace. The Brisbane I would like to quote from what the City Council gave conditional consent to the department had to say about this issue. The closure of the pathways in a letter to the department states— Department of Natural Resources in July 1995, "All areas have been subject to risk subject to the developers entering into a deed analysis and labelled with caution signs. with the council to register public access The Hospital has been briefed and asked easements to the river free of cost to the to ensure maintenance staff are aware of Brisbane City Council. The Department of the areas in question. Natural Resources sent the Mirvac Group a In order to remove the asbestos letter of offer of road closure, approving material in question, extensive planning closure of the pathways subject to all of the and preparation is required to ensure Brisbane City Council requirements and there is no disruption to hospital offering the land to the Mirvac Group at a procedure and"— specified price. more importantly— Land use policy PUX/901/261—and I am sure members are familiar with it—currently "no risk is created by undertaking this administered by the Department of Natural work. Resources provides that, where a subdivider This removal project can be desires roads to be closed in connection with a completed once planning and preparation subdivisional development, that subdivider is has been completed and funds are required to pay the full value of the roads available." notwithstanding that other roads are to be As to Yeronga State High School—— provided. Mr SPEAKER: Order! The time for The chief executive of the Mirvac Group questions has expired. wrote to me on 7 June 1996 highlighting the inequity and seeking approval to close the pathways at no cost to the developer. The key MINISTERIAL STATEMENT issues are whether it is equitable for the Mirvac Mirvac Group Group to pay for the closure of the two pathways off Newstead Terrace while also Hon. R. E. BORBIDGE (Surfers being required to dedicate without Paradise—Premier) (11.30 a.m.), by leave: In compensation replacement land to the question time, the Leader of the Opposition Brisbane City Council and how to remedy such raised a question in respect of a payment to an inequitable situation. the Mirvac Group. I indicated that I would provide the information to the Leader of the It was never intended that the State Opposition. would realise a windfall gain on the land. Cabinet, therefore, authorised an ex gratia The Mirvac Group, on behalf of Newstead payment to the Mirvac Group equal to the Quays Pty Ltd, is currently developing a major payment made by the Mirvac Group to the residential precinct on the Brisbane River at Department of Natural Resources to acquire Newstead Terrace, Newstead. An approval for the land currently set aside for pathways in its the development was granted by the Brisbane Newstead development. There has been no City Council on 30 March 1990, but by mutual cost to the Government in offering this solution agreement between the Brisbane City Council to an unintended and unequal situation. 2416 Children's Commissioner and Children's Services Appeals Tribunals Bill 4 Sep 1996

PRIVILEGE of the issued share capital of Challenge Bank Speech by Deputy Leader of the Limited—Challenge. Opposition at Bus and Coach Challenge therefore is required under Association Annual Conference Reserve Bank regulations to surrender its Hon. J. P. ELDER (Capalaba—Deputy banking licence. It is thus necessary to transfer Leader of the Opposition) (11.33 a.m.): I rise Challenge's undertakings to Westpac. on a matter of privilege. For the information of Westpac has requested assistance from the the House and the Premier, I table my speech States and Territories to pass complementary from the Bus and Coach Association annual legislation to facilitate the transfer of specific conference so that he can get it right. assets and liabilities within each jurisdiction. The aim of the Bill is to transfer the Mr BORBIDGE: Will the Deputy Leader undertakings of Challenge to Westpac. The of the Opposition also be prepared to tell the transfer could be achieved without legislation. House what he said off the cuff? However, legislation overcomes the Mr ELDER: There is the speech. There administrative burden of transferring assets is the invitation. and liabilities individually. Mr BEATTIE I rise on a matter of In addition, legislation has other beneficial privilege. The Premier has given no indication effects in that it achieves continuity in as to why the Government changed its policy customer relationships and staff entitlements, in terms of—— as well as providing protection for persons Mr SPEAKER: Order! dealing with either bank in respect of transferred assets and liabilities. A further Mr BEATTIE: Mr Speaker, I just simply objective of the legislation is to provide an make the point that, in terms of your latitude exemption for Westpac from State taxes and on this matter, the Premier has given no charges—primarily stamp duty—which indication why the policy has been changed. normally would be payable on the condition Mr SPEAKER: Order! There is no point that a lump sum in lieu of all charges is paid. of order. The amount of that payment will be determined by the Governor in Council upon my advice. Preliminary indications are that the CHALLENGE BANK (TRANSFER OF amount will be $159,200, which sum will be UNDERTAKING) BILL paid by Westpac to the Consolidated Fund Hon. J. M. SHELDON (Caloundra— prior to proclamation of the Bill. Deputy Premier, Treasurer and Minister for Mr Welford interjected. The Arts) (11.34 a.m.), by leave, without notice: I move— Mrs SHELDON: Queensland legislation of this nature has been enacted on several "That leave be granted to bring in a occasions—and Labor did it itself when it was Bill for an Act to provide for the transfer of in Government; the member obviously does the undertaking of Challenge Bank not know anything about that—to effect Limited to Westpac Banking Corporation, vesting of banking undertakings and to and for related purposes." facilitate bank mergers, most recently the Motion agreed to. State Bank of South Australia (Transfer of Undertaking) Act 1994. It is essential for this legislation to be passed urgently to ensure First Reading uniform proclamation in all States. Westpac Bill and Explanatory Notes presented and has requested that the legislation be operative Bill, on motion of Mrs Sheldon, read a first by 1 October 1996 in order to enable a time. coordinated transfer of undertakings across all jurisdictions. I commend the Bill to the House. Second Reading Debate, on motion of Mr Hamill, adjourned. Hon. J. M. SHELDON (Caloundra— Deputy Premier, Treasurer and Minister for The Arts) (11.35 a.m.): I move— CHILDREN'S COMMISSIONER AND "That the Bill be now read a second CHILDREN'S SERVICES APPEALS time." TRIBUNALS BILL In December 1995, Westpac Banking Hon. K. R. LINGARD (Beaudesert— Corporation—Westpac—acquired 100 per cent Minister for Families, Youth and Community 4 Sep 1996 Children's Commissioner and Children's Services Appeals Tribunals Bill 2417

Care) (11.37 a.m.), by leave, without notice: I the world has tended to take centre political move— stage. "That leave be granted to bring in a As we come to the last few years of the Bill for an Act to provide for the century, the judgment surely must be that the appointment of a Children's promise of its opening years has, at best, Commissioner and the establishment of been only partially fulfilled. It has been stated the Children's Commission and children's that— services appeals tribunals, and for other "Politicians, eager to be seen as purposes." child-friendly, have often paid lip service to Motion agreed to. the well-being of children. But at the end of the day children have usually been let down. In the power game other interests First Reading have been stronger. Children have always Bill and Explanatory Notes presented and been and still are the victims of Bill, on motion of Mr Lingard, read a first time. hypocrisy." A hundred years ago, children were looked upon as adults in miniature. They were Second Reading expected to behave as adults. Children were Hon. K. R. LINGARD (Beaudesert— essential components of the family work force. Minister for Families, Youth and Community New knowledge about children and their Care) (11.38 a.m.): I move— development led to changes in the way that "That the Bill be now read a second children came to be treated. They were, time." however, still regarded as the property of parents. Acknowledgment that children are It is eminently fitting that this Parliament individual human beings with the basic needs should address a Bill that is designed to be a and rights shared by all humankind was slow central element in the present and future in coming. So was the recognition that protection of Queensland children in this week, because of their vulnerability and innocence, National Child Protection Week. As children need special care and assistance, honourable members will appreciate, in doing especially when young and heavily dependent so we are dealing with those on whom the on adults for care and satisfaction of their future of our State depends. A more basic needs for food and shelter. significant matter could hardly be envisaged since today's children become the parents, At the half-century mark, the United workers and leaders of tomorrow. Nations in 1958 adopted the "Universal Declaration of the Rights of the Child" and A perceptive observer of the world scene proclaimed that, "Children deserve the best has stated that some periods in history are that humankind has to give." more eventful in a fundamental sense than others. In that observer's words there are Certainly some improvements have times when— occurred in the lot of children. Child slavery is virtually a thing of the past in developed "Great economic and social forces countries at least. In the Progress of Nations flow with a tidal sweep over communities 1996, a United Nations Children's Fund that are only half conscious of what is publication, it is reported that in developed befalling them. Wise are those who countries, including Australia, in excess of 95 foresee what time is thus bringing and per cent of children generally receive at least a endeavour to shape institutions and grade 5 level of primary schooling. mould men's thoughts and purpose in accordance with the change that is silently Such improvements in the lot of children surrounding them." are not universal. Today there are still 165 million malnourished children under five years At the beginning of the twentieth century, of age in the world. On the global scene, it was believed that this century promised to humankind has far from succeeded in be such a period in history in regard to the providing basic levels of health, nutrition and wellbeing and interests of the children of the education for every child. world. The Swedish author Ellen Key, some 90 years ago, said that this would be "the century At the World Summit for Children in 1990, of the child." We know now that it was largely world leaders agreed that— a false dawn. The role of children in the "The well being of children requires political process has remained almost political action at the highest level. We are unrecognised. Rather, the role of women of determined to take that action. We 2418 Children's Commissioner and Children's Services Appeals Tribunals Bill 4 Sep 1996

ourselves make a solemn commitment to reported disturbing levels of youth give high priority to the rights of children." homelessness and urged early action to Through its adoption in 1990 of the address the problem. The commission's United Nations Convention on the Rights of inquiry into mental illness in 1994 reported a the Child, the international community similarly disturbing situation amongst our acknowledged a child as an independent young. person with their own integrity and human Despite the recommendations of the rights. As Norway's inaugural Commissioner for 1989 report on youth homelessness, the 1996 Children, Malfrid Flekkoy, reports, UNICEF has report of the House of Representatives simplified understanding of the Convention by Standing Committee on Employment, pointing out that it covers four broad areas of Education and Training entitled "Truancy and rights: Exclusion from School" records that the Survival rights, which include such things number of homeless young people doubled as nutrition, housing, and medical care. between 1991 and 1994. It has published an estimate that each year in Australia between Development rights, which include 25,000 and 30,000 students experience education, access to information, play homelessness of whom three-quarters do not and free-time activities, cultural activities complete their school year and often drop out and the right to freedom of thought, of the school system completely. conscience and religion . Protection rights, which cover exploitation, On a pro rata basis, Queensland cruelty and abuse, arbitrary separation accounts for 3,000 to 4,000 of this annual from the family and abuse in the criminal national total of more than 25,000. The justice system. annual social cost, and ongoing future cost, of this situation can readily be appreciated. Participation rights, which include freedom to express opinions and have a say in The standing committee report concluded matters concerning the child's life. As the that— child matures, he or she has increasing "Government, schools and opportunity to participate in activities of community representatives agree that society and to take part in education, welfare and justice issues for decision-making, in the family, in school, young people should be addressed by and in the widening circle of local integrated programs and services community. delivered through inter-agency In spite of progress that has been made co-operative and co-ordinated much still remains to be done. Referring mechanisms which ensure that there are specifically to Australia, Robert Ludbrook for no wasteful duplications and that no one the National Children's and Youth Law Centre falls through the safety net." at the University of Sydney claims— It is clear that the somewhat piecemeal "Australia's enthusiasm for children's approaches of the past have not been rights in the abstract is not matched by spectacularly successful. More holistic any noticeable change in policies and approaches seem likely to have a better priorities whether at commonwealth, state chance of success and seem to be in line with or territory level. Life for Australian children current world thinking. The present is time for goes on very much as usual. They remain action. at the bottom of the social heap." Establishing the office of Children's It cannot be denied that in the Australian Commissioner is tangible evidence of political context, children are still a manifestly Queensland's readiness to participate in any powerless group. They do not vote; nor do national moves to address the problems which they have recognisably effective lobby groups the series of recent Commonwealth reports working on their behalf. has highlighted. Clearly the problems are of The position of Aboriginal children is of major national social significance and, as I particular concern. In terms of health, living have frequently observed, require a concerted, conditions, education and the justice system, cooperative response from the much remains to be done. Commonwealth and States. Recent reports suggest that child poverty In recent months Queensland has actively levels in Australia have increased during the participated in efforts to coordinate services to past 20 years. The Human Rights and Equal children and young people at a national level. Opportunity Commission Inquiry in 1989 These include: 4 Sep 1996 Children's Commissioner and Children's Services Appeals Tribunals Bill 2419

participation in the Prime Minister's Youth have investigated the nature and role of, and Homeless Taskforce; experience with, a children's commissioner progressing the National Child Protection elsewhere. The Child Sexual Abuse Hotline Strategy—which aims to increase was commenced on 16 May 1996. It takes intergovernment and inter-agency calls from adults who experienced sexual cooperation on child protection matters; abuse as children and from community and members reporting current abuse of children. To date nearly 416 calls have been received. the collation of a best practice model of strategies for preventing youth suicide Almost 70 per cent of callers have been that draws on the combined experience of adults reporting abuse experienced during State, Territory and Federal Governments. childhood. The other 30 per cent have been This initiative will form part of the National either adolescents reporting abuse of Youth Suicide Prevention Initiative. themselves or adults reporting current abuse of children. Three of the callers have been Queensland is at the cutting edge in self-confessed paedophiles seeking advice advancing children's issues to the forefront of about the effect of their actions on children or public consciousness through the setting up of about where they might attend for guidance. the Children's Commission. With this Many of the callers have indicated that they legislation we have recognised the need for a have not previously reported their abuse. children's voice, or a children's advocate, that Twenty-eight cases of alleged abuse have will be beneficial to children in this State. been referred to the police and two to the I firmly believe that the issues and Criminal Justice Commission. One offender, experiences encountered by Queensland having been investigated by the police, children are relevant to children right across admitted to the abuse of numerous children the nation. I hope that other States and and has since committed suicide. Territories and the Commonwealth see fit to The experience of Norway, which has had establish a similar body within their respective in place a Commissioner for Children since jurisdictions. This is an important consideration 1981, assisted greatly in the conceptualisation if we are to have a uniform and truly holistic of the Bill. In particular, the overview, approach to children's services throughout monitoring function of the role, expressed in Australia. the King's instructions for the Commissioner in It is against the background which I have Norway to work to ensure that the needs, briefly sketched that the debate occurred in rights and interests of children are given the this place on 1 May which resulted in the necessary consideration in all areas of society, resolution of the Parliament calling on the seems aptly to envisage the inter-agency Government to establish immediately an cooperation and coordinated mechanisms for independent authority to fully investigate the delivery of integrated programs and accusations of paedophilia in this State. services which the House of Representatives During that debate, repeated reference was standing committee report called for in this made to the concept of a children's country in 1996. commissioner which, amongst other functions, The Government believes that nothing would accept and investigate complaints of short of world best practice is deserved by paedophilia and child abuse. Queensland children and accordingly has The Government's attitude to that debate decided to establish the office of Children's was that an inquiry into child abuse and Commissioner, whose functions will facilitate paedophilia was required at a Federal level to the investigation of allegations of paedophilia ensure there was a coordinated approach by but will encompass other issues also important all the States of Australia. I endorse for the children of Queensland. wholeheartedly the sentiments expressed by The Children's Commissioner will be an the Deputy Leader of the Opposition in that additional component within an array of debate when he said that the "protection of expertise and services dealing with the our children is too important for this issue to interests and wellbeing of Queensland become a political football" and that we must children. I look forward to the Commissioner, move now as a community to implement along with the many dedicated and highly additional measures to prevent child abuse professional staff of my department, making a and to support families. distinctive contribution to a more holistic During the 10 weeks following the debate, approach to children's issues. I moved quickly to put in place a Child Sexual The proposed Children's Commissioner Abuse Hotline within my department and to office is to conduct its affairs independently. It 2420 Children's Commissioner and Children's Services Appeals Tribunals Bill 4 Sep 1996 is not subject to the control or direction of a tribunals to hear appeals of reviewable Minister or department. The Commissioner's decisions specified in children's services office may, however, be attached to a legislation. This consolidated appeals department to ensure it is given administrative mechanism, to be conducted by the support services for the effective and efficient Commissioner, will replace the existing conduct of its functions. separate appeal mechanisms under the Importantly, the Commission is required to Adoption of Children Act 1964 and Child Care perform its functions within a framework of Act 1991. It will also provide, for the first time, recognition that it is the parents or legal for appeals under the Children's Services Act guardians of children who have the primary 1965. responsibility for the upbringing and It is a rare privilege to have responsibility development of their children; the role of the for introducing an historic piece of legislation to State is to support and assist. A caring family the House. It is the first and only such environment is basic to all other needs and legislation yet to be placed before a rights of a child. Parliament in Australia and joins the still small Honourable members will recall that Mr D. but growing number of Parliaments anywhere G. Sturgess, QC, in his Report of an Inquiry in the world to have considered similar into Sexual Offences Involving Children in legislation. 1985, stressed that in addition to I am indebted to many persons and "strengthening of the criminal laws" a range of organisations for their advice and assistance in strategies is required to protect children from bringing the legislation forward a mere 18 sexual harm. Mr Sturgess listed "strengthening weeks after the Parliament made its resolution traditional family life" high on the list of of 1 May. I acknowledge the contribution of strategies envisaged. The legislation before the Deputy Leader of the Opposition and the the House in a very real sense can be seen to honourable member for Ashgrove in drawing give legislative expression within a modern attention to the potential role of a Children's context to the spirit of Chapter 8 of the Commissioner in Queensland. I extend thanks Sturgess report. The Children's Commissioner also to the honourable member for Gladstone will serve as the "good advocate" for children for her continuing interest and advice. and their families envisaged by Mr Sturgess Similarly, I acknowledge the interest and "in the corridors of power with adequate assistance of my parliamentary committee and resources to appraise and advise upon the other members of the Government. mistakes of the past and measures I place on record the significant contemplated for the future that may affect contribution of my personal staff and staff of the family". my department. In particular, I refer to Mr The Children's Commissioner will deal with Norm Alford and Mr Graham Zerk, who complaints from children—and young people undertook the considerable research required. and adults seeking to help them—by seeking Mr Alford virtually drafted the indicative Bill on to remedy their grievances and promote their which the legislation is based. The interests. In this context the Children's contributions of all staff are similarly gratefully Commissioner will have the specific task of acknowledged. The contribution of the Office monitoring the processing by public and of the Parliamentary Counsel in preparing the private entities of complaints about child legislation at short notice is also appreciated. I abuse and neglect and initiating appropriate wish to place on record my appreciation of the consequent action. Such action may involve many individual persons and organisations reference of complaints to the police if criminal who have contacted me personally by actions appear to be involved. telephone from within Queensland and from other States encouraging the introduction of The Children's Commission is mandated the legislation. I welcome the offer of to cooperate with the police in investigating bipartisan support for the Bill extended by the allegations of offences against children. It is to Opposition in Parliament. confer and collaborate with other relevant authorities. These include the police, the The legislation before the House breaks Criminal Justice Commission and the new ground in this country. Its seminal nature Parliamentary Commissioner for Administrative is widely recognised. Although much care has Investigations. been given to its conceptualisation and drafting, experience is bound to reveal some Additionally, the Children's Commission imperfections which will need to be addressed will be responsible for a program of official on a future day. The task before us today, visitors to residential facilities, such as the however, is to take the first step to pass the Challinor Centre, and for establishing appeal Bill into law. 4 Sep 1996 Justice Legislation (Miscellaneous Provisions) Bill 2421

It is my sincere hope that this Bill will of Bills include provisions of a technical, usher in a period of history which, in 100 years' discrete and minor nature. However, time, citizens of Queensland will confidently departures from this convention may be refer to as setting the scene for the twenty-first justified under appropriate circumstances. century to be truly the "Century of the Child". I This Bill contains amendments to 30 commend the Bill to the House. statutes, all of which, except for two, fall within Debate, on motion of Mrs Woodgate, my portfolio responsibilities. The other two, adjourned. that is, the Drugs Misuse Act 1986 and the Cremation Act 1913, are directly related to the administrative responsibilities of the JUSTICE LEGISLATION Department of Justice. In fact, the legislative (MISCELLANEOUS PROVISIONS) BILL amendments contained in this Bill have Hon. D. E. BEANLAND (Indooroopilly— several elements in common, namely: Attorney-General and Minister for Justice) they relate to statutes administered by the (11.57 a.m.), by leave, without notice: I Department of Justice or to other statutes move— having a direct impact on my portfolio as "That leave be granted to bring in a Attorney-General and Minister for Justice; Bill for an Act to amend a number of Acts administered by the Attorney-General and they have the purpose of increasing Minister for Justice, and for other operational efficiency in various State Government departments and in some purposes." industry sectors, for example, statutory Motion agreed to. trustee companies; and they do not modify the philosophy or First Reading direction of the statutes that are being Bill and Explanatory Notes presented and amended. Bill, on motion of Mr Beanland, read a first The three most significant amendments to time. legislation in this Bill are made to the following statutes: the Justices Act 1886, the Electoral Act 1992, and the Trustee Companies Act Second Reading 1968. Hon. D. E. BEANLAND (Indooroopilly— Moreover, the Bill contains a significant Attorney-General and Minister for Justice) machinery matter which will provide cost (11.58 a.m.): I move— savings for the Department of Justice through "That the Bill be now read a second the consolidation of the annual reports for time." agencies other than courts and trust funded The objective of this Bill is to provide for a agencies into the Department of Justice's number of minor or technical amendments to annual report. This consolidation in no way will a range of statutes administered by the lead to a diminution of information to Department of Justice or related to its Parliament and the public, but will provide a responsibilities. The Department of Justice is more logical and coherent reporting procedure responsible for the administration of regarding the operations of those statutes approximately 170 statutes and, as a result, such as the Disputes Resolution Centres Act there is a necessity for a large number of 1990 and the Freedom of Information Act minor or technical amendments to be regularly 1992. made to various legislative provisions to Two Parts of this Bill will have a ensure that the statutes continue to operate in retrospective application. These are Parts 19 the manner intended and are maintained in and 20, which deal with amendments to the an up-to-date form. Juvenile Justice Legislation Amendment Act To ensure that this occurs, an annual 1996, which is a technical amendment, and departmental miscellaneous provisions Bill is the Law Reform Act 1995. Part 20 of the Bill prepared so that the minor or technical reinstates the effect of the Wages Attachment amendments needed can be effected by Act 1936, which was inappropriately repealed means of one statute. This ensures that by the Statute Law Revision Act (No. 2) 1995. much-needed statutory reform is not delayed The repeal of this statute created some and that the time of the Parliament is not unintended anomalies. The effect therefore of unnecessarily expended on dealing with this Part 20 is to enable a court or registrar of numerous Bills, each of which would be of a a court to make an order to enable the wages relatively minor nature. Generally, these types of public service employees to be attached. It 2422 Justices of the Peace and Commissioners for Declarations Legislation 4 Sep 1996 is necessary that this part have retrospective This Bill also delivers benefits to the effect from 28 November 1995—the date of business community by amending the Trustee the repeal of the Wages Attachment Act Companies Act 1968. The operation of 1936—to ensure that a court or registrars of statutory trustee companies which are licensed the Magistrates Court had authority to make under the Trustee Companies Act 1968 will be orders concerning the attaching or charging of enhanced by the revision of the monetary the salary or wages of public service limits concerned with the administration of employees. small estates, unadministered balances, I turn now to the three most significant general powers and discretionary expenditure amendments to the legislation in this Bill, under that Act. The current monetary limits in which are mentioned earlier. In practical terms the Act have not been altered since its the amendments to the Justices Act 1886 and enactment in 1968. Hence the proposed the Legal Practitioners Act 1995 will deliver increases are intended to reflect changes in benefits for all Queenslanders by providing monetary and property values which will for— enable the statutory trustee companies to deliver services in a more efficient and cost- uniform litigious arrangements across effective manner to their clients. These various courts, at all levels, by ensuring amendments will also take into account the that the Justices Act 1886 is amended to fact that statutory trustee companies are also enable the Magistrates Courts to receive regulated by the corporations law and that documentary evidence; most of them operate on a national basis. a scale of costs and the ability of those Consequently, this Bill will delete from the costs to be taxed in the Magistrates conditions and licences of some of the Court; and statutory trustee companies under the Act the requirement to have local directors appointed clerks of the Magistrates Courts to deal to the boards of those statutory trustee with non-contentious matters involving the companies. Because the remaining authorised consent of all parties that would otherwise trustee companies did not have this be required to go before a stipendiary requirement imposed on them, it operated in magistrate. an unjustifiably discriminatory fashion. The amendment of the Electoral Act 1992 All in all, this Bill is directed at making a implements amendments identified by Justice number of minor or technical amendments to Ambrose when sitting as the Court of Disputed a range of statutes administered by the Returns in the Mundingburra case as Department of Justice or related to its necessary prior to the next general election. responsibilities with the objectives of increasing The current section 105(3)(a) of the Electoral operational efficiency in various State Act 1992 defines a special postal voter as an Government departments and the business elector "whose real place of living is not within community as well as unifying the laws 15 kilometres . . . of a polling booth". The governing the operation of the various court Electoral Commission of Queensland had levels in our legal system. I commend the Bill assumed "real place of living" to be the to the House. address of the elector as recorded on the electoral roll. Justice Ambrose ruled "real place Debate, on motion of Mr Foley, of living" to mean "the actual place of living", adjourned. acknowledging that this would place a great burden on the Electoral Commission of JUSTICES OF THE PEACE AND Queensland to attempt to be aware of each COMMISSIONERS FOR elector's individual movements and living DECLARATIONS LEGISLATION arrangements—which, in some circumstances, AMENDMENT BILL might simply be practically impossible. His Honour strongly urged an amendment to the Hon. D. E. BEANLAND (Indooroopilly— Act so that it accords with the otherwise Attorney-General and Minister for Justice) sensible practice of the Electoral Commission (12.05 p.m.), by leave, without notice: I of Queensland. In the same case, Justice move— Ambrose considered it desirable that the "That leave be granted to bring in a register of special postal voters, which is Bill for an Act to amend the Justices of presently maintained by the Australian the Peace and Commissioners for Electoral Commission on behalf of the Declarations Act 1991, and for other Electoral Commission of Queensland, be purposes." given some legislative authority. Motion agreed to. 4 Sep 1996 Justices of the Peace and Commissioners for Declarations Legislation 2423

First Reading peace in Queensland. Due to the expiry of the Bill and Explanatory Notes presented and transitional period on 1 November 1996, there Bill, on motion of Mr Beanland, read a first are a number of amendments that are time. required to maintain the status quo until the Law Reform Commission hands down its report. Most significantly, the amendments Second Reading extend the transitional date until 30 June 2000 Hon. D. E. BEANLAND (Indooroopilly— for all JPs except— Attorney-General and Minister for Justice) previously appointed—prior to 1 (12.06 p.m.): I move— November 1991—barristers and solicitors "That the Bill be now read a second and retired judges and magistrates, who time." will maintain their old JP powers for life; and In 1991, the Justices of the Peace and Commissioners for Declarations Act, passed certain officers of the Courts Division of by the previous Labor Government, created a the Department of Justice, actually number of categories of justices of the peace. working in courthouses, who will maintain Before that Act came into effect on 1 their old powers for as long as they hold November 1991, there was only one category. their positions. These JPs obtained their general powers The amendment will only apply to court staff under the Justice of the Peace Act 1975 and appointed under the 1975 legislation. All new the Justices Act 1886. The JP Act was clerks appointed since 1991 are required to heralded by the Labor Government as "a follow the usual process, including training great reform program". It created three new prior to appointment. The continuation of JP categories of JPs. These are, in descending powers for the old courthouse staff is order of powers, JP (Magistrates Court), JP particularly significant. The vast majority of (Qualified) and commissioner for declarations. these staff are in rural and remote areas. In The JP Act provided for a five-year some remote places this may result in a transitional period that was to terminate on 1 person being unnecessarily detained if there is November 1996. However, since 1991, of the no justice of the peace to hear a remand or 63,000 registered JPs, less than 50 percent bail application. The amendment will ensure have participated in the reform program. If the that there are sufficient justices throughout transition period was allowed to terminate on 1 Queensland to provide a fair and equitable November 1996, it could place the system of justice across the State until the administration of justice in jeopardy, Law Reform Commission Review is finalised. particularly in regional, rural and remote At the commencement of the reform localities. This is because on 1 November period for justices of the peace, it was always 1996 approximately 38,000 JPs who were acknowledged by the previous Government appointed prior to 1 November 1991 and did that the final stages of the reform process not upgrade to either a JP (Qualified) or JP would have a critical impact on the resources (Magistrates Court) will lose all their old JP of the justice of the peace branch in my powers, except those of a commissioner for department. The decision to extend the cut-off declaration. This group includes— date will enable funding and administrative barristers and solicitors—who had applied resources to be absorbed over a number of to become, and were appointed as, JPs financial years. There are also a number of prior to 1 November 1991; other amendments which will aid in improving retired magistrates and judges; administrative procedures, resulting in cost savings and overall efficiencies. Section 19 certain officers of the Courts Division of currently allows judges and magistrates the Department of Justice. appointed after November 1991 to be justices This legislation addresses these transitional of the peace only whilst they hold the office of issues. a judge or magistrate. The amendment will In addition, a significant number of JPs make judges and magistrates justices of the have told both myself and my department of peace for life. their many concerns about the current system. Prior to November 1991, solicitors and The essence of the substantive amendments barristers were entitled to hold office as made by this Bill are also based on these justices of the peace. Since 1991, under the concerns. To deal with all of these issues, the current provisions of section 11 of the Justices Queensland Law Reform Commission has of the Peace and Commissioners for been asked to review the role of justices of the Declarations regulation, a barrister or solicitor 2424 Fair Trading Amendment Bill 4 Sep 1996 could not be appointed a JP. Regulation 11 currently $750. Administrative problems have will be repealed upon royal assent of this Bill. developed for JPs who are upgrading under Section 16(2) will be amended to allow for the the new system as the new certificates are appointment of a barrister or solicitor as a JP withheld pending the return of the old (Qualified) or JP (Magistrates Court) without certificates. Also, many JPs wish to keep their requiring them to complete an approved certificates as evidence of their commitment to training course. It must be acknowledged that the community. The amendment will only the training and experience of a solicitor or require the return of a certificate in the event barrister equips them with the necessary that a person is disqualified from being a JP knowledge to meet the demands placed on under section 17. This disqualification relates them as a justice of the peace. only to undischarged bankrupts, those The Bill also replaces the JP council with convicted of indictable offences or of abusing an advisory council. The amendment will clarify the position of a justice of the peace. the role of the council and give it greater Most significantly, this Bill will allow the scope to advise the Minister in the Queensland Law Reform Commission time to administration of the Act and attend to complete its work. It will ensure, whilst the priorities set by the Minister. Members of the review is undertaken, that every Queenslander council will be appointed by the Minister and is afforded an appropriate system of justice. I will represent JPs throughout Queensland. commend the Bill to the House. They will be required to have knowledge of the Debate, on motion of Mr Foley, roles and functions of JPs and commissioners adjourned. for declarations and, in some cases, will have a special interest in or knowledge or experience of rural and remote areas and FAIR TRADING AMENDMENT BILL Aboriginal or Torres Strait Islander Hon. D. E. BEANLAND (Indooroopilly— communities. The council will be able to give Attorney-General and Minister for Justice) clear advice in relation to all the issues that (12.13 p.m.), by leave, without notice: I concern justices throughout the State. move— The Bill also amends the Electoral Act "That leave be granted to bring in a 1992 which will enable the initials "JP" or "CD" Bill for an Act to amend the Fair Trading to be placed after a person's name on the Act 1989, and for other purposes." electoral roll. The designation of "JP" on the Motion agreed to. electoral roll was previously provided for in section 21 of the repealed Justice of the Peace Act 1975. The electoral roll provides the First Reading best means of assisting members of the public Bill and Explanatory Notes presented and and other interested parties to locate JPs and Bill, on motion of Mr Beanland, read a first commissioners for declarations when they are time. needed, because the electoral roll is updated on a regular basis. Two procedural changes have also been Second Reading made to increase efficiency. Savings in both Hon. D. E. BEANLAND (Indooroopilly— time and costs will be generated. The first Attorney-General and Minister for Justice) procedural change is an amendment to (12.14 p.m.): I move— section 24 that will facilitate the transfer from "That the Bill be now read a second one office to another—for example, a JP to a time." JP (Qualified)—without the need for the Governor in Council to revoke the original The Fair Trading Act is Queensland's appointment and publish the revocation in the principal consumer protection legislation. Its Government Gazette. This amendment simply value, both to the business community and to follows similar provisions already found in consumers, cannot be underestimated. The sections 44(3) and (4) for JPs becoming Act protects consumers' and honest traders' commissioners for declarations. interests by imposing a statutory code of conduct of fair and ethical behaviour for The second procedural change is an traders across all industries and businesses. amendment to section 27. That section This Bill will increase protection for Queensland currently requires that a JP who ceases to hold consumers and honest traders by enhancing office must return the JP certificate to the the enforcement mechanisms and options registrar. Failure to do so constitutes an available to the Office of Consumer Affairs offence with a maximum of 10 penalty units, under the Fair Trading Act. It will also provide 4 Sep 1996 Fair Trading Amendment Bill 2425 door-to-door traders with greater flexibility in increasingly difficult for fraudulent traders to certain circumstances, streamline con business operators. administrative procedures and repeal obsolete The Bill gives the Commissioner for provisions of the Act. Consumer Affairs the power to accept Both my office and Consumer Affairs undertakings from traders who have breached have been deluged in recent months with the Act. If the terms of an undertaking are complaints and queries about a number of subsequently breached by a trader, the pyramid selling schemes. These schemes are undertaking will be enforceable through the illegal because they tend to enrich a few—the courts. Among other things, the courts will promoters and the early participants—at the have the power to: grant an injunction expense of many. To enable the Office of restraining a trader from breaching a term of Consumer Affairs to deal with such schemes an undertaking; order the trader to pay more effectively, this Bill repeals Queensland's compensation to anyone who has suffered antiquated Pyramid Selling Schemes loss or damage because of the breach; and (Elimination) Act and replaces it with provisions order the trader to pay the Crown an amount which mirror section 61 of the Trade Practices that corresponds to the financial benefit Act. obtained by the trader as a result of that breach. These amendments will bring Queensland into line with all other jurisdictions, except The Australian Competition and Victoria, which have provisions equivalent to Consumer Commission has had a similar section 61 of the Trade Practices Act in their power under the Trade Practices Act since fair trading legislation. They will also ensure January 1993 and has used this power often that pure chain letter schemes are prohibited and effectively. While enforceable for the first time in this State and that undertakings will be accepted by the Consumer Affairs has access to the commissioner as an alternative to prosecution, comprehensive enforcement mechanisms and this does not mean that Consumer Affairs will options available under the Fair Trading Act. no longer prosecute traders who breach the Act. It simply means that Consumer Affairs will Invoice fraud is another perennial problem have more choices when dealing with such for Consumer Affairs. Bogus invoices for fax traders. The acceptance of enforceable and telex directory listings, listings and undertakings in appropriate cases, combined advertisements in journals, etc., are regularly with timely media releases, will give Consumer forwarded to businesses for payment. Many Affairs the ability to quickly get the message business people, believing they have received out to both the business community and to genuine invoices, unwittingly pay them without consumers that breaches of the Act will not be checking further. The Bill amends the Fair tolerated. Trading Act to remove any doubt about The Government believes that Consumer whether a journal or magazine falls within the Affairs needs additional mechanisms to assist definition of "directory". This will make it in its fight against dishonest and unethical absolutely clear it is an offence to assert a traders. The Bill therefore gives the right to payment for the making of an Commissioner for Consumer Affairs the power, unsolicited entry in a directory, journal or where the commissioner believes on magazine. Under the Fair Trading Act, a reasonable grounds that a statement person asserts a right to payment if that promoting the supply of goods or services is person sends an invoice stating the amount of false or misleading, to require the person who the payment or setting out the price of the caused that statement to be published to goods or services or the charge for the making provide proof that supports any representation of the directory entry and if the invoice does made in the statement. not state as prominently that no claim is made to that payment. Anyone who fails to respond to a substantiation notice will commit an offence. It To overcome this problem, the Bill will not be a reasonable excuse to fail to provides that a person will be taken to have respond to a substantiation notice on the asserted a right to payment unless a grounds that the information given in the statement saying "this is a solicitation, not an response might be incriminating. However, invoice for a debt incurred by you" is placed at while an individual will not be able to claim the top of the first page of the invoice. This privilege against self-incrimination, the use statement must be printed in upper case in Consumer Affairs may make of incriminating type not smaller than 18-point. These information provided under compulsion will be amendments are designed to make it limited. Consumer Affairs will not be able to 2426 Fair Trading Amendment Bill 4 Sep 1996 use the incriminating information in any taken, purchase that bicycle as evidence. criminal proceedings against the individual, but Some bicycles cost as much as $2,000. The will be able to use that information to attempt Bill therefore gives inspectors the power, in to find other admissible evidence to prove an circumstances where they reasonably believe offence was committed by the individual. an offence against the Act has been While a body corporate will also not be able to committed, to seize goods, but only sufficient claim privilege against self-incrimination, any number to have those goods tested to confirm incriminating information provided under whether they comply with any mandatory compulsion will not be admissible in criminal information or safety standard or whether they proceedings against the body corporate, other have the qualities etc. claimed and to secure than a prosecution under the Act. those goods as evidence. To ensure owners' Amendments to section 90—power to rights are protected, the Bill gives owners the obtain information—of the Fair Trading Act right to appeal against the seizure of goods allow an inspector, in relation to any matter and provides for the return of the goods in relevant to the operation or enforcement of certain circumstances. the Act, to require a person to furnish any Part 3 of the Fair Trading Act mirrors the information or records in that person's consumer protection provisions of the Trade possession. The person may not fail to Practices Act. While an individual who respond on the grounds that the information breaches the consumer protection provisions or the records requested might be of the Trade Practices Act may be fined up to incriminating. However, where incriminating $40,000 and a corporation fined up to information is furnished, that information is $200,000, individuals who breach the generally inadmissible in evidence in criminal equivalent provisions of the Fair Trading Act proceedings under the Act. No distinction is face a fine of only $30,000, while corporations currently drawn between incriminating face a fine of only $150,000. The Bill therefore information provided by an individual or by a increases the maximum penalties which may body corporate. The Bill therefore amends be imposed for breaches of those provisions section 90 so that incriminating information of the Fair Trading Act which mirror the Trade provided under this section is given the same Practices Act to ensure they are generally status as incriminating information provided in equivalent to those imposed under the response to a substantiation notice. Commonwealth Act. The Bill also amends the Section 96 of the Act provides that if a Fair Trading Act to make it clear that it is an body corporate commits an offence, each offence to attempt to commit certain offences director or member of the body corporate's against the Act. governing body is taken to have committed The door-to-door trading provisions of the the offence and is liable to be proceeded Act are intended to deal with the problem of against and punished accordingly. As high pressure selling at a consumer's home or Consumer Affairs will be able to use place of work. The Bill amends the incriminating information provided by a body door-to-door trading provisions of the Act to corporate under compulsion in any exclude from their coverage emergency prosecution against that body corporate under repairs required because of damage caused the Fair Trading Act, this would leave the by flood, fire, storm, accident, earthquake etc., directors or members of a body corporate's recognising that in these sorts of governing body similarly exposed to circumstances it would be impractical to prosecution. In the interests of fairness, the Bill require traders to apply for exemptions from therefore amends section 96 to make it a the relevant provisions of the Act. defence to a prosecution under that section The Bill also replaces the three current for a director or member of a body corporate's exemption provisions with one provision under governing body to prove that incriminating which exemptions may be granted to traders information was obtained from the body for particular transactions entered into by corporate by compulsion under the Act. them. Exemptions will be granted by the chief The circumstances in which inspectors executive of the department, but only if the may seize goods without payment are chief executive is satisfied the rights of currently limited. In cases where the goods consumers will not be adversely affected. The involved are expensive, Consumer Affairs may Bill also allows the chief executive to make an be unable to pursue possible breaches of the exemption conditional. Act. For example, an inspector who, by Because of its length, I have not been manual inspection, notices that a bicycle does able to deal with every amendment contained not comply with the mandatory safety in the Bill. However, the Explanatory Notes standard must, if enforcement action is to be which I have issued deal with the 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2427 amendments which I have not had the time to Mr Harper: Why do you persist in saying discuss. I am confident that the enforcement things that aren't correct? mechanisms and options contained in this Bill Mr SCHWARTEN: I did not interject will significantly enhance Consumer Affairs' while the member was speaking. I ask him to ability to fight unscrupulous and unethical have the courtesy to do the same thing. I will traders and enforce the Fair Trading Act. address the points that he made during the I have much pleasure in recommending debate in a reasonable way. As a matter of this Bill to the House. fact, I never interjected on the honourable Debate, on motion of Ms Spence, member yesterday. However, I did make a adjourned. number of notes about points that he made and which I intend to address. So if he sits there and listens he might learn something. STATE FINANCIAL INSTITUTIONS When Bill Gunn brought in that legislation AND METWAY MERGER in 1985, he stated specifically that it was an FACILITATION BILL intention of the QIDC to provide a rural focus. Second Reading With the amalgamation of Suncorp and the Debate resumed from 3 September (see QIDC, quite clearly that will be lost. In the past p. 2372). the QIDC was used as a much-controversial Mr SCHWARTEN (Rockhampton) plaything in the lousy loans affair, and so on. (12.22 p.m.), continuing: Prior to the Our former Government tightened its focus, adjournment of this debate last night, I was much to the criticism of members opposite discussing the history associated with this who were then on this side of the House. The particular piece of legislation. The point I was fact remains that it is still regarded by rural people as very much the institution that has a leading to was that the member for Moggill sympathetic ear to their plight, and I believe said that because there was no community that it still is. However, I believe that will be lost service obligation the way that it was initially as a result of the amalgamation of these set out, there was no good reason for the particular corporations and their ultimate Government to retain that particular privatisation. If anybody believes that the free corporation. It is my view that quite the services that Suncorp currently provides for its contrary argument exists, and that is the customers as part of its being a Government argument that I intend to put to this House corporation will be retained in the long term in today. private hands, they are kidding themselves; it Because the corporation is in Government is simply not going to happen. hands, it does provide services above and In terms of the $4.80 share cost—that beyond what would normally be expected of was clearly too much. As the member for other financial institutions. One has only to Everton said yesterday, I hope that all look at what the banks have done in recent members on this side of the House are proved times—beyond the control of any wrong and that the Government does recoup Government—in centres throughout that $4.80. But at the moment the markets Queensland. Westpac and the are not showing that to be the case. To do Commonwealth Bank have done it. that, the Government got hold of $300m, Mr Hamill: National Australia. which the member for Springwood mentioned. Mr SCHWARTEN: The National It was his contention that the $300m was Australia Bank has done it. They are all reaped from the share market. In part that is continuing to do it. They are shedding jobs, true. increasing technology, removing services When Bill Gunn was Treasurer in this and—— place, he entered into that nickel agreement Dr Watson: So has Suncorp. Suncorp with Bond. He told me a very interesting story has closed 21 agencies and four branches. about that, which I will not relay to this House. It is to his credit and foresight that he entered Mr SCHWARTEN: The member has had his chance at this. I intend to proceed. into that agreement. When we came to Government, we had the opportunity of The reality of the issue is that, if and when divesting ourselves of that particular this goes into private hands, there will be fewer investment. Instead, we chose to take the services available, particularly in the QIDC. I share option and, ultimately, bundled up the was reading through some background lot of them, sold them off and got $300m for material on this. In 1985, my old mate Bill them. That has now gone into the ridiculously Gunn brought legislation into this place to high price paid for those shares. If I was a provide for the QIDC to replace the old—— shareholder, I would sell them at $4.80. 2428 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996

Mr Hamill: You wouldn't be alone. talking about how we treated rural Mr SCHWARTEN: No. That is what the Queensland. An old saying is: if you continue people who own the shares are telling me; to say something long enough, you will believe they will sell them and buy them back later for it yourself. When Labor was in office, under four bucks. Clearly, the taxpayers of this Queensland was in the grip of a drought. I do State will miss out as a result of that. The not know what it cost per week to try to fund member for Springwood suggested that the the services to help people in the bush, but $300m, which was set aside for infrastructure, my memory tells me that the Government was was better spent in that area. That is a matter spending around $5m a week to help people of contention. He is entitled to his opinion on in drought-affected Queensland. Having that. I disagree. I believe that that $300m worked with Tom Burns at the time, I have would have been better placed in investments some personal experience in this matter. I in this State by way of capital works. remember our visiting a property in north-west Queensland and seeing the destitution in I must correct the member for Mansfield, which those poor folk were living. It was his who said that the former Government was in contention that we should do something to the business of squandering taxpayers' money help the families. There are always programs and that we were going to do certain capital to help the animals, such as moving them to works and never did. I would like to know fodder, but there was never a focus on the where the main line upgrade in Queensland families concerned. For the first time ever, our Rail came from when we were in Government. Government created assistance for families. It cost about—correct me if I am wrong—— The drought counsellors are working out there. Mr Hamill: Over $600m. I understand that that initiative is under threat Mr SCHWARTEN: Over $600m. and we will be interested to see what happens when the Budget is brought down next week. I The member for Hervey Bay interjected hope some money will be allocated for those yesterday and said that a new hospital was counsellors, because they are providing a very provided in Hervey Bay. In my own electorate I important resource to rural Queensland. can cite at least $100m worth of capital works, including two new Government buildings. The member for Mount Ommaney referred to branch closures, line closures and Mr Hamill: The development of the Gold the closures of courthouses. The fact is that Coast railway—over $300m. Labor introduced QGAP, which was a one- Mr SCHWARTEN: Yes, $300m for the stop shop. Even the briefing papers to the Gold Coast railway line; $25m to upgrade the Government, which I have seen, suggest that Rockhampton railway workshops; a new the Government was considering that school on the Capricorn Coast—the list goes measure, because courthouses were not on. performing the core business of courts. It was Mr Hamill: Universities in regional unfair to place the responsibility for that work Queensland. on the Justice Department. In hindsight, perhaps we did not take enough into account. Mr SCHWARTEN: Universities in That is fair enough. We were new in regional Queensland—the list goes on. It is Government and we took the bureaucrat's untrue to suggest that money was not put into advice and closed those courthouses, without that Accelerated Capital Works Program and looking to what replaced them. The last thing that those buildings were not built. A gross that those courthouses ever did was actually misrepresentation of the truth was engaged in court work; they conducted all sorts of other by the member for Mansfield, because clearly activities, such as providing stock permits and that is not the case. handling car registration. However, at the end Mr Hamill: He wasn't here, anyway. of the day, we replaced those courthouses with something else to provide those services. Mr SCHWARTEN: I am reminded by I urge the member for Mount Ommaney, if he the shadow Treasurer that the member for wants to prosecute an argument in this place, Mansfield was not a member of this place at to stick to the truth of the matter and not to that time. It is a pity that members try to be—— downgrade the efforts of another Government in order to put some sort of parlous argument Mr Harper: Entirely correct. You've together to support this Bill. admitted it yourself. The member for Mount Ommaney rudely Mr SCHWARTEN: What I said was that interjected earlier. That is a habit that I do not the services that we have replaced in those enter into in this place. Yesterday he was areas—— 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2429

Mr Harper: You closed courthouses. keeping services and jobs there. I do not think You closed down railways. the city council in Rockhampton has yet Mr SCHWARTEN: There is no doubt grasped the reality of what affect the merger about that. However, yesterday the member will have on our mall, which is suffering greatly. said that the former Government did not Metway is in the middle of the mall; QIDC is at provide any services, new or otherwise, in rural the end of it; and Suncorp is around the Queensland. That is simply not the case. As a corner. The merger will be yet another nail in result of the merger, I can guarantee that the coffin of that facility. there will not be one rural bank west of the Finally, I will address the issue of the Bank Great Divide, because currently only QIDC has of Queensland. I note that the shadow a presence in that area. People whom I know Treasurer has foreshadowed an amendment in the west have rung me. Those people have in that regard, and I ask that members of this had dealings with QIDC and have got to know House consider that amendment in the true the people there. In the past they have had to spirit of it. With Metway owning 44 per cent of deal with banks and have been shown the shares in the Bank of Queensland, it is quite door, but when they went to the QIDC—which clear that that bank can be dragged over the is Government guaranteed—they have been hill. Via the back door it will become part of the able to receive some support. It is a tragedy super bank. If that occurs, there will be more that that will be compromised. I do not believe job losses. I think that this House needs to that any member sitting opposite honestly move to protect the interests of the remaining believes that those services will not go as a shareholders in the Bank of Queensland. result of the merger. It is not good enough for People in my constituency are very worried the member for Mount Ommaney to suggest about that. I have received quite a number of that, because Labor made a few blues in calls about that issue. People have indicated terms of rail closures and courthouses, that to me that at no stage have they wanted to be pardons the Government for going down the part of this new deal that is being proposed by path of removing services from rural the Government. They do not believe that Queensland, the coalition's heartland. I know they should be forced into it by stealth. that the member is a Liberal and I know that Anybody in this Chamber who feels that way he neither cares much about the bush nor and wants to support the average shareholder understands it very much. That is clear from in that bank needs to vote for the what he said yesterday. Treasurer's—— While on the subject of rural services, I Mr Hamill: Shadow Treasurer. refer to job losses that occurred as a result of Mr SCHWARTEN: I am sorry, the the drought. Many rural towns have never shadow Treasurer's—— recovered and this merger will be another kick in the teeth for them. Labor established the Mr Hamill: You do have the gift of rural living infrastructure package, which prophecy. provided, for example, water supplies for Mr SCHWARTEN: Yes, coming events places such as Dingo. In 1994 that town did cast their shadows. Honourable members not have a decent water supply. It has now, should support the amendment foreshadowed thanks to the rural living infrastructure by the shadow Treasurer. package. Mrs CUNNINGHAM (Gladstone) In my electorate half a dozen agencies of (12.39 p.m.): The genesis of this debate QIDC, Suncorp and Metway Bank will be stretches back to the evening of 23 May at amalgamated as a result of the merger. I am 9.30 when I met with Premier Rob Borbidge, willing to bet the member for Mount Ommaney Treasurer Joan Sheldon and representatives or anybody else that the number of jobs will be of the Treasury. At that meeting, which was fewer as a result of that amalgamation. requested on a confidential basis, the Mr Ardill: Of course it will. proposal for the merger of Metway, Suncorp and QIDC was proposed. Clear reasons were Mr Schwarten: Of course it will, he detailed for the inclusion of those entities: says. What will that mean? That means that in Metway, because of the takeover proposed by Rockhampton—and this relates to my original St George, which would effectively remove the point—fewer jobs will be available for my kids banking entity Metway from the State of and my friend's kids in years to come. That is Queensland and disadvantage its users; the very reason we should not go down this Suncorp, because of the demonstrated need path. While those agencies are in Government for significant capital to increase its market hands, there is a greater hope of our share; and QIDC, to broaden the lending protecting their presence in Rockhampton and profile of the bank. 2430 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996

The end result would be a merged entity I understand this undertaking is of greater mass and mix of services based in required to give some certainty to your Queensland for Queenslanders. With regard further negotiations for which timing is of a to the matter of the inclusion of the Bank of critical nature. I retain some concerns. Queensland and in response to my question However, I acknowledge the commercial on this matter, it was stated that an offer realities in this process. would be made to the Bank of Queensland to Yours faithfully." join the merged entity but that the choice would be the bank's. At the time, it was It was subsequent to this that a briefing conveyed clearly that the inclusion of the Bank note, which detailed the issues of the interest of Queensland would be by choice. in the Bank of Queensland more specifically, was received. In fact, it was received in my Recognising the time constraints that office while I was overseas. I acknowledge that meeting held, I took that statement at face briefing note. However, I must admit that over value. It was noted that Suncorp held 44 per time I have relied on the statements made on cent of shares in the Bank of Queensland, the Thursday evening. because I have that in my notes. However, the My perceptions of the autonomy of the implications of that holding and the Bank of Queensland continued and, I guess, complications which may result from the were reaffirmed by public statements that the transfer of such a large interest in the bank did Bank of Queensland would make its own not impact on me once the assurance was decision concerning its involvement in the given that the Bank of Queensland would be merged entity and that the proposal would free to make its own choice on its stand without Bank of Queensland future—which was, as I said, taken on face involvement. value. This issue has arisen again only this last Then we moved on to discussions about week after contact by members of the Bank of job security, protection of the rural network, Queensland. I must say that I had requested retention of the Government guarantee for that they advise me if they felt their existing business, Reserve Bank requirements independence was under challenge. It is clear for State Government interests in the bank now that members of Treasury had intended and related matters. I do not recall that we the transfer of the 44.4 per cent of the Bank of revisited the matter of the Bank of Queensland as an asset of Suncorp. However, Queensland issue that evening. as I said earlier, I had not taken that to be part of the proposal, or at least the import of that At approximately 11.30 I went to my office part of the proposal had not occurred to me. and wrote this letter to Mr Frank Haly— Where are we today? An agreement has "Dear sir, been reached between the Government and I have tonight been briefed by the Metway, referred to as the heads of Premier, Treasurer and members of her agreement. Included in that is the transfer to staff on the circumstances of a proposed the entity of the 44.4 per cent. That combined business restructuring involving Metway with the approximate Suncorp interest of 3.4 Bank, Suncorp and the QIDC. Issues per cent in the Bank of Queensland shares such as retention in Queensland of both has resulted in the bank's management being location and directorship of a viable and concerned about its ability to maintain its competitive banking/insurance institution autonomy. I believe that the bank then were explained. The critical time frame requested a solution to the problem that it perceived was emerging and several options was also clearly stated which, of itself, is a were put by the bank to the Government, but difficult constraint for such an important which were not acceptable. That is the decision. Government's choice. However, I have a My concerns regarding the lingering concern that the basis on which my privatisation of public assets is well known. letter was written on that Thursday evening However, based on the information given has changed. I am also concerned to keep to me this evening, given the commercial the autonomy of the Bank of Queensland sensitivity of this issue and the restricted protected. time frame, I would accept the There is significant protection within the advantages of the proposal to the people Corporations Law, and I acknowledge that. of Queensland and on that basis would People have been at pains—and I appreciate not oppose the essential legislation that—to explain the protection that the needed to carry the restructuring. Corporations Law offers. However, there is a 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2431 difference in interpretation of the Corporations based on the previous Government's Law by the Government and the Bank of proposals, there promises to be economic Queensland. That uncertainty also adds to the benefit in the merger. Despite the lack of clarity. amendment, I trust that the interests of the As late as yesterday I spoke to members people of this State can be enhanced. of the Bank of Queensland, who are still Mrs BIRD (Whitsunday) (12.47 p.m.): concerned that they could not guarantee their Although many members have spoken in independence once their large block of shares detail to this Bill, I think that it is probably worth was absorbed into the merged entity. The while to revisit a number of the issues that amendment of clause 89(2) was intended to have been debated. give the shareholders the ultimate choice regarding the merger. I acknowledge that that The entry of the Queensland Government is a greater right than is normally conferred on into the share market as a player to prevent shareholders. However, it has some merit on legal commercial transactions is bad news for the basis of the unique circumstances that this Queensland and Queensland companies. It larger proposal presents. will mean a depressed market for small and medium Queensland-based companies. In the In reaching my position, I have spoken to future, there will be no premium offered in the the Treasurer and members of her staff, the market for Queensland company shares as manager and a staff member of Metway, the the premium for the takeover will be non- manager and chief executive of the Bank of existent. The market will be unsure of regular Queensland, and a number of other people. I Government interventions in its affairs. That acknowledge my letter of undertaking and, leaves a danger of Queensland companies based on the information given during the having depressed share prices, which will limit evening of 23 May, I gave that undertaking. their capital raising opportunities and stifle their However, part of that understanding was an growth. That will be to the detriment of assumption that the Bank of Queensland Queensland. That legacy will remain as long would be genuinely free to choose not to be as this Government remains. unduly affected by the merger proposal. Given that the Government has not been prepared The deal was dreamed up by the to give any alternative relief by way of buyback Government's Sydney advisers. Can the or other measure to the Bank of Queensland Government tell us why it did not use and its members, I do not see any alternative Brisbane-based stockbrokers? Apparently the but to support the amendment. In speaking Government did not even trust its own with the manager of Metway, he indicated that National Party people, not even "Porky" it may alter the attractiveness of the proposal Morgan, to advise them but rushed to Sydney. when the Bank of Queensland is included. I The offer to the shareholders of Metway do not believe on the basis of the letter written was notable for its lack of detail, its wild on 23 May that I have reneged on the promises and, to some extent, its dishonesty. undertaking given; but, by the resolution, I It is not readily appreciated that the State believe that I am giving effect to an autonomy Government offer on net present dollar terms that I assumed was available given the was actually 4c lower than the St George offer. information exchanged on the evening. The St George proposal was for payment of It is acknowledged that there will be a $4.77 plus 13c dividend in July—a total of necessity to sell down the Government's $4.90. The State proposal was for 13c interests in the merged bank and an additional dividend in July, plus $4.80 in November plus responsibility for the Government to supply a 4c dividend—that is a maximum information on the two bank licences to the dividend—in November. Although in nominal Federal Government. That situation has only terms this comes to $4.97, when one allows added to the lack of certainty faced by the for the fact that $4.84 of that offer is not paid Bank of Queensland and for the potential until November, the net present value is 11c attractiveness of one option put to the less than in July. That is a discount factor of 8 Government by the Bank of Queensland. per cent for four months—the amount of I congratulate the Government on its interest any investor could have got—which endeavours for the State in this matter, that is, gives a net present value for comparison to keep the large merged entity based in purposes of $4.86. Therefore, when we Queensland for Queenslanders. Despite some compare apples with apples, the Government of the information circulated throughout the offer in net present value terms is 4c less than State, and particularly in my electorate, by the St George offer. The Government has both the Opposition and unions, which was rorted the shareholders of Metway. 2432 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996

Of course, if there are delays and the shareholders remain, Metway could even be Government offer is deferred or scrapped, or if delisted under the stock exchange rules. The the extra 4c dividend fails to materialise, the trust mechanism that the Government has situation can become even worse. Letters by announced is to be funded by exchange Mrs Sheldon to shareholders contained wild preferred units or warrants to provide funds for promises of share value growth and increased the purchase of shares from existing Metway dividend yield without any substantiation. shareholders. If the share price is below $4.80 One of Mrs Sheldon's letters suggested when the exchange preferred warrants are that shareholders ring a free line to get more due, the Government will have to part with information. Callers who rang on 18 June were more shares to meet its commitments and advised that there were no written documents suffer a substantial loss. to establish this conclusion, that no analysis of In order to try to talk the share price up, the Government offer had been made and the Government will have to radically close that there was no substantiating data. These Metway, Suncorp and QIDC branches wild actions could leave the Government open throughout Queensland to try to increase net to legal action from shareholders who relied on earnings and improve the market value of its the statements by Mrs Sheldon when those shares. This loss will be borne by ordinary statements were subsequently shown to be Queenslanders as the future Government has quite misleading. to sort out the mess that the debacle will However, the real joke of the whole show leave. comes when, if the Government is successful As other States back away from the in merging Suncorp and QIDC into Metway, State-owned banks, Borbidge and Sheldon we look at its future plans. After telling us that want to have a substantial Government we need to keep Metway Queensland owned, interest in the bank insurance group that has the Government is going to sell down its most of its risk centred in Queensland with shares to 15 per cent or probably less. Any limited ability to diversify. They should be analysis of the stock market will show that any leaving this risk to the private sector. sell down of such size could result in the bulk In all its talk about shareholders, it is of the shares ending up in the hands of major worthy to note that the Government has institutions within a few years. The ignored completely the interests of Series 1 shareholders will then be non-Queensland preference and Series 2 preference based and control will pass to Sydney and shareholders. Apparently, the Government Melbourne—the same as the St George bid. does not give a damn about them. The laughable suggestion about Information in the marketplace indicates entrenchment will not be able to be binding on that the Government has received an future shareholders for very long. The merger expression of interest in purchasing Suncorp price is based on 16 times earnings, but bank from Mercantile Mutual. Although I am not in shares generally fetch nine times earnings. support of the sale of Suncorp to the private When the price settles back to normal, the sector, which is the path the current Queensland Government will find that, firstly, it Government seems to want to take, I really has got a heap of shares in Metway for the cannot comprehend why the Government did sale of Suncorp and QIDC that have a not proceed to follow up the expression of substantially lower price than $4.80. I note that interest it received from Mercantile and the the business editor of the Courier-Mail talked hefty premiums of the on-price that about $2.18 as a realistic price. However, undoubtedly would be paid by the insurance today the general view in the stock market is company wanting to improve its market share that $3.50 is far more realistic. in Queensland. Instead, why did the In addition, the Government has agreed Government have to punt with taxpayers' through a trust mechanism to buy the shares money with a speculative bid on the stock of existing Metway ordinary shareholders for exchange? $4.80. With the Government undertaking to The ignored sector in all this is the Bank sell down its shares in two to five years, this of Queensland. The Government really gross overhang on the market of shares for wanted the Bank of Queensland in the merger sale will depress the market until the sales are entity. It has kept very quiet about its real finalised. reasons for this. It wants the new entity to end Most existing Metway shareholders will up with the name "Bank of Queensland", but opt to sell, leaving the Government owning 80 so far it has failed to do so. per cent to 90 per cent of the Metway shares, Can the Government tell us what its plans with the price going down. If insufficient are for its 40 per cent shareholding in the 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2433

Bank of Queensland? The Federal Treasurer Queensland, and more specifically the small is not going to allow it to continue to hold a and medium business sector of Queensland. shareholding and 80 to 90 per cent of Sitting suspended from 12.58 to Metway. Is the Government planning to man a 2.30 p.m. further takeover bid for the Bank of Queensland or a fire sale of its Bank of Hon. J. M. SHELDON (Caloundra— Queensland shares? It is about time the Deputy Premier, Treasurer and Minister for Government came clean and told the people The Arts) (2.30 p.m.), in reply: This initiative is of Queensland what its plans really are. Is it one that produces significant benefits for the that the Government does not have any plans State. It is in the best interests of the and does not know what its next move is? businesses of Suncorp, QIDC and Metway, Today, the Government is offering to buy their customers and staff, the shareholders in Metway shares with a price earning ratio of 16. these entities, including the people of The Government wants to tip Suncorp and Queensland as owners of QIDC and Metway, QIDC into Metway for a share issue and and it is in the broader economic interest of receive a price earnings ratio of nine for the State. Suncorp and probably less for QIDC. The The Opposition has attempted to portray Government is going to face another wrangle this initiative as one that presents concerns for to sort out what happens to the Bank of the rural sector and the staff of the three Queensland. The Government has rorted entities and as not what the business preference shareholders and has not detailed community of Queensland wants. In fact, the the whole story to the Metway ordinary opposite is the case. People in rural areas will shareholders. The Government is going to benefit from the merger. They will gain access lose a bundle in quitting Metway shares. The to a wider range of services. Centres with a Government is going to support, by virtue of its QIDC branch only will gain access to a full ownership of shares and subsequent control range of banking services. of Metway, a massive reduction of services to the people of regional and rural Queensland Mr Hamill interjected. and massive job losses. Farmers, tourist Mrs SHELDON: I suggest that the operators and other developers are going to member for Ipswich visit the rural community. lose the expertise of a boutique financier in He would not know where it is. the QIDC, which will be gobbled up by the large organisations with which it will merge. Mr Hamill: I have. This will have serious implications for rural Mrs SHELDON: No, the member has development and the expansion of, not. He should ask those people—— specifically, the tourist industry in this State. The QIDC has been an important financier of Mr Hamill: You are being nasty again. major tourist operations and the loss of this Mrs SHELDON: No. The honourable specialist operator will be a huge blow. member has been spreading misinformation, What has been obvious throughout this untruth and uncertainty. It is about time the whole debacle is the complete lack of honourable member was shown up for the understanding of the stock market and how shonk that he really is. the private sector works by both the Premier Centres with a QIDC branch only will gain and the Treasurer. In the end result, we are access to a full range of banking services, as talking about institutions that compete in the well as insurance, superannuation and marketplace with their products with institutions investment services. Centres without a QIDC from around Australia and overseas. They will still be providing competitive products in the branch will gain access to the specialist rural marketplace whether their head office is in lending and business banking expertise of Brisbane or elsewhere. QIDC. As well, the volume of rural lending will be maintained at current QIDC levels. Staff of There is no benefit to the people of the merged entity will benefit from longer term Queensland from this merger, which will result job and career prospects. The report prepared in the future loss of the income stream of for the previous Labor Government stated Suncorp and QIDC. The tax equivalent that is quite plainly that branch rationalisation could currently paid to Queensland will in future go be accommodated through natural attrition. to Canberra. There will be a loss of jobs and Labor now chooses to ignore that aspect of services in regional Queensland. There will be the report. Nevertheless, I would reiterate the market depression of Queensland company point conveniently ignored by the Opposition. shares in the future due to the lack of takeover premiums. The great losers are the people of Mr Hamill: You lie like a pig in mud. 2434 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996

Mrs SHELDON: Mr Speaker, I find that are very positive about this merger. They are interjection totally objectionable, and I ask the the people whose futures are in the hands of member to stand up and withdraw it. this merger. They see it as providing a Mr SPEAKER: Order! The Honourable stronger future for their businesses and their Deputy Leader has asked for the remark to be own career prospects. withdrawn. The shadow Treasurer referred to the Mr HAMILL: The interjection, Mr commercial clauses in the heads of Speaker? agreement, with which he has taken issue. He has questioned why commercial entities Mr SPEAKER: Yes. should act commercially. The shadow Mr HAMILL: I withdraw the interjection, Treasurer, Mr Hamill—— but I think it does reflect upon the truthfulness Mr Hamill: The "honourable member for of the Treasurer when she makes such claims. Ipswich" to you. Mrs SHELDON: Mr Speaker, what the Mr SHELDON: If the honourable interjection does is reflect on a man who is member is going to interject, he should do so prepared to say of a woman Treasurer in this from his own seat. State that she lies like a pig in mud. Mr HAMILL: I rise to a point of order. I Mr HAMILL: I rise to a point of order. would ask that you rule on this, Mr Speaker. Contrary to the claim by the Treasurer, there The Treasurer is bound by the same code of was no reference made to the gender of the conduct as every other member of the House Treasurer. and shall accord members their proper title in Mrs SHELDON: I think it should be this place as a matter of respect. obvious even to the honourable member. Mrs SHELDON: If the honourable Mr HAMILL: I was really making member wishes to interject on behalf of his reference to the truthfulness—or lack of it—of great personality, he should do so from his the Treasurer. own seat. Mr SPEAKER: Order! There is no point Mr SPEAKER: Order! I believe I heard of order. The remark has been withdrawn. the Treasurer and Deputy Premier refer to the Mrs SHELDON: Thank you, Mr member as the "honourable member" after he Speaker. The member for Ipswich has just interjected from the wrong seat. The Deputy shown his total lack of truthfulness, his wish to Premier will proceed. mislead the people of this State, his wish to Mrs SHELDON: Thank you, Mr talk down the interests of the State of Speaker. The shadow Treasurer has quickly Queensland, and his ineptitude when it comes forgotten that it was his Government that gave to economic matters. Suncorp and the QIDC a commercial charter. Staff of the merged entity will benefit from It was his Government that corporatised QIDC longer term job and career prospects. The and required it to act commercially and to report prepared for the previous Labor generate a commercial rate of return on the Government, as I said, stated quite clearly that Government's investment. job losses would be taken up from natural The heads of agreement with Metway set attrition. Nevertheless, I would reiterate the out certain objectives. Included among those point conveniently ignored by the Opposition are minimising redundancies and that it was Treasury's assessment that branch retrenchments, maintaining rural lending rationalisation could be accommodated volumes of the QIDC, and maintaining a through natural attrition. Morale among staff branch of the new entity wherever Suncorp or has not suffered. Treasury staff have been to the QIDC are currently represented. These will a number of meetings and have spoken with be important objectives of the merged entity. people from Metway and the various boards of There is also a requirement to act Suncorp and QIDC. There has been a great lift commercially, and I would have thought that in the morale of the staff. They are both the shadow Treasurer and the Leader of enthusiastically supporting this merger, and I the Opposition would be quite comfortable thank them for their support. Unlike the with that. Opposition, they see the benefits to the State When the former Government of Queensland. corporatised the QIDC, it specified that its During the series of briefings, the operations should be strictly commercial, overwhelming support by the staff was very whether the operations related to staff, positive. I ask the people of Queensland to branches or rural lending. In fact, it wanted the please realise that the staff of these entities 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2435

QIDC to sacrifice rural lending to give it a more The Opposition has circulated an balanced loan portfolio. It is wondrous that amendment to the Bill that will prevent the members opposite now criticise us for Government from dealing with its Bank of attempting to look after the rural sector. It is Queensland shares without the approval of just as astonishing that the Labor Party has the majority of the remaining shareholders. now done a complete backflip and is The Bank of Queensland is seeking to gain for expecting these entities not to act the non-Government shareholders in the Bank commercially. of Queensland a privilege that they do not The issue of the Government guarantee have under the Corporations Law. The was raised. It was stated that a lower rating for proposal to amend the Bill, as requested by the merged entity would result in a higher cost the Bank of Queensland, involves special of funds and that that would mean higher treatment which adversely affects the interest rates would be paid by borrowers. Government's proposals and has the potential to substantially impair returns to the Again, this illustrates that the shadow Queensland taxpayer. Treasurer and Leader of the Opposition did not understand their own policies when they Mr Hamill interjected. were in Government. The shadow Treasurer Mrs SHELDON: The member for has shown that he has no credibility and is not Ipswich does not care about that. The competent in his shadow portfolio. He does Government is not interfering with the rights of not understand the operations of the the remaining shareholders of the Bank of guarantee fee put in place by his Government. Queensland. The guarantee fee was designed to Mr Hamill interjected. ensure that the QIDC's cost of funds reflected Mrs SHELDON: No, we are not. That is its rating on a stand-alone basis. In this way, the misconception and the lie that the the Government guarantee does not give Opposition has spread in the electorate. That QIDC a cost-of-funds advantage over is not the situation. Rather, the amendment is competitors with a similar rating. This ensures seeking protection not afforded to other the competitive neutrality that was central to players in the market, to the detriment of the corporatisation policy. Unless the shadow Queensland taxpayers. The Bank of Treasurer has abandoned these principles, he Queensland board is seeking to deny the is showing an appalling lack of understanding Government the right that all other of this fundamental aspect of his own policy. shareholders have in terms of the disposition Alternatively, the member for Ipswich is of their shares. Moreover, it was the Bank of choosing to be deliberately deceptive. He has Queensland board which denied the certainly set out to deceive on a range of non-Government shareholders the opportunity issues in this debate. The greatest deceit of to vote on the Government's merger proposal, the Opposition has been with respect to the not the Government. I reiterate that, in all the issue of the treatment of the Bank of months since that time, the Bank of Queensland. The Opposition has circulated an Queensland has never called its shareholders amendment to the Bill that will prevent the together and asked them to vote. Why has it Government from dealing with its Bank of not done that? No shareholder vote was called Queensland shares without the approval of by the board when it had the opportunity to do the majority of the remaining shareholders. so. Mr Hamill: So what is wrong with that? The detailed merger plan which is now Mrs SHELDON: What is wrong with being developed involves leaving the that? The Opposition will negate the rights of Government's interest in the Bank of the minority shareholder—the Government Queensland Limited as it is, unaffected by the and the taxpayers of this State. That is what merger. Accordingly, the Bank of Queensland the Opposition will do. I hope the shadow shares remain an asset of the General Treasurer will go out and tell them that. Insurance Fund of Suncorp Insurance and Finance when Suncorp Insurance and Finance Mr Hamill: I am happy to. becomes part of the merged Mrs SHELDON: Will the honourable Suncorp/Metway/QIDC group. The proposed member lie to them again, as he has over the schemes of arrangement comply in all past four months? We have legal opinion, respects with the Corporations Law, and the even from the Solicitor-General, which shows amendment sought by the Bank of that what we are saying is correct. The former Queensland to the merger legislation is tacit Government put that Solicitor-General in recognition of this. The Corporations Law place. contains express exceptions to a prohibition 2436 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 upon direct or indirect acquisitions of 20 per and it is not up to this House to pre-empt the cent or more of a company. One is where the Supreme Court's decision on this members consent and another is where the matter—whatever the shadow Treasurer may acquisition occurs pursuant to a scheme of think. It is worth repeating that the rights of arrangement. I inform the member for Ipswich Bank of Queensland shareholders are not that the law is quite clear: the rights of Bank of affected by the Government's proposal. Queensland shareholders are not affected by I would like to make it clear that the the Government's proposal. merger proposal was predicated on the Bank Mr Hamill: You'll ride roughshod over of Queensland being invited to participate in them. the merger. If it declined to participate, Mrs SHELDON: Does the member Suncorp would carry its investment across to disagree with the Solicitor-General? the merged entity—and it is Suncorp's investment. Not allowing the Bank of Mr Hamill: No, I disagree with you. Queensland's shares to transfer with Suncorp Mrs SHELDON: Does the member across to the merged entity will fundamentally disagree with the Solicitor-General? change the transaction—— Mr Hamill: No, I disagree with you. Mr Hamill: Nonsense—absolute Mrs SHELDON: Of course, the member nonsense. would have more knowledge than the Mrs SHELDON: —and has the potential Solicitor-General! to affect the valuation—which is exactly what The merged group will have no greater the honourable member is after—in a way that rights or powers in relation to the Bank of will ultimately be detrimental to the interests of Queensland than Suncorp presently has. In the taxpayer. The member for Ipswich wants particular, it will have no unilateral ability to to see this fail. He and his fake Leader of the integrate or amalgamate any Bank of Opposition have been trying to make it fail Queensland operations with those of Suncorp, ever since we put forward this proposal, and Metway or the QIDC. The Bank of Queensland they will use anything that comes into their cannot be forced to participate in the merger. hands to succeed in their aim. Any decision to merge, whether now or in the The Government's position has not future, would have to be made by changed. It was always intended that the shareholders excluding Suncorp and Metway, Government's holding in the Bank of in accordance with the requirements of the Queensland would transfer across to the new Corporations Law. Any proposal to integrate or entity in the event that the Bank of amalgamate the Bank of Queensland's Queensland declined to be an integral merger operations will be able to take place only if the partner. This was the public position from the other shareholders of the Bank of Queensland outset, and nothing has changed. Labor's consent or if a takeover is successfully foreshadowed amendment would mean that undertaken. In either case, the prior approval the Bank of Queensland is treated in a of the Commonwealth Treasurer is required. non-commercial manner. Suncorp was given a As well, an increase in shareholding, however commercial charter by Labor, just as it gave small, will require the Commonwealth QIDC a charter to act in a totally commercial Treasurer's approval. This is the same position manner. This was a central plank of the Labor as presently exists. Government's corporatisation policy. Now that It should be noted that the Government it suits the Labor Party, it has reversed its has not sought to legislate for any special position. What a mob of hypocrites members exemptions from the operation of the opposite really are! I note that the king of Corporations Law in so far as Bank of them all, the Leader of the Opposition, has Queensland or its shareholders are just entered the Chamber. This is an example concerned, and in any case has left all its of complete hypocrisy on the part of the Labor proposals regarding the schemes of Party. What it is proposing in the arrangement open for review by the Supreme foreshadowed amendment is inconsistent with Court. Indeed, the Government is required by its own policy position. I am pleased that the the Corporations Law to submit its scheme to Leader of the Opposition is here, because I the Supreme Court of Queensland for review. think that his shadow Treasurer needs a bit of The Bank of Queensland has the opportunity help. to argue before the court that the transfer is The 44.4 per cent shareholding in the invalid, and it has indicated that it will be Bank of Queensland is an asset of the making such a submission. This is a protection Suncorp Insurance and Finance General already afforded to the Bank of Queensland, Insurance Fund. That asset, along with other 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2437 assets of the fund, supports the obligations of a proposal by the Bank of Queensland to buy the fund. So if this asset is excluded from the back Suncorp's shareholding. That proposal merger, $150m needs to be found to replace has been the subject of informal and, I that asset in the fund. The Leader of the thought, confidential discussions between the Opposition, the shadow Treasurer and the chairman of the Bank of Queensland and member for wherever it is—he does not live in myself, the Under Treasurer and the CEO of his electorate, but he represents Woodridge or the Bank of Queensland. It is clear that those somewhere like that—are all having a bit of a discussions were not confidential, because the laugh about the fact that they are trying to representatives of the bank have run and told damn what will be one of the best financial the Opposition about them. However, in good entities ever to have existed in this State, and faith—— one which the former Government certainly Mr Beattie interjected. was not prepared to bring about. Will those who support this foreshadowed amendment Mrs SHELDON: I do not believe that indicate where Government spending needs any commercial entity should exercise its will to be cut to find these funds? over the taxpayers of this State—and let us not forget the Bank of Queensland and Moving this shareholding out of Suncorp Suncorp belong to the taxpayers of this to allow the merger to proceed, if indeed this State—and make them do something that is foreshadowed amendment would allow those contrary to their interests. That is what the shares to be moved out, would require a fresh Leader of the Opposition is supporting. approval from the Federal Treasurer. This could force us to sell our Bank of Queensland May I add that last Wednesday I wrote to shares, dooming it to be swallowed up by a the chairman of the Bank of southern institution or a foreign bank—— Queensland—and I will table that letter— requesting a meeting with the whole board, Mr Beattie: Ah! because never once had he requested that I Mrs SHELDON:—and the member come and speak with the board. knows it. The Leader of the Opposition does Mr Beattie: So you want to ignore the not care if the Bank of Queensland goes to a CEO, do you? foreign entity. All he wants to see is the Mrs SHELDON: No, I requested a downfall of this proposed financial entity. The meeting with the board. I made myself irony is that that is the very real prospect available at either 7 or 7.30 on Monday night. facing the Bank of Queensland if this At that stage, the chairman of the board was foreshadowed amendment is supported. fishing on Fraser Island and could not get In summary, the amendment down till then, and that was fine by me. The foreshadowed by the Opposition puts the chairman of the Bank of Queensland never value of the Government entities at risk, it risks organised that meeting, so I did not meet with the entire transaction and consequent loss of the board. If it is genuine, why did that board Metway, and it risks losing the Bank of not convene to allow discussions with me Queensland. It is a reckless and unwarranted regarding its concerns to occur? That never course of action that serves no purpose other occurred. Instead, the board ran to the Labor than to score political points for opponents of Party and left it to do its dirty work. the merger and to sabotage the entire merger This is a very interesting proposition. The initiative. The losers will be the employees, members of the Labor Party—the staunch whose career prospects the Opposition is opponents of any form of private or free placing at risk; the customers, particularly enterprise—have linked up with the Bank of those in rural areas, who for the first time can Queensland to act against the interests of the look forward to an upgrading of services; taxpayers of this State. Queensland business, which loses an integrated financial institution that is best Mr Beattie: We are trying to save the placed to understand and meet the needs of Bank of Queensland, that's what we are Queensland business; the shareholders of doing. Metway and the taxpayers of Queensland as Mrs SHELDON: The Leader of the the owners of these entities; and the people of Opposition is using the bank, but I think that it Queensland, who will miss out on the broader is using him more! economic benefits and infrastructure The Opposition has omitted some of the enhancements that would flow from the aspects of the Bank of Queensland proposal. merger and subsequent public float. For the public record, the Bank of Queensland Another claim by the Opposition that I proposed that it buy back the Government's cannot let pass is that I have not responded to shares at $5.45—the same as the 2438 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996

Government's offer price back in May. It is the Bank of Queensland shareholding, its offer price the Bank of Queensland board absolute priority will be to ensure the best rejected on behalf of its shareholders. possible result for the taxpayer. However, the Leader of the Opposition and I wish to mention some of the other points the shadow Treasurer seem to think it should raised by members of the Opposition. be good enough for the taxpayer. Of course, Consistent with the irresponsible approach of the Government acts as a trustee for the the shadow Treasurer in talking down the taxpayer, so the Opposition does not mind the worth of our entities, both the shadow Government not being able to fulfil its role of Treasurer and the Leader of the Opposition trustee. Again, it is a case of the member for claimed that the valuation of the merged Ipswich and the Leader of the Opposition group would be well below the original treating the taxpayers with absolute contempt, estimate. just as they did when they were in Government. Mr Beattie: Of course it will. The Bank of Queensland preference was Mrs SHELDON: Has the member seen that the Government keep a protective all of that? Has he seen the due diligence and shareholding of 15 per cent. That is an the valuations? In case the economic extraordinary twist. If the Government incompetents opposite have not noticed, the preferred to sell out completely, the Bank of Bank of Queensland is not participating in this Queensland says that it should sell to merger and adjustment has to be made to the someone the bank had chosen. valuation for its exclusion. Also, in case they had not noticed, the home loans market is The Leader of the Opposition and the undergoing a squeeze in margins and all shadow Treasurer seem to think that it is a financial institutions are affected by this. good idea that indeed the taxpayers of Queensland be dictated to by the board of the Mr D'Arcy interjected. Bank of Queensland. They do not think the Mrs SHELDON: Not at all. I am just Government should apply the same principles setting the parameters of the true state of the as the Bank of Queensland board, acting on economy. I thought the member would have behalf of its shareholders. They both think the understood that, even if the Leader of the Government should simply accept a price that Opposition and the shadow Treasurer do not. was unacceptable to someone else and also accept a dictate on whom to sell to. They Further, Suncorp management has cannot be serious. recently revised down its earnings forecast, and this also impacts on the valuation. On top The Government has an obligation to of that, the due diligence and the valuations extract maximum value for the taxpayer. We we have received are absolutely wonderful still believe that the taxpayer and the Bank of and spot-on. Queensland shareholders are best served by participating in the merger. However, if that is Mr Beattie interjected. not possible, the Government will need to Mrs SHELDON: The member knows, ensure that it achieves the best possible because I announced it this morning, that outcome for the taxpayer. I would have QIDC has recorded a wonderful profit, and I thought there would be no disagreement on think he will find that Suncorp will soon do the that from any member of Parliament. same. Recently, one of the newspapers stated In summary, the Government's position is that Metway had done extraordinarily well. We that it would prefer the Bank of Queensland to have three excellent entities that will be participate in the merger, but that is its choice merging to offer to the people of this State a and has always been its choice. There has wonderful financial institution. All the doom been absolutely no interference by the and gloom that members of the Opposition Government in the wishes of the Bank of have spread in the last few months has not Queensland for the majority of its shareholders changed that one iota. and there never will be, nor, as I have It would be irresponsible to speculate on explained, can any new merged entity the full valuation when Barings are due to endeavour to do that because under the report soon. Nevertheless, we are confident Corporations Law it is banned from doing so. If that the ultimate valuation will be close to our the Bank of Queensland chooses not to adjusted valuation estimates. The point to participate, nothing will change. Suncorp will make, however, is that irrespective of the keep its shareholding but become part of the outcome of the valuation all three entities are merged group. Let me make it absolutely clear worth more as part of the merged group than that, if the Government is forced to sell its as stand-alone entities. 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2439

Another matter raised by the Opposition Mr BEATTIE: I rise to a point of order. I was the price paid per Metway share. Our offer have found those dishonest remarks is $4.80 a share—that is public knowledge— offensive. The Deputy Premier should which is higher than the St George offer, which withdraw them. was outside the valuation range estimated by Mrs SHELDON: If the Leader of the Grant Samuel for Metway Bank. What the Opposition finds them offensive, he should not Opposition has ignored or does not be such an economic miscreant. understand is that the St George proposal was an out-of-market merger that is less valuable Mr Beattie: Tell the truth. than our proposed in-market merger. Logically, Mr SPEAKER: Order! The Leader of Metway is worth more to us than to St George, the Opposition has indicated that he has and that is a fact that the market has readily found some remark offensive and has asked accepted. Another fact that has been ignored the member to withdraw. I would ask the by the Opposition is that our share prices will Deputy Premier to withdraw. probably cost us less than what St George Mrs SHELDON: On your ruling, Mr would have paid because we do not have to Speaker, I am happy to withdraw. If the failed pay the premium for the two classes of Minister for Health finds those remarks converting preference shares. offensive, he should not have put those The Opposition has also suggested that economic mismanagement rules into practice we improperly used public funds to purchase when he was the Minister. He well knows that the Metway shareholding. In fact, we used he was going to use capital moneys for funds previously invested in Queensland recurrent expenditure—$70m worth. Nickel shares and which have now been The Opposition also conveniently reinvested in shares, which is exactly what the overlooked the fact that the issuing of EPUs to Opposition said the fund was supposed to be the market will ultimately replace the funds doing. The Leader of the Opposition asked used for the purchase of Metway shares. why we were prepared to use these funds to buy shares yet had no money for school Mr Beattie interjected. cleaners. Mrs SHELDON: For the benefit of the Leader of the Opposition—I say that the EPUs Mr Beattie: That's right. will be offered to Queensland mums and Mrs SHELDON: The Leader of the dads, who will have first call on the issue Opposition has walked straight into this one. ahead of the institutions. There is no basis for Times have changed, because it was Labor in the Leader of the Opposition to make claims Government that preached the prudent to the contrary. Again, he is attempting to financial fiscal practice of reinvesting the undermine the transaction by deliberately proceeds of asset sales in further capital. That misrepresenting the situation. is exactly what has been done here, but now it The Opposition also claimed that it was does not suit the Leader of the Opposition. It improper for Government to interfere in the would appear that he now prefers to sell off workings of the market. Does that mean that assets like the QNI shares to fund recurrent Governments should never own businesses expenditures. That is just what John Cain and that compete in the market? Is the Opposition Joan Kirner used to do, and no-one will forget really unwittingly supporting the Government's what they did in Victoria. May I add, that is just approach of withdrawing from the direct what the Leader of the Opposition did when ownership and operation of banks and he was the Minister for Health. He was using insurance companies? Alternatively, is the capital money to back up his recurrent Opposition suggesting that Governments expenditure. He cannot deny that. It is a fact, should never be allowed to take action to and he knows it. protect or enhance the value of their Mr BEATTIE: I rise to a point of order. businesses and that they should never be The Deputy Premier is misleading the House. allowed to take action that is in the interests of What she just said is totally untrue. She has taxpayers as the ultimate owners of public misrepresented my position on this matter on enterprises? many occasions and I am not prepared to I reject completely the notion that this is allow it further. What she has said is not true the sole preserve of the private sector. and I seek for it to be withdrawn. Governments not only have a right, but they Mrs SHELDON: It is true. In fact, on a also have an obligation to act as any other number of occasions the Minister for Health shareholder would to protect or maximise the has said that in this House and proved it to be value of the businesses they hold on behalf of true. the public. For example, Westpac and 2440 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996

Advance Bank had previously thwarted Lingard, Littleproud, McCauley, Malone, Mitchell, takeover bids mounted by St George. It was Quinn, Rowell, Santoro, Sheldon, Simpson, Slack, acceptable for Westpac or Advance Bank or Stephan, Stoneman, Tanti, Veivers, Warwick, the NAB when it purchased Metway Watson, Wilson, Woolmer Tellers: Springborg, preference shares to act in the interest of their Carroll respective shareholders, but the Opposition NOES, 41—Ardill, Barton, Beattie, Bird, Bligh, believes that it is not acceptable for the Braddy, Bredhauer, Briskey, Campbell, D’Arcy, Government to act in the interests of De Lacy, Dollin, Edmond, Elder, Foley, Gibbs, Goss W. K., Hamill, Hayward, Hollis, McElligott, McGrady, taxpayers as the ultimate shareholders of Mackenroth, Milliner, Mulherin, Nunn, Nuttall, public enterprise. The Opposition would argue Palaszczuk, Pearce, Purcell, Roberts, Robertson, that the Government should simply cop it Rose, Schwarten, Smith, Spence, Sullivan J. H., sweet and that taxpayers are somehow Wells, Woodgate Tellers: Livingstone, Sullivan T. B. second-rate citizens. It was that type of Pairs: Fouras, Perrett; Radke, Welford. attitude and contempt for the public that lost them Government. They obviously have not Resolved in the affirmative. learnt any lessons. Another deliberate deception by the Committee Opposition is that the merger will result in the Hon. J. M. Sheldon (Caloundra—Deputy introduction of bank charges by Suncorp. That Premier, Treasurer and Minister for The Arts) in is happening now. Suncorp had intended that charge of the Bill. to happen; it has nothing to do with the merger. What Mr Beattie will not admit is that it Clause 1— is a commercial decision of the Suncorp board Mr BEATTIE (3.06 p.m.): In speaking to and that it was his Government that gave the short title of the Bill, there are some points Suncorp its strictly commercial charter. Now that I need to make. Firstly, the Treasurer has that he is no longer in control of the Treasury made grandiose claims about the return to benches, he no longer believes Suncorp Queensland from the selling off of Suncorp should act commercially. This is another and the QIDC. In judging those claims it is example of the Leader of the Opposition instructive to look at the mood of the business applying his double standards. community towards this proposal. There have Little has been said by the Opposition in been many concerns raised around the this debate, and little of what has been said business community about the final value of can be taken seriously. The Opposition has the merged group, how the Metway share been deliberately misleading, it has buy-out could be financed, and whether the contradicted its own policy position and it has returns from the savage cutbacks to branch shown quite clearly that it has complete numbers and jobs will ever be realised. disdain for the taxpayers of Queensland. Last night, in fact, the Queensland However, their actions speak louder than their stockbroking community received a briefing on words. Labor Holdings was prepared to sell out the Metway/Suncorp merger from the new on the people of Queensland; that was the chief executive officer of Metway Bank, Mr ultimate expression of Labor's mercenary Greg Moynihan. I understand that one of the values and its complete disregard for the messages to come out of that briefing was interest of the broader Queensland community that the implementation of the merger plan it professes to serve. was slower than planned and that delays The merger plan represents an historic could occur. I also understand that, following opportunity for this Government and this that briefing, 1.365 million Metway shares Parliament to achieve an important outcome have been off-loaded this morning, including for the people of Queensland. This Bill one shareholder off-loading 800,000 of its facilitates that merger, and we must not allow shares. Let us compare that with the 2.5 this piece of legislation to be maligned with the million Metway shares traded over the entire result that the transaction is fundamentally month of August. Today's trade equates to 55 changed. per cent of that for the whole month of August. Time expired. The single large parcel sold could belong Question—That the Bill be now read a only to one of Metway's top shareholders who second time—put; and the House divided— appears to have bailed out of the merger AYES, 42—Baumann, Beanland, Borbidge, Connor, process. They bailed out at a price 14c below Cooper, Cunningham, Davidson, Elliott, FitzGerald, the Government's offer of $4.80—receiving Gamin, Gilmore, Goss J. N., Grice, Harper, Healy, $190,000 less than they would have received Hegarty, Hobbs, Horan, Johnson, Laming, Lester, from the Government. That represents 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2441

190,000 reasons why Queenslanders should Mr BEATTIE: Let me put it this way: not trust the arrogant assurances of the what I have to say is of greater interest to the Treasurer about the value of this deal. Just people of Queensland than what the hours after the briefing, they could not wait to Treasurer had to say. Today she has sold out get out—which speaks volumes for the Queenslanders. All those mums and dads confidence that a major Metway shareholder who have interests in those matters, in has in the real prospects of this mega-bank common with Suncorp, QIDC, Metway and the which the Treasurer and the Metway board Bank of Queensland, know that the Treasurer have concocted. has sold them out. The Opposition has sought Even more curious is that, of the 1.365 consistently to fight for Queensland. We will million shares traded today, a total of 1.2 fight for the Bank of Queensland, Suncorp, million were sold via the services of Morgans the QIDC and Metway to protect those Stockbroking—the very firm which has so far institutions for this State. Contrary to the public been one of the strongest advocates of the assurances of the Premier when he was Metway/Suncorp marriage. It is entitled to its Opposition Leader, the Government has sold view. The principal of Morgans Stockbroking is the farm; it has sold the family silver. It does Tim Cromellin, who has been talking up this not care about the mums and dads of this concept for years. One would have to ask if State. For the Treasurer to have the audacity Tim Cromellin is still supporting the concept or to attack the Opposition because it is seeking if he is advising his clients to bail out of to save the Bank of Queensland for Metway. If he has changed his mind on the Queenslanders is arrogance in the extreme. mega-bank, then the remaining supporters of I remind the Treasurer of what happened the mega-bank must be very thin on the in Victoria. When the Commonwealth Bank ground. And if so many Metway shareholders moved in Victoria and took over the Bank of are desperate to get out at $4.66, one can Victoria, many mums and dads—small imagine how many other Metway shareholders investors and small depositors—went to the are going to snap up the $4.80 price which Bank of Melbourne. They left the this Treasurer has so foolishly offered. Commonwealth Bank because they wanted to That sale of those shares was initiated as be part of a small Victorian financial institution. a direct result of the Government's position on That is why many Queenslanders will desert this matter—nothing to do with any public this mega-bank. They will want to be part of a comments made by the Opposition. We have small but vibrant and active institution such as made no public comments today prior to this the Bank of Queensland. I make no apology statement on this issue, yet there has been for standing in this place on a public platform that massive sell-off of shares, which is a clear advocating and trying to do what I can through vote of no confidence in the Government's our amendment to guarantee the future of the proposal. Bank of Queensland, to save the jobs of the Bank of Queensland and to make certain that Let me be very clear. In relation to the people across the State, whether they live in comments that the Treasurer quite gratuitously Brisbane, Gladstone, Rockhampton, Cairns or and unkindly made in relation to the Townsville, have a choice of financial Opposition on this matter—I am quite happy institutions, and to ensure that they have an to stand in this place and support the Bank of opportunity to be with the Bank of Queensland Queensland. I have no hesitation—nor do the as a separate institution from the shadow Treasurer and other Opposition Government's so-called mega-bank. Many members—in supporting a good Queensland people in this State, many mums and dads— financial institution. as we saw in Victoria—do not want to belong Mr FitzGerald: Suncorp. to super banks; they want to belong to Mr BEATTIE: Yes, we do support relatively small financial institutions with which Suncorp. We also support the QIDC. That is they feel comfortable. That is why the Bank of why we want to see them remain in public Queensland has a proud tradition in this State. ownership. That is why we want to see the The Treasurer's vicious, personal and head offices of Suncorp and the QIDC remain nasty attack on the Bank of Queensland's in Queensland and not end up in New York or management and its board is not only Melbourne, as no doubt they will in five years' uncalled for but also unbecoming behaviour time. The ratty thinking that has gone into that for a Treasurer. It ignores the importance of clause in the Bill that seeks to keep the the Bank of Queensland to this State. It headquarters here is nothing more than reflects her anger and the backdoor means bunkum. she has used to try to take over the Bank of Mrs Sheldon interjected. Queensland when its board had the courage 2442 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 to decide to not be part of the super bank. For Parliament and the people of Queensland in heaven's sake, let us respect the board. If that relation to this very important issue, she has is what the board of the Bank of Queensland done it again. Yesterday, I circulated two decided, who is the Treasurer of this State to amendments in my name to give adequate behave in a thuggish way towards that board? notice to members of exactly what the Surely this Parliament should respect the Opposition would seek to do in respect of the integrity of that decision of the board of the Bill before it. The Treasurer has deigned to Bank of Queensland. It is wrong for the circulate these amendments but minutes ago. Treasurer to try to stand over the Bank of This Bill was introduced some time ago. We Queensland and for Doug McTaggart, the spent all of yesterday debating provisions of head of Treasury, to try to do the same thing. this proposed legislation, and yet the The Opposition will not stand idly by and Treasurer decides to circulate, and therefore watch the Bank of Queensland be intimidated, give notice, of her amendments to members stood over or threatened by this Government. only at this very late point in the debate. That If that means that we stand by the mums and is the sort of arrogant high-handedness that dads of this State, then we will stand side by has become the hallmark of this Treasurer, a side with them. We will stand with the Bank of person who does not like criticism, cannot take Queensland because it is a fine, proud criticism and yet wishes to dish it out when she Queensland institution which deserves the deigns so to do. support of all members of this Parliament. Let With respect to the particular amendment every shareholder in the Bank of Queensland that she has moved, no good reason has know of the thuggish attempts that the been given by the Treasurer in her moving of Treasurer has made to use the back door to the amendment as to why she would take them over. That is why we will move this specifically wish to override the Corporations amendment proudly in an attempt to preserve Law. This is the same Minister who not so long the future of the Bank of Queensland. That will ago in this place brought in legislation to be our legacy of this debate; the Treasurer's embrace National Competition Policy. legacy of this debate will be a sell-out of the A particular part of the National people of Queensland and the financial Competition Policy ensured that the dealings institutions of this State. of Government had to operate within the Time expired. same framework as the dealings of other Clause 1, as read, agreed to. sectors of the community. This afternoon I have not heard why the Government's bid to Clauses 2 to 18, as read, agreed to. sell out and sell off Suncorp and the QIDC Clause 19— should take place outside the purview of the Mrs SHELDON (3.17 p.m.): I move the Corporations Law. Indeed, the Treasurer did following amendment— not seek to explain the purpose behind her amendment, only to say that she had recently "At page 15, line 6, 'QIDC Act or received advice. I ask: what advice? From the'— whom? To what effect is this advice? Why, at omit, insert— this very late stage, does the Treasurer come 'Corporations Law, QIDC Act or'." forward with this amendment? Not only is it contemptuous of the Chamber but also it is, I The reason for the amendment is that, think, quite rude to all members—not only upon obtaining further advice, it has been members of the Opposition—that the recommended that it may be required to give Treasurer does not explain her purposes. full effect to this part of the Bill. It is relevant in the event that any internal transactions In the absence of any adequate associated with the schemes of amalgamation explanation, I have no alternative but to involving the Government entities are oppose this measure on the basis that it runs inconsistent with the Corporations Law. Similar across the very principles of competitive reference to the Corporations Law and other neutrality that this Government claims to hold legislation are included in clauses 62 and 69 so dear. So please, Treasurer, perhaps a little of this Bill. bit more explanation. What are her purposes? What provisions of the Corporations Law does Mr HAMILL: The Treasurer has just she seek to override and for what purpose? moved an amendment to clause 19. Although I was somewhat critical of the Treasurer during Mr BEATTIE: About three minutes ago, the second-reading debate and by way of we found out about this amendment. I would interjections since then about the high-handed have thought that all members of this way in which she has treated this debate, the Chamber should have an opportunity to 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2443 examine it. Not just the Opposition but also I cannot understand why the Treasurer the Independent member for Gladstone needs to make this amendment. The should have an opportunity to consider these Treasurer has an opportunity to explain it to proposed amendments. the Chamber, but if the Treasurer intends to It is simply contempt for this Parliament treat members of the Parliament in this way, and an arrogance that is almost breathtaking then we have no alternative but to oppose her that we received an amendment to this clause amendment. two minutes or three minutes ago without any Mr HAMILL: The contempt that I opportunity to consider its ramifications or its referred to in relation to the Treasurer's effect. The Treasurer may think that she is a attitude to the Chamber was amply law unto herself, or that she is, in fact, above demonstrated by the refusal of the Treasurer the law, or not up to the law, or in some other to even respond to reasonable requests made way not accountable to the law, but the by both myself and the Leader of the Opposition happens to believe that it is Opposition in relation to her amendment. I can important in these parliamentary debates that only reiterate the point that I made before: the we be informed and that people have an Treasurer comes into this place, has opportunity to express their view. amendments placed before the Chamber with Clause 19 states— little or no notice, seeks to override the Corporations Law without any explanation "This part applies despite anything in whatsoever, and when she is asked quite the QIDC Act or the Suncorp Act." reasonably upon what advice is she seeking to After the word "the", the amendment omits act, for what purpose, and to what end, she and replaces with, "Corporations Law, QIDC refuses to respond. Act, or". Why are we possibly wanting to Mrs Bird: She doesn't know. exclude the Corporations Law? On first Mr HAMILL: Either that is just the height examination, this is an extraordinary position of ignorance on the part of the Treasurer, and without an opportunity to consider this absolute contempt for members of the matter in detail, as the shadow Treasurer Chamber or, as I hear some members indicated, it would seem that the Opposition interjecting from behind me, arrogance or the has no alternative but to oppose this clause. fact that she simply does not know. Maybe The Treasurer has not had the common this is a note that she received from her Under decency to give members of the Opposition Treasurer—the person who calls the shots and an opportunity to examine this amendment. pulls the strings in relation to economic policy This proposal has been around for some time, in this State. Maybe Dr McTaggart told the yet we do not get an opportunity to consider Treasurer, "Move this amendment for me." In this amendment, which could well have quite a number of negotiations that have been far-reaching ramifications, until the debate is taking place in relation to the Government's held and the clause itself is voted on. For bank merger proposals, he has been the heaven's sake, as elected representatives of standover merchant. If this Treasurer wants to Parliament, we are entitled to better than that. wear the mantle of Treasurer, then surely she Mrs Sheldon: Tough. must have the integrity—and I repeat that, the integrity—to explain herself in relation to Mr BEATTIE: All members are entitled amendments that she seeks to make to the to better than that. That applies not only to the Bill. Opposition but also to the Independent member for Gladstone. How does that give Mr Beattie: The McTaggart the Independent member for Gladstone and amendment. the Opposition any opportunity to consider Mr HAMILL: The McTaggart what this clause means? It gives very little amendment. If the Treasurer cannot explain opportunity indeed. herself, then one can only construe that it is If the Treasurer wants to treat the an amendment from somebody else. Parliament with that degree of contempt, then Mr Pearce: It is not written down for her. it is an issue that the Opposition will pursue at She can't explain it. the first opportunity that it has to put it to the Mr HAMILL: I take that interjection from people. The Opposition will be reminding the the member for Fitzroy. He claims that it is not people of Lytton and at the next election of written out. That is the whole point of the the way in which the Treasurer treats this complaint that I am making. I understand that Parliament and the way in which she treats the amendments were prepared by the Independent member for Gladstone. Government and that they were available 2444 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 yesterday. However, the Treasurer had given and explain it. She has the opportunity to do instructions that they should not be circulated so but she will not even explain the until this time. I regard that as a serious amendment. Let me tell the Treasurer: she is indictment on her integrity and a serious not God. She is accountable to this Parliament questioning of the good faith which she brings and she is accountable to the people of to this debate. Queensland. The Treasurer is not beyond the We have sat here and heard the law; she is not beyond the reach of the Treasurer vilify everybody from the members democratic process. of the board of the Bank of Queensland Let me assure the Treasurer that at the through to members of this Chamber. I am first opportunity, in Lytton and in other places, quite accustomed to the Treasurer seeking to we will remind the people of how arrogant and vilify me. In fact, I take some sort of pride in how contemptuous she is of the parliamentary the fact that the Treasurer vilifies me, because process and of the people of Queensland. it helps to further identify the point of view that The Treasurer owes an explanation not only to I take and contrasts it with the values and the Opposition but also to the people who views held by the Treasurer. However, in the vote for members of the Parliament. They are interests of the people of Queensland, which the boss, they are the employer, they are the we are all charged to uphold, I would like to ones who pay the Treasurer's salary and the know from the Treasurer what she seeks to salaries of everyone else in the Parliament. achieve by this amendment. Why is it that she We are entitled to an explanation. Every one must override the Corporations Law? Why is it of the members of this Parliament is entitled to that the Treasurer will not explain to this an explanation. Chamber the purpose of her amendment? The Treasurer's performance today is Whilst the Treasurer may seek to ignore nothing short of a disgrace. She is not fit to the points that I am making—again, another hold the position of Treasurer. She has demonstration of the absolute arrogance of demonstrated not only contempt for this this Treasurer and the absolute contempt in Parliament but also contempt for the people of which she holds members of this Chamber— Queensland. The arrogance demonstrated by the people of Queensland are entitled to the Treasurer is absolutely breathtaking. She know. If the Treasurer expects the Chamber to is nothing short of a disgrace. support this amendment, she has an Mrs BIRD: This is a serious situation. An obligation to explain her purposes and, amendment to a Bill of major importance to indeed, to even table the advice to which she the people of Queensland, particularly those in referred as to why, in her view, it is necessary rural and regional Queensland, was introduced for her amendment to be passed by the about three minutes or four minutes ago and Chamber. the Treasurer sits there and arrogantly says, It is inconceivable that the Treasurer "Tough" when the Opposition requests an would seek to ignore this plea. It just may be explanation. that if the amendment is as important as the It is very important that the people in my Treasurer would have us believe, or if the electorate, and the people of Queensland amendment is as worthy as the Treasurer generally, know why, how and by whom this would have us believe, then by some amendment was prepared and that they get argument or some information the Treasurer some sort of briefing as to why it is necessary. may be able to obtain in this Chamber If the Treasurer continues to sit in silence we unanimity for her amendment. However, in the will have no option but to vote against the absence of that information, the Opposition amendment. If she continues to sit there has no alternative but to vote against this arrogantly, we will pursue the matter in the amendment. constituency. On behalf of the people of my The CHAIRMAN: The question is that electorate, I ask the Treasurer to please stand the words proposed to be omitted—— up and explain this amendment. Mr BEATTIE: I take it from that that the Mrs CUNNINGHAM: I have had the Treasurer is not even going to bother to benefit of talking with a member of staff on respond. What a contempt of the Parliament! this matter. I note that in clause 62(1) on page What a shameful performance in the 33 and elsewhere in the Bill almost the same Parliament! She will not even respond! words are used. It states, "This part has effect An amendment is circulated minutes despite the Corporations Law . . ." Therefore, before we are required to vote on it, yet we there are justifiable reasons why, in some have no explanation as to what it means. The sections of the Bill, the Corporations Law has Treasurer will not even stand in the Chamber been made subservient—which is my word. I 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2445 think it is a fair question because to Frankly, the Parliament demands that if the disempower—if one likes—a section of Executive wants legislation passed it should Queensland law requires a fairly important give an explanation. amendment, and one that is perhaps a valid I appreciate that this must cut into the basis for question. I note the second free time of Ministers. This must mean that amendment is one that is predicated on the they do not have as much free time to get on Scrutiny of Legislation report. with the business of running the State. It is a A fair amount of personal comment has nuisance having to answer to Parliament; it is been made. However, I think that on the a nuisance having to give explanations. objective fact that the amendment removes However, it is a nuisance that we inherited a the power of the Corporations Law in this long time ago. I shall treasure this as one of instance—and, I repeat, that that has already those wonderful moments in parliamentary been done in a couple of other sections of this history when we may be creating a precedent. Bill—it would be helpful to the Parliament to Opposition members interjected. have an explanation of why that has been done. Mr FOLEY: I see that perhaps deliverance is at hand for the Treasurer. I shall Mr ARDILL: I, too, believe that the wait with breathless expectation to see Treasurer has to provide some explanation whether the Treasurer will grace us with an because, on the face of it, the words of the explanation for this amendment. amendment negate the heading of Part 3 of the Bill, "Transfer of the Incorporation of QIDC Mrs SHELDON: Wait and it shall all be and SIF to Corporations Law". The revealed! I only rise in answer to the question amendment states that this part applies of the member for Gladstone, who has "despite anything in the Corporations Law". endeavoured to take a genuine part in this That sounds like a total negation of Part 3. debate. She has not engaged in the sort of pomposity that we have just heard from the Mr FOLEY: I remember the good old member for Yeronga, or the downing of the days in this place when we used to debate people of Queensland that we have heard legislation. Members should cast their minds from the two jackals opposite. I say to the back to the days when Ministers actually had member for Gladstone that on the advice—— to present arguments to the Parliament to explain why it was that the Parliament should Mr Hamill: Talk to all of us. be moved to pass a piece of legislation. Mrs SHELDON: The honourable Political scientists often criticise modern member can listen if he wants to. On the day parliaments as mere rubber stamps of the advice of the Solicitor-General, we have Executive. However, in my time here I have introduced this amendment so that what we not witnessed such a brazen refusal by a are doing by creating shares in Suncorp Minister to even go through the motions of Insurance and Finance is not inconsistent with purporting to explain to the Committee of the the Corporations Law. Whole what the reason for an amendment Mr Hamill: That is what it says. What is might be. It must be a dreadful nuisance for the meaning of it? the Government of the day to have to come Mrs SHELDON: Before I sit down I into the Parliament and go through the would like to say that the two members tedious business of answering insolent opposite have been raging about how the questions from the Opposition and giving Government dares to fly in the face of the reasons for the public record as to why it wants Corporations Law when, indeed, the to change the law. I am sure it would be far amendment that they want to bring into the more convenient if one simply did it Chamber does just that—it overrides the electronically from the Executive Building. Corporations Law. I suppose it is okay if the However, for better or for worse, we have an Opposition overrides the Corporations Law institution of parliamentary democracy. I hope and Opposition members expect this that Pharaoh's heart will melt and that it does Committee and everyone else to put up with it. not require 10 plagues to blow through the Committee of the Whole in order to see a ray Mr HAMILL: Our requests have been of enlightenment come to the Treasurer. reasonable. I know the Treasurer believes that nothing I ask for could be reasonable, I do not put this in the way of a request, because she holds the official Opposition in because so far it has not been the function of total contempt. Similarly, the Leader of the Parliament to request of the Executive that it Opposition asked for some explanation; but, gives an explanation for introducing legislation of course, nothing the Leader of the sought to be endorsed by the Parliament. Opposition asks for is deigned to be 2446 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 reasonable by this arrogant Treasurer, amendments that I had into the Chamber because she holds the Opposition in total such that there was ample time for discussion contempt. The member for Gladstone asked before the Committee stage. Indeed, I made it for the same information. I am thankful that a practice to discuss any amendments that I the member for Gladstone spoke in this sought to bring before the Chamber with my matter, because half the Chamber would have then Opposition counterpart. I am very much been held in total contempt by this Treasurer. aware of the fact that the Opposition does not Half of the Chamber has been waiting with have the resources at its disposal to be able to bated breath for some pearls of wisdom from obtain a legal opinion at a minute's notice the Treasurer. while the Chamber is discussing matters in Finally, when the Treasurer received two Committee. That is why I think it is only pages of goodness knows what from her reasonable that we be given ample time in advisers, we were told that this was an which to consider the amendments that the amendment that would override the Treasurer would seek to make to a very Corporations Law. I am not totally dense. I can important Bill. read the amendment. It would mean that this Of all the legislation that we have seen in part applies in spite of anything in the QIDC this place for some time, what could be more Act or the Suncorp Act into which the important than the privatisation of Suncorp Treasurer seeks to add the Corporations Law. and the QIDC? What could be more important So what is new? I understood that much than the Government's enormous financial before I first raised the question of why this stake in the share market at present due to its amendment is so important. Yes, I am dabbling in the market and because of its absolutely aware that the Corporations Law is ideological determination to privatise Suncorp being specifically excluded or overridden by and the QIDC? Yet to the reasonable request, other provisions in the Bill. I read that some "Why this amendment?", after a lot of time ago. Because of the forms of the prodding all the Treasurer could say was, "The Chamber, the Treasurer had to introduce the amendment means that this is taken outside Bill some time ago. the purview of the Corporations Law." That is Basically, my objections are twofold. not why; that is what it is. I can read that, as Firstly, the Treasurer will not explain why this can all members. We want to know why, and amendment is so important or why at this very that is not an unreasonable question. late stage the corporations legislation needs to Mr BEATTIE: What we have had from be so explicitly excluded from having currency the Treasurer is an explanation which is not an in relation to this part of her Bill. Secondly, and explanation at all. We have requested that perhaps even more inexplicably, why has it there be a clear explanation to this Chamber taken until this point in the debate for this of why there is exemption to the Corporations amendment to be revealed? I understand that Act. We have not had that. All we have had is the Treasurer had prepared the amendments some indication that it was recommended by and that they could have been available to the Attorney-General's office or someone else. members yesterday for consideration while the second-reading debate was still proceeding. Mrs Sheldon: The Solicitor-General. However, for some reason the Treasurer Mr BEATTIE: The Solicitor-General. chose to withhold those amendments from That is about as enlightening as the Treasurer honourable members. Under those gets. There is no explanation for why. What circumstances, one can only ask: why? The that shows is that not only is the Deputy Treasurer would be the very first person to rail Premier not up to the task of Treasurer and against my coming into this place, throwing pursuing this legislation; she does not amendments on the table without any notice understand it and cannot explain it. Why can whatsoever and demanding that the Chamber the Treasurer not explain to the Chamber what vote in favour of them. this clause means? As the shadow Treasurer Mr Beattie: When did you put your said, all the Treasurer did in her explanation amendment in? was restate what the amendment said. We Mr HAMILL: I provided the already knew that. Firstly, the Treasurer denied amendments that stand in my name to the access to the amendments by giving a Chamber yesterday. directive that they were not to be provided to the Opposition when they were available last Mr Lingard: You have certainly night, and now she will not explain to us what changed since you have been in Opposition. it means. That is contempt of the worst kind! Mr HAMILL: In my time as a Minister of What did we do? We had one major the Crown in this place, I always brought any amendment. After the shadow Treasurer, the 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2447

Opposition and I had determined our position, Treasurer answer that question? The proposal what did the shadow Treasurer do? says that Part 3 overrides certain Acts and Mr Hamill: It was available in the House then includes the Corporations Law, which is yesterday. what Part 3 is about. The heading of Part 3 states "Transfer of the Incorporation of QIDC Mr BEATTIE: The shadow Treasurer and SIF to the Corporations Law", and then it made it available in the Chamber yesterday. says that it overrides the Corporations Law. In Mr Hamill: Over 24 hours ago. other words, the Treasurer has a law which Mr BEATTIE: It was available over 24 she considers to be defective in enabling this hours ago. The Treasurer had plenty of to be done, but she has not explained in what opportunity to determine and change her regard it is defective and what changes are position and to talk to the relevant people. proposed to be made to the Corporations Law. If the Treasurer cannot explain that, Mr Hamill: And to try to pressure other perhaps the member for Moggill might be able people. to. Mr BEATTIE: Exactly. The Treasurer Mr Beattie: Who is the failed Treasurer could have done that. We gave the Treasurer now? a chance, because we were acting in good faith. Today, the Treasurer is not acting in Mr ARDILL: If the Treasurer cannot good faith and is treating this Parliament with explain that, the member for Moggill might be contempt. The answers we need to know are: able to. how will this operate and why is the Treasurer Mrs SHELDON: I am happy to answer putting through this exemption? What the very reasonable request from Mr Ardill on precedents will it create? the back bench. Unlike the hypocrites Mr Carroll interjected. opposite, he really does want to know. The Leader of the Opposition—"Mr Pomposity"— Mr BEATTIE: If I were the honourable merely stood up and held onto his little coat member, I would not interject. His speeches fronts. He really should be on the stage. It was are bad enough. They put us to sleep. His a very good performance, actually. He is interjections will kill us. getting better at displaying mock outrage day We are entitled to know what precedents by day. One never knows—an Oscar may be this will create, what ramifications it has, why it in the wind! is being put in and what effect it will have. I will read what I said when I introduced Those are reasonable and sensible questions. this amendment and then I will explain it This is the Legislature of this State. This further, seeing that there is some Parliament is entitled to better than this. Let misunderstanding about it. When I brought it the record of this debate show that the in, I said that the reason for the amendment is Treasurer had to be pressured into giving any that, upon obtaining further advice—and that explanation. She refused to do that. When was from the Solicitor-General, and I know that she did do that, she simply restated what the the Leader of the Opposition does not think wording said and provided no explanation at much about him, but I think that he gives all. I take a final opportunity to invite the pretty good advice—it has been Treasurer to rise to her feet and explain to this recommended that this may be required to Parliament, and through this Parliament to the give full effect to the part. I said it was people of Queensland, what this amendment relevant—— means. If she does not rise to her feet to give that full explanation, let her be condemned by Mr Beattie: Why? the people of this State and let the record Mrs SHELDON: The member should show that all of the words that the Treasurer just wait and listen. I said it was relevant in the and Premier said about reforming this event that any internal transactions associated institution are hollow; they are made of straw; with the schemes of amalgamation involving they mean absolutely nothing. That shows the the Government entities are inconsistent with contempt the Treasurer has for the people of the Corporations Law, and I made similar this State. As I have already said, they will be references to other sections of the Bill. reminded of that at the first opportunity. Part 3 deals with the conversion—and it Mr ARDILL: Backbenchers in this says here "of the Government owned Chamber would like to know in what regard the entities"—of SIF and the QIDC to companies Corporations Law is defective with respect to under the Corporations Law. As is stated, it this merger taking place. That is what we have deals only with the Government entities and not been able to understand. Can the not with the Metway scheme. The legal advice 2448 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 from the Solicitor-General indicates that the This amendment potentially has the effect provision is to ensure that the creation of the of exempting the Treasurer and all the bizarre share capital in SIF and the QIDC is not transactions in which she is engaged to get up inconsistent with the Corporations Law. I think this merger from the very law to which every that is about as clear as it can be made. The other company in this country is accountable. reason for this is contained in the explanation The Treasurer now says that she wants her which I circulated and what was said transaction—her jacked-up, speculatory share subsequently when I stood up and spoke in market activity—exempted from the response to a request by the member for Corporations Law that applies to transactions, Gladstone. mergers and takeovers of every other I would like to make the couple of points corporation in Queensland. That is potentially in response to the absolute rubbish that we the import of this amendment. The Treasurer have heard from the shadow Treasurer. He and the Government have to respond to that claimed that when he was in Government concern, otherwise we will just reach another amendments were circulated a long time prior level of absurdity in what they have done in to their consideration. I sat on the Opposition this transaction—another level of bizarre benches and had stuff dumped in front of me manipulation of the stock market and now a at the last minute again and again and again manipulation of the Corporations Law that and again. The member is a raving hypocrite. applies to every other private corporation in Mr HAMILL: I rise to a point of order. I Queensland. The Treasurer now wants to find the comments by the Treasurer not only exempt her share market manipulation from offensive but demeaning of her. I made the that law. point that when I was Minister I always If that is the effect of this provision, as on accorded my Opposition counterpart a its face it appears to be, then that is a serious courtesy. I find the Treasurer's personal abuse concern and it is creating a very, very serious of me offensive, and I ask that it be withdrawn. precedent. These sorts of precedents should Mrs SHELDON: I was not speaking not be allowed unless there are exceptional about the member; I was speaking about the and extraordinary reasons. Nothing the Labor Party when it was in Government. Treasurer has said in her pathetic attempt so The CHAIRMAN: The member finds far to defend this amendment could be the Treasurer's remarks—— regarded as a reason sufficient enough to Mrs SHELDON: If he finds them warrant that the transaction involving the offensive, I will withdraw. He really is getting Metway merger and the State Government's very, very cute—the dear little petal! play on the share market in that regard is an exceptional or extraordinary circumstance Mr HAMILL: I rise to a point of order. I justifying it being placed above the law of the find the fact that I might be cute to the land—the Corporations Law that applies as a Treasurer very offensive, and I ask that to be matter of course to every other share market withdrawn as well. transaction and every other transaction The CHAIRMAN: There is no point of between corporations in the nature of a order. merger. Mr WELFORD: My comments are That is the issue that the Treasurer needs addressed to the Treasurer also. I am very to respond to. That is the concern that the concerned about the effect of this amendment Treasurer needs to address because, if she and the precedent that appears to be being does not, tomorrow's newspaper headlines set here. What the Treasurer has done in this should reflect that this extraordinary episode of amendment—and I invite her response—is to Government interference in the share market provide for potential transactions or activities involved in the merger exercise over which she in manipulating the private market in shares is presiding to be exempted in certain respects for these entities, and Metway in particular, from the Corporations Law. This is a most has been taken to a new level by the moving extraordinary step. Let us not underestimate of this amendment at the death. In the same the significance of this amendment. This way that it brought in its final price bid at the amendment has been brought in at the last death, the Government now is proposing an minute. If one were cynical, one might be amendment to the law at the death in the driven to believe that this amendment was hope of sneaking it through without adequate brought in at the last minute precisely because scrutiny to place its transaction—its share it is not the sort of amendment over which the market play—above the Corporations Law that Government wants active and close scrutiny. applies to every other corporation in the State. 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2449

Question—That the words proposed to will not stop a future takeover. If a future be omitted stand part of the clause—put; and takeover was to occur, clause 64 would not the Committee divided— stop the headquarters of the bank, and all of AYES, 41—Ardill, Barton, Beattie, Bird, Bligh, these very worthy people, being located Braddy, Bredhauer, Briskey, Campbell, D'Arcy, somewhere else—whether it be somewhere De Lacy, Dollin, Edmond, Elder, Foley, Gibbs, Hamill, else in Australia or overseas. Hayward, Hollis, McElligott, McGrady, Mackenroth, Milliner, Mulherin, Nunn, Nuttall, Palaszczuk, Pearce, Presently, we are seeing enormous Purcell, Roberts, Robertson, Rose, Schwarten, change in the banking industry. During the Smith, Spence, Sullivan J. H., Welford, Wells, second-reading debate, the Treasurer talked Woodgate Tellers: Livingstone, Sullivan T. B. about maintaining banking facilities around the NOES, 42—Baumann, Beanland, Borbidge, Connor, towns. The banking facilities that may be Cooper, Cunningham, Davidson, Elliott, FitzGerald, maintained around towns may not be the Gamin, Gilmore, Goss J. N., Grice, Harper, Healy, branch structure that people seem to Hegarty, Hobbs, Horan, Johnson, Lester, Lingard, associate with a bank. They might end up with Littleproud, McCauley, Malone, Mitchell, Quinn, an automatic teller or a phone number which Rowell, Santoro, Sheldon, Simpson, Slack, Stephan, enables a customer to contact a bank Stoneman, Tanti, Turner, Veivers, Warwick, Watson, employee far distant from the local Wilson, Woolmer Tellers: Springborg, Carroll community. Pairs: Fouras, Perrett; Radke, Goss W.K. As sure as night follows day, this bank will Resolved in the negative. be a target for a future takeover. A major Clause 19, as amended, agreed to. inquiry into the structure of Australian banking Clauses 20 to 36, as read, agreed. is being undertaken by the Wallis committee. That committee is to look at the impact of Clause 37— deregulation of the banking sector. In Mrs SHELDON (4.06 p.m.): I move the particular, one of the issues that the Wallis following amendment— committee will be reviewing will be the "At page 22, line 21, 'must'— question of mergers and takeovers. The committee will review whether the omit, insert— requirements that exist now to try to maintain 'may'." a certain measure of competition in the Amendment agreed to. banking industry will go by the board. It will consider whether policies that protect regional Clause 37, as amended, agreed to. banks from takeover by a number of the Clauses 38 to 63, as read, agreed to. majors will be a thing of the past. Clause 64— Despite all of the bravado and nonsense Mr HAMILL (4.06 p.m.): It is important about the bank's State of origin and a new big that the people of Queensland understand not bank being created, this bank will not be one only what clause 64 does but, more of the "big four" banks in Australia. It will be an particularly, what it does not do. The intermediate-sized bank. The history of Government, and the Treasurer in particular, intermediate-sized banks in this country has has made great play of the claim that this not been a very happy one. I could name a list legislation allows the Government to of intermediate-sized banks that are now only guarantee a headquarters of the "Banana memories, banks that have been swallowed Bank" in Queensland. This clause is quite up by the majors. Banks such as Westpac and extraordinary. It mentions that the head office National Australia Bank believe that they have of the company will be located in Queensland to get bigger and bigger and bigger to be able and it states who should be ordinarily resident to participate fully in the global banking in Queensland. I am surprised that the market. Members know that NAB was lying in Treasurer has not sought to provide that the wait for St George. Is NAB lying in wait for head office of the bank be located in Suncorp/Metway? I do not think that bank Goondoon Street, Gladstone. really cares. What the Government has not told the The big four banks are predatory. As a people of Queensland—and it will not tell banker said to me recently, banks of the size them—is that, at the end of the day, this of Suncorp/Metway are neither big enough nor provision really does not mean much at all. are they small enough to survive. Let us While the Treasurer may seek to take out contrast the situation that has been the joy of injunctions against the new bank if it seeks to the Bank of Queensland. The Bank of alter its articles in a way contrary to the Queensland has been able to survive as a provisions of clause 64, clause 64 of the Bill small niche bank in a regional market. It is not 2450 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 big enough to attract the predatory attention quite clearly that this clause really is not worth of the big players in the banking market. They the paper upon which it is written. have been happy enough to leave the Bank For the edification of the Treasurer, I shall of Queensland to hoe its own row—and it has quote a comment that was published in the done a good job by its customers—in the Australian Financial Review on 9 August under regional market. This bank will attract a lot of the headline "Banking absurdity". The article attention, but it will not be big enough to stated— withstand the takeover bid when it comes. "The Queensland Premier, Mr Rob Mrs Bird: It's very vulnerable. Borbidge, should stop and ask himself Mr HAMILL: It is very vulnerable, whether he really wants to be quite so indeed. Clause 64 does nothing to protect it. foolish. Legislating to entrench ownership I understand that it is the intention of the and control of his State's new bank—the Government to sell down its stake. The result of the merger of Metway, Bank of Government has said that it thinks it would Queensland and Suncorp—is a mistake. have obtained 70 per cent of the equity. I Also, legislating to prevent its suspect that it may obtain a bit more than 70 headquarters ever moving out of the per cent of the equity in the merged entity State, and stipulating that a long line-up because of the quite extraordinary share price of sometimes quite peripheral executives that has been placed on the table. The must be Queensland residents, is even Government is bound to pay that price. As the sillier. Government's stake is sold down, the points of This sort of State-based breast- resistance against takeover will be lost as well. beating has never been very clever. In an Some might say that it is quite an era when the emphasis is firmly on the extraordinary provision that this even appears. global economy and global competition, it It seems to be something of a standard style is positively eccentric. Mr Borbidge should of provision that is coming from conservative reconsider. If he doesn't he will saddle his State Governments that want to privatise State with a banking absurdity." State financial assets. When the conservative The Opposition concurs with those views. This Government in Western Australia decided to is an absurdity. privatise what was the R & I Bank in Western Australia, we saw a similar provision enacted When one talks about the Premier and last year in the Western Australian Parliament the Treasurer looking foolish in this case, I can in the Bank of Western Australia Act. It, too, say only that fools and their money are soon requires the articles of association to have the parted. The Opposition has been saying all bank incorporated in Western Australia; that along that this plan to create the mega-bank is the head office be in Western Australia; and fundamentally flawed. The money that will be that the majority of the board of directors of parted is money from the taxpayers of the bank and the managing director be Queensland. The Queensland taxpayers are ordinarily resident in Western Australia. Quite already parting with money to fund this clearly this is the inspiration for this provision ill-conceived bid. Unfortunately, Queensland that the Treasurer is putting forward this will be the lesser for it. afternoon in the Bill. Mrs SHELDON: Similar provisions were I believe that one must reflect a little on included in the Qantas sale. That 1992 Act just how important this provision really is. was introduced by the Opposition's Federal Although the Opposition is not opposing it, we Labor counterparts in Canberra. They seemed are saying that we do not put much faith in to think that was fine for the sale of Qantas. this provision as the bulwark against the loss The Opposition seems to think that only we in of the headquarters. The Government is rolling this State are doing the wrong thing. It should three Queensland headquarters into one, have said that of Mr Keating when he was in namely, the headquarters of Suncorp, the Canberra, because the sale of Qantas was QIDC and Metway. Those three headquarters enacted on similar precedents and a similar will now become one headquarters. If the basis. Government had its way it would have the Mr HAMILL: I am pleased that the headquarters of the Bank of Queensland Treasurer has deigned to respond at this pulled in, too. So four headquarters would point. I thank her. It is good to see that she is become one. The Government claims that prepared at least to participate in the debate. clause 64 will make sure that that one Unlike the Treasurer and probably every other headquarters, instead of the four, will remain member of this Assembly, we did not have an in Queensland. It will not. I am prepared to say opportunity to debate the Qantas Bill. That 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2451 happened in another place altogether. The Queensland at the current levels Treasurer has put store in this provision to undertaken by QIDC." ensure—as she would claim—that forever and That is what the heads of agreement ever amen the headquarters of this bank that maintains. However, in common with the the Government is trying to create will be Treasurer's undertakings with respect to the based in Queensland. The Treasurer has headquarters of the bank and her claim that made that claim many times in the public she would legislate to ensure that the arena. However, I am making the point that headquarters remained in Queensland, those that claim is false. This provision will not other undertakings in the heads of agreement guarantee the future of the bank merger as are similarly not worth the paper on which they being a bank necessarily based in are written, because the same heads of Queensland. agreement contain another provision. The Mr FitzGerald: Fair enough. Treasurer well knows this, but I have never Mr HAMILL: The member for Lockyer heard her admit to it in any of the multitude of says, "Fair enough." comments that she has made in the media or in this place in relation to the bank merger. Mr FitzGerald: You've made your point. I will read that provision again, because That's what I meant by "fair enough". the Treasurer was not in the Chamber to hear Mr HAMILL: I am pleased that the this point when I raised it in the second- member for Lockyer concedes that the point I reading debate. All of those claims by the am making is valid. What I have been trying to Treasurer are for nought, because the same illustrate through this point today and, indeed, heads of agreement, which I will table for the a number of other points yesterday is that a lot information of honourable members, states— of promises have been made to the people of "These provisions are subject to an Queensland which, when placed under the overriding requirement that the Board of microscope, are unable to be fulfilled. the Merged Entity act commercially and We have heard the Treasurer refer to the prudently and in the best interests of"— heads of agreement of the bank. I draw the not the people of Queensland, the Treasurer attention of honourable members to two of Queensland or the Parliament of conditions in the heads of agreement in which Queensland, but it states— the Treasurer has put such store to try to allay concerns in the Queensland community that "shareholders of the Merged Entity." what she and this Government are trying to The directors of any company are to act in the create would not necessarily be in the public best interests of the shareholders. They have interest. The Treasurer went to great pains to a fiduciary duty so to do. Therefore it does not claim that the merged bank would have a matter one scrap what the Treasurer might say branch in every town where there is currently a in here, the merged entity's board will act in branch. The heads of agreement states— the interest of the shareholders. If that means closing down branches, withdrawing financial ". . . a commitment by the Merged Entity support to large sections of rural industry, to maintain banking services in any city or sacking people—— town in Queensland where a Suncorp or QIDC branch currently operates, (but Mr Nunn: Or shifting the headquarters to rationalisation within each such city or Sydney. town will not be limited)." Mr HAMILL:—or shifting the That is not what the Treasurer has claimed. headquarters under a future takeover bid, they There will be rationalisation and branch will do that in the interests of the shareholders. closures, and they will occur in those towns I think it is about time that the Treasurer was and cities around the State where there is absolutely honest to the people of more than one branch of Suncorp, Metway or Queensland in relation to this matter. It has the QIDC. gone on for too long and it is about time that the truth was out. The other guarantee that was given so freely by the Treasurer was that the merged Mrs SHELDON: I am absolutely entity would maintain the volume of lending to amazed at the ignorance of the shadow rural interests. The heads of agreement states Treasurer in his agreement with the interjection further— from his own back bench. As he well knows, the headquarters cannot be shifted anywhere ". . . a commitment by the Merged Entity unless there is a change in the legislation. No to maintain the annual volume of lending conservative Government will change the to farming and rural pursuits in legislation in that way. However, if members of 2452 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 the Labor Party want to change the legislation of the merged institution would be lower than to enable the headquarters of this financial they are currently and that any lowering of the entity to go south, be it on their own heads. staffing numbers would be the result of natural That is exactly what it would seem they have attrition. Indeed, the Treasurer went so far as planned to do. to refer to advice that had been received by Mr HAMILL: I am somewhat pained to the former Labor Government that natural have to rise again on this matter because the attrition would be sufficient to achieve the Treasurer obviously—— desired staffing levels of the merged institution, albeit lower than they are currently. Mrs Bird: This is not a game. This is not That claim by the Treasurer is totally false. I Monopoly you're playing here. am disappointed that the Treasurer would so Mr HAMILL: It is not Monopoly. I think seek to mislead the Assembly. one of the reasons the Treasurer is so high- Therefore, I have taken the trouble of handed in playing around in the way that she obtaining from documentation that was does is that she is not playing with her money. provided to the former Labor Government of She is not playing with my money or hers; she which I was a Minister information about is playing with the money of the people of certain options that involve the merger of the Queensland collectively. That requires a bit financial institutions Suncorp, Bank of better attitude than the one that the Treasurer Queensland, Metway and QIDC. That has brought to bear in this debate so far. If information states quite clearly that there she had been listening to the point that I was would be a considerable reduction in staffing making—— numbers. Contrary to the repeated assertions Mrs Sheldon: I did listen, and it is in of the Treasurer, which are an attempt to allay Hansard. community concern at the loss of jobs that will Mr HAMILL: The Treasurer claims that be a consequence of this merger, there will be she listened. If she had been listening, she a need to pursue means other than natural would understand two points. The Opposition attrition to achieve the requisite staffing levels. is not opposing this provision. It will work for a It is stated in that document—again little time while the Government is selling down contrary to the claims of the Treasurer—that its interest in the merged bank; however, at the reduction in numbers of staff in branches some time in the future this bank will be a around the State would be achieved only to target for takeover or merger by another entity. one degree by natural attrition. In other words, At that time, section 64 of the State Financial three-quarters of the staffing reduction that Institutions and Metway Merger Facilitation was deemed necessary in the branches of the Act, assuming it passes through this merged entity would be achieved through Parliament, will not matter a fig. It will not be natural attrition. If job losses are achieved not any impediment to that future takeover. In that through natural attrition, it can only mean one future takeover, Queensland, presumably, will other method: forced reduction in staffing lose its much-vaunted headquarters, which, numbers. A quarter of the staffing losses that the Treasurer would have us all believe, this would seem necessary would have to occur legislation would entrench. That is my simple through a process other than natural attrition. point. It is disappointing and sad if the In terms of head office redundancies, that Treasurer cannot grasp the fundamental point was to be achieved through forced that this legislation does not do what the redundancies. I table that document and I Treasurer purports it will do. To that extent the seek leave to have it incorporated in Hansard. Treasurer has been pulling the wool over the Leave granted. eyes of the people of Queensland when she has tried to reassure them that the Assumptions—Discounted Cashflows—Options Government's actions will ensure in perpetuity 3 and 4 Q Bank the headquarters of a State bank in Discount rate 13 percent nominal (10 percent Queensland. real) Clause 64, as read, agreed to. Effective marginal tax rate for each entity is 20 percent Clauses 65 to 78, as read, agreed to. Average branch staff is 10 Clause 79— Average branch staff salary plus on-costs is Mr HAMILL (4.25 p.m.): The provisions $40,000 p.a. of this clause relate to the transfer of staff in Average head office staff salary plus on costs is relation to merger of the institutions. Earlier we $50,000 p.a. heard from the Treasurer in her reply to the Average branch rental plus other operating second-reading debate that the staffing levels costs is $120,000 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2453

Branch redundancy is achieved 75 percent clauses in the Bill—is to provide that the through natural attrition transfer of officers and employees of SBS and Head office redundancy is achieved solely QIDC does not interrupt their continuity of through forced redundancy service. Any transfers of staff will not interrupt All costs relating to rationalisation in the first continuity of service or affect officers' or year (1996-97) are incurred in that year, employees' remuneration, prejudice accruing however only 50 percent of benefits accrue in rights to recreation, sick and long service leave that year. Full benefits are achieved by end of or superannuation, or constitute a year 2 (1997-98) retrenchment or redundancy. So this provision Revenue benefits are assumed to occur under preserves the status quo. Option 4 only and are limited to the ability to Mr HAMILL: I wish to pursue the point a sell one new insurance product to one third of Metway customers (resulting in $20 million p.a. little further. I was asking for how long will the additional insurance profit which includes cost status quo be preserved? Is it intended that savings also) the status quo be preserved in perpetuity or at some point will those employees who were Commonwealth tax compensation payment of $200 million hitherto employed by QIDC and Suncorp find themselves under another industrial No cost savings in respect of the insurance agreement? Will they be working side by side business have been taken into consideration with people who come under one industrial One head office building required. The other agreement yet they are under another buildings sold for $30 million total and realised industrial agreement? That was the question in year 1. that I was asking. That document, which is now clearly on Mrs SHELDON: As the shadow the record, shows the falsity of the Treasurer's Treasurer would well know, when this entity claims. I know that the Treasurer has becomes a merged entity—a separate entity repeatedly stated that natural attrition will in itself—it will have no interference from the achieve the desired staffing levels but, frankly, Government; it will be acting in a completely it is only the Treasurer who has been claiming commercial manner. The shadow Treasurer that. People from the private sector involved in would know that. Indeed, it is up to that the merger, people from Metway, have said commercial entity to negotiate with its staff to that natural attrition will achieve part of the provide awards or whatever is going to be target number of staffing reductions, but not provided the same as does any commercial all of it. Treasurer, I would be keen to know entity. also, in relation to the operation of cause 79—excuse me, Treasurer—— There is nothing sinister in this. I am amazed at the stupidity of some of the Mrs Sheldon: It is boring me to death. members opposite. I understood that the Mr HAMILL: Please do not expire yet, member had enough commercial because we have a few more clauses to go. commonsense to realise that any commercial Clause 79 states that the transfer of entity, whatever it may be, will operate within staff—those lucky enough to still have a its own confines. It has its own rights to do so, job—will not affect the officers' or employees' and the member well knows that. remuneration. Has an agreement been Mr HAMILL: I just wanted to get some reached with the representatives of those staff sort of timing on this matter. The Treasurer members to maintain their existing award has answered the question that these conditions and for how long? In future, will the currently public sector employees will no longer staff who transfer into the new merged entity, enjoy the terms and conditions of employment who were previously staff of QIDC and they currently enjoy once they go into the Suncorp, continue to receive the same award merged entity. Although I do not have before conditions as they receive currently? If not, at me the industrial awards and enterprise what time will they go under a new industrial agreements that apply currently to those agreement? Would the Treasurer guarantee officers' present employment, I ask the that that new industrial agreement, if there is Treasurer: in what time frame would we see to be one, will not be inferior to the terms and these employees losing their current conditions of employment currently enjoyed by entitlements and being employed under a new the staff who are currently employees of the agreement? Would that new agreement be State public sector? the existing agreement applying to Mrs SHELDON: Indeed, the shadow Metway—because Metway is being treated as Treasurer is most tedious. What we have done the vehicle for the merger—or is the Treasurer in this clause—as we have done in previous insisting that the employees who are currently 2454 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 within the State public sector engage Clause 82— immediately along with those people who are Mr HAMILL (4.36 p.m.): I move the currently employed by Metway in a series of following amendment— negotiations to bring about a new industrial agreement to cover employment under the "At page 44, after line 12— new merged entity? insert— Mrs SHELDON: As the member would '(3) The Treasurer must cause a copy well know, this merging committee becomes a of the direction to be published in the board and then it becomes an entity in its own gazette within 21 days after it is given.'." right in November. It is up to the new entity to negotiate. Mrs Sheldon: Mr Hamill, we're happy to accept this amendment. Mr Hamill: The current terms and conditions of employment finish in November. Mr HAMILL: I am delighted with the Treasurer's—— Mrs SHELDON: They do not finish in November. The member should just listen for Mrs Sheldon: I take it in the interests of a minute. He has asked the question and I am brevity. answering it. Mr HAMILL: I take the Treasurer's Mr Mackenroth: Oh, nasty. interjection. I would have thought that the Mrs SHELDON: We have had enough amendment was taken not in the interests of stupidity for one afternoon. It is really enough. brevity but rather in the interests of the public, We have had more than our fair share—more because it requires a certain level of than anyone would be expected to accountability that we have not seen from the have—from that mob of ignoramuses Treasurer in the debate on this Bill. However, I opposite. The fact of the matter is that when am pleased that the Treasurer sees the merit this becomes a new entity—— in the amendment. Mr Hamill interjected. The amendment seeks to require the Treasurer to publish a copy of any directions Mrs SHELDON: Not really, Mr Hamill. that she may give to the directors; to have The fact of the matter is that I think most those directions published in the gazette. I taxpayers of Queensland want reasonable thank the Treasurer. It is a very good debate in this Chamber—not filibustering, not amendment and I am glad that she has seen deliberate mistruths, not deliberate the merit in my work in putting it forward in the misinformation, but genuine attempts at Parliament. finding out what the legislation is and indeed what is to the benefit of the people of this Amendment agreed to. State. This afternoon, that is what this Clause 82, as amended, agreed to. Government has been about. The shadow Treasurer and the Leader of the Opposition Clauses 83 to 88, as read, agreed to. have engaged in the greatest amount of Clause 89— grandstanding and spreading of mistruths that Mr HAMILL (4.38 p.m.): Yesterday, I we have been unfortunate enough to listen to circulated this amendment in the Chamber to in this place. give all members ample notice of this very May I add that this entity becomes of important amendment to clause 89, which I itself in November. Nothing will cease. It will be move accordingly— up to the new entity to negotiate with its employees, or to keep the situation as it now "At page 47, after line 16— exists. As I told the shadow Treasurer, the insert— Government will not be interfering, as it would '(2) However, the Metway scheme of not interfere with any commercial entity, and arrangement must not effect, either the member well knows that. directly or indirectly, the transfer of any of Mr Hamill: You're not going to appoint the shares in Bank of Queensland Limited any board members? currently held by SIF, without the prior Mrs SHELDON: This entity will not be approval of Bank of Queensland Limited interfered with by the Government. It will be a by a resolution passed at a general commercial entity which will have shares on meeting of Bank of Queensland Limited the stock exchange. I rest my case. at which no votes are cast in relation to the resolution in respect of any shares Clause 79, as read, agreed to. held by SIF or Metway, or by an associate Clauses 80 and 81, as read, agreed to. of either of them. 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2455

'(3) In this section— dragged into the merger and one can only "associate" see Corporations Law, section assume that, after being dragged into the 9. 1 '." merger, it will lose its independence. It would be an untenable position for the Bank of At the conclusion of the second-reading Queensland to find itself cast in the role of a debate, we heard the Treasurer in her reply go subsidiary of one of its rivals. Metway already to some length as to why this measure should has approximately 3 per cent of the stock of not be adopted by the Chamber. At that time, the Bank of Queensland and the State again the Treasurer indulged in a series of Government, by virtue of Suncorp, has 44.5 half-truths and, indeed, vented considerable per cent. Together, it is virtually a majority spleen not only at members of the Opposition shareholder. For one licensed bank to hold but also at the board of the Bank of such a stake in another would breach the Queensland. I believe that that was a very sad policy of the Reserve Bank of Australia. It display and one that did the Treasurer no would create the public perception that the credit at all, neither in this place nor in the Bank of Queensland was dangling on the end wider community when people read her words, of a piece of string and at the other end of the as indeed they will read her words, in the string was the hand of the board of the future. merged bank entity. The Opposition's concern here is for the The member for Whitsunday has pointed Bank of Queensland. The Bank of out that one of the unspoken goals of the Queensland was not consulted to any great Treasurer is to secure the name of the Bank of degree at all when the Government came Queensland. I have already pointed out how forward with its mega-bank proposal. The bank she has sought to emulate the legislation of found out that it was being incorporated and the Western Australia Parliament when it that it had been made an offer to be a part of created the Bank of Western Australia. the big bank merger. Wouldn't it be nice to enact the Bank of The Bank of Queensland's directors Queensland Act? We cannot do that because considered the Government's offer and the Bank of Queensland is an independent decided that it really was not an offer that they entity trading under that name. I do not cared to accept. I think they were entitled to believe for one moment that it wants to give make their decision. Indeed, I heard the up either its name or its independence. member for Moggill say that the Government The amendment that I move gives to the thought that they should be given an people who should be able to exercise it opportunity to make a decision, and so they power over the destiny of the Bank of should. Queensland, that is, the shareholders of the This amendment seeks to ensure that the Bank of Queensland. That is in keeping with decision that is being made by the board of provisions in the takeover law under the the Bank of Queensland is respected by the Corporations Law. I know that throughout this Government. In the Treasurer's reply, she Bill the Treasurer has gone to great pains to made it abundantly clear that it is her try to override the Corporations Law, but the intention, and that of the Government, to take principles that relate to takeover need to be the Bank of Queensland lock, stock and barrel upheld in the interests of the independence of into the bank merger over the cries of the Bank of Queensland. opposition and objection from the Bank of I say to the Treasurer that, instead of Queensland. It is a backdoor means of thumbing her nose at the Bank of creating after all the $21 billion mega-bank Queensland, its board, its staff and its announced a few months ago in the context customers, how about playing the game with of State of Origin battles. It shows a total lack the Bank of Queensland in good faith? How of respect for the Bank of Queensland's board about trying to take off the shackle from the and for the wishes of the customers and staff Bank of Queensland and treating the Bank of of the Bank of Queensland who wish to Queensland in the same way as she wants to maintain its independence. treat the new Suncorp/Metway bank? She has Some weeks ago the Bank of stated that her intentions are to sell down the Queensland made an offer to the Queensland public interest in the privatised bank to below Government seeking to buy back its equity. To 15 per cent within five years, and below 50 per the best of my knowledge, unless there has cent within two or three years. I suggest that been a vituperative response from the the Treasurer treats the Bank of Queensland Treasurer today or yesterday, it has not had similarly. She should not seek to throttle the any joy from that approach. In fact, we have Bank of Queensland. We should be glad that been told that the Bank of Queensland will be there is another Queensland financial 2456 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 institution which is headquartered here and was made by the Government to the Bank of which sees its future here. We should be glad Queensland, asking if it wished to join. I think that that institution has been able to survive questions have to be asked as to why the through a period of unheard of upheaval in normal shareholders of the Bank of the banking industry against threats of Queensland were never given an opportunity takeover, merger and so on. For the to vote on this situation. foreseeable future, we should ensure that the The fact of the matter is that Bank of Bank of Queensland will continue to operate Queensland shareholders do not need this and serve the needs of the people of amendment to be able to vote. They always Queensland. could. It is absolute nonsense that, because I urge the Treasurer to take heed of the of this amendment, the Opposition is giving views of the Opposition in relation to this them the right to do so, as the shadow matter. I am pleased that in her contribution to Treasurer would have us believe. The the second-reading debate, the member for honourable member knows they could vote. Gladstone put forth views which are in accord Indeed, if they had been called together, they with the views that the Opposition has that the would have voted. Bank of Queensland, as an institution, is worth In this amendment the Opposition is maintaining; that the Bank of Queensland, as overriding the Corporations Law—the very an institution, is entitled to have its views thing that Opposition members condemned heard and heeded by the Government; and me for a little while ago in relation to an that the Bank of Queensland should not be amendment about which they carried on in dragged kicking and screaming into the bank high dudgeon. The fact of the matter is that merger. that is what the Opposition is doing here, and I ask the Treasurer: what does she fear? Opposition members know it. Does she fear the little people—the mums and The shadow Treasurer spoke about the dads to whom she referred earlier who happen size of the new entity not being too big or too to own shares in the Bank of Queensland? small to be taken over. What does the This amendment actually gives those people member think will happen to the Bank of the opportunity to say whether they want to go Queensland if it is slung into the community into the bank merger advocated by the and the Government sells all of its shares? It Government or not. It gives those people the will be snapped up by an international bank. opportunity to express their views and to have Indeed, we know of two predators sitting out their views heard. I think that is very important there, waiting for it, right now. I wonder what and the Parliament should give those people the shareholders of the Bank of Queensland those rights. think about that. However, I know that the Treasurer does A Government member interjected. not think too much of shareholders' views, Mrs SHELDON: Well, my friend, because in the Metway merger bid almost 60 Government is not involved. We said that the per cent of Metway shareholders voted Bank of Queensland shareholders should against the Queensland Government's have the right to vote, but the board never proposition. I guess there was a similar set of called them together. events on that day as we saw today, when, at the eleventh hour, a new proposal was Mr Barton: You don't control the board. suddenly put before shareholders. As we have It's a commercial entity. seen today, the Treasurer likes eleventh hour Mrs SHELDON: No, we did not, but it interventions, as evidenced by her proposition had that right and it never called them of which there had been no prior notice. I say: together. I do not know why it is carrying on let us support the Bank of Queensland, let us about this. support its shareholders and let us support the Mr Barton: That's their right; they're the Opposition amendment. board. Mrs SHELDON: Again the shadow Mrs SHELDON: Let us have a bit of Treasurer is spreading major misinformation. honesty. The shadow Treasurer is saying that In fact, the majority shareholders of the Bank we have to have this amendment so that of Queensland always had a right, and always shareholders can vote. What a lot of rubbish! will have a right, to vote on their future. It They could have voted at any time. May I add amazes me that the board of the Bank of that the Government is a minority shareholder Queensland did not see fit to call a meeting of and the Opposition is trying to take away the all shareholders before today and put the rights of the minority shareholders—the propositions to them. A long time ago the offer taxpayer shareholders—through this 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2457 amendment. Opposition members know they majority. However, what the Opposition is are doing that. The fact of the matter is that trying to do is take away the rights of the Opposition members are demanding that the minority shareholders. By moving its rights of the minority shareholders be ignored. amendment, the Opposition is trying to give When the agreement was signed, it was greater rights to the majority shareholders of always the intention—and it had been the the Bank of Queensland than has any other intention, as was set out on the night when we shareholder in this State or nation. That of first discussed this issue, particularly with the itself is an absolute nonsense. member for Gladstone—that the shares in As to the financial entity—as honourable Suncorp held on behalf of taxpayers would go members well know, the Government went across into the merged entity. By doing that, into this enterprise for two reasons. Firstly, we we are not taking away any rights of the wanted to keep Metway in this State. On the majority shareholders. They can still have a night that it was announced that we were say in the future of their bank. When I successful in our bid, I went into Metway launched this new mega-financial entity, I said headquarters. A major staff party was going that in no way would I endeavour to coerce on. They were delighted. They said, "Thank the Bank of Queensland. I have not and am God someone has stood up for us, the not doing so. It is up to the majority workers, in this State." They were the ordinary shareholders to decide what they want to do. staff of Metway, not the big people at the top. That showed me a lot. It showed me that all In respect of the new merged entity with we had been through in the previous weeks its shareholding in Suncorp, neither the and months was well worth it, because we Government entity nor Metway could vote over were keeping a very good entity—Metway—in the decision of the majority shareholders. In this State. However, at the same time, by fact, we would not have voting rights to do merging Suncorp and the QIDC, we were that. It is an absolute nonsense to say that, if going to achieve greater benefits, particularly this merged entity had never been envisaged, in dollar values, for the taxpayers of this State. the Bank of Queensland would still have 44.5 The State will sell down that merged entity. per cent of its shareholding owned by Suncorp The Opposition has spread nonsense about and hence by the taxpayers. That has always the creation of a State bank. The Government been the case. That has not affected its will sell it down in its entities, because we operation. If anything, it has given it an added believe that in the current competitive market it security in that people know that the is important that private enterprise take the Government has such a big shareholding in it. risks rather than the Government. That is one of the pluses. The Bank of Queensland has become a very good bank. In Suncorp is a very good Government a niche market, it is doing a good job. It could owned entity. It has performed exceedingly still have done a good job if it so wished under well. In order for it to be able to compete in the the auspices of the merged entity. That aspect marketplace, to go into the southern States was discussed with the chairman in my office. and to be able to take the risks involved, it has asked the Government for $100m in capital I inform the shadow Treasurer that the injection and has said that it would not be able chairman and the merger committee for this to pay TERs for three years. We would have new entity are looking at rationalising the had to take $200m out of capital to put into backroom operations but keeping the front Suncorp if we wanted the Government to still room operations of QIDC, Metway, Suncorp own Suncorp. Any rational person would say and the Bank of Queensland. So the Bank of that the time has come to realise that it may Queensland name, had it decided to come be much better for this big financial entity and into the merged entity, would still have existed. taxpayers if it became part of private But that is a decision that the merger enterprise, competing in the private committee is going through and will make marketplace. That is exactly why we did what without any interference from the Government. we did. As to suggestions that we are trying via I want to lay to rest completely this some backdoor method to take over the Bank nonsense circulating about our trying to coerce of Queensland—that is absolutely untrue, and the Bank of Queensland and taking it over the Opposition knows it. The Opposition is through the back door. That is not the case. trying to scaremonger among the The chairman knows that. He has been in my shareholders of the Bank of Queensland. I office on a number of occasions for stand by what I said. We have never at any discussions. I repeat that I am very concerned time tried to coerce the majority shareholders that either the chairman did not call the board of the Bank of Queensland. They are the together or the board did not want to have a 2458 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 meeting with me so that we could put forward Mr HAMILL: I find the position taken by the exact situation. In the time since we made the Treasurer quite extraordinary. On the one the offer to the Bank of Queensland, the hand, she says, "Oh dear, this proposal is Government has not been asked to speak to somehow at variance with the Corporations the board to put forward its complete point of Law", yet we spent some considerable time in view. We have done that via the chairman and this Chamber this afternoon debating the offer document we gave him, and through amendments that the Treasurer brought into the heads of agreement which we gave in this place to override the Corporations Law. good faith and confidence to the chairman of Mr FitzGerald: Only on internal the Bank of Queensland. To say that we have transfers. not consulted is a nonsense, because the very first people whom the Government asked to Mr HAMILL: I do not care where it was. speak to before it announced the merger In fact, I will amplify that comment in a way in publicly was the Bank of Queensland. We which the Treasurer refused to amplify her gave it that courtesy over Suncorp and the comments in relation to the amendment. We QIDC. To say that it was not treated properly is tried to elicit from the Treasurer some details an absolute nonsense. as to why—W-H-Y—her amendment was important, and all we could get from the I repeat that what the Opposition is doing Treasurer was a reiteration of the amendment is overriding the Corporations Law. It is she was moving. She now says that this negating the rights of the minority proposal from the Opposition is contrary to the shareholders. I cannot believe that a Labor Corporations Law. The point I am making is Opposition would negate the rights of the that it was fair enough for the Treasurer to minority shareholders, who just happen to be wish to override the Corporations Law several the taxpayers of this State, by moving this sort times in this Bill, but now she regards that as a of amendment. May I add that all along we cardinal sin on the part of the Opposition. would have been very happy, if the Bank of What our amendment does is put in place a Queensland so desired, for it voluntarily to join safeguard which is consistent with the the new merged entity. It would have been takeover laws governing corporate entities in very welcome and a very good addition. We this country; a safeguard which protects the would have welcomed it with open arms. But shareholders of the Bank of Queensland from that was always its decision. It chose not to, being railroaded into a merger of which they and that is fine. That is its commercial want no part. decision. But surely to God the Government, as the trustee of the taxpayers of this State, The Treasurer goes on and on and on has a right to say what it will do with its denying the rights of the shareholders of the shareholding in the bank, or has the quaint Bank of Queensland and wishing to hang on idea that we have some control over our own like grim death to the 44.5 per cent shareholding gone out the window? shareholding that Suncorp has—and, effectively, the 47 per cent and a bit more that In other words, the Opposition is saying the new merged bank would have—in the that the Government should be told by the Bank of Queensland and says not one word of board of the Bank of Queensland what it is to selling down the State's stake in the Bank of do with its own shareholding. I find that quite Queensland. This is the very person who went extraordinary. As I said a minute ago, the around the State saying that, in her view and shareholding that the Government has held in the view of the coalition, the Government the Bank of Queensland has given that bank should have no business to do in banking; it great strength. In the marketplace, people should be out of the area of financial knew about the large shareholding that the institutions altogether. At the same time as the Government held and the security that gave Treasurer is trying to hang onto the Bank of the bank. Queensland—dare I say it, hold it round the The Government will not accept this throat—she has been advocating the sell-out amendment, because it is unjust, it overrides of all the public equity in Suncorp and the the Corporations Law, and it is overriding the QIDC. interests of the minority shareholder, that is, The different treatment of the Bank of the Government through Suncorp as the Queensland and Metway has been all too trustee for the taxpayers of this State. That is apparent in this Treasurer's dealings with not something that the Government of those two private banks. Metway has been Queensland is prepared to do, even if the given the real red-carpet treatment by the Opposition is prepared to sell its soul in such a Queensland Government in relation to all of way. this, and the Queensland Government has 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2459 gone to considerable expense to thwart the Mrs SHELDON: The shares that the views of the majority of Metway shareholders. Government holds in trust for the taxpayer are Mr FitzGerald: Won them over. ours at the moment, held in trust for the taxpayer. The member is suggesting that we Mr HAMILL: The Government has not privatise those shares—that we sell them off. won them over. A considerable number of The Labor Party has argued hypocritically that them are taking their money and running we cannot privatise services such as school because they do not want to be minority cleaning or anything else. However, in this shareholders in a State bank. The case it is saying that the Government can Government is going to have an extraordinary privately sell off its shares in the Bank of amount of equity in the merged entity, Queensland but that that is not privatisation. because the shareholders do not have much For God's sake! I do not think members faith in the Government at all. It is little wonder opposite know what "privatisation" really that the Bank of Queensland does not want to means. have its future choked off by the same tactic as the Government has applied to the other I would like to read the Solicitor-General's entities in this merger. opinion, which coincides exactly with what I have said. The advice from Mr Pat Keane, the What the Opposition is proposing is Solicitor-General, states— eminently reasonable. Nothing in the "MEMORANDUM OF ADVICE Opposition proposition would prevent the Bank of Queensland from joining the merger if the Re: Suncorp-Metway merger shareholders of the Bank of Queensland so I confirm that, in my opinion, the determine. I think the Treasurer should apply a following propositions correctly state the bit of consistency in her approach. If she can legal position in relation to the merger say on the one hand that she believes plan: Governments should not be owning banks, 1. The merger plan would leave the then on the other she should get out of the Government's interest in Bank of Bank of Queensland, too. Queensland Limited unaffected by Mrs Sheldon: At any cost? the merger. Thus, the BOQ shares Mr HAMILL: I take the interjection. Not will remain as assets of the general at any cost, but at the values that the market insurance fund of Suncorp Insurance would offer. Let the bank buy back its equity. and Finance when Suncorp Why do we not have some State funds Insurance and Finance becomes part available for infrastructure other than retiring of the merged Suncorp-Metway- debt on the Sunshine Motorway or any other QIDC Group. little pet project that the member for Caloundra 2. The Corporations Law contains an might have? Let us have an approach which express exception to the prohibition treats all Queenslanders equally, and not upon direct or indirect acquisitions of simply upon the basis of where they live. 20% or more of a company where the acquisition occurs pursuant to a Time expired. scheme of arrangement. While Mrs SHELDON: There are a couple of schemes of arrangement must not points that I would like to take up. It is very be used purely as a means to avoid interesting that the shadow Treasurer is the above prohibition, the advocating that the Government sell its share Corporations Law permits them in the Bank of Queensland—in other words, where (as here) the acquisition of a privatise our share in the Bank of Queensland. downstream shareholding occurs as An Opposition member interjected. part of a wider transaction that can only take place as a scheme of Mrs SHELDON: Yes, we do. If we sell arrangement. our entity out on the market, that is privatisation. 3. As required by the Corporations Law, the scheme of arrangement will Mr Hamill: It's a private bank. require the approval of the Supreme Mrs SHELDON: Our share is owned by Court of Queensland. The us as trustees for the taxpayer through Government has not sought to Suncorp—a fact that the member seems to be legislate for any special exemptions trying to forget. for the operation of the Corporations Law insofar as Bank of Queensland Mr Hamill: It's not your toy. or its shareholders are concerned 2460 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996

and, in any case, has left all its There is a lot wrong with the Treasurer's proposals regarding schemes of argument on this matter. The first point is that arrangement open for review by the the Bank of Queensland is a private bank. Supreme Court. There was a Commonwealth initiative some 4. The major shareholder will continue time ago—years ago—which basically to have, as it has now, a substantial prevented a shareholder, in the form of the interest, falling short of 50%, of Bank Queensland Government of the time, from of Queensland Limited. interfering in the decisions of the board of the Bank of Queensland. That means that when 5. The merged group will have no the Bank of Queensland made the correct greater rights or powers in relation to decision not to be part of the so-called super Bank of Queensland than Suncorp bank, not only was it exercising a decision presently has. In particular, it will which it saw to be in the interests of its have no unilateral ability to integrate shareholders and the interests of the people or amalgamate any Bank of of Queensland; it also should have been Queensland operations with those of respected for exercising that decision. It is Suncorp-Metway-QIDC. wrong for the Treasurer or the State Government to try to bludgeon the board of 6. Any proposal to increase the the Bank of Queensland simply because it did shareholding interest to over 50% or to integrate or amalgamate the Bank not do what this Government wanted it to do. of Queensland operations will only be It is important that a number of points be able to take place if the other made. The Bank of Queensland has not been shareholders of the Bank of invited to participate in the planning stages of Queensland consent or if a takeover the super bank proposal. It is the is successfully undertaken and, in Government's stated intention that all of the either case, only then with the prior assets of Suncorp be transferred to Metway in approval of the Commonwealth the merger proposal. If nothing else happens, Treasurer. This is the same position therefore, the end result for the Bank of as presently exists. Queensland will be that Suncorp's 44.5 per cent of the Bank of Queensland will be held by 7. The Bank of Queensland proposal to Metway, which is a rival bank. That is quite amend the Bill involves special contrary to the positions taken on national treatment of the Bank of Queensland banking policy in this country. which adversely affects the Government's proposals. Mr Hamill: It's contrary to the public interest. With compliments, Mr BEATTIE: As the shadow Treasurer P. A. Keane correctly points out, it is not in the public Solicitor-General." interest. Clearly, this is an untenable position. The Bank of Queensland cannot operate on Despite all of the very hot words of the shadow the basis that the Treasurer proposes Treasurer and the Leader of the Opposition because, firstly, Metway is a competitor in that the Government was trying to do a many areas of business; secondly, there will backdoor deal in relation to the Bank of be problems with board representation on the Queensland, it is evident that we are not. Bank of Queensland; and, thirdly, it is against What I have said in this place today has been Reserve Bank of Australia policy for one vindicated by that opinion. I find it quite Australian licensed bank to hold 44.5 per cent extraordinary that, in the face of all of that, the of another one. It is against Reserve Bank shadow Treasurer is still seeking to push an policy. amendment which negates the rights of the Mrs Sheldon: I am well aware of that. minority shareholders, who are the taxpayers of this State through the Government of this Mr BEATTIE: If the Treasurer is well State. aware of it, why is she ignoring it? Mr BEATTIE: The amendment moved Mrs Sheldon: I am not ignoring it. by the Opposition is very important for the Mr BEATTIE: The Treasurer is ignoring future of the Bank of Queensland. As I said it. The Bank of Queensland believes she is earlier in this debate, we are quite happy to ignoring it. What the Treasurer is proposing is stand on this side of the Chamber and have it against Federal Treasury policy, reflected in on the public record that we fought to save a the Banks (Shareholdings) Act. very important Queensland financial institution. Mrs Sheldon: Rubbish. 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2461

Mr BEATTIE: The member may well Mr Hamill: Seventy-seven per cent of say "rubbish". She does not respect the board the preference shareholders didn't want the of the Bank of Queensland, but the Government. Opposition does. Mr BEATTIE: I thank the shadow There will be public perceptions that the Treasurer for that interjection. I would be Bank of Queensland is no longer grateful for any more helpful interjections. In independent, which will affect that bank. There this debate, the Treasurer said much about will be problems with shareholder and market the headquarters of the bank. What about the perceptions about the future of the Bank of headquarters of the Bank of Queensland? Queensland, which will have a serious impact Mrs Sheldon: When the Bank of on the value of the shares of the bank. The Queensland is out there on its own, one of the Opposition is fighting to save those share first bidders will be the Bank of Scotland. Do values as well as the bank itself. you think the headquarters of the Bank of There will be problems with customer and Scotland is going to stay in Queensland? potential customer perceptions of the Bank of Mr BEATTIE: That is an interesting Queensland and problems with the Bank of argument. What does the Treasurer think will Queensland being able to maintain its market happen to Metway? Exactly what the position and its market perception as an Treasurer just said would happen to the Bank independent, niche bank. For all those of Queensland. overwhelming and compelling reasons, this Mrs Sheldon: It is legislated. amendment is being moved by the Opposition. They are sound, considered and Mr BEATTIE: Legislated, my foot. The legal reasons why this needs to be done. Treasurer believes in the tooth fairy. Does the Treasurer know what the law says? The law It is wrong for the Treasurer to ignore that, says that a takeover bid could turn up, the as we stand today, we have 44.5 per cent name of the bank can be changed, and then Suncorp ownership, 3 per cent of Metway, and the legislation can be ignored. It is that simple. a total of 47.5 per cent in the Bank of Bank headquarters will end up in New York or Queensland. It is not in the interests of the Melbourne. I again thank the Treasurer for the Bank of Queensland or its shareholders or the interjection because she has just confirmed taxpayers of Queensland for that position to the Opposition's argument right from the be maintained after this superbank goes beginning about the headquarters of Metway. ahead. For the Treasurer to say that she is still What the Treasurer said is exactly what will pursuing the Bank of Queensland is to take a happen to Metway. position in defiance of the board. That is really The Treasurer is telling the Bank of at the heart of her opposition. The Treasurer Queensland that she is not prepared to allow and Doug McTaggart cannot face the fact that that bank to raise capital to buy back its own the board of the Bank of Queensland took a shares. At the end of five years—in the interim decision in the interests of that bank—its we will have this State bank and heaven depositors, its shareholders—that it did not knows how she will run it judging by the way want to be part of this superbank. She cannot she is running the economy—the Treasurer will accept that. have sold down the shares to a maximum of Mrs Sheldon: The shareholders never 15 per cent. That is the Treasurer's view of the voted. superbank, but she is not prepared to adopt the same standard when it comes to the Bank Mr BEATTIE: The Treasurer should not talk about shareholders. The majority of of Queensland. The Treasurer thinks it is fine shareholders in Metway did not want a bar of to do that for Metway, but not for the Bank of the her, even though she spent all of that Queensland. The Government wants a double money writing to them. The majority of standard when it comes to the Bank of shareholders voted against her. Queensland. It does not want to sell down the public interest in that bank; the Government is Mr Hamill: Almost 60 per cent of the trying to drag the Bank of Queensland into this ordinary shareholders voted against it. deal via the back door. Mr BEATTIE: Exactly. I am delighted The Treasurer has treated the Bank of the Treasurer raised the matter of Queensland board with contempt. She was shareholders and I thank the shadow not prepared to sit down with the chairman or Treasurer for his interjection. Sixty per cent of the chief executive officer—which is what they the Metway shareholders disagree with what wanted to do—to talk this matter through. She the Government is doing. wanted to circumvent them. The Treasurer 2462 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 had a strategy in place. She wanted to try to Mrs SHELDON: I will deal with that in a go to the board, but she did not want to deal minute. Indeed, the Leader of the Opposition with the duly elected officers of that bank. She failed economically in his Health Ministry, so I cannot accept the reality of that board's can understand why he is failing here. There decision. The Bank of Queensland's board was never and has never been any decided to protect the interests of the suggestion that the Bank of Queensland could shareholders and of that bank. not operate as it is currently. That is a furphy The bottom line is that a lot of that the Leader of the Opposition is trying to Queenslanders want to have their own small, spread. The fact of the matter is that I met niche bank with which they want to bank. The with the chairman and the CEO of the Bank of Bank of Queensland has branches throughout Queensland on a number of occasions. The this State. The bank does not want to see Leader of the Opposition should get his facts those branches close, it does not want to see right before he starts speaking mistruths in this those jobs lost. A lot of people are quite happy House. The people of the State at least have with the bank the way it is, because they are the right to hear the truth from him. sick of big institutions. They want to feel If in fact the board of the Bank of comfortable with the local bank they can visit. Queensland had the interests of its By opposing our amendment, the Treasurer is shareholders at heart, why was a shareholders moving against the interests of meeting not called to allow them to vote? I Queenslanders. She is against all those find it quite extraordinary that that did not branches in country towns, the suburbs of occur. That option was always open to them. Brisbane, in Brisbane itself and in provincial There is no way the Government wished to or cities. She is against them surviving and could have prevented their doing that. In the providing a niche banking service to a lot of intervening months, they elected as a board to Queenslanders. not do that. I repeat what I said before, the Treasurer The Leader of the Opposition said that should not forget what happened in Victoria. the board was not invited to be part of the When the Commonwealth Bank moved in to merger planning group; indeed, it was. For the take over the Bank of Victoria, a lot of Government to show its good faith, it gave the Victorians left the Commonwealth Bank and board the heads of agreement, and the only they went to the Bank of Melbourne. They did other bodies that had those heads of that because they wanted to belong to a agreement were Metway, Suncorp and the small, niche, Victorian bank. The same thing QIDC. So let us hear no tripe from the Leader will happen to the Bank of Queensland. The of the Opposition, or anybody else, that that Treasurer wants to take the Bank of board was not given equal and fair Queensland out of the equation because she opportunity, because indeed it was. knows that a lot of people in Queensland will The Leader of the Opposition mentioned not want to belong to her so-called superbank. the Bank of Victoria. He knows why people left She knows that people will want to belong to a that in hordes. That was because the Labor niche bank like the Bank of Queensland with Party has absolutely devastated that bank. which they feel comfortable. Paul Keating spent $700m of taxpayers' Why is the Treasurer taking away their money in propping up that situation via the freedom of choice? Why is she taking away Commonwealth Bank. The Leader of the their right to choose to visit their own niche Opposition is well aware of that. So he is not Bank of Queensland? Why is she saying to all being at all fair to the entities of Metway, the National Party members in this House, "I Suncorp or the QIDC when he tries to want to see the Bank of Queensland branches compare the disgraced Labor effort with the closed in the country towns you represent. I Bank of Victoria with what we have in this want to see jobs lost in country areas"? That is State with the new merged entity. That is what she is saying to all the National Party typical of what Mr Beattie is doing. He is trying backbenchers in this Parliament. I hope that to scaremonger and destroy any chances of a they are happy to go back and argue in the new merged financial entity in this State, the towns that they represent that they supported merging component parts being Metway, the merging of the Bank of Queensland. Suncorp and the QIDC. Actually, I have just Time expired. had word from Metway Bank that it is appalled by what was said today in this Chamber by Mrs SHELDON: I thought the Leader of Opposition members, namely, that a run was the Opposition might have had a bit more going to occur on Metway shares. I financial ability than his shadow Treasurer. understand that, in due course, a letter will be An honourable member interjected. sent to the Leader of the Opposition from 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2463 those people at Metway. I hope they send me Opposition has laid, and its chickens will a copy, because I will read it into Hansard. certainly come home to roost. What members have seen in this Mr HAMILL: While listening to the Chamber from the Leader of the Opposition Treasurer's ranting and raving, I could not help and the shadow Treasurer has been thinking of that poem that I believe many of us disgraceful. They tried to misrepresent the were treated to in our school readers. Do Government and its situation in relation to the members remember Ozymandias—"Look on Bank of Queensland. I believe that I have my works, ye Mighty, and despair!" There they clearly and adequately spelt out exactly what were: two lots of stone left in the sand. that situation is. They have tried to run a Mr Schwarten: Two columns in the negative, whingeing, harping line because sand. they are dead scared that the new merged financial entity—which they had the Mr HAMILL: Yes. The clause in which opportunity to put in place but did not have the Treasurer put so much store, that she can the internal gumption to do so—will be good legislate that forevermore—I am almost for Queensland and Queensland businesses. waxing lyrical myself in this—the headquarters By God, they would not like to see that will be in Queensland, has been shown quite happen, would they! So they are trying to put conclusively during this debate to be a total it down right now in the hope that what they furphy. are doing in this Chamber today will destroy I believe that this all boils down to the ability of that entity to get up and going. I perhaps another old adage about "hell hath do not believe that will occur at all. The entity no fury". Maybe I could put that into is made up of Metway, Suncorp and the contemporary terms: hell hath no fury like this QIDC, which are all excellent institutions, and Treasurer scorned. What is really narking the they have a right to be better treated than the Treasurer is that the Bank of Queensland did Opposition is treating them. not want a bar of her. It still does not want a The Leader of the Opposition had the bar of her, nor a bar of the bank merger. absolute stupidity to say that the headquarters Indeed, 60 per cent of the ordinary would go somewhere else, possibly to shareholders of the Metway Bank—despite Melbourne. The second reading of the Bill was the direct mail campaign and the free agreed to a little while ago. The legislation telephone numbers and all the rest of it—did provides for the headquarters to stay in this not want a bar of the Treasurer. They were State. Unless a future Labor Government happy to take another offer which the changes that legislation, Queensland is where Government had claimed was inferior. that headquarters will stay. I believe that the Treasurer's agenda As to the Government selling out its came out very clearly indeed in the comments interests in the Bank of Queensland, as the she made a short while ago. She said that it shadow Treasurer suggested—he is would still be nice to be able to trade using the suggesting that we open up the Bank of Bank of Queensland label in the marketplace. Queensland, which is a very good niche bank The Treasurer has never given up the hope in this State, to complete takeover by a foreign that the Bank of Queensland would be a part entity or the NAB or somebody else. of the merger. She always wanted, and has Obviously, the Opposition does not care. The not given up the hope, of having a four-way Bank of Queensland would go, and it would merger including the Bank of Queensland. go quickly, because it is a good little entity and That is the very point that the Opposition is it would be snapped up by the commercial making. Despite the Bank of Queensland operators out there. Evidently the Opposition saying, "No thank you very much", the is saying to the people of Queensland, "That Treasurer will not take "no" for an answer. The is fine. Let the Government sell down its Treasurer has an enormous feeling of shareholding. We will win this political rejection. She has been told, "You are not argument in the House." But what will happen wanted", but she will not accept it. It is about in the future? What will happen to all those time she came to her senses on this and people whom the Opposition claims to be respected the rights of the Bank of looking after—the Bank of Queensland Queensland in all of this. customers and its shareholders? They will not It was quite ludicrous for the Treasurer to have a say, because they will be gobbled up. go on about alleged inconsistencies in relation As I said, we know of predators circulating right to the treatment of the Bank of Queensland's now who have eyes on the Bank of interest and the Government's interest in the Queensland and will take it over in the future. proposed new merged bank. The Treasurer But so be it; that is the plan that the has been saying throughout the State that 2464 State Financial Institutions and Metway Merger Facilitation Bill 4 Sep 1996 she wants to sell down the public stake in the raising capital to acquire back its own shares. I merged bank. Yet she comes in here saying would have thought that a party that that she wants to cling to the 44.5 per cent of supposedly stands for free enterprise would the Bank of Queensland that is owned by the have been happy to see the Bank of Queensland Government through Suncorp. Queensland—a proud Queensland niche Where is the consistency? Any effort that the bank—acquiring its shares so that it could Treasurer puts into trying to submerge the continue as a private-enterprise bank providing Bank of Queensland in the merger by a services across this State. backdoor means will, in the view of the Bank The second part of their proposal stated— of Queensland, depress the price of its shares on the market. If the Treasurer was truly "Suncorp (or another Government interested in the public interest and the value entity) retains 15% of Bank of of the public stake in the Bank of Queensland, Queensland (which reflects the she would be better off selling it back to the Government's ultimate goal for its holding Bank of Queensland at the market price and level . . ." having those funds available for the purposes in the so-called super bank. However, we have of the Queensland Government, rather than been warned that it may reduce that to zilch. tying them up in a backdoor merger and losing The proposal also stated— value on those shares. The Treasurer's "Bank of Queensland goes on as position makes no sense. usual as an independent Queensland If the Treasurer is genuine in her belief based niche market bank with its branch that the Bank of Queensland's shareholders network intact". should have their views heard, I urge her to That means that the jobs of those support the Opposition's amendment, which Queenslanders working for the Bank of provides quite clearly for the shareholders of Queensland would be secure and the the Bank of Queensland to be heard in branches would remain open in provincial and relation to future of the Bank of Queensland. If country Queensland across the State, as well the Bank of Queensland is to go into the as in suburban and central Brisbane. The merger that the Treasurer wants so document also stated— desperately, then let the Bank of Queensland's shareholders be able to express "Although the proposal was put to their view in favour of that. If they do not want Government about a month ago, the to go into it, then allow them to express their Government will not answer and will not views against that, but for goodness' sake say yes or no to Bank of Queensland's respect their views. proposal." Mr BEATTIE: The Treasurer is right. I They were treated with contempt and am dead scared. I am dead scared of the fact arrogance. The Treasurer is getting another that, when we are back in office some time in one of her regular briefings, and she needs the next 12 to 18 months, we will inherit the many. She can say what she likes in this legacy—this mess—that this Treasurer is Chamber, but that is the view of the Bank of inflicting on this State. When one considers Queensland. To treat a proud Queensland that the most significant decision that this bank in that manner reflects badly on the Treasurer has made since she took the reins Treasurer. of the Treasury has been to abolish a $200m The Government has introduced this Bill toll in her own electorate, one can understand to facilitate the merger, but the Bill does not why Opposition members would be nervous clarify to the Bank of Queensland what the about her running a State bank for six Government intends to do with the Bank of minutes, let alone for any longer. Queensland shareholding. In a letter to the I remind the Treasurer that the Bank of Treasurer last week, the Bank of Queensland Queensland is not her own personal plaything. proposed an amendment to the Bill to make it These are not her shares. They are held on clear that the shares Suncorp holds in the behalf of the people of this State. What the Bank of Queensland will not be transferred to Bank of Queensland proposed was this. To Metway without full reference to the other deal with all these issues, the bank put to the shareholders in the Bank of Queensland. That Government a fair and reasonable proposal, is what the law requires and the Bank of the elements of which are these. Firstly, Queensland is seeking to avoid litigating Suncorp was to sell back to the Bank of against the Government to protect the rights Queensland part of its shareholding in the of the majority of shareholders. bank and receive more than $100m in cash. What do they want to do? That want to That was the first proposal. It suggested make certain that their shareholders have a 4 Sep 1996 State Financial Institutions and Metway Merger Facilitation Bill 2465 say as to where they go. In this exercise the owned shareholding—which was owned, Treasurer is denying the shareholders of the through Suncorp, by the members opposite Bank of Queensland a right to exercise a when they were in Government—is a minority decision in relation to their future. She is shareholding. The owners of that saying to shareholders that they will not be shareholding, Suncorp, have a right to have a able to have a say in relation to their future. say in what happens to their shareholding. That is all the amendment moved by the After all, it is owned by the Government shadow Treasurer provides. Prior to this through Suncorp as trustees for the taxpayers debate, the Government would not say of this State. The Leader of the Opposition whether or not it would support the acts as though that shareholding has amendment—although today we have absolutely no legal right whatsoever. He well received an indication that it will not. knows that indeed it does. Through this amendment, the Opposition By this amendment he is seeking to give wants to establish a clear position. That is why rights under the Corporations Law to the Bank we have moved it. This is a very serious of Queensland majority shareholders, which matter. We are talking about the future of the no other shareholder in this State or nation Bank of Queensland. The board and has, so that they can dictate to the minority executives of the bank received a huge wave shareholder what they will and will not do. That of support from staff, customers, shareholders is exactly why he is doing it. Any amount of and the public for its decision not to join the blurb, misconception and untruth about his merger and to preserve the bank for the future real motives will, in the end, prove to be totally as an independent Queensland institution. false. On the one hand, the Leader of the No-one involved with the bank wants to merge Opposition is continuing the absolute shonk of the business and no-one wants the saying that he is the champion of the Bank of shareholding which the Crown currently has to Queensland, yet on the other hand he is be handed over to a rival bank. That is the saying to the Government, "Sell down your nub of this issue. They do not want a large protective shareholding. Get rid of it. Let the part of the Bank of Queensland to be owned Bank of Queensland be taken over by anyone by a rival bank, the so-called Metway super who comes along. We don't really care." It will be out of his hands then; he will have done his bank that the Government is establishing. deed in this Chamber. I would have thought that someone who I believe that minority shareholders in this is committed to the principles of private State and nation do have a right. I think that enterprise would have understood that. How the Government, as the minority shareholder can one competitor own 47.5 per cent of for the taxpayers of Queensland, does have a another? Is that the sort of free enterprise right to see that it receives maximum value. It principle the Treasurer believes in? I would not was the Government's point of view, through have thought so. It just happens to be a Suncorp, that it would get the maximum value convenient argument for this purpose. for any entity that it had through the new We are happy to stand in this Chamber merged entity. The Leader of the Opposition is and argue for the future of the Bank of saying that the taxpayers of this State, Queensland. The record will show that it was through their shareholding in the Bank of the Labor Party that argued to save the Bank Queensland, were not to have any right. I find of Queensland. it quite extraordinary that the members of the Labor Party, for some sort of perceived Mrs SHELDON: The record will show political gain, have been prepared to go to the what a major hypocrite is the Leader of the extent that they have in this Chamber today in Opposition. The fact of the matter is that he order to negate the rights of the taxpayers of knows that what he has said is a this State. misconstruction of the truth in all forms. The Bank of Queensland shareholders have never Question—That the words proposed to had a vote because the board did not see fit be inserted be so inserted—put; and the to draw them together to have a vote. The Committee divided— Leader of the Opposition is saying that the AYES, 42—Ardill, Barton, Beattie, Bird, Bligh, majority shareholders in the Bank of Braddy, Bredhauer, Briskey, Campbell, Cunningham, Queensland should be able to tell the minority D’Arcy, De Lacy, Dollin, Edmond, Elder, Foley, shareholders, who are the taxpayers of this Gibbs, Hamill, Hayward, Hollis, McElligott, McGrady, Mackenroth, Milliner, Mulherin, Nunn, Nuttall, State, what they should and should not do. Palaszczuk, Pearce, Purcell, Roberts, Robertson, What an incredible point of view. Obviously, Rose, Schwarten, Smith, Spence, Sullivan J. H., the Leader of the Opposition has no idea how Welford, Wells, Woodgate Tellers: Livingstone, private enterprise works. The Government- Sullivan T. B. 2466 Public Service Bill 4 Sep 1996

NOES, 41—Baumann, Beanland, Borbidge, Connor, Bill and attacked his critics. What a spectacle it Cooper, Davidson, Elliott, FitzGerald, Gamin, was to see the Premier having to change his Gilmore, Goss J. N., Grice, Harper, Healy, Hegarty, tune as, one by one, authorities came out Hobbs, Horan, Johnson, Lester, Lingard, Littleproud, attacking this Bill as doing the very thing that McCauley, Malone, Mitchell, Quinn, Rowell, Santoro, the Opposition had identified, namely, Sheldon, Simpson, Slack, Stephan, Stoneman, Tanti, Turner, Veivers, Warwick, Watson, Wilson, Woolmer compromising the independence of statutory Tellers: Springborg, Carroll office holders. Pairs: Fouras, Perrett; Radke, Goss. The Premier continued after several days Resolved in the affirmative. to describe the critics of the Bill as ill-informed or politically motivated, on at least one Clause 89, as amended, agreed to. occasion saying that they had not even read Clauses 90 to 93, as read, agreed to. the Bill. It was interesting to see how his Clause 94— stance became ever so difficult as the Criminal Justice Commission came out and attacked Mrs SHELDON (5.44 p.m.): I move the the Bill as compromising the independence of following amendment— the administration of justice and, in particular, "At page 48, after line 24— of the Director of Public Prosecutions. insert— Similarly, the Law Society came out and attacked the Bill as compromising the '(2) A regulation under this section— independence of statutory office holders. But (a) may only be made within 12 months still the Premier, like Monty Python's black after the commencement; and knight as each of his limbs was cut off by (b) expires 12 months after the regulation succeeding warriors, maintained a steadfast commences.'." defence that all was still well; there was no problem. After that, the Director of Public Amendment agreed to. Prosecutions himself came out and criticised Clause 94, as amended, agreed to. the Bill—another limb knocked off the black Clauses 95 to 97, as read, agreed to. knight. One can feel for poor Rob Borbidge when the Bar Association, through the Schedules 1 to 3, as read, agreed to. President, Mr Cedric Hampson, QC, came out Bill reported, with amendments. and attacked the Bill because Mr Borbidge has had some recent conversations with Mr Hampson in another place. Third Reading We now see the report in the Courier- Bill, on motion of Mrs Sheldon, by leave, Mail—that journal of record that attracted such read a third time. vilification from the Premier—indicating that he is to amend the Bill along the very lines that PUBLIC SERVICE BILL the Opposition and the Courier-Mail criticised. This is a monumental backdown. It is a Second Reading humiliation. Debate resumed from 8 August (see There is nothing more important to the p. 2244). good administration of this State than that Hon. M. J. FOLEY (Yeronga) there be a fairly and properly run public (5.47 p.m.), continuing: This Bill is yet another service. Yet this Bill, which was the Bill of which humiliating bungle by Premier Borbidge. It the Premier had personal carriage, has been ranks with the school cleaners debacle and bungled from the outset. It is of a kind that we the Century Zinc fiasco as an example of the saw in the Premier's approach to the Century Premier's reverse Midas touch—where golden Zinc project where he completely ignored the opportunities are turned instantly to dross by Government's duty to negotiate in good faith the Premier's deft hand. under native title legislation. It is of a kind that We have seen in this Bill a humiliating he completely ignored, in the case of the backdown by Premier Borbidge. Premier Local Government Commissioner, the legal Borbidge rejected all criticism of the Bill when duty that that commissioner had with respect the Opposition attacked it as compromising to local government boundaries. the independence of statutory office holders. The Premier has a blind spot when it The Premier alleged that critics of the Bill were comes to independent officers carrying out ill-informed or politically motivated. Throughout their duties according to the rule of law. It has the course of the first couple of days of been only in the face of overwhelming public criticism, the Premier staunchly defended the criticism that the stand of the Opposition has 4 Sep 1996 Public Service Bill 2467 been vindicated and the Premier has indicated regulation and then proceed with the that he will amend this Bill. Mind you, Mr dismissal. Speaker, they are the mystery amendments, I say that it is not hypothetical and I draw because so far the Parliament has not been the attention of honourable members to the graced with the proposed amendments. So use of regulation-making power in Subordinate we find ourselves debating a Bill, the detail of Legislation No. 215 1996, namely, the which we still do not have. I note with interest Criminal Justice Amendment Regulation (No. that the Premier has given certain details to 2) 1996, where a specific regulation is made in the media, but to date he has failed to order to make a certain appointment subject circulate any of the amendments that he to the misconduct tribunal's jurisdiction. I do proposes. that not by way of criticism of the regulation Let us turn to the independence of but simply to illustrate the point that a statutory appointees and, in particular, the regulation can be made with respect to a Opposition's criticism of the compromising of specific appointment and, as Mr Hampson the independence of the Director of Public said in his press release, a regulation is no Prosecutions and the Electoral Commissioner. protection at all. In the material furnished by the Premier to the It is also significant that the Premier has Scrutiny of Legislation Committee, one sees failed to respond to the request by the that he proposes to move amendments at the Scrutiny of Legislation Committee for a list of Committee stage specifically exempting from all of the office holders affected by the Part 8 those two officers and a list of certain provisions. Indeed, that failure represents a other officers. However, in the material he continued reluctance on the part of the presented to the Scrutiny of Legislation Premier and the Government to spell out the Committee, the Premier goes on to indicate full implications of the impact of this Bill. that a draft regulation has also been prepared and, apart from the Public Trustee and the The other salient feature of the debate Parliamentary Counsel, a range of has been the remarkable absence of the quasi-judicial tribunals will also be protected. Attorney-General throughout the course of the public debate. The Attorney-General, who one That regulation is quite ineffective in might have thought would be the first law providing independence. I am reinforced in officer to stand up for the independence of the that view by a media release of 7 August from legal system and speak out in its defence, has the Bar Association in which the president, Mr been strangely silent while the bidding of his Cedric Hampson, QC, stated— National Party political masters is carried out. "The Premier has stated publicly that The best that the Government could mount the Director of Public Prosecutions can be was an attack by the member for Lockyer, exempted by regulation." among other things on the member for He said also— Murrumba and myself, in respect of legislation introduced during the term of the previous "We believe that nothing less than Labor Government. The honourable member an Act of the Legislative Assembly is glossed blithely over fundamental differences sufficient to protect the independence of between policy advisory bodies on the one any office—a regulation is too easily hand and bodies carrying out administrative changed." tasks on the other, such as the presenting of I table that media release from the Bar indictments by a prosecution or the handling Association. of elections by an Electoral Commissioner. No doubt that was because such fundamental The continued reliance by the Premier distinctions did not suit his argument. upon the regulation is completely without substance. That regulation can be made by I turn to the attack made upon the role of the Governor in Council, and it is the power of the Supreme Court in the Bill. In this respect I the Governor in Council to dismiss refer to the breadth of the exemptions from independent office holders under the judicial review. It is richly ironic that yesterday provisions of this Bill that is the subject of we heard so much about the need for judicial greatest concern. This is not merely a review of the Criminal Justice Commission and hypothetical concern; it is a concern borne out yet in this Bill we see an attempt to exempt a by the power of the Governor in Council to host of very important matters from judicial make regulations so that, if the Governor in review. Again in the course of responding to Council wished to dismiss an office holder the Scrutiny of Legislation Committee, the purportedly protected by regulation, it would Premier was at pains to deal with the case of be a straightforward matter to make such a Blizzard and the implications in respect of 2468 Pacific Highway Expansion 4 Sep 1996 termination. However, the Premier failed to With the announcement back in March respond to the fundamental concern of the came the promise that the Government would Scrutiny of Legislation Committee. announce to the rest of Queensland, and Debate, on motion of Mr Foley, particularly south-east Queensland, what it adjourned. was doing with the northern half. The Government was going to do that by June. When the announcement finally came towards PACIFIC HIGHWAY EXPANSION the end of August, what did we see? The Hon. J. P. ELDER (Capalaba—Deputy Government added half a busway to the half a Leader of the Opposition) (6 p.m.): I move— highway from the Gateway into Brisbane. It would go no further, not down to Loganholme "That this Parliament expresses its or Beenleigh, where pressure could be taken grave concern at the Government's off the highway. The Government proposed proposed $1.2 billion upgrade to the adding half a busway to half a highway without Brisbane to Gold Coast Highway. In any significant upgrading between Brisbane particular, those concerns are: and Beenleigh. 1. The grave implications for Mr Robertson: And double the price. expenditure on roads in the rest of Queensland over the next four years, Mr ELDER: Exactly. given the Treasurer's commitment on All of the new residents who move into 19 March that the Government would these areas over the next few years and who not borrow for infrastructure projects work in the Brisbane CBD will be encouraged that were unable to service debt and to use a new road. There has been a lack of the Federal Government's slashing of priority given to public transport. The priority national highway expenditure; has been given to cars. In a few years' time 2. The dislocation caused by the when the road clogs, an effort will no doubt be resumption of at least 200 properties made to encourage people to use public for the expansion, in clear breach of transport. But for those people it will be too the Government's agreement with late; they will have already determined their VETO signed on 12 July 1995, that mode of transport—the motor vehicle. That the coalition's alternative would 'be habit will have been drilled into them. There confined within the bounds of the will be no opportunity for using public general present alignment of the transport. The failure to take the busways to Pacific Highway corridor'; Loganholme and Beenleigh is a tragic loss of opportunity. It is a bungle and a total failure on 3. The impact on Brisbane suburbs and behalf of the Minister. In this case, it is costing inner suburban road network of the the taxpayer $1.2 billion and is not achieving inevitable restriction of access at any major public transport outcome. As I said, Marshall Road and Cornwall Street at that bungle will cost us millions and millions of least in peak hour that will flow from dollars in the future. Right now the cost is $1.2 the massive increase in capacity and billion, but what will it cost in the years to traffic flows south of Mains Road; come? and I remind the House of the undertaking 4. The disruption and dislocation that is that the Treasurer gave on 19 March of this being wrought on communities on year that the Government would not borrow for either side of the southern section of infrastructure projects that were unable to the highway and the lack of concern service the debt—except for the Sunshine for the needs of those local Motorway. That was her promise. That is an communities." admirable undertaking, and I am sure that the This Government's handling of the Treasurer is a woman of her word—at least Brisbane-Gold Coast highway has been sometimes she is a woman of her word. I bungled right from the start. The people of assume that she will keep her word in this Queensland are rightly concerned—as they case because that assurance was given in her should be—about what is happening and what heartland—the conservative club. I would they are getting into with this $1.2 billion expect that that is one assurance that will be bungle. Firstly, we had the announcement that kept. If that assurance is kept, how will the $630m was being spent on half a highway Government pay for $1.2 billion of expenditure between Nerang and Beenleigh—an eight- on this single road over the next four or five lane super highway that is going to lead to a years? That is $250m to $350m each year, car park once motorists reach Beenleigh. the vast majority of which has not been 4 Sep 1996 Pacific Highway Expansion 2469 budgeted for previously. I challenge the the Minister's own department. That project Minister for Transport to explain that. was given priority when we were in Mr Johnson: How are you going to pay Government. How many other projects across for yours? this State have been pushed back to accommodate what has to be a poor and Mr ELDER: There was $280m in our absolutely outrageous decision to spend all Budget. It is still there. That is the money the that money without one decent traffic outcome Government is using. What I am asking is: between here and the Gold Coast. We how will the Government pay for the rest of its deserve to know—and the Minister might be $1.2 billion decision? The Minister has to stop able to tell us tonight—where that money will hiding behind the blatant lie that the Federal come from. Government will pay for it. The State Government has already been told that it will When officers of Mr Johnson's not pay for it. It has walked away from the department provided briefings on the National Highways Program under which upgrading of the northern half of the highway $620m was allocated annually across the to members on this side of the Parliament, we country, including over $140m-odd annually asked continuing questions about the money for Queensland. That money is walking away and about access. We asked about what from all of the electorates of coalition would happen to the South East Freeway and members. The Federal Government is not access to it from Marshall Road, Cornwall contributing a thing other than Street and Mains Road. Indirectly, they $40m—maybe—towards the Pacific Highway, acknowledged that, based on the the national highway. The State Government Government's planning, it would be impossible has no guarantees. Sharp spent the money in to maintain access onto the freeway in those his own electorate on the Hume Highway. The locations in the future. That is what officers of Government has no opportunity of getting any the department said in response to questions Federal funding for that proposal. which were put to them. As I said, vital works around the State, Mr T. B. Sullivan: A lot of people such as the Gatton bypass, the Ron Camm whose homes are most affected can't even Bridge in Mackay, the Woolcock Street use it. upgrading in Townsville and the roads in the Mr SPEAKER: Order! The member for national program around Cairns will not be Chermside will not interject from his incorrect finished. The Government has promised the seat. people of Queensland that those projects Mr ELDER: They will not be able to use would be paid for under the Federal highways it. They will rat-run. The freeway will be great program. However, the Federal Government for people who live on the Gold Coast. has slashed it. The coalition cannot deliver on either this program or the National Highways Mr D'Arcy: Not necessarily. Program. That is the problem; the coalition Mr ELDER: The freeway will be great for cannot deliver on any of them. those people who live on the Gold Coast and How will the Government pay for this $1.2 some people living between the Gold Coast billion decision? It cannot be put on the and Brisbane. Those who live on the freeway Treasurer's bankcard. The Government will and who have had access to the freeway to have to slash road funding across this State. date will get no access to it, and they will have Funding will have to be removed from the to rat-run and use the local road network. Roads Implementation Program—the RIP— Again, that is just part of a $1.2 billion bungle. because that is the only place to find the Mains Road and those other roads that money. The Treasurer has said, "You can't lead onto the highway will have significant borrow for it, it can only come out of your increases in capacity. The only addition to the budget. It can only come off the current roads road at that stage between the Gateway, and program." If that is the case, there will be particularly at the Mains Road end, is the another slashing of road spending right busway. So, given all of the users of the super around the State on top of what the highway to the south, there is no increased Government has just copped from the Federal road capacity in the north, only the addition of Government. busways. It just stands to reason that, as that Already the Minister has delayed the sucks traffic into the city and as it northern bypass at Caboolture. I hope that is accommodates the needs of these people, not because it is in a Labor electorate. That those people who live along the South East project has been pushed back beyond the Freeway will have no opportunity to access it. I year 2000, and that has been confirmed by bet they will start to close those accesses at 2470 Pacific Highway Expansion 4 Sep 1996 peak hours. That will be the first step. I Government as a result of an election promise challenge the Minister to produce evidence that it made as part of a dirty deal with tonight that contradicts that fact. That has VETO—one that has already been criticised already been acknowledged by the Main before the Carruthers inquiry. This is the $1.2 Roads Department. billion blunder. It disadvantages large numbers The people of Queensland should be told of my constituents, the constituents of other from day one that the South East Freeway will Labor electorates and those in the electorates become a road for the residents of those of many National and Liberal Party MPs, who areas south of the Gateway. The Government do not seem to understand that we are not should forget its grandiose planning for a the only ones who can suffer damage solution. It should tell people the truth, as because of roads but that they can also. acknowledged by Main Roads Department This project has major problems: poor officers, that they will not get access and those consultation—although I call it "manipulation" roads will be locked off at some stage. The rather than "consultation"; the resumption of people in Yeronga, Holland Park, Salisbury, several hundred homes as a minimum; service Mansfield, Sunnybank and Wishart will have to roads that are really suburban streets; noise find alternative routes to the CBD in the future. problems; other pollution problems from car At the end of the day, they will just rat-run. fumes; and the fact that the freeway, From day one, the Minister's handling and particularly between Eagleby and Beenleigh, allocation of funds to this process has been a splits a community more significantly than the shambles. There has been very little Berlin Wall ever did. I hold a unique position in community consultation. We all know about regard to this road, because my electorate his great efforts in community consultation. falls into both the northern part and the southern part of the project. The southern part Mr Johnson interjected. is far more advanced, with final alignments Mr ELDER: We have all seen how he being available, and the northern part is has had to apologise. A bulldozer driver at the proceeding. Because I am attending the front door was the Minister's only consultation briefings on both sectors, I can assure the with the people in the electorate of the House that the very mistakes that were made member for Waterford. This morning, in in the southern sector are being repeated. relation to the Stretton bypass, the Minister In my electorate many people in Eagleby, said that I had moved the alignment of the Beenleigh and Loganholme, as well as many bypass. I said, "Yes, I did move the alignment commercial operators in Loganholme and of that bypass, and I did it in full consultation Tanah Merah, are losing their homes or their with the community and with the businesses as a result of this crazy decision. environmental movement. I got an outcome There have been problems with consultation for that community for the construction of that and communication. Some people were told, road. That was negotiated without any "We do not want your property", and they problems." The Minister criticised me for that made decisions based on that advice. Now this morning and his speech will be distributed they are being told, "Yes, we do want your in every letterbox in the Sunnybank electorate. property." Other people have been told, "We Every letterbox in the Sunnybank electorate do want your property", and they made will contain the Minister's comments this arrangements based on that advice, only to morning in relation to my consultation process. now be told, "No, we do not want to resume I challenge the Minister to table the figures he your property as part of this project." This is mentioned this morning that claim that that unsettling people. They are principally decision will increase the construction cost of concerned about whether they will get a fair that road by $8.9m. I remind the Minister that I price in what is already a driven down housing was formerly the Transport Minister. I happen market. During the election campaign, Mr to have the briefings from my department in Johnson started out saying that there would my file. be no resumptions, but then he said, "Oh, Mr Johnson: You table them yourself, well, maybe there will be a few. Maybe there then. will be some but, er, not many." His prediction Mr ELDER: I will table mine if the that there would not be many resumptions Minister will table his. was incorrect, because already several hundred have been identified. Time expired. The tightest sector of this stretch of road Mr BARTON (Waterford) (6.10 p.m.): I occurs between Beenleigh and Eagleby. This second the motion. This motion is necessary is the section suffering the biggest because of the outrageous decision by the disadvantage. Currently there are four lanes in 4 Sep 1996 Pacific Highway Expansion 2471 that stretch. The original proposal was to with eight lanes, and at this stage we have not upgrade that section to eight lanes, and now it been told what will occur with regard to sound appears that there will in fact be 10 lanes. barriers. There is no room for new service roads. The Time expired. service roads will be what are currently suburban streets. Under the final alignment— Mr WOOLMER (Springwood) which I must say is slightly better than the (6.15 p.m.): I rise to oppose this ridiculous original proposals—in Eagleby, Saverin Road, motion, which does not address any of the Logan Street, Fryers Road and River Hills core difficulties of the people in the Road will become service roads. Similarly, in communities which are affected by this Beenleigh, George Street, Boundary Street, highway. Logan Street, City Road, Milne Street and The simple facts of the matter are that the Martens Street will become service roads. coalition went to the election last year with a Those roads go past dozens of homes as well very clear policy. It went to the election with a as schools, churches and sports fields where well-thought-through set of plans for providing kids ride bikes and old people walk. There will the solutions to the transport needs of be the resultant noise pollution and the south-east Queensland, especially those danger associated with a major freeway. It relating to the Pacific Highway corridor. In stark must be borne in mind that over the three to contrast were the limp efforts of the former four year construction phase some of those Labor Government. We hear a lot from service roads will be carrying through traffic members opposite about the hardship being from the Gold Coast. Even though they are caused to those affected and the consultation not designed for that purpose, if the freeway is processes currently in place. But how many so choked up that they cannot drive anywhere different alignments did we end up seeing last else, people will rat-run through those roads. time out? How many different ways did we see This freeway dislocates the local the options presented? We had instances communities, particularly Eagleby, which where they were supposedly on public display already has very poor services, a high number at libraries but they were not available. We of low income earners and poor connections had instances where they were supposedly to the main community of Beenleigh, which will available in people's offices but they were not become even poorer during construction there. It is hypocritical of members opposite to because the walk bridges and the crossroads suggest that the current process—which is will be torn down. The four lanes are already a actually very well documented and is available bad psychological barrier as well as being a as a flowchart process and gives people a physical barrier, and that will become much form of certainty in their planning—is inappropriate. worse. Problems are being experienced also in Loganholme at the Logan Motorway/South One of the reasons why the Opposition is East Freeway interchange. The option plans trying to make so much of this is that it took initially showed that there would be a the do-nothing option. The do-nothing option significant loss of homes, particularly in Holder would have left the people along that corridor, Street. People got used to the idea of losing especially those on the Gold Coast, in their homes. Now they have been told, "We complete limbo. The coalition Government has do not want your homes", but there is a catch. put a $1.2 billion program in place over a The department has said, "We are not going number of years to improve the situation and to construct that interchange until we four-lane to integrate public transport. As a new the Logan Motorway, and then we want your member, I recall Mr Elder talking about the homes." So those people are caught with SEQTA approach and integrated planning. I homes in front of a major, widened freeway, remember saying very clearly that I would knowing that at some point at the support any moves which put in place a public Government's whim they will ultimately lose transport system which ran frequently and on their homes. time and which was cheap and easily accessible. I said also that I would not support Mr Elder: Very heartless decision. the establishment of a new authority to do so, Mr BARTON: It is a very heartless because that role properly resides in the decision. Over the last couple of weeks I have Department of Transport. That is exactly what had some of the affected residents in tears in we now have. my office. Mr Elder: Now there are two people. There will be massive dislocation during Mr WOOLMER: Those two people, plus the construction phase. Post construction the others who support them, are doing a there will be the noise problems associated wonderful job. We often see them come up 2472 Pacific Highway Expansion 4 Sep 1996 with very good planning approaches. Those expressing concern that the Minister for people have a lot of nice things to say about Transport is not able to give adequate the honourable member! He should listen to answers to issues pertaining to the upgrading them occasionally. They remember very well of the Pacific Highway. I intend to express how Mr Elder named one of them in this place some of the concerns of the people of Mount as allegedly having being axed from his Gravatt. The South East Freeway runs right position. That was an absolutely disgusting through the heart of Mount Gravatt and effort. After Mr Elder's comments, members of affects many people who live along it in the the media ended up phoning that fellow's wife suburbs of MacGregor and Holland Park West. late at night. He did not appreciate that too The first concern these people have much. That is the truth. The member should expressed to me is that they have had no go and ask those people. He knows exactly consultation from this Government. People who I am talking about. who currently have a four-lane freeway on their We have to consider the benefits that this doorstep will in future have an eight-lane will bring. The busways program will move freeway—that is, six lanes of cars plus two bus people. This Government has always said that lanes—outside of their front doors it aimed to move people as opposed to cars. When did the Minister ever go to the Therefore, we have come forward with an people who live along this freeway and consult imaginative busways program—— with them about this? When did the Minister Mr Elder: Ours. ever tell them that the noise levels outside their front doors will double, and what kinds of Mr WOOLMER: We acknowledge that it noise amelioration measures will the Minister was in the planning pipeline. We have got it put into place for these people? Will he give running down to the Gateway. I cannot them double glazing? Will he give them understand why the Opposition is so upset airconditioning? Will he at least give them about that proposal. It was initiated originally noise abatement fences, because the people under Mr Elder when he was Transport I am talking about at MacGregor and Holland Minister. It will get down there—— Park West do not even have noise abatement Mr Elder: When? fences. Mr WOOLMER:—in due course. All of Three months ago, a public meeting was the alleged funding difficulties will be put to held in MacGregor where the public of my rest once and for all on Tuesday next week electorate elected a delegation to see the when the Budget is brought down. Minister. He would not even meet with that We have heard all the allegations delegation of local residents, and that has not regarding access restrictions. Mr Elder said been forgotten. The Minister sent his public categorically to this House that he has been service officials along to meet that delegation. informed and provided with information which The people in my electorate are also proves that there is going to be restricted concerned that they have no time frames on access. I challenge him to table that these plans for this super highway. While this information. There is a difference between is just a vague plan with no definite timetable, speed zones at both ends, and there is a very the residents who live along the freeway—and great difference in requirements for access no-one lives closer to it than the MacGregor onto this highway. We are trying to look after residents—have had their house prices these people. The Labor Party deserted them. devalued. Who would buy a house in It did not have any idea how to undertake Portulaca Street, MacGregor—and that proper public consultation. This issue cost the happens to be in the electorate of the Labor Party a swag of votes. What would Mr member for Mansfield, who I notice does not Elder now have me say to the electors of have the courage to speak to this Springwood? No answer! motion—and who would buy a house in Mr Elder: Hey? Ask the question again. Cremin Street, MacGregor, when they do not know what is going to happen to the highway Mr WOOLMER: I asked: what does the below their front door? These people would honourable member think I should now say to like some answers and some time frames so the people of Springwood? They will be that they can make some plans for the future. provided with a great motorway and a top busway. The third concern held by residents in my electorate is that they have not received an Time expired. honest answer from this Minister concerning Ms SPENCE (Mount Gravatt) resumptions. During my briefings from the (6.20 p.m.): I rise in support of this motion Minister's departmental officers, 200 4 Sep 1996 Pacific Highway Expansion 2473 resumptions were discussed. I am concerned Mr HEGARTY: I inform the member for that a section of Toohey Forest will have to be Archerfield that green groups recognise that resumed for this highway plan. I am sure the this Government is about shifting commuters, Minister will hear from the environmentalists, not cars. The Pacific motorway project, within from the Toohey Forest Protection Society, the context of the Integrated Regional when this becomes obvious to them. I am also Transport Plan, will make for more efficient concerned that there will be far more transport of freight and commuters between resumptions in MacGregor than the Minister's the tourist capital of Australia and the nation's departmental officers would have us believe. fastest growing State capital. The section of the freeway at MacGregor The honourable member for Capalaba that is currently four lanes will suddenly mentioned the VETO organisation and the become eight lanes, and the Minister is signed agreement made on 12 July 1995 planning for that expansion without which stated that the coalition's alternative to resumptions. I am sure that anyone who the ill-conceived eastern tollway would be drives along the South East Freeway on that "confined within the bounds of the general four lane section will be amazed that the present alignment of the Pacific Highway Minister could possibly double the number of corridor". That is exactly what we are doing. lanes there without any resumptions. Frankly, After its dealings with the former Labor we cannot believe it. Government, the VETO organisation felt it imperative to have it in writing, because the Mr Woolmer: So you are calling them organisation felt that the Labor Party's word liars? was worth nothing. The Labor Government Ms SPENCE: The member for pledged that the eastern tollway was off; then Springwood really annoys me. I have been to it was on; then it was off—all depending on a public meeting in his electorate about this whether there was an election looming. In the issue; he did not even front up. He will not end it was off, with no alternative announced even go to his own residents and talk to them or conceived. about this. However, he has a big mouth in The paragraph quoted from the VETO this Parliament, and we will make sure that his agreement with the coalition was simply speech extolling the virtues of this plan to ensuring that we did not promise to scrap the residents of his electorate gets delivered to eastern tollway from the final established route them. and move it a few hundred metres east or Finally, residents of my electorate are west and then claim that we had kept that concerned that the on-ramps and off-ramps at election promise. That is the type of scepticism Holland Park West will be closed. We have that arises in people's minds after they have been advised that, when the traffic builds up dealings with the Labor Party. There is no on the freeway, the ramps at Holland Park breach of our agreement with the VETO West will be closed. The very people who had organisation, and in fact the VETO this freeway bulldozed through their suburbs in organisation's own alternative to the Pacific the 1970s—and I was one of those Highway upgrading involves some people—will be denied access to the South resumptions. That is regrettable, but of course East Freeway in the future and will have to inevitable, as it is with any major project. resort to rat-running through the suburban The honourable member for Capalaba streets of Holland Park West and Mount obviously has as much trouble reading the Gravatt. agreement as he had with understanding the Federal assistance grants because the VETO Time expired. agreement with the coalition does not even Mr HEGARTY (Redlands) (6.25 p.m.): I mention a commitment to not make rise to oppose the motion by the member for resumptions. No wonder the Labor Party Capalaba—the former "Minister for Koala leadership is so tightly knit, they go around in Tunnels"—who raises the issue of a threesome—one can read, one can write environmental concerns in his notice of and the third likes hanging around with motion. One hopes his level of communication intellectuals. with the electorate is better than his contact I refer to a letter from the president of with major environmental groups, who have VETO to the Premier, in which Mr David publicly voiced their support for the Keogh writes— Government's futuristic planning for mass transit in the south-east corner of Queensland. "VETO's position with regard to the planning and design of the Pacific Mr Ardill interjected. Highway/South East Freeway is 2474 Pacific Highway Expansion 4 Sep 1996

unchanged and we wholly endorse the the State Government for recognising the present Government's plans." importance of busways to the future of In common with many other groups, VETO Brisbane and look forward to working with sent a representative to recent briefings them." conducted by the motorway project managers. Mr Elder interjected. Mr Keogh writes that he was very impressed Mr HEGARTY: He did not get on with with what he saw. In particular he was very the member or his former leader. They could positive about the busways proposed. Before not even go to the same function; they had to signing off, the VETO president notes— stay on opposite sides of the room. It is time ". . . as both Mr Beattie and Mr Elder for those members opposite, including the know, I am reasonably accessible and member for Capalaba, to get on the bus for willing to discuss any relevant matter." future planning, because this is the way that He could not be more open. I suggest the we are going to do it. This is a Government member for Capalaba give Mr Keogh a call. with real initiatives. The people of Logan will be able to get on a bus and be in the city in Mr Elder interjected. 20 minutes instead of the current 40 minutes. Mr HEGARTY: While the member is on Time expired. the phone, he should contact the Queensland Conservation Council. When the Transport Mr ROBERTSON (Sunnybank) Minister and the Labor Lord Mayor announced (6.30 p.m.): I rise in support of the motion the busways initiative on 23 August, the which condemns the decision by this Queensland Conservation Council welcomed Government to widen the South East Vaughan Johnson' s initiative, saying— Freeway. I believe that the Minister for Transport is deceiving residents south of the "The Minister's decision is good for Gateway Motorway that the freeway is being the environment as it lifts public widened to incorporate high-occupancy-vehicle transport's position in the (Transport) lanes. This is nothing but a cruel hoax, Department's funding priorities . . ." because those HOV lanes will not only carry That is something the Labor Party did not do. buses and taxis but also cars—cars with just a The Conservation Council continues— driver and one passenger. This must be the only Government on the planet that describes "Giving buses priority in this way will high occupancy as two people in a car. What hopefully result in increased patronage, a joke! And how will these high-occupancy- decreased car dependency and in better vehicle lanes be policed? Quite simply, they air quality for the region." cannot and they will not. Mr Elder: Fully quote it. Don't half quote Even senior Transport officers admitted at it. a recent briefing that the HOV lanes could be Mr HEGARTY: This Government is not designated as ordinary traffic lanes with no simply rebuilding a road, we are re-engineering restrictions on the type of vehicles using them. the road. There will be absolutely no benefit to public Mr Elder interjected. transport users that enter the freeway at Sports Drive, Watland Street or Loganlea Mr HEGARTY: The member was going Road, because this Government intends to stick on an extra lane and say, "What a locating the HOV lanes in the centre of the great job we did." He was not going to do the freeway. This means that buses and taxis re-engineering that we are doing. That is the entering the freeway during peak-hour traffic difference. will not be able to cross three congested lanes Let us see who endorses our proposal. to use the HOV lanes. This again was Labor Lord Mayor Soorley hit the nail on the admitted by senior officers from the Minister's head when he said— own department. Where will be the advantage "Busways—dedicated lanes for for public transport users if they cannot access buses—take public transport out of the those HOV lanes? The answer is to be found traffic congestion, making bus travel a in what the Minister has not admitted to much faster and viable alternative to the yet—what he is still hiding from the people: it is private car. his intention to close ramps onto the freeway, such as the one at Sports Drive. Our city is at the crossroads. Without a fast and efficient bus system that Mr Johnson interjected. encourages people into public transport Mr ROBERTSON: I will get to the our city will choke to death. I congratulate Minister. 4 Sep 1996 Pacific Highway Expansion 2475

It is only a matter of time before the railway lines through residential areas and Minister will be forced to come clean with local environmentally sensitive bushland. residents. The only question is: when? This Perhaps the Minister can explain to this Minister for Transport wants to inflict all pain House what the difference is between the and no gain on the residents of Underwood, Daisy Hill State Forest and the Karawatha Springwood, Rochedale and other suburbs. Forest that makes him think he can wantonly These communities will suffer the pain of destroy precious bushland with his freight having an eight-lane freeway carrying at least railway line. This fact, before all others, 25 per cent more traffic past their backdoors, demonstrates what a political opportunist the but will receive no gain because they will Minister really is. But more than that, he is also effectively be barred from using Vaughan's a hypocrite because, as his own departmental super freeway. briefing note states, the Karawatha freight line Mr Woolmer interjected. will require "tunnelling to attain the necessary Mr ROBERTSON: For the benefit of the vertical gradients for freight rail." Members of member for Springwood, I point out that if he the Queensland Parliament—especially the wants to know where the proof of all this member for Redlands—the koala tunnel is information came from, it came from the back, bigger and better than ever; only the briefing with departmental officers that he location of the bushland has changed! It is no missed out on while he was on his junket wonder the Minister squirmed in his seat this overseas. That is how we know and why he is morning when the Treasurer tried to score ignorant. some cheap political points about the south coast motorway tunnel. The Minister stands What is more, the IRTP recommends condemned here today for his duplicity, his extending the busways past Mount Gravatt to dishonesty and his deception. the Logan Hyperdome, which can mean only one thing, that is, widening the South East Time expired. Freeway corridor to 10 lanes of traffic. That is Mr BAUMANN (Albert) (6.35 p.m.): I rise when the massive resumptions along the to speak against the motion moved by the freeway will really begin. It is a strange drug Deputy Leader of the Opposition. This motion that this Minister peddles that injects such pain is ironic, to say the least. It speaks of by a drip feed of information, misinformation, dislocation and disruption, the impact on half-truths and broken promises. On behalf of suburbs and problems of traffic flows. The the people who live along the freeway, I say to member for Capalaba mentioned the the Minister, "Thank you for condemning agreement signed in July last year with VETO, these communities to live amidst a sea of but let us see what the then Government was bitumen, noise and polluted air. Thanks for doing at that time. nothing!" The eastern tollway was one of the most As I have said before in this place, it is ill-conceived, socially disruptive projects in the those residents who are paying the price for history of this State. A look at some of its the Minister's dishonest campaign against the features reveals that the plan was to go from south coast motorway—a campaign that saw the then Gateway Arterial to Smith Street. yet another grubby political deal made to There was no mention of improvements to the secure a few hundred votes. I hope that the South East Freeway, just a huge bottleneck at Minister will be at the public meeting at Daisy Rochedale. This was Mr Elder's half a Hill this Sunday to face those residents whose highway, which was expected to cost as much lives he will so callously destroy. And if he as $700m. Then there was the infamous does have the guts to turn up, he should not $135m koala tunnel through Daisy Hill, about waste the people's time by giving his party which we have heard plenty. There was the piece about open and honest consultation detrimental effect of destroying prime farming because, as we saw yet again this morning, land, including sugarcane land in the his commitment to consultation is as shallow Woongoolba/Pimpama region, effectively as his concern for the quality of life of affected putting into jeopardy a collective $54m residents. By confirming this morning that he industry's contribution to the region's will build a freight rail line through Karawatha economy. Even the historic log dam at Forest, he has turned his draft IRTP and all Gainsborough and other historical and those fine words about wanting to know what anthropological sites were under threat. But the public think into nothing more than hollow the then Labor Government even went as far rhetoric. No matter what concerned residents as threatening to build the road through a think about the Minister's IRTP, he will ignore Buddhist temple. Yet Government members them and go right ahead and build roads and now piously stand here in this sanctum and 2476 Pacific Highway Expansion 4 Sep 1996 speak of disruption. The Labor plan was We re-locate on 28/6/96, with great friendless; the results of last year's elections relief, thanks to you, and the department, are proof enough of that. especially Mr. Gary Grundy. However, realising its errors, the Labor Many thanks, Party then announced plans to abolish the K. R. & D. Wood." south coast motorway and upgrade the Pacific Highway to six lanes—a bandaid solution. No I have here an article from the Albert and thought was given to the actual improvement Logan News headed "Happy to leave home". of the road—the most dangerous one in the Contrary to the efforts of the member for State—instead of just adding a lane each side Waterford to create mass hysteria in the of an existing problem. Conversely, this Eagleby area, the article states— Government went to the polls with a proposal "While the debate continues to rage to eight-lane the transport links between over the proposed eight-lane freeway, Brisbane and the Gold Coast. Regrettably, it one Dublin Dve family is applauding the has meant some hardship to people. We development. acknowledge that. But this Government has Susan and Allan Darby and their four dealt with people fairly and compassionately children have lived in the street for the and with understanding. past nine years and say the stress of The Deputy Leader of the Opposition is living next to one of the State's busiest out of touch. This is what Mr Keogh, the stretches of road was taking its toll. president of VETO and the man who signed . . . the agreement, had to say about the 'Let's face it—something needs to be Government's proposals to solve transport done to ease the traffic problem and this problems in south-east Queensland— is the decision the Government has "We have to come up with an made,' Susan said. integrated approach to public transport . . . planning in south-east Queensland, which involves a combination of road Susan said Transport Minister modifications and public transport." Vaughan Johnson did have the family's approval to meet with them last Tuesday That is what we are doing. The $520m and she said she was confident Mr upgrade and busways project from Brisbane to Johnson was interested in residents' Logan will allow two lanes of dedicated concerns." busways to run next to six lanes of highway. That speaks for itself. From Logan to Smith Street, the Pacific Highway will not only be safe but it will also be Mr Barton interjected. of world-class standard. With this challenge, Mr BAUMANN: I ask the member to some people have been affected, but it is not listen. I repeat what that Eagleby resident had all bad news. to say— I shall table a letter from one resident in "We were given much courtesy and Eagleby and will take the liberty of reading understanding from (the department). We what that resident had to say about the re-locate . . . with great relief, thanks to Government's plans. The letter states— (the Minister) and the department." "To Minister of Transport, The people from the department deserve accolades. They have been doing a Mr. Vaughan Johnson. marvellous job. Dear Sir, To solve the transport problems of south- My wife and I wish to offer our thanks east Queensland requires an integrated to you and your various officers . . . approach involving some tough decisions. The Lloyd . . . Campbell . . . Higgins . . . Government has made them. Graham, for all the help and advice given Time expired. to us. We were given much courtesy and Mr D'ARCY (Woodridge) (6.40 p.m.): understanding from them, given our Nobody in this Parliament would doubt my situation, requiring an early resumption of position on the road. They have heard it over the above property due to the need to be a very long period. In supporting the motion relocated, and be able to sort out our moved by the Deputy Leader of the finances Opposition, I point out that, from the aspect of . . . costing, the Government is trying to implement 4 Sep 1996 Pacific Highway Expansion 2477 the most disastrous decision that could destroying the lives of those people and it is possibly affect the people of south-east destroying businesses and confidence in Queensland. When I was critical of some of them. It cannot occur. In the long term, it will the decisions that we made in Government, I achieve nothing. did state that the only solution that was more Honourable members are reading letters difficult or more disastrous was the decision tonight, and I will read a letter from a person in that was reached by the then Opposition, Springwood who wrote to me in 1995. The which, now that it is in Government, it is trying letter states— to impose on the people of south-east Queensland. "The majority of people I talk to would be more than happy to pay a The speakers on this side of the House reasonable toll to travel on a limited have outlined the tragedy that will occur in the access highway between Brisbane and electorates that we represent. The the Gold Coast. The Pacific Highway is Government went ahead and attacked dangerous now, will only get worse if and immediately the easy section of the road, the when more lanes are provided, will southern section. By stealth it is slowly increase in danger whilst additional lanes creeping north and saying, "This is what we are being built"— are going to do on the northern section." which is happening— Mr Hegarty interjected. "and more lanes will lead to bigger prangs Mr D'ARCY: It is interesting that the with subsequent longer delays. It may honourable member interjects. I have with me soon take longer for overseas tourists to a newspaper article in which the member for get from the new airport to the Gold Redlands is quoted as supporting the then Coast, than it took them to fly here in the Transport Minister, Mr Elder—despite what he first place." said in this House tonight. The member for Albert and the member for Springwood will That letter from G. P. Mouatt, who lives in the certainly lose their seats over the decision that Springwood area, was written in late 1995. the Government has made; in fact, most of Nothing has changed. In relation to this road, the members opposite will lose their seats. commonsense has not prevailed. If the doors Those members will bleed to death because of this place were closed and we all walked the Government has gone ahead with the outside, we would all agree that something most impossible solution known to man. I has to be done and that this is not the personally still support another route. I think solution. that that is the only long-term solution. As to the costing—the coalition has been Mr Johnson: Why didn't your screaming about the cost of school cleaners Government support it? and has changed its position. It is taking Mr D'ARCY: I am saying that, as is funding away from its own heartland in a major way in this State. The motion that we are made clear in every section of every major debating makes that point. The Government is departmental report and as every person in destroying the budget for road planning for the the House knows, the commonsense solution whole of this State. is that there will be an alternate route at some time in the future. That is not the topic of While I appreciate and realise that public debate tonight. Tonight's debate is about the transport is an answer, Queensland does not costing of the project and how that relates to have quite the necessary population; it does what the Government is actually doing. not have quite the distances to cover the sort As to all the points that I have made over of proposals that were mentioned tonight. a period about the road—all those chickens Hon. V. G. JOHNSON (Gregory— are now coming home to roost on the Minister for Transport and Main Roads) members opposite. The Government is using (6.45 p.m.): I rise to speak against the motion the people along the northern section of the moved by the Deputy Leader of the road. It is using their area. It is destroying the Opposition, the member for Capalaba, Mr businesses and the roads and, at the same Elder. We will talk about funding and time, denying those people access to the very consultation. Prior to the 15 July 1995 road. The fact of life is that the Government is election, the people of Queensland knew full not taking into account the costs of developing well what were our intentions. We were open, around an existing road; it is not the sort of honest and told the people of this State greenfield site as was the case near Nambour. exactly what were our intentions. That is why While the Government is proceeding with the we won those four seats in the vicinity of the impossible dream that this can occur, it is road. Some of those members spoke against 2478 Pacific Highway Expansion 4 Sep 1996 this motion tonight. They were voted in and way, as has Russ PPK, to have full and proper are in this Chamber today because they did consultation with the people along the length not support the eastern corridor concept of the and breadth of that motorway. At any time Labor Government. people can receive a full briefing about the The motion refers to funding. The Government's exact intentions in relation to southern section is costing $630m and the the upgrading of that motorway. The member northern section is costing $520m. The Lord for Waterford knows that full well. He knows Mayor of Brisbane, the honourable Jim that officers within the department are only too Soorley, a member of the Labor Party, happy to provide that briefing at any time. The endorses totally our concept in relation to members opposite want to be negative, cry busways from Logan to Brisbane City and the wolf and cause people heartache and upgrading that the Government intends to concern. carry out. As to the $630m—$150m is coming As to the eastern tollway—Department of from the Federal Government. That money Main Roads officials showed me a plan that forms a part of the $750m upgrade of the could have utilised other corridors on the south Pacific Highway. Mr Elder knows that as well side as well as the Logan Motorway. But no, as I do. He can wait until next week to see when Mr Elder was Minister he concealed what the Budget brings. A total of $238m was those options from the former Premier, Wayne committed in the Budget of the former Goss, and his Government. When that plan Government for this same exercise, but Mr was shown to Mr Goss, he threw his arms in Elder did not go so far as telling us where his the air and said, "If I'd have known that, there $700m was coming from. The sum of would have been something done about it." $30.12m has been provided from normal road The former Minister for Transport kept his own funding sources. A total of $185m has been Premier in the dark. That is something that we committed by this Government over the next on this side of the House have never done; we three years in its efforts to shift people, not have not kept the Government in the dark; we cars. That is a very responsible part of the have not kept the State in the dark, and we initiative that we are debating today. will not keep the people of south-east The Brisbane City Council is committed to Queensland in the dark. this project, as is private enterprise and the Time expired. State Government. The member for Mount Ms BLIGH (South Brisbane) (6.51 p.m.): Gravatt referred to interchanges closing in It gives me pleasure to support the motion peak hour. What a ridiculous, negative moved by the Deputy Leader of the response! Members opposite have had full Opposition. I support the motion for two and purposeful briefings from the Department reasons: one is the immediate effect that the of Transport and Main Roads. All that those proposal will have on the amenity of local members have done has been negative, residents in my area; the other is the long-term negative, negative. I am very sorry to say that effect that the proposal will have on traffic flow the member for Capalaba is a very negative through inner-city areas of Brisbane. person. He should go away, have a look at himself and examine his purpose in this place. Firstly, let me deal with the immediate All that the member for Waterford has done in effect on the amenity of local residents in my his electorate is create anxiety, heartache and area. The question of noise amelioration tears in the people of his electorate. He wrote barriers has long been a source of complaint half of the letters that have been quoted. He to many residents in my electorate who have made up those stories. I deplore the stand lived in the area ever since the freeway was that he has taken. He has not assisted any of built and who have been waiting ever since for the people involved. Instead of being noise barriers. The barriers were budgeted for productive, fruitful and helpful, he has been this financial year. In February, consultation on only a scaremonger. the location, height and construction of those barriers was finalised. Their construction has Mr Barton: You haven't been there. been delayed pending the outcome of this Mr JOHNSON: I have been there and decision. I understand from the briefing with spoken with the people. All that member senior officers that they will now be delayed wants to do is create chaos and heartache in further and, in the case of residents on the their lives. eastern side of the freeway, may be delayed The Government will deliver on the indefinitely. Gold Coast Motorway. It will be a world-class Of course, the effect is that people who motorway. The Department of Transport and have lived with that noise for many, many Main Roads officials have gone out of their years will have to live with it for a lot longer. 4 Sep 1996 Pacific Highway Expansion 2479

However, in good faith people bought new clear lane in which they can travel as quickly homes along that stretch of the freeway, which as possible and by encouraging the use of is quite a heavily populated area. Many of multiple-passenger vehicles. The problem with those people went to great lengths to check the Minister's proposal is that those people with the Transport Department, local real who live in, for example, Beenleigh and who estate agents and local members of are commuting to Brisbane and who go to the Parliament from both sides of the House and, trouble of pooling their car with their prior to buying properties in the area, they neighbours to gain the benefit of a were reassured that noise amelioration barriers high-occupancy-vehicle lane from Beenleigh would be constructed and that they would be into the city will find that that lane stops at constructed in the 1995-96 year. That has now Mains Road. From Mains Road to the city been proven to be a lie. Nothing from either there is no high-occupancy-vehicle lane. the Department of Transport or from the Those people who have gone to the trouble to Minister himself has given any reassurances to adopt the behaviour that the Minister is those people. seeking will receive a major disincentive when I seek the Minister's reassurance and his they get to that part of the freeway, which is intervention in the operations of his already the most congested section of it. Their department to make sure that the noise high-occupancy-vehicle lane will cease at amelioration barriers which have been Mains Road. The point has been made promised along that stretch are constructed as already that the high-occupancy-vehicle lanes soon as possible, particularly along the are in the middle of the road, so those people western side, and that any busway who are travelling on and off the freeway construction will not interfere with that project. between existing exit and entrance ramps will On behalf of residents in my area, I have been be in no way encouraged to use the seeking reassurances from the Minister's high-occupancy-vehicle lanes. departmental officers and they have been Mr Johnson interjected. unable to give them. Ms BLIGH: I have not come to the Mr Johnson interjected. busways yet. I am coming to the bouquet. I Ms BLIGH: I look forward to them. congratulate the Minister on the implementation of Labor policy—the I will deal briefly with what I believe will be far-sighted vision of the previous Labor the very poor long-term effects on traffic flow Government—to start moving towards through inner-city areas. I understand the busways. Unfortunately, it is only half the difficulties that the Minister is experiencing in policy. It is only half a busway; it does not go trying to regulate traffic flow along this very half the distance that the former Government difficult stretch of road, but, frankly, the was proposing. We do not see evidence yet proposal that the Minister and his department that the Government plans to create busways have come up with can be described only as a in the other three directions. dog's breakfast. In my view, it can inevitably only suck traffic from the Gold Coast and Time expired. southern districts of Brisbane into the inner-city Question—That the motion be agreed area. The construction of eight lanes in those to—put; and the House divided— southern districts encourages traffic and AYES, 40—Ardill, Barton, Beattie, Bird, Bligh, encourages general traffic flow into the Braddy, Bredhauer, Briskey, Campbell, De Lacy, Brisbane area. Of course, what happens to Dollin, Edmond, Elder, Foley, Goss W.K., Hamill, those eight lanes of general traffic is that they Hayward, Hollis, McElligott, McGrady, Mackenroth, start to merge into six lanes. In one case they Milliner, Mulherin, Nunn, Nuttall, Palaszczuk, Pearce, will merge into four lanes and break out again Purcell, Roberts, Robertson, Rose, Schwarten, into six lanes. The four-lane and six-lane areas Smith, Spence, Sullivan J. H., Welford, Wells, are located in the already congested and Woodgate Tellers: Livingstone, Sullivan T. B. slowest part of the freeway during peak hours, NOES, 41—Baumann, Beanland, Borbidge, Connor, which ranges from the Gateway turn-off, the Cunningham, Davidson, Elliott, FitzGerald, Gamin, Mains Road turn-off and into the inner city. Gilmore, Goss J. N., Grice, Harper, Healy, Hegarty, Hobbs, Horan, Johnson, Laming, Lester, Lingard, The most difficult point to understand in Littleproud, McCauley, Malone, Mitchell, Quinn, the Minister's plan is the location of high- Rowell, Santoro, Sheldon, Simpson, Slack, Stephan, occupancy-vehicle lanes. Of course, Stoneman, Tanti, Veivers, Warwick, Watson, Wilson, high-occupancy-vehicle lanes are provided on Woolmer Tellers: Springborg, Carroll freeways to offer rewards to those people who Pairs: Fouras, Perrett; Radke, D'Arcy; Cooper, go to the trouble of pooling cars. It provides Gibbs. those rewards by giving those commuters a Resolved in the negative. 2480 Adjournment 4 Sep 1996

ADJOURNMENT interested in it. I was the one who Mr FITZGERALD (Lockyer—Leader of conducted—— Government Business) (7.03 p.m.): I move— Mr Hobbs: Oh, rubbish. You know that's "That the House do now adjourn." not true. Mr SCHWARTEN: The Minister can tell all the lies he likes, and he knows they are lies. Minister for Natural Resources Mr HOBBS: I rise to a point of order. I Mr SCHWARTEN (Rockhampton) think the member knows what I am going to (7.03 p.m.): I rise in the Adjournment debate say. I find those words offensive. I would like to call on the Government to publish its policy them to be withdrawn. on how it intends to run ministerial visits to Mr SCHWARTEN: Of course the Queensland electorates, especially those seats not held by Government members. The Minister would. I will withdraw them. The policy of Tom Burns—as can be verified by Minister has the heart of a split pea. members who sit opposite—was that he The fact is that on 1 June, I took up this always made sure that a local member knew if issue at a public meeting when the council he was going to be visiting his or her showed no interest in it at all. If the member electorate. I recall an occasion during the last wishes, he can contact the man with whom he State election, as will the member for Keppel, had his photo taken, Mr Pat Ryan. He will find when the member for Keppel was invited to out that it was the case that no-one was attend the handover of fire appliances and interested in the issue until I took it up. I was various other things at The Caves, and that is prepared to give the Minister full due for giving fair. Tom lived by the rule that people were me a hearing and I have publicly said that I elected to represent their constituents and it was impressed with the hearing that I was bad politics and stupidity to do other than received. to invite the local member. The Minister snuck into my electorate very I have to say that a number of members early in the morning and pulled the old political of this Government follow that policy. Mr stunt in which he handed over to his tory Davidson, who I notice is about to leave, mate, the Mayor of Rockhampton, big-noted recently invited me to an opening, and I am himself and played all the political games. very thankful for that. Mr Perrett and Mr Horan However, there has been an enormous have recently done the same. Mr Veivers, who backlash against the Minister's personal regrettably is not here at the minute, always credibility. I know how the political game is lets me know if he will be visiting my played, but I do not believe that any member electorate, as does Mrs McCauley. However, deserves disrespect. I do not care who comes recently I was exposed to what I can only into my electorate, but if Ministers want to describe as most contemptuous treatment by come to my electorate and make the Minister for Natural Resources, Mr Hobbs, announcements, as the Minister did, it is just and I am glad to see that he is in the House. good manners to let me know. That is certainly Mr Hobbs pulled what I regard to be a pretty the way that I was brought up. Obviously Mr cheap and politically naive stunt and thought Hobbs has had a different upbringing. I feel that he was going to get away with it. very sorry for him. However, I can tell the Minister that many The bottom line is that it was a cheap of the people involved are supporters of the stunt and it was seen as such. Indeed, National Party and they regard his actions as someone I have never heard from wrote a pretty poor. Mr Hobbs knows this story to be letter to the editor of the Rockhampton paper true. I took up the cudgel for the people in which he condemned Mr Hobbs for his present, and I thanked Mr Hobbs for seeing behaviour. This is not lost on the people of me. Rockhampton. The Minister could have turned the issue into a good news story for himself Mr HOBBS: I rise to a point of order. I and his Government, but he let the point out to the members of the House that Government down. many others took up this particular issue. It was not only the member for Rockhampton I urge other Ministers, such as the and he was not the first. Minister for Local Government and the Minister for Health, to continue the good Mr SPEAKER: No point of order. things they are doing. There is no political Mr SCHWARTEN: I was certainly the credit in this for me, but there is a lot of first to take up the issue when the political—— Rockhampton City Council showed it was not Time expired. 4 Sep 1996 Adjournment 2481

Children's Commission "The evils you state are enormous and indisputable. But they are so private, Mrs WILSON (Mulgrave) (7.08 p.m.): I internal and domestic in character as to wish to congratulate the Honourable the be beyond the reach of legislation, and Minister for Families, Youth and Community the subject would not, I think, be Care for bringing legislation before this entertained in either House of Parliament which will establish a Children's Parliament." Commission in this State. As the Honourable the Minister pointed out, it is not only a first for It was not until the mid to late 1880s that Queensland; it is also a first for Australia. severe forms of abuse began to emerge publicly. In the United Kingdom and North Approximately nine years ago the America, societies for the prevention of cruelty conservative party in this State established the to children were established. Legislation at this Queensland Centre for Child Abuse, and nine time focussed on the prosecution of offenders years ago I was involved in the establishment rather than on the protection of children. There of SCAT—Stop Child Abuse Today—in far- was further legislation around the turn of the north Queensland. Over the years, many century, but any real progress in the field of people have spoken about the need for such child protection came to a virtual standstill until a body but nobody had gone the hard yards after the Second World War. to bring it about. It is most appropriate that the Children's Commission legislation coincides In 1961, an American paediatrician, Dr with National Child Protection Week, which is Henry Kempe, became alarmed at the high being observed throughout Australia this number of children admitted to hospitals week. suffering from non-accidental injuries. It was a symposium under Dr Kempe's direction which It is a sad fact that history does not record first coined the term "battered child favourably the manner in which society or syndrome." It became evident at this time that Government has dealt with child abuse. In child abuse was not something exclusive to fact, the further back in history we delve the the lower socioeconomic class or perpetrated lower was the level of child care and the more by mentally disturbed or deranged individuals. likely it was for children to be killed, Since the 1960s, the high incidence of child abandoned, beaten, terrorised and/or abused. abuse in all forms—physical, emotional, sexual There are references to child abuse in the and neglect—has surfaced in many countries, records of medical practitioners which date including Australia. back to Persia in AD900, Greece in the This recognition in Queensland led to the second century, Italy and Switzerland in the establishment of statutory child protection seventeenth century and England, North services to address the problem. In this State, America and Europe in the eighteenth the Children's Services Act 1965 evolved from century. three previous Acts introduced in the late In the nineteenth century, medical nineteenth century and early twentieth physicians preferred not to acknowledge that century. Its primary focus is protection from parents could harm their children. At the time, neglectful acts and behaviour by parents and a French physician, Ambries Taint, published protection from unacceptable living conditions. evidence of a sample of 32 children injured by The Act is currently under review with the their parents, 18 of whom had died. The intention of overhauling it to better reflect the causes of death included burns, suffocation community standards of the 1990s. Norway and extreme deprivation. was the first country to appoint an independent official to watch over the rights We are talking about an era or climate in and interests of children. That happened in which children had absolutely no rights. 1981. Jerusalem appointed its Children's Parents could treat their children as property Ombudsman in 1986, and in 1989 New and punish them as they saw fit. Domestic Zealand appointed a Commissioner for matters were looked upon as something well Children. Now, in 1996, this Parliament is in outside the realm of legislation. It is a sad the final stages of seeing meaningful indictment of those dark times that legislation legislation that will create the office of the to protect animals dates from 1823, whereas it Children's Commissioner. Once again, I was 1889 before legislation was introduced congratulate the Honourable the Minister and aimed at protecting children from cruelty. Eight his staff and department for their efforts in the years before, in 1881, attempts in England to formulation and presentation of the Bill which introduce legislation to prevent child cruelty is now before us. Looking back on history, we were entirely rejected. The Prime Minister, see that the action is long overdue, and I am Lord Shaftsbury, commented— pleased to be part of a Government which has 2482 Adjournment 4 Sep 1996 the fortitude and commitment to face up to Some are scared to leave for the day for fear the deficiencies of the past. that the doors will be locked behind them. Our elderly citizens need to feel secure. Wahroonga They are at a time in their lives when they find it difficult to cope with change. Under all Mr DOLLIN (Maryborough) (7.12. p.m.): previous Governments, they did not have Thanks to the Chifley Government of many these concerns. They came into a cottage years ago, there was established near the when they were unable to cope. They then Maryborough Base Hospital a public moved into a unit and, when they could not retirement village and a nursing home cope in a unit, they moved into the nursing containing 100 beds plus 140 cottages and home. This meant that, once they became a units. This establishment, known as resident of Wahroonga, they were cared for Wahroonga, has served the Maryborough and during the remainder of their lives. This callous district citizens well for more than 30 years. Its Government should not feel very proud of its central location in the district made it easy for bully tactics towards our senior citizens. This sons, daughters and grandchildren to visit the uncaring Government is going down the pioneers who built our economy through many privatisation path at any expense—this time at hard times for little monetary reward. the expense of our defenceless elderly At present, the nursing home has all 100 pioneers. beds occupied and there is a considerable I ask the Minister for Health to make waiting list. The nursing home rarely has any available the cottages and units to the public empty beds. Members will be amazed to know under the same conditions that have prevailed that there are now only 18 persons occupying over the past 30 years or more under both the 140 cottages and units in the complex. National and Labor Party Governments. I ask That leaves 122 empty. This is not because that the Minister investigate this situation as there is not a need but because this soon as possible and reverse what is going Government is trying to close down the on. I advise the Minister that there is great Wahroonga cottages and units. The concern in Maryborough about this issue right Government has emptied this place by across the political spectrum. It is really not a pushing these elderly pioneers out into private political issue. It will become very much the accommodation that they can ill afford, and no concern of the citizens of Maryborough and new residents are being admitted to the units districts because, with this home and these or cottages. Applicants are told to seek private cottages closed, a tremendous number of accommodation. On checking the availability people will have nowhere to go. of private accommodation, I have found none available, except for six units for $91,000 up front. That is totally out of reach for most Livestock Straying onto Highways battling pioneers who did not have the Mr TANTI (Mundingburra) (7.16 p.m.): In opportunity to accumulate much money during November 1993, Townsville grandmother Adell their lifetime. What they did earn went towards Butler was almost killed when a vehicle driven sustaining themselves and their families. As a by her husband, Lance, struck a straying society, we owe them, as they built what we horse on the city's outskirts. She was rushed have today. to hospital with severe head injuries and The story that is circulating around surgeons operated to stem the bleeding in her Maryborough is that the Government is skull. Three years later, the injury still gives her shoving these senior citizens out to enable it headaches. Mrs Butler would like to see to sell off the cottages and units to private legislation introduced which would overturn the enterprise, and the nursing home could go the existing common law approach stemming from same way. I ask the Premier to deny or an archaic English law that gives grazing confirm those rumours as they are causing animals the right of way on Queensland roads. much concern in our community. Many of our "The paradox is that the law has since senior citizens are very worried because their been repealed in England and subsequently plans to enter the retirement units and throughout Australia, except in Queensland cottages have now been thrown into chaos. and the Northern Territory", Mrs Butler said. In These people do not have the money to buy most circumstances, as the law now stands in into private accommodation. Where will they Queensland, motorists and their passengers go in their twilight years? They are frightened, are not covered by compulsory third-party and some of the 18 residents of the units and insurance for injuries sustained in a collision cottages are also frightened. They are being with farm or domesticated animals unless fault pressured to leave and to find private facilities. can be established. In many cases, the driver 4 Sep 1996 Adjournment 2483 and passenger are left in limbo because this subject previously in Parliament. I wish to neither was at fault and, due to this archaic quote some excerpts from Mr Davies' speech law, technically the stock owner is not at fault, on 22 November 1994. He stated— either. In fact, the law actually allows the stock ". . . I would like to speak about the owner to sue the motorist for damage to an subject of livestock straying onto highways animal. and the civil liability for damage in relation Mrs Butler said Queensland law had been to that. framed around the centuries-old English . . . common law affirmed by the well-known I have to say that I acknowledge and Searle and Wallbank matter, which was taken sympathise with the arguments put to the House of Lords as a test case in 1947. forward by the United Graziers Queensland Law Society president-elect Hugh Association. Queensland is a vast State. Grant said that protecting land owners from To require all of those properties to be liability for straying stock posed a special fenced to try to overcome the problem dilemma in Queensland. "Much of the State is would place a massive burden on that given over to primary production on properties section of the community. Nevertheless, so vast that it would not be economically although that is true for the vast rural feasible to erect and maintain stock-proof regions of the State, I believe that the fencing on all road accesses", Mr Grant said. average motorist is entitled to protection He continued— on major roads in semi-urban "The only certain method of being environments such as Herveys Range covered for every eventuality would Road and Mount Low Parkway in necessitate an individual or family having Townsville/Thuringowa. separate personal accident insurance. . . . That way the individual is not only covered for an animal strike while driving, but also I believe that there is a for any other unforeseen personal injury commonsense solution to the problem. incident." We really have to be able to find a commonsense solution because, as I said Meanwhile, Mrs Butler continues her earlier, many of the persons who have campaign to bring about a change to the law. been involved in accidents as passengers She is compiling a petition which she will soon in a vehicle which has collided with present to the Attorney-General, Denver animals have been severely Beanland. As of today, that petition has not disadvantaged, in that the future of any been tabled. "I'm not doing this for me. I was legal proceedings is clouded because of very lucky, I can get on with my life", Mrs the operation of this rule . . . The costs to Butler said. Mrs Butler's medical bills are graziers of having to fully enclose their ongoing and have exceeded $6,000, although properties would be horrendous and much of it was covered by private health would ruin many businesses. I do not insurance. believe that that is a desirable outcome. Her near-death encounter with an animal I believe that the potential liability is far from an isolated one. Queensland could be covered specifically through the Transport statistics show that 15 people have motor vehicle insurance system. In the been killed and 135 have been hospitalised case of motor vehicle accidents where the after vehicles collided with stock on other party to the accident cannot be Queensland roads between 1991 and 1995. found, there is the Nominal Defendant There was a total of 984 crashes involving Fund. If a vehicle collides with a fixed stock in that five-year period—more than object such as a tree, there is still a double the figure involving wild animal strikes. remedy available . . ." Mrs Butler said that ignorance by the public concerning the anomaly was rife. Mrs Butler said she would almost certainly have been left Minister for Local Government; to pay not only medical bills but also legal Transtate costs of up to $20,000. She said that perhaps Hon. D. M. WELLS (Murrumba) the Motor Accident Insurance Commission (7.20 p.m.): Let me tell the House a few of the needs to undertake a public education facts surrounding the recent self-admitted campaign specifically on the problem of misleading of the House by the Minister for animal strikes. Local Government. The former Labor member for First a timeline of relevant events: 22 Mundingburra, Ken Davies, has spoken on February—the State Government offers to sell 2484 Adjournment 4 Sep 1996

Transtate's subsidiary 2.7 hectares of most important land. These moves came to Government land in the Redcliffe wetlands nothing because the Minister imposed a area that Transtate wants to develop for requirement that council decide the matter on $40,000. This land is the road reserve for 24 July. The environmentalists at council did Hercules Road. 14 May—invitation to Minister not have time to go through the process of to lunch with group, including Mr Peter public resumption even of small parts of the Marshall, managing director of Transtate. 31 wetlands because of, and only because of, May—road reserve is closed by Government the Minister's directive. Gazette of this date. 4 June—Minister attends The result of the Minister's directive was lunch with managing director of Transtate. 2 that Transtate was able to buy the land at July—Redcliffe City Council receives letter from bargain-basement prices, but council, on Minister ordering it to decide Transtate behalf of the environmentalists, was not. rezoning application for the Redcliffe wetlands Given the impact of the Minister's intervention, by 24 July. 10 July—Redcliffe City Council one would think that she would be up-front receives notice of deed of grant of the road about her relationship with the players in the reserve to Transtate's associated company. 11 game. On the contrary, she represented that July—member for Murrumba tells Parliament she had not lunched with the developers until Minister had lunch with Transtate before an FOI application forced her to admit that she sending letter to Redcliffe council. 25 had. The Minister misled the House at the very July—Minister tells Parliament she did not point when the gravity of the dealings going have lunch with Transtate. 27 July—member on required her to be most truthful. She for Murrumba repeats allegation. 2 should do the proper Westminster thing and August—member for Murrumba makes FOI resign. application for documents concerning the lunch. 3 September—as the statutory period for FOI disclosure nears its end, Minister Gun Dealers admits to misleading Parliament. Mr ELLIOTT (Cunningham) (7.25 p.m.): The Minister misled the House about her The area of concern I wish to bring to the Transtate lunch against the background of attention of the House is the plight of gun important economic events. The State dealers in this State and this nation. Unlike Government was in the process of selling many gun owners, who in most cases stand to Transtate the road reserve for the Hercules receive compensation for the guns that they Road extension. The Government sold it for a hand in, dealers are facing a huge black hole. song—$40,000 for 2.7 hectares. Transtate Many of them are now basically marking time told council that it would be selling canal and are unable to do anything. How many frontage for $240,000 per 800 square metre businesses in this State would be able to stop block. 2.7 hectares is around 30 such blocks, undertaking transactions for anything up to six so the developed value of the 2.7 hectares of months and still come out at the other end canal frontage would be over $6m—not a bad intact and able to continue to trade? mark-up on 40 grand! When large sums of We have all overlooked the plight of gun money are changing hands and massive dealers. In the early stages of the furore in the profits are being accrued, that is the very time community, there was a tremendous amount the public needs assurance of maximum of trading going on. People were buying probity, and that requires maximum cartridges and all sorts of things, and dealers truthfulness from Ministers. The finger of were in some cases doing more trade than suspicion is not going to be pointed unless they would have normally. Since that phase reason is given to mistrust the Minister's word has passed, most gun dealers have not been to Parliament. The fact that so much is at selling anything at all. From where I sit, they stake makes the Minister's misleading of this seem to be the forgotten group in the tragedy House so important. surrounding the Port Arthur massacre. All of us The land concerned is sensitive and, in have to look hard at where dealers are coming part, ecologically valuable wetlands; home to from and where they will end up. many species, both native and migratory, both Regardless of how people feel about common and rare. Several councillors were firearms or their use or anything else, they keen to preserve it and add at least some of it must understand that many of these to the adjacent wetlands that had already businesses are small family operations. Many been saved. At least one councillor, who of them have been conducted honourably and noted that this land could be bought and sold openly for many years and, in some cases, for $40,000 per 2.7 hectares, wanted council they have been operating for up to 50 years. to purchase a few parcels of the ecologically Is it fair that, through no fault of their own, 4 Sep 1996 Adjournment 2485 some dealers may go bankrupt due to the Mr ELLIOTT: That may be the case. In decisions taken at the Commonwealth level? many instances, the decision announced by Mr Schwarten: You should raise it in the Commonwealth Government has ground the debate on the Weapons Bill. many gun-dealing operations to a halt. Mr Springborg interjected. Mr ELLIOTT: I take that interjection. I will do that. I must be honest and say that I Mr ELLIOTT: As my colleague the have overlooked the bleak future facing some member for Warwick rightly says, many of gun dealers. Because such a high level of these people have been unable to bring into trade occurred when the Commonwealth the country parts for some of the guns which Government first made its announcement, people are still able to possess lawfully. everyone assumed that dealers would do well Mrs McCauley interjected. out of it. The end result, in my opinion, will be Mr ELLIOTT: Indeed. Alternatively, they a long hiatus during which dealers will be able could find themselves holding a lot of parts to engage in virtually no trading. and ammunition for some of the banned weapons. What are they going to do with I have talked to quite a few people. those goods? They will not be able to sell No-one is game to buy anything or do them to anyone. To say that we have been anything. Everyone is sitting back like stunned derelict in our duty is perhaps a little bit too mullets. No-one is game to import anything in strong, but we have not considered the future case there is a change in attitude. This has position of gun dealers. On behalf of these made life very difficult for dealers. Those who people, we must come up with solutions to have businesses associated with trap-shooting their problems. This is another facet of the organisations or rifle clubs will probably be firearms debate that has not been canvassed okay. as thoroughly as it should be. Mr Schwarten: See, they can't buy the Time expired. parts for them. The House adjourned at 7.30 p.m.