Legislative Council
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Legislative Council Tuesday, 30 March 2010 THE PRESIDENT (Hon Barry House) took the chair at 3.00 pm, and read prayers. TEMPORARY ORDER 7 — NON-GOVERNMENT BUSINESS Statement by President THE PRESIDENT (Hon Barry House): Honourable members, you will be aware that we are now operating under temporary orders. I have a short statement about those new orders. Temporary order 7 provides that non-government business on a Thursday morning shall be allocated according to the proportion of representation of the non-government political groups. Accordingly, the Leader of the Opposition and the Leader of the Greens (WA) have agreed to a schedule that encompasses the remaining scheduled sittings during the application of the temporary orders. I table a copy of that schedule for the information of members. The schedule must be adopted by the house prior to its application. [See paper 1880.] Motion On motion without notice by Hon Norman Moore (Leader of the House), resolved — That the schedule for non-government business tabled by the President be adopted and agreed to. DEPARTMENT FOR CHILD PROTECTION — INTERIM CARE CENTRE, WANNEROO Petition Hon Michael Mischin presented a petition, by delivery to the Clerk, from 138 persons expressing their disagreement with the purchase of the house at 22 Kentia Loop, Timberlands Estate, Wanneroo, by the Department for Child Protection for use as an interim care centre for abused juveniles. [See paper 1875.] PLUTO LIQUEFIED NATURAL GAS PROJECT Petition Hon Robin Chapple presented two petitions, by delivery to the Clerk, from 10 and 30 persons respectively opposing the proposed establishment of the Woodside LNG land-based Pluto development on site A and B on the Burrup Peninsula. [See papers 1876 and 1877.] URANIUM MINING — BAN Petition Hon Robin Chapple presented a petition, by delivery to the Clerk, from 43 persons opposing uranium mining in Western Australia. [See paper 1878.] SHACK SITE COMMUNITIES Petition Hon Sue Ellery (Leader of the Opposition) presented a petition, by delivery to the Clerk, from 242 persons requesting that the government assist in the preservation of shack site communities in Western Australia. [See paper 1879.] PERTH STORMS — TEMPORARY CHANGES TO VEHICLE LICENSING LAWS Statement by Minister for Transport HON SIMON O’BRIEN (South Metropolitan — Minister for Transport) [3.03 pm]: In recognition of the hardship being faced by many vehicle owners, today I announced temporary changes to the way that the Department of Transport will deal with vehicles which have been declared repairable write-offs by insurers due to superficial hail damage and which are retained by the current owner. A repairable write-off is a vehicle that insurance assessors deem as uneconomical to repair, but it is not a statutory write-off. Under existing arrangements insurance companies are required to report both statutory and 1078 [COUNCIL - Tuesday, 30 March 2010] repairable write-offs to the government. The vehicle is then placed on the Written-Off Vehicle Register, a national database that assists governments around Australia to fight the illegal rebirthing racket. Presently, the Department of Transport advises the owner of a vehicle to surrender his plates and to cease driving the vehicle until such time as the vehicle is inspected for structural integrity by a WOVR-approved inspection centre and passes a roadworthy examination at a vehicle examination centre or an authorised inspection station. It is only then that a repairable write-off can be re-registered. Although these existing arrangements are suitable during normal circumstances, they are impractical at a time when so many people have been adversely affected by a freak storm. It is estimated that between 30 000 and 40 000 vehicles will be written off as a result of last Monday’s storm, compared with only 10 000 write-offs for all of 2009. Many of the repairable write-offs we are seeing at the moment are vehicles which are both structurally and mechanically sound but which have only aesthetic hail damage to their outer panels. I am advised that this being the case, many individuals will choose to negotiate with their insurance company and agree to retain their hail-damaged vehicles. In recognition of the pressure placed on vehicle owners due to last week’s storm, the state government will allow temporary changes to the way in which repairable write-offs are handled. Vehicle owners whose car is declared a repairable write-off due to superficial hail damage and who opt to retain their hail-damaged vehicle rather than permanently surrender it to their insurer will be able to continue to drive their vehicle. However, a number of conditions will be placed on these vehicles. The conditions include the following. Only repairable write-offs that have been assessed as having superficial hail damage by the vehicle owner’s insurer are eligible to take part in this scheme. Only vehicles retained by the original owner are eligible to take part in the scheme—this will not apply to hail-damaged vehicles sold at auction. Vehicle owners will be required to have their vehicles inspected at an accredited inspection station at a reduced rate of $59.70—normally it is $85.60—before their registration is due, otherwise their vehicle registration will not be renewed. Affected vehicles cannot be transferred or sold until this inspection has been completed and the vehicle passed. I reiterate for the benefit of the house that this scheme applies only to vehicles that have surface hail damage. For all other vehicles, the existing arrangements will be enforced. Consideration of the statement made an order of the day for the next sitting, on motion by Hon Ed Dermer. PAPERS TABLED Papers were tabled and ordered to lie upon the table of the house. AGRICULTURE AND RELATED RESOURCES PROTECTION (EUROPEAN HOUSE BORER) AMENDMENT REGULATIONS 2010 — DISALLOWANCE Notice of Motion Notice of motion given by Hon Giz Watson. TREASURER’S ADVANCE AUTHORISATION BILL 2010 Second Reading Resumed from 23 March. HON KEN TRAVERS (North Metropolitan) [3.09 pm]: The opposition will support this bill, although opposition members have many questions to ask and we are deeply concerned about the state of the state’s finances under the administration of the current government. We are dealing with a bill to authorise the expenditure this financial year of payments for extraordinary or unforeseen matters, or to make advances for certain purposes. The bill will allow expenditure in that area to increase over and above what has already been provided for under the Financial Management Act 2006, which is three per cent of the original budget brought before the house last year; an additional $681 million in rounded terms, contributing to a total Treasurer’s advance this year of some $1.15 billion over and above the amount budgeted for when the budget came before the house. This is the second highest Treasurer’s advance amount in this Parliament’s history; the largest was the one we dealt with in this chamber last year. They were both brought before this chamber on behalf of the current Treasurer, Hon Troy Buswell, at a time when the government is consistently telling us that it is dealing with tough economic times and reduced revenue. I will return to that later in my speech, because we are not facing reduced revenue to the extent that the Treasurer would have us believe. I accept that revenue is not growing as fast as it did a few years ago, but it is nonetheless not declining to the extent that some would have the general community believe. This is record, unbudgeted, out-of-control expenditure by a Treasurer who is not in control of his portfolios or the budget. We see this Treasurer make both little and big errors on a daily basis, and this Treasurer’s Advance Authorisation Bill sums up the biggest error of the lot, and reveals that the Treasurer for two years has been unable to control the government’s expenditure. The current government has both the gold medal and the silver medal for budget blow-outs. [COUNCIL - Tuesday, 30 March 2010] 1079 Hon Nick Goiran: Where did you borrow that phrase from? Hon KEN TRAVERS: I just made it up myself, actually. Members opposite can treat this as a humorous debate, and they are welcome to do that; I suspect that they are led by a Treasurer who sees everything as a joke—a Treasurer who does not understand his responsibilities in managing the state’s finances the way he should. I will briefly touch upon the comment I made about the state’s revenue streams. I want to look at the budget aggregates at the time of the Pre-election Financial Projections Statement and compare it to the revenue streams listed in the midyear review, which is the most recent document Parliament has available by which to judge the income of the state. At the time of the Pre-election Financial Projections Statement for the 2009–10 financial year, revenue was expected to be $20.86 billion. According to the midyear review, the revenue in 2009–10 will be $20.884 billion. There has been an increase in the revenue predicted at the last election. Why is this government facing such difficult circumstances? Because of its uncontrolled expenditure growth. It has brought the Treasurer’s Advance Authorisation Bill 2010 before us and asked for authority to spend this additional money because it has not been able to manage its budget properly. As everybody knows, the Liberal Party entered into an agreement with the National Party to form a coalition government. It can call it whatever it likes, but it is a coalition because both parties have representatives in the cabinet, and they have an obligation to follow cabinet solidarity, despite whatever fancy terms it uses.