Victorian Political News		www.robertclark.net

INFRASTRUCTURE GUIDELINES, BUT WHERE ARE THE PROJECTS?

News Release - Tuesday, 27 June 2000

Today's release of guidelines for private sector provision of public infrastructure once again highlights the lack of new major infrastructure projects under the Bracks Government, Shadow Major Projects Minister Robert Clark said today.

Mr Clark said the Government clearly lacked ideas on how to fill the increasing vacuum of major projects that Victoria needed to provide jobs and stimulate investment.

He said the guidelines also raised concerns about a possible return to the disguised borrowing and other "funny money" deals of the Cain and Kirner Governments.

"Despite attempts to imply that the guidelines involve the announcement of $1 billion of new infrastructure projects, there have been no new projects announced at all," Mr Clark said.

"The projects which have been referred to by Mr Brumby today are uncommitted projects previously announced by the Bracks Government, many of which were in turn recycled announcements of projects previously initiated by the Coalition Government.

"With the growing evidence of a significant downturn in the Victorian construction industry, and with successful Kennett Government major projects such as the new Museum, Federation Square, National Gallery and State Library refurbishment nearing completion, the Labor Government needs to identify and commit to new major projects of economic or social benefit to Victoria, rather than constantly recycling old news.

"The Government says it is setting aside $1 billion over 4 years - or $250 million a year - for unspecified infrastructure. However, this is nothing more than a provision in its forward estimates. The Government needs to be identifying, planning and commencing specific new projects now, which can take the place of completed major projects.

"What has happened to the Coalition Government's proposals to expand the highly successful Melbourne Exhibition Centre and create a 5000 seat plenary hall, as the state's convention industry has recently called for?

"What has happened to the proposed $26 million to be spent on the Australian Garden project at Cranbourne, or the $20 million for the redevelopment of botanic gardens and gardens of special significance across regional Victoria?

"With the State Budget already projecting a return to a cash deficit from 2002-03 onwards, these new guidelines also open up the spectre of deals such as the World Congress Centre financing and the Accelerated Infrastructure Program of the Cain and Kirner eras.

"Labor in the 1980s started off with all sorts of grand promises about modern financial management, but when they ran out of funds to pay for their spending, they degenerated into disguised borrowing deals under which the taxpayer picked up all the risks and got none of the potential benefits of private sector involvement."