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Legislative Assembly for the ACT: 2002 Week 8 Hansard (26 June) . . Page.. 2298 ..

MR CORBELL (continuing):

The real cost to extend the ACT concessions program to a wider range of seniors cardholders would be approximately $4 million in 2002-03. With the current ageing population in the ACT, the recurrent cost would continue to increase. This would have a significant impact on the ACT's budget-to fund a Commonwealth election commitment. Given our current budgetary circumstances, we are simply not in a position to provide that level of funding.

In the 12 months to June 2001, the number of persons aged 65 years and over in the ACT increased by 3.5 per cent. The Commonwealth's offer relates to holders of Commonwealth seniors health care cards who may have an annual income of less than $50,000 for singles and $80,000 for couples combined.

Mr Cornwell said that this was only slightly above the provisions for pension cardholders. I would like to disabuse Mr Cornwell of that. To qualify for a pension card, singles must have an annual income of less than $29,400. Compare that with the $50,000 for Commonwealth seniors health care cardholders. The difference is more than $20,000 per annum. For couples, pension cardholders can have an annual income of less than $49,000 per annum. Compare that with the $80,000 per annum for Commonwealth seniors health cardholders, $30,000 more.

There are also differences in the asset limits for pensioners. The eligibility requirements for pension cardholders impose asset limits, whilst for Commonwealth seniors health care cardholders there are no asset limits. So the level of income is not just slightly higher. It is significantly higher-$20,000 for singles and $30,000 for couples-and there is no asset limit.

The ACT government's decision is based on the principle that support and concessions should be extended to those most in need. I do not for a moment doubt that there are self-funded retirees who live in difficult situations. But this is about focusing, as a matter of policy, on those most in need. The difference between $49,000 per annum for a couple to be eligible for a pension card and $80,000 for a couple to be eligible for a Commonwealth seniors health card is significant.

I understand that the ACT is not alone in rejecting the Commonwealth's initial offer. Other states have also expressed concern at funding the Commonwealth government's election commitments. I understand that the South Australian decision was made prior to the last South Australian election. So it was a decision taken by the previous Liberal government in South Australia. That may very well be the case for the Northern Territory as well, given the recent change of government there, but I could not be sure of that.

One of the catalysts for the establishment and maintenance of a concessions program here in the ACT, and indeed in any jurisdiction, is to achieve a balance in the standard of living and access to essential services for all members of the community. The ACT concessions program is committed to expenditure support for those most in need-pensioners and health care cardholders. I do not think I need to reiterate the eligibility difference between a pension cardholder and a Commonwealth seniors health cardholder. The difference in annual income, as I have already highlighted to members, is not insignificant.

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