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Legislative Assembly for the ACT: 2002 Week 12 Hansard (13 November) . . Page.. 3499 ..

MR WOOD (continuing):

The Farmhand Foundation was formed to provide immediate relief to people suffering the effects of drought and to promote long-term strategies to help drought-proof Australian agriculture. There are two aspects of the Farmhand Foundation. The first aspect of providing relief to people is good in all circumstances. I have no difficulty with that. The second aspect of looking to drought-proof Australian agriculture is one about which I think people must be more cynical. Claims that you can drought-proof Australia have been the subject of severe doubt.

The Farmhand Foundation is certainly the largest private sector group ever formed to tackle such a national issue. It was launched on 3 October, and the appeal, concert and telethon have already raised $13.5 million.

The Farmhand Foundation principals are Foxtel chairman, Mr Chisholm; News Ltd CEO, Mr Hartigan; Alan Jones, who is the spokesman; Telstra chairman, Mr Bob Mansfield; CPH chairman, Mr Kerry Packer; Visy Industries chairman, Mr Richard Pratt, and STW Group director, Mr John Singleton. There is no doubt it is a group of powerful movers and shakers. I will not comment on what other agendas they might have.

The Australian Red Cross is responsible for processing all applications to the appeal for relief. I commend them for that. They say they will not profit from the appeal in any way, but there is an administration fee to cover costs of the processing, administration and distribution of funds.

The assistance is for primary producers, including share farmers and farm contractors-I note that it does not extend beyond primary producers to people in rural communities or in the cities and towns-who are located in drought-declared or drought-affected areas, whose property or on-farm business is their primary source of income and whose property income or on-farm business has suffered as a result of the drought. I think they deserve help. I do not argue about that at all.

Farmhand is a response to a pretty grim national situation. It is only one response, mind you. As I have indicated, part of it is to meet a short-term immediate need in a financial crisis in the rural community. It is not a response to the great rural crisis of degradation of water and soil resources.

Mr Humphries said that only 1 per cent of New South Wales is not drought declared. The regions to the north, east and south of the ACT experience a modified Mediterranean climate, and it is not unusual for the ACT and the surrounds to have extended dry periods.

In the past, drought declarations have not occurred unless the region has experienced poor pasture growth for an extended period of time, defined as two growing seasons-spring/summer or autumn/spring, for example. However, weather forecasters are continuing to predict the likelihood of lower than average rainfall. This region has had little autumn/spring pasture growth, and any rainfall now will have little value in promoting grass growth. A drought declaration for the ACT is currently being considered, and the situation is being closely monitored.

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