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Legislative Assembly for the ACT: 2003 Week 5 Hansard (8 May) . . Page.. 1725 ..

MR SMYTH (continuing):

from that loss and damage, as we pulled together-from the ACT government and its leadership, through the spectrum of community, service, business and government organisations.

As an aside, it is humbling to reflect on the way in which we have responded to the bushfire disaster and to ponder on what we have learned, and will continue to learn, as we move into a phase involving some of the more intangible recovery activities. In the context of the budget for 2003-2004, however, it is important to examine the ongoing consequences of the bushfires and how we are responding to those consequences.

The budget is rather confusing in relation to the bushfires. There is a table on page 79 of budget paper 3 that is very difficult to understand. There are comments on page 105 of the same volume which provide part of the story related to natural disaster relief arrangements. There is a reference to the fire tax on page 87 of BP 3, and there are a number of relatively minor references to the bushfires.

Let us try to make sense of what we have here. It is estimated that the total cost of damage to property in the ACT was around $250 million, including both private and public property. There is no division into private and public, but it appears the current estimate is that public property damage totalled around $160 million.

Much of the private property damage will be covered by insurance. In relation to public property, estimated recoveries and net costs are: insurance receipts, currently totalling around $106 million; Commonwealth NDRA funds, estimated at around $17 million; fire tax, totalling around $10 million-leaving a cost to the ACT of around $34 million.

We then have an intriguing comment in the budget, on page 80 of budget paper 3. It says:

Most of the other costs will be covered by insurance, including restoration or replacement of $21m of general government assets.

Does this comment relate to the net amount of $34 million, or is it to some other amount? It is not clear.

Mr Speaker, I noted earlier that the budget analysis relating to the bushfires is rather confusing. There is further confusion when we consider what the budget says about recovery of funds from the Commonwealth. All we are told is that the estimated NDRA reimbursement for this year is around $11 million and, for the year 2003-2004, we add $6 million. As far as it is possible to tell, these funds are all to be derived from the application of a formula set within the NDRA guidelines. We assume these funds include any payments determined under the provisions of recompense for other acts of relief or restoration.

Nowhere is there any reference to the offer of assistance made by the Prime Minister on 19 January-the day after the fire disaster. We are aware that the ACT government did not react quickly in writing to the Commonwealth, seeking assistance under the NDRA-and we are not sure whether any additional requests for financial assistance have been made.

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