Page 2704 - Week 08 - Tuesday, 15 August 2017
Next page . . . . Previous page . . . . Speeches . . . . Contents . . . . Debates(HTML) . . . . PDF . . . . Video
Pegasus has significant reservations regarding any claims made to the effect that any progress has been made in diversifying the ACT economy, particularly in relation to greater private sector involvement in the ACT economy. A diversified economy is one that has multiple sources of income. A diversified economy is considered desirable as it reduces the dependence on any one sector of the economy as a source of income in the event of a shock and/or downturn in that sector. As already seen above, the ACT economy is heavily dependent on the public sector, especially the Commonwealth Government.
Analysis of the available data suggests the ACT economy remains very much a ‘company town’ highly dependent on the Commonwealth Government. An examination of the latest national accounts reveals that over the past decade the ACT economy has in fact become even more dependent on the Commonwealth Government as outlined in Figure 5 … The contribution of the Commonwealth
Government to total final demand in the ACT economy has increased from 55.6 per cent in the September quarter 2007 to 60.1 per cent in the March quarter 2017.
Rather than becoming more diversified over the last decade, the ACT economy has become far less diversified as the public sector—composed of both the Commonwealth and ACT governments—have increased their overall contribution to ACT final demand from 62.4 per cent in the September quarter 2007 to 67.3 per cent in the March quarter 2017 …
This is a record high. It shows that, despite the rhetoric of the Treasurer there is still a great deal of work to be done in achieving genuine diversification for the territory.
I spend a great deal of time out talking to the engine room of our economy. The engine room of our economy is made up of many locally owned businesses operating in our town centres and in our suburbs and is most likely not tuned in to the proceedings happening here today. They are probably not aware of the detail of the process that is being gone through. They are simply too busy doing what they do best: running their businesses and creating employment and further opportunities for Canberrans.
The sheer lack of understanding and common sense around some decision making in this town beggars belief. The effects on local business can be profound. After so long in government there are simple changes that could be made but that just have not been a focus of this government—simple examples that would ensure more efficiency in business, a streamlining of process and ultimately better bottom lines and job creation.
They are simple things like aligning payroll tax payment dates to PAYG payment dates, a greater efficiency as business would only have to do their great day of accounting one day a month rather than two; focusing on red tape reduction that reduces and streamlines businesses’ administration, not just governments’ administration; incentivising development in the right areas of town through LVC, not gouging the construction industry with a 400 per cent increase as we have seen in this year’s budget; making sure that there is a greater emphasis on the weighting for local businesses in procurement processes; and making sure that businesses get paid for the
Next page . . . . Previous page . . . . Speeches . . . . Contents . . . . Debates(HTML) . . . . PDF . . . . Video