NSW election: True cost of Labor helicopter pledge revealed with only construction accounted for

Labor’s pledge to build three regional helicopter ambulance bases could include almost $150m in operating costs as it was revealed only the construction price has been accounted for.

A NSW Ambulance helcopter: Labor pledged to build three new bases.

Sensitive NSW Health documents have revealed Labor’s $70 million pledge for three new helicopter ambulance bases could result in operational costs of about $135 million over a four-year period as it was revealed they were only costed to be built, not operate.

At the party’s campaign launch, Labor announced $70 million would be spent on building three helicopter ambulance bases in regional and rural NSW, taking the total in NSW from six to nine.

Each base would have a helicopter and an ambulance, and they would begin operating in the next term of a Labor government. The locations of the bases would be determined on a geographical and needs-based basis.

However, “sensitive” NSW Health documents, seen by NewsLocal, indicate the bases would include over $100 million in operating costs.

According to a business case made by NSW Health staff in January 2022, and provided to NSW cabinet, it would cost about $50 million to build four helicopter ambulance bases in regional NSW, and a further $182 million to operate the bases over a four-year period.

There are currently six helicopter ambulance bases in NSW. Picture: Manly Daily

If using the NSW Health costings, Labor’s pledge of three new helicopter bases would also cost about $136.5 million to operate over the full four-year term of any Chris Minns government.

The Labor leader’s campaign announcement featured a commitment to “an additional 500 rural and regional paramedics in Labor’s first term, supported by three new helicopter ambulance bases”. However, NewsLocal understands the bases wouldn’t be operational until the end of the first term of a Labor government, at the earliest.

Shadow health spokesman Ryan Park said the bases were part of a broad regional health strategic plan, but wouldn’t confirm what the anticipated operational costs were or whether they were accounted for.

Shadow health spokesman Ryan Park (front) said the costs were covered in the party’s broad regional health plan. Picture: Monique Harmer

“NSW Labor’s investment to build three new helicopter ambulances bases to reduce emergency health response times in regional NSW would work in tandem with our comprehensive plan to rebuild healthcare in regional NSW,” the shadow spokesman said.

“This includes a commitment to recruit 500 additional paramedics.”

Although a Labor spokeswoman argued the policy “had been costed by the Parliamentary Budget Office”, NewsLocal confirmed operational price had not been accounted for at this stage, nor costed by the office.

NewsLocal understands the operational costs would not be budgeted until a second term of a Minns government.

It comes as The Daily Telegraph revealed on Tuesday how questions were raised about the true cost of the party’s toll cap promise.

Regional Health Minister Bronnie Taylor questioned Labor’s costings, or lack of.

“You can’t rob Peter to pay Paul,” she said.

“When you take from one area to fill gaps in another they both miss the mark.”

Regional Health Minister Bronnie Taylor queried the full cost of the three bases. Picture: Gaye Gerard

When asked why the state government hadn’t enacted the business case themselves, Ms Taylor said “the government is always looking at projects to improve health outcomes for people across the state”, while questioning Labor’s lack of accounted operational costs.

“These bases can’t function without operational funding and staff – this is the same old Labor and further proof they can’t manage money,” she said.

A Labor spokeswoman said, however, the operational costs would be accounted for.

“Labor is not in the business of building health facilities and leaving them empty like the Liberal and National government has done,” she said.

“Once the bases have been built within a first term of a Labor government, provisions will be made within the health budget for operational costs, including from the 500 extra paramedics for the regions and 10,000 extra health staff Labor has already committed to.”

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