Premier defends infrastructure spending pitched in state budget

Premier Jeremy Rockliff has backed the handing down of record infrastructure budgets after criticism that the spend was “staggering”.

Derwent Valley Mayor Michelle Dracoulis and Premier Jeremy Rockliff at New Norfolk Caravan Park on Monday, September 9, 2024.

Premier Jeremy Rockliff says his government is unapologetic about continuing to hand down record infrastructure budgets.

Ahead of Thursday’s state budget, Treasurer Michael Ferguson has flagged a $5.1bln spend over the next five years — despite warnings government spending is unsustainable in the long term.

In his report on the state’s fiscal outlook, economist Saul Eslake questioned why a state facing an increased debt burden was spending so much.

Mr Rockliff took aim at criticism from the Greens that the spend was “staggering and unbelievable”.

“It’s a very important budget, getting funds out the door to support infrastructure builds, upgrading hospitals, upgrading schools, better roads, and also employing more nurses, more doctors and more police on the beat,” Mr Rockliff said.

“Frankly, I cannot believe the Greens are anti-school buildings, anti-better roads, anti-upgrading hospitals.

“We need infrastructure, intergenerational infrastructure that supports jobs, supports growth and ensures we do have the best schools, we do have the best hospitals, and we do have the best roads in the nation.’

Mr Rockliff said he valued the opinions expressed by Mr Eslake in his report, but didn’t agree with every conclusion he had reached.

Greens deputy leader Vica Bayley said the government needed to prioritise health, housing and cost of living over the proposed Macquarie Point stadium in the budget.

Greens deputy leader Vica Bayley.

“Recent revelations demonstrate that the Rockliff government has presided over the biggest infrastructure fiasco in Tasmania’s history, with lack of decision making, cost blowouts and delays meaning that the berths in Devonport won’t be ready in time for the new Spirits,” he said.

“We’ve seen the Rockliff government’s track record on infrastructure stuff-ups – how can we expect the stadium to be any different?

“Treasurer Ferguson has foreshadowed a $5+ billion infrastructure spend in the upcoming budget, despite the assessment from independent economist Saul Eslake that we need careful consideration and prioritisation of all infrastructure expenditure.”

And Unions Tasmania secretary Jessica Munday said two recent reports had highlighted the need for the budget to address public sector ages — which lag mainland rates in key sectors.

“The evidence is right before us – low public sector wages mean we can’t fill jobs in Tasmania and, as our unions have been highlighting for years now, this means Tasmanians suffer due a lack of services,” she said.

“The McKell Report clearly lays out the impact wage caps and deliberate policies to keep wages low have had on the Tasmanian public sector, with increasing vacancies and under pressure services.”

“Coupled with the Saul Eslake report that warned cutting public services or increasing efficiency dividends would have a harmful impact on vulnerable Tasmanians, the Rockliff Government should be using this Budget as an opportunity to invest in and rebuild the public sector for the benefit of all Tasmanians.”

Originally published as Premier defends infrastructure spending pitched in state budget