BUDGET 2022-23: What’s in the budget for the NT
From a major expansion of the NAIF to a $1.5b expansion of the Port of Darwin, there’s plenty for the Territory in the 2022-23 federal budget. SEE WHAT WE ARE GETTING.
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MORE than $2.6 billion will be spent on infrastructure projects across the Northern Territory in coming years, Federal Budget papers reveal.
The Federal Government has also flagged a $1.5b upgrade to the Darwin Port and another $440m for logistics facilities in three other Territory centres.
Included in that is $678 million in additional funding will be used to seal a massive 1000km stretch of Outback Way — linking Laverton in Western Australia to Winton in Queensland via Alice Springs.
And there are also key initiatives in health, community safety and defence where the Territory stands to gain plenty.
SCROLL DOWN TO SEE THE TERRITORY’S BIGGEST PROJECTS
The Northern Australia Infrastructure Facility has received a $2b top up in an effort to “unlock growth prospects for industries and businesses”.
Nationally, action has been taken on the cost of living, with a 22c per litre cut to petrol prices and a $440 tax offset for low and middle income earners.
OUTBACK WAY
OVER $678m in funding has been secured to seal the entire stretch of Outback Way, which runs through Central Australia and Alice Springs between WA and Queensland.
Another $132m has been set aside for Central Australian Tourism roads.
Federal Treasurer Josh Frydenberg said the “additional investment builds on the $330.0 million the Government has invested in the Outback Way since 2013 and will support over 2,000 jobs across Northern Australia”.
“These programs will upgrade essential roads and community infrastructure in regional communities, helping to drive the growth of regional Australia.”
OTHER ROAD PROJECTS
AS announced earlier this week, the government will spend $55m on building a full overpass of Tiger Brennan Dr and Berrimah Rd — a notorious Darwin black spot.
The intersection will be jointly funded by the NT Government, who are also expected to put $55m toward the project.
Another $50m will be spent on the Alice Springs to Halls Creek corridor upgrade.
In addition, $385.4m has been earmarked for the Northern Australia Roads Program.
Further sealing of the Tanami Rd, expected to cost $110m, will better connect mining, resources, tourism and agribusiness operators in the NT and WA.
There will be $14.5m for local road and community infrastructure projects.
Other projects underway or under construction include: a $62m upgrade of the Arnhem Highway – Adelaide River Floodplain Upgrade, a $39m upgrade of the Buntine Hwy, and a $15m upgrade of Mango Industry roads.
The Territory will share in $7.1b in funding to encourage resource giants to process minerals onshore.
The NT is one of four states and territories that will share in the 11-year investment, which also aims to make the NT a “renewable energy hub”.
LOGISTICS, PORTS AND TRADE
THE government has vowed to spend $1.5b on “building new port infrastructure, such as a wharf, an offloading facility and dredging of the shipping channel”.
A further $440m will be spent on new logistics hubs in Katherine, Tennant Creek and Alice Springs to assist with the export of Territory goods.
$300m will be spent on LNG, clean hydrogen production and carbon capture and storage in Darwin.
$200m will be spent developing the Middle Arm Sustainable Development Precinct including infrastructure such as a rail spur and new road network.
WATER SECURITY
IN addition to the huge infrastructure spend, the Federal Government will also splash $300.6m toward stage one of the Darwin River Water Supply Infrastructure Program.
The project will involve returning the popular Manton Dam to service for water supply, as well as building a new water storage facility over the long term on the Adelaide River.
A further $7.1m will be spent on the Adelaide River Catchment Water Allocation Plan.
NORTHERN AUSTRALIA INFRASTRUCTURE FACILITY
AS announced earlier this year, the federal government will provide another $2b to the Northern Australia Infrastructure Facility (NAIF).
That means total federal funding for the NAIF will reach $7b, however, new projects included in the scheme are yet to be decided on by Federal Treasury.
The NAIF is seen by Canberra as a vital scheme to help drive investment in infrastructure in the Northern Territory.
CRITICAL SERVICES IN REMOTE COMMUNITIES
AFTER years of tension, the Federal Government will extend funding for critical services in remote Aboriginal communities in the Northern Territory.
The two-year, $173.2m extension to the scheme comes amid a review of the scheme in Canberra.
Funding has previously been renewed on a three-year basis, so the two-year extension raises further questions about the scheme’s future.
$7.5m will be spent transitioning the remote community store licencing scheme to the NT government over the next two years, with a further $3m to support Aboriginal Peak Organisations in the NT.
Sixteen remote communities will benefit from a three-year, $8.5m extension to the Red Dust program which focuses on “social and emotional wellbeing, sexual health, relationships, alcohol and other drugs, and Foetal Spectrum Disorder”.
INDIGENOUS TERRITORIANS
A WHOPPING $636.4m will be spent over the next six years on an expansion of the Indigenous Rangers program nationwide, funding up to 1089 new rangers by 2026-27.
In addition, funding for the Custody Notification Service has been extended. The program, which runs in both Western Australia and the Northern Territory, provides “culturally-appropriate health and wellbeing checks when an Indigenous person is taken into custody”.
The Government will provide funding in 2022-23 to undertake court ordered discovery processes associated with the McDonald v Commonwealth class action.
The class action is on behalf of all Aboriginal and Torres Strait Islander persons who lived and worked in the Northern Territory during the period 1 June 1933 to 12 November 1971, and who had their wages withheld.
$85.4 million from 2021-22 will be spend on further initiatives to assist women and their children from diverse communities who are experiencing FDSV, extending funding for the Support for Trafficked People Program, and providing grant funding to the Northern Territory Working Women’s Centre and Working Women Queensland to support women experiencing workplace sexual harassment.
COST OF LIVING
MORE broadly, there will be a 22-cents-per-litre cut to fuel prices announced by Federal Treasurer Josh Frydenberg, which will provide relief in days to Darwin motorists who are currently paying over $2 a litre.
Mr Frydenberg said the competition watchdog would monitor servos to ensure “these savings are passed on in full”.
Low and medium income households will receive a $420 cost of living tax offset. Nationally, the government says 10 million Australians will benefit.
But the Territory government is likely to be up in arms, with the amount of GST sent from Canberra to the nation’s least populated territory expected to stay relatively the same over the next five financial years.
REGIONAL ACCELERATION
The Regional Accelerator Program will see $142 million in educational infrastructure for regional Australia, while a $25.0 million for the Defence Capability Improvement Grant program and $9 million for the Sovereign Industrial Capability Priorities Grants program have also been revealed by Federal Treasurer Josh Frydenberg on Tuesday night.
“The Government has identified 12 programs where it will target investments through a $2.0 billion Regional Accelerator Program to further grow Australia’s regional communities,” the Treasurer said. “This will empower our strong and dynamic regions to capitalise on existing and emerging opportunities.
“It will also unlock growth prospects for industries and businesses to ensure thriving regions are internationally competitive.”
Mr Frydenberg said the Government is providing $500.0 million for regional manufacturers. “This will enhance Australia’s international competitiveness by assisting regional manufacturers to translate good ideas into commercial success,” he said.
Meanwhile additional funding has been secured for a range of regional community initiatives including the Critical Minerals Accelerator Initiative ($200.0 million), Regionalisation Fund ($500.0 million), Modern Manufacturing Initiative ($500.0 million), Recycling Modernisation Fund ($30.3 million), Australian Apprenticeships Initiatives ($144.1 million), National Centre for Digital Agriculture, Innovation and Adoption Hubs ($30.0 million) and the Regional Trailblazer Universities ($118.9 million).
COVID RESPONSE
THE government has also committed to securing additional Covid-19 treatment doses to protect vulnerable Australians at most risk of severe disease. The government’s direct investment will now come to more than a million treatment courses.
The government is also investing in transmission prevention and testing to contain outbreaks in high-risk settings.
“Already, the Government has distributed over 161 million units of PPE and over 26.2 million RATs to aged care facilities,” budget papers state.
“To assist Australians with a disability to monitor for COVID-19 and manage transmission risks, the Government is providing 5.5 million RATs to National Disability Insurance Scheme (NDIS) Supported Independent Living residents and workers.”
Targeted support for health and vaccination services for rural and remote Indigenous Communities, who are at risk of severe illness from COVID-19, is also being extended at a cost of $43.3 million.
The government will also ensure the costs of taking a COVID-19 test to attend work are tax deductible for individuals from July 2021, while fringe benefits tax will not be incurred by businesses who provide Covid-19 tests to employees for them to attend work.
INCREASING INDIGENOUS HOME OWNERSHIP
THE government will also re-profile existing funding provided to Indigenous Business Australia for regional housing construction loans as part of the Indigenous Home Ownership Program.
The program has more than $100 million available to support new loans which boost housing construction, create jobs and increase rates of Indigenous home ownership in regional Australia.
The cash splash will come at a cost of $7.7 million over 5 years from 2021-22.
Chief Minister Michael Gunner said the Budget would greatly benefit Territorians.
“The Feds have our plan, they have read our plan, and they have signed up to our Territory plan,” he said.
We wanted money for jobs and we got it. We will use this money to build roads, build new industries and deliver a new jobs boom for Territorians.
“I’ve been working closely with the PM and my team has been banging on doors in Canberra to make sure the Feds knew about the opportunity for jobs in the Territory and they have heard our message.
“There’s plenty of detail to work through but this is what we wanted for Territory jobs.
“There are some measures in the Budget that will help Territorians deal with the cost of living and that’s welcome.
“We continue to call on the Feds to join us on a 50-50 funding split for hospitals because Territorians deserve it.”
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