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Premier announces revised Remote Communities Freight Assistance Scheme

A revised remote freight subsidy aiming to address a gaping cost of living imbalance is unlikely to help the nation’s most disadvantaged communities due to supply chain issues, the KAP says.

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A new remote freight subsidy aiming to address a skyrocketing cost of living, while a genuine attempt, has fallen short of the mark by not including white goods, fuel and clothing under the scheme, according to the Katter’s Australian Party.

After a review into remote community freight systems in 2023, a $64m freight funding package was announced for Northern Peninsula, Torres Strait, Cape York and Gulf regions.

That original package was built upon by the Premier Steven Miles on Wednesday, announcing an increased subsidy amount from 5.2 per cent to 20 per cent over 18 months.

Premier Steven Miles holds a press conference on the Cairns Esplanade on Wednesday, June 19. Picture: Peter Carruthers
Premier Steven Miles holds a press conference on the Cairns Esplanade on Wednesday, June 19. Picture: Peter Carruthers

The new measure is in response to the crippling burden of grocery and fresh food items that tend to cost four times what shoppers pay in Cairns.

On Badu Island this week Unleaded 91 cost $3.56 compared with $179.5 in Cairns, while last year half a bunch of celery infamously sold for $15.60 in the Torres Stait.

“This is a big new subsidy that didn’t used to exist, that will make fresh food cheaper, and we will monitor its impact,” the Premier said.

“And over time of course we’ll continue to do more but right now this is a major announcement to reduce the price of fresh food.”

A 1kg bag of powdered milk costs $19 in Hope Vale, $370kms north of Cairns. Picture: Supplied
A 1kg bag of powdered milk costs $19 in Hope Vale, $370kms north of Cairns. Picture: Supplied
Wonder bread sells for $7.30 in Hope Vale, almost double the cost of $4.40 at Woolworths stores. Picture: Supplied
Wonder bread sells for $7.30 in Hope Vale, almost double the cost of $4.40 at Woolworths stores. Picture: Supplied

About 32 retailers throughout Cape York, Torres Strait and Gulf regions have signed up to participate in the scheme.

Queensland Katter’s Australian Party leader Robbie Katter, while welcoming the increased subsidy, said it was cumbersome and was yet to make a significant difference to Cape and Torres communities.

“It’s an honest attempt to address what is a crippling problem, it’s not just about the cost of living, it’s about health, but I think this falls well short of the mark in tackling the problem,” he said.

Masig Island in the Torres Strait is located 140km northeast of the Tip of Cape York. Picture: Sea Swift
Masig Island in the Torres Strait is located 140km northeast of the Tip of Cape York. Picture: Sea Swift

“I think there are too many people clipping their ticket on the way and that happens with just about every bit of money that comes off of Brisbane, by the time it gets to the battlers buying those groceries in that store … we don’t get the full benefit.

“How about you stop employing 100 people in Brisbane to administer the scheme.

“We just need to make sure the consumer can get a loaf of bread for less than 13 bucks.”

Sea Swift, a company wholly owned by the state government’s investment arm Queensland Investment Corporation, is the only freight provider in the region and supplies goods into government-owned not-for-profit Community Enterprise Queensland, which operates grocery stores at the Cape and Torres Strait Islands.

Tourism Minister Michael Healy takes a selfie with Premier Steven Miles and Cook MP Cynthia Lui following the announcement of the Remote Communities Freight Assistance Scheme. Picture: Peter Carruthers
Tourism Minister Michael Healy takes a selfie with Premier Steven Miles and Cook MP Cynthia Lui following the announcement of the Remote Communities Freight Assistance Scheme. Picture: Peter Carruthers

KAP Cook candidate Duane Amos said hefty Sea Swift landing fees have pushed remote businesses to the point almost being unviable.

“When you have a monopoly you can (dictate fees), everyone is whinging about Woolies and Coles but it’s the same with Sea Swift,” he said.

“You are taking money off people who are already vulnerable, there are plenty of other businesses they can invest in.”

The 20 per cent discount is expected to come into effect later this year, after engagement with retailers.

peter.carruthers@news.com.au

Originally published as Premier announces revised Remote Communities Freight Assistance Scheme

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Original URL: https://www.ntnews.com.au/news/cairns/premier-announces-revised-remote-communities-freight-assistance-scheme/news-story/98688f105bd1a1b6341b5ec3ed0e89f9