Tasmania’s treasurer is set to unveil a record infrastructure program in this week’s state budget. It comes despite a recent warning from a leading economist about spiralling debt – and a need to rein in capital spending. But Michael Ferguson says now is not the time to let it up.
Category
📺
TVTranscript
00:00It's the biggest week of the year for any treasurer.
00:05This budget is the product of a lot of hours of work.
00:09And with a plan needed to meet challenging economic conditions, the self-proclaimed builders
00:14are going back to the well.
00:15A $5.1 billion infrastructure and capital program.
00:19We believe we need to still be strong in this space.
00:23That's up from $4.3 billion across the forward estimates in last year's budget.
00:28It comes just weeks after economist Saul Eslake warned Tasmania's budget position
00:32was unsustainable.
00:33I hope my report will serve as a wake-up call to all participants in the political process.
00:41He says the state's already spending too much on infrastructure and under-delivering.
00:46We've made the balanced decision that this isn't the right time to step down.
00:50We need to maintain that pipeline of works.
00:53Continued investment gives our industry the confidence to continue to employ people, invest
00:58in new equipment.
01:00These projects attract people to Tasmania.
01:02Not just boosting builders, the treasurer says this budget will be good for public services.
01:07A claim being met with scepticism given the introduction of the efficiency dividend, set
01:13to claw back $300 million.
01:16This government has nothing to show for record deficit and debt apart from an economy that
01:21is flatlining.
01:23Public services that are at breaking point.
01:25While the Liberals are saying that they're spending more on workers, at the same time
01:29in the back end they've been cutting jobs steadily for months now.
01:33Michael Ferguson resigned from the infrastructure portfolio just a fortnight ago due to cost
01:38blowouts and delays hitting the Spirit of Tasmania vessel replacement project.
01:43Now back in the spotlight, this week could bring waters just as choppy.