❓ Opposition Leader Barnett questions Premier Gallop about increasing state debt and actions regarding the Treasurer's financial decisions. The Premier defends the government's financial management and criticizes the previous government's record.
AnsweredQoN 701Legislative Assembly
QuestionView source ↗
I refer the Premier to the revelation in the Government’s mid-year financial statement that state debt is set to blow out in Labor’s first full fiscal year by $910 million, a 21 per cent increase, and ask - (1) In the light of the massive blow-out in state debt and the Treasurer’s admission that the budget is in technical deficit, can the Premier now concede that Western Australia is in real danger of losing its AAA credit rating when Standard and Poor’s carries out its next assessment of the State’s finances? (2) What action has the Premier taken against the Treasurer for his deceitful $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million deficit? Withdrawal of Remark Mr KOBELKE: It is not appropriate in a question to reflect on the Treasurer personally by calling him deceitful. I ask that you request the Leader of the Opposition to withdraw his remark, Mr Speaker. The SPEAKER: It is true that language in this place should not reflect adversely on members’ intentions, morals and the like and I ask the Leader of the Opposition to withdraw that part of the question. The balance of the question without that comment gets across the intent of the question. Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP
AnswerView source ↗
I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
(1) In the light of the massive blow-out in state debt and the Treasurer’s admission that the budget is in technical deficit, can the Premier now concede that Western Australia is in real danger of losing its AAA credit rating when Standard and Poor’s carries out its next assessment of the State’s finances? (2) What action has the Premier taken against the Treasurer for his deceitful $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million deficit? Withdrawal of Remark Mr KOBELKE: It is not appropriate in a question to reflect on the Treasurer personally by calling him deceitful. I ask that you request the Leader of the Opposition to withdraw his remark, Mr Speaker. The SPEAKER: It is true that language in this place should not reflect adversely on members’ intentions, morals and the like and I ask the Leader of the Opposition to withdraw that part of the question. The balance of the question without that comment gets across the intent of the question. Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
(2) What action has the Premier taken against the Treasurer for his deceitful $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million deficit? Withdrawal of Remark Mr KOBELKE: It is not appropriate in a question to reflect on the Treasurer personally by calling him deceitful. I ask that you request the Leader of the Opposition to withdraw his remark, Mr Speaker. The SPEAKER: It is true that language in this place should not reflect adversely on members’ intentions, morals and the like and I ask the Leader of the Opposition to withdraw that part of the question. The balance of the question without that comment gets across the intent of the question. Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
The SPEAKER: It is true that language in this place should not reflect adversely on members’ intentions, morals and the like and I ask the Leader of the Opposition to withdraw that part of the question. The balance of the question without that comment gets across the intent of the question. Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
· remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
- an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
- a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
- a minor deterioration in the operating performance of the total public sector.
Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
(1) In the light of the massive blow-out in state debt and the Treasurer’s admission that the budget is in technical deficit, can the Premier now concede that Western Australia is in real danger of losing its AAA credit rating when Standard and Poor’s carries out its next assessment of the State’s finances? (2) What action has the Premier taken against the Treasurer for his deceitful $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million deficit? Withdrawal of Remark Mr KOBELKE: It is not appropriate in a question to reflect on the Treasurer personally by calling him deceitful. I ask that you request the Leader of the Opposition to withdraw his remark, Mr Speaker. The SPEAKER: It is true that language in this place should not reflect adversely on members’ intentions, morals and the like and I ask the Leader of the Opposition to withdraw that part of the question. The balance of the question without that comment gets across the intent of the question. Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
(2) What action has the Premier taken against the Treasurer for his deceitful $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million deficit? Withdrawal of Remark Mr KOBELKE: It is not appropriate in a question to reflect on the Treasurer personally by calling him deceitful. I ask that you request the Leader of the Opposition to withdraw his remark, Mr Speaker. The SPEAKER: It is true that language in this place should not reflect adversely on members’ intentions, morals and the like and I ask the Leader of the Opposition to withdraw that part of the question. The balance of the question without that comment gets across the intent of the question. Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
The SPEAKER: It is true that language in this place should not reflect adversely on members’ intentions, morals and the like and I ask the Leader of the Opposition to withdraw that part of the question. The balance of the question without that comment gets across the intent of the question. Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
Mr BARNETT: Mr Speaker, I withdraw that word and will rephrase the question. Questions without Notice Resumed Mr BARNETT: What action has the Premier taken against the Treasurer for his deceptive $20 million grab from Western Power’s profits in an attempt to conceal the true $11 million budget deficit? Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
Dr GALLOP replied: I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
I shall go to the detail of the question, which was about the net debt asked by the Leader of the Opposition. The Treasurer has provided me with notes that I shall read to the House - At the time of the last Pre-Election Financial Projections Statement (PFPS), the previous Government was forecasting total public sector net debt of $4,581.7 million in 2000-01. The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector. Mr Barnett: What have you to show for it? Nothing at all. Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
The recent 2001-02 Government Mid-year Financial Projections Statement (mid-year review) estimated net debt to be $5,321.8 million in 2001-02. The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
The $740.1 million increase in total public sector net debt over 2001-02, comparing the previous Government’s PFPS estimates to the recent mid-year review, is explained by two factors: 1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
1. The $368 million increase that the previous Government had already built into the PFPS, due in part to the record $3.2 billion capital works program. 2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
2. The remainder, a roughly equal amount, arises from: · the decision to pull out of the uneconomic Matrix car fleet leasing arrangements (contributing $229 million); and · remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
· remaining factors including: - around $15 million in borrowings to account for unrealised asset sales in the Police Service, Education and for the Geraldton Transport Corridor; - an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
- an additional $10 million provided in the budget for the construction of houses; - a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
- a $9 million impact of the settlement of claims arising from the collapse of HIH Insurance and; - a minor deterioration in the operating performance of the total public sector.
- a minor deterioration in the operating performance of the total public sector.
Dr GALLOP: I ask the Leader of the Opposition how many budgets had deficits in the coalition Government’s eight years? That is an easy question. Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
Mr Barnett: The debt came down by $4 billion during the time of the coalition. Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
Dr GALLOP: The easiest thing to do in the world is flog off one’s assets. That is how the coalition Government got the debt down. However, the Leader of the Opposition has not told us that we lost those assets and their income-producing capacity. I will answer the question because the Leader of the Opposition, like the previous Government, was not honest about these matters with the people of Western Australia. Five out of the eight budgets of the previous Government were in deficit. We now have a Treasurer who is serious about this situation. We now have a Government committed to responsible financial management. In fact, I applaud the Treasurer for the work that he is doing in government to ensure that departments and agencies work within that financial framework. This Government has started work on the budget for next year and has maintained the operating targets set in the previous budget. The Leader of the Opposition and the Liberal and National Parties are in no position to criticise the current Government’s financial management. The previous Government had deficits in five out of eight budgets and it concealed them from the people of Western Australia.
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