Latest / 360 with Katie Woolf / Assistant Treasurer Stephen Jones breaks down the Federal budget

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Assistant Treasurer Stephen Jones breaks down the Federal budget · 360 with Katie Woolf

• 0:00
  Speaker 1: But like I said, there is always a lot to
• 0:02
  Speaker 1: take in when the federal budget is handed down. What
• 0:05
  Speaker 1: we do know is there's still a lot of concern
• 0:07
  Speaker 1: for Australians around the cost of living. Debt is going
• 0:10
  Speaker 1: to hit as I understand were one trillion dollars next
• 0:13
  Speaker 1: financial year. It is. Obviously there's some alarming energy price
• 0:19
  Speaker 1: forecasts that's prompted the Treasurer of Jim Charmers to threaten
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  Speaker 1: market intervention if needed to buffer that pain felt by households.
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  Speaker 1: But at this stage we don't really know if those
• 0:29
  Speaker 1: soaring energy costs are going to have much of an
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  Speaker 1: impact in the Northern Territory as Power and Water is
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  Speaker 1: indeed a government owned corporation, so there is a lot
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  Speaker 1: to take in, there's no doubt about that. But joining
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  Speaker 1: me on the line to tell us more about the
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  Speaker 1: situation exactly what is in the budget for the Northern
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  Speaker 1: Territory is the Assistant Treasurer and the Minister for Financial
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  Speaker 1: Services Stephen Jones. Good morning to you, minister.
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  Speaker 2: Good morning, good to be with you, Thanks so much.
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  Speaker 1: For your time this morning. Now, Minister, we know that
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  Speaker 1: Jim Charmer has presented that five point cost plan for
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  Speaker 1: cost of living relief in the budget, cheaper childcare, expanding
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  Speaker 1: paid parental leave, cheaper medicines, more affordable housing, and getting
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  Speaker 1: wages moving again. But there is no doubt that the
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  Speaker 1: cost of living is set to surge by the look
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  Speaker 1: of things. How does the budget help to bring down
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  Speaker 1: the cost of living.
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  Speaker 2: It's got to be very targeted, as the first thing
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  Speaker 2: I've got to say, Katie, we just cannot be pumping
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  Speaker 2: billions of dollars into the economy at a time when
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  Speaker 2: we've got inflation rising and real supply constraints, whether it's
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  Speaker 2: labor supply constraints or building materials. Just about every input
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  Speaker 2: into industry at the moment is in shortage, so we've
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  Speaker 2: got to be very very careful about how we manage
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  Speaker 2: the expenditure. Of course, as you also mentioned in the
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  Speaker 2: top of program, we've got a trillion dollars worth of
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  Speaker 2: depth the interest payments on which more than we spend
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  Speaker 2: on age care. So we can't be writing billion dollar checks.
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  Speaker 2: Got to bring expendit a down, do what we can
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  Speaker 2: to help households. We'll also be upfront and honest with
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  Speaker 2: them about what's coming down the track.
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  Speaker 1: Well, and you know the federal government's been very has
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  Speaker 1: very much been upfront about this and you know, even
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  Speaker 1: prior to handing down that budget last night, the Treasurer
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  Speaker 1: was pretty straightforward in saying that it can't be a
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  Speaker 1: spend us on. How is the government sort of planning
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  Speaker 1: to help get those wages moving again, because I think
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  Speaker 1: that that is such a huge factor here.
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  Speaker 2: Yeah, good question. So the first two things we did
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  Speaker 2: we work with the Fair Work Commission to see that
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  Speaker 2: there was an increase in minimum wages for the last
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  Speaker 2: paid workers. One of the first things we did in
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  Speaker 2: the first two weeks of government that saw a significant
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  Speaker 2: wage rise of around about forty dollars a week for
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  Speaker 2: Australia's lowest paid workers. We're working with the age care sector,
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  Speaker 2: another big employer, very low paid workers finding it difficult
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  Speaker 2: to attract staff. So Fair Work Commission's got a wage
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  Speaker 2: case going on there. Agreed that we will fund and
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  Speaker 2: work with the industry to ensure they have the funds
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  Speaker 2: to have that money flowing through the workers in that
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  Speaker 2: sector as well. We're also getting bargaining moving again, ensuring
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  Speaker 2: that you know, there is a way for workers to
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  Speaker 2: bargain fairly with their employers to get a good outcome
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  Speaker 2: that suits everyone. The existing bargaining system is broken. It's
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  Speaker 2: not working for anyone. So there's three things that we're
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  Speaker 2: working on, Katie, and there will be more to come
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  Speaker 2: in this area as well. We want to ensure that
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  Speaker 2: workers get a fair pay rise, but we want to
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  Speaker 2: do it in a sustainable way that matches pay rises
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  Speaker 2: with productivity growth as well.
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  Speaker 1: Minister, what do you say to Territorians that are listening
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  Speaker 1: this morning who are thinking, you know, their wages aren't growing,
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  Speaker 1: but the cost of living is petrol soaring, and they're
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  Speaker 1: thinking to themselves, there's nothing in this budget for me.
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  Speaker 2: Well, personally, there's plenty in the budget for territorians. Our
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  Speaker 2: childcare commitments will see a significance saving for families with
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  Speaker 2: kids in care, and they can make rational decisions about
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  Speaker 2: who returns to work and for how many days a week.
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  Speaker 2: We're slicing about twelve bucks fifty off the price of
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  Speaker 2: a prescription, so medicine costs are going to come down.
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  Speaker 2: Our investment in housing will make rents more affordable over
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  Speaker 2: the medium terms. So there's a bunch of stuff in there.
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  Speaker 2: I don't want to overcook it. I don't want to
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  Speaker 2: say this is going to solve everybody's problems, because that
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  Speaker 2: would be dishonest. We can do it. We will manage
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  Speaker 2: the things we can. Energy a big one. You talked
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  Speaker 2: about that up at the top of the intro as well.
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  Speaker 2: We are currently facing the result of what happens if
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  Speaker 2: you don't do anything on energy for ten years, and
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  Speaker 2: that's where we're in. But we've just had these ridiculous
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  Speaker 2: arguments about renewable energy and whether climate's changing and all
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  Speaker 2: the rest of it. Instead of getting on and rebuilding
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  Speaker 2: our energy system, both generation and redistribution, we've been caught
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  Speaker 2: in a political bogmire. And that's why price one of
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  Speaker 2: the reasons why prices are going up at the moment.
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  Speaker 2: Putting that behind it, investments in the budget for rewiring
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  Speaker 2: the nation and new energy generation will make a difference,
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  Speaker 2: but again being honest, it won't make a difference in
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  Speaker 2: the short term, which is why Jim has foreshadowed market
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  Speaker 2: interventions of those prices look like they're going to go
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  Speaker 2: where they are going to go over.
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  Speaker 1: The next few months, and we will see exactly what
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  Speaker 1: that means for the Northern Territory because as we know
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  Speaker 1: here in the Northern Territory Power and Water Corporation is
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  Speaker 1: indeed our government owned corporation. So I don't know whether
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  Speaker 1: that market intervention or is going to be required here
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  Speaker 1: in the territory, or you know whether it's going to
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  Speaker 1: be a bit of a situation where we're not actually impacted.
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  Speaker 2: Well, everyone's sort of impacted when it comes to gas,
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  Speaker 2: and we've already put some stuff in place to ensure
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  Speaker 2: that Australians are served first when it comes to the
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  Speaker 2: gas market. You're right in the territory, you've got a
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  Speaker 2: government owned instrumentality, So probably better off directing those questions
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  Speaker 2: to your territory government on that particular issue. But around
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  Speaker 2: the nation, this is an issue and we've got to
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  Speaker 2: get on top of it.
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  Speaker 1: Minister, there was, and you touched on this just a
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  Speaker 1: moment ago, a significant announcement when it comes to housing,
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  Speaker 1: that target of one million well located homes, how is
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  Speaker 1: that going to roll out in a play sight the territory.
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  Speaker 2: Well, we want to ensure that right around Australia that
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  Speaker 2: we are meeting the housing needs. When I talk to
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  Speaker 2: employers in the territory, they say, I've got jobs on offer,
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  Speaker 2: but workers can't afford delivery because there's no housing available
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  Speaker 2: or the rents are too expensive. So we need housing
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  Speaker 2: in the places where the jobs are. We need to
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  Speaker 2: ensure it's well located and affordable. It's going to take
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  Speaker 2: us a bit of time to roll this one in
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  Speaker 2: because of labor shortages over the next twelve months and
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  Speaker 2: supply shortages over the next twelve months. I know you've
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  Speaker 2: got this problem in the territory as well. You just
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  Speaker 2: can't get building materials. So that's why we're kicking it
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  Speaker 2: off in twenty twenty four a million new homes over
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  Speaker 2: the five years forward to that, including in the territory
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  Speaker 2: to ensure that we can get more affordable properties under
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  Speaker 2: the market and rental accommodation as a part of it. Yeah.
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  Speaker 1: Well, it is such a big issue, I know right
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  Speaker 1: around Australia, but as you've said there in the territory,
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  Speaker 1: it's a massive issue. I know that there is a
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  Speaker 1: substantial amount in the budget for the territory one point
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  Speaker 1: five billion dollars in planned equity to support the construction
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  Speaker 1: of that common user marine infrastructure within Middle Arm Sustainable
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  Speaker 1: Development Precinct, providing a pathway to a decarbonized economy by
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  Speaker 1: helping emerging clean energy industries is how it's been touted. Minister.
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  Speaker 1: Are you concerned that there's going to be pushed back
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  Speaker 1: on this one though from the Greens?
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  Speaker 2: Well, I know there there has been some concerns about
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  Speaker 2: the Middle Arm development and Luke Gosling and Melanderry have
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  Speaker 2: been bringing those issues up with us as well. We
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  Speaker 2: need to get the balance right concern to ensure that
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  Speaker 2: we get sustainable developments up there territory and this is
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  Speaker 2: an important one. But I know Luke Gosli in particular,
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  Speaker 2: as early as this morning impressed upon me the importance
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  Speaker 2: of we ensure that Darwin Harbor remains a beautiful, pristine
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  Speaker 2: body of water that we're proud of as a nation.
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  Speaker 2: We think we can get the balance right. Of course,
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  Speaker 2: all of the territory and national environmental protection thresholds will
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  Speaker 2: have to be reached before any development goes ahead. There's
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  Speaker 2: more in the budget. Yeah, you mentioned the one point
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  Speaker 2: five My numbers I've got just done a quick tally.
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  Speaker 2: I get to about two point five billion dollars worth
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  Speaker 2: of roads and logistics infrastructure investments, not all in Darwin
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  Speaker 2: and Parmestan, some down the track as well. So we
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  Speaker 2: are prioritizing the transport needs and the logistic needs of
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  Speaker 2: the territory.
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  Speaker 1: Yeah, the Northern Territory seems to be a real focus
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  Speaker 1: when you talk about infrastructure spend. I think we were
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  Speaker 1: only surpassed by Victoria.
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  Speaker 2: Is right, it is it's because Marion and Look, I'd
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  Speaker 2: like to say, well, they're doing a good job, but
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  Speaker 2: they can be a pain in the next for actual
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  Speaker 2: they're trying to balance the budget. They're always on us
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  Speaker 2: about getting a crack at the infrastructure spends up in
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  Speaker 2: the territory. They do a good job. I gest like
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  Speaker 2: it can be annoying when you're trying to fend off
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  Speaker 2: everybody else as well. But they've done a good job
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  Speaker 2: in getting a good allocation of infrastructure spend up there
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  Speaker 2: in the territory.
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  Speaker 1: Look, one of the areas where there has been a
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  Speaker 1: lot of concern raised, even as late as yesterday we
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  Speaker 1: were speaking about this is domestic violence and funding when
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  Speaker 1: it comes to domestic violence. Now, there have been calls
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  Speaker 1: here in the Northern Territory for it to be needs
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  Speaker 1: based rather than per capita based. But I do understand
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  Speaker 1: that there's been a bit of a top up in
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  Speaker 1: funding for the Northern Territory when it comes to domestic violence, there.
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  Speaker 2: Has been and we're also looking at a significant investment
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  Speaker 2: in community the staff. Basically, there's three things we need
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  Speaker 2: to do. We need to get our services joined up,
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  Speaker 2: when need accommodation sorted, so nationally we're looking at ten
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  Speaker 2: thousand new accommodation places. The territory will be included in
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  Speaker 2: this to ensure that we've got some accommodation for women
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  Speaker 2: and children playing domestic violence. We also need to jump
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  Speaker 2: a big jump up in the staffing available. So again
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  Speaker 2: we've got a significant commitment in this budget to increase
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  Speaker 2: funding for the staffing. So they are the three bits
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  Speaker 2: that we've got to do in the domestic violence. You
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  Speaker 2: know what, I wish we weren't having to spend any
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  Speaker 2: money on it because I wish it wasn't a problem.
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  Speaker 2: But it is, and it's endemic, and it's affecting particularly
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  Speaker 2: First Nations communities, but right across the look, right across
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  Speaker 2: the country, we've got a problem and it's got to
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  Speaker 2: be prioritized.
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  Speaker 1: Book Minister. Before I let you go this morning, one
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  Speaker 1: of the other issues that is continually raised with us
• 11:01
  Speaker 1: is the labor shortage or workforce shortage. Are there some
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  Speaker 1: short term measures which will assist the business sector in
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  Speaker 1: this space.
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  Speaker 2: Yeah, a couple of things in the territory. So we've
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  Speaker 2: got the Pacific and Ireland Labor Mobility Program. The territory,
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  Speaker 2: particularly in the agriculture sector, have been big users of this,
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  Speaker 2: so we're enhancing that scheme. That's the first thing. The
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  Speaker 2: second thing increasing the migration caps for over the next
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  Speaker 2: three years to ensure we get thirty thousand additional permanent
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  Speaker 2: migrants coming in, a worker age migrants coming in to
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  Speaker 2: add to our workforce. Again, the territory has traditionally been
• 11:45
  Speaker 2: a big utilizer of those schemes. The third thing, back
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  Speaker 2: to basics, building up tape again, ensuring that we are
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  Speaker 2: giving our own kids first crack at training and work opportunities.
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  Speaker 2: If you can't get a trade out to your joint
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  Speaker 2: at a decent priceis because we've really fallen off over
• 12:05
  Speaker 2: the last decade in training new tradees. So a big
• 12:08
  Speaker 2: boost in funding for TAFE so that we can boost
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  Speaker 2: that productive capacity at the trades level.
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  Speaker 1: In particular, Minister, how soon do you reckon that we
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  Speaker 1: are going to see the effects or the impact of
• 12:19
  Speaker 1: those three points that you've just pointed.
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  Speaker 2: Out to Yeah, so I should have mentioned the childcare stuff.
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  Speaker 2: That's kind of one of the things that has an
• 12:29
  Speaker 2: immediate impact. I've got to say, because people, it's the
• 12:32
  Speaker 2: equivalent of releasing I think close to one hundred and
• 12:36
  Speaker 2: thirty thousand new workers just by the Affordable Childcare package. Immigration,
• 12:43
  Speaker 2: there's always a lag on it, so we push go
• 12:45
  Speaker 2: to day. You've probably got a six to twelve month plague.
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  Speaker 2: The Pacific Islander Labor Mobility scheme comes online a lot quicker,
• 12:55
  Speaker 2: so you're talking months in both of those sort of programs.
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  Speaker 2: The ability to pick up those sorts of programs, and
• 13:01
  Speaker 2: of course the trade stuff. We put a new apprentice
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  Speaker 2: on the day, it's four years before they've got their ticket,
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  Speaker 2: but you know it's four years whenever you start. We've
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  Speaker 2: got to do it now.
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  Speaker 1: Well, Minister, we have run out of time. We really
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  Speaker 1: appreciate you taking the time to have a chat with
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  Speaker 1: us this morning. Assistant Treasurer and also Minister for Financial Services,
• 13:21
  Speaker 1: Stephen Jones, thanks for having a chat with us this morning.
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  Speaker 2: Great to be with you, Katie.
• 13:26
  Speaker 1: Thank you. You two