1 00:00:00,160 --> 00:00:03,360 Speaker 1: We are breaking down the budgets this morning. It's interesting, 2 00:00:03,400 --> 00:00:05,160 Speaker 1: isn't it when there's not just one, but there's two 3 00:00:05,200 --> 00:00:07,760 Speaker 1: to try and get through and try to work out 4 00:00:07,960 --> 00:00:10,640 Speaker 1: exactly how the Northern Territory is either going to be 5 00:00:10,680 --> 00:00:13,440 Speaker 1: impacted or going to benefit. And joining us on the 6 00:00:13,480 --> 00:00:16,400 Speaker 1: line right now from the Chamber of Commerce, the CEO, 7 00:00:16,880 --> 00:00:19,119 Speaker 1: Greg Island. Good morning to you, Greg. 8 00:00:19,880 --> 00:00:23,000 Speaker 2: Good morning Katie. How are you today? Very well? Greg? 9 00:00:23,000 --> 00:00:24,919 Speaker 1: I'll tell you what It's interesting, isn't it when there's 10 00:00:24,920 --> 00:00:28,120 Speaker 1: two budgets trying to break it all down and you know, 11 00:00:28,320 --> 00:00:31,200 Speaker 1: work out what it means for the territory. But what's 12 00:00:31,200 --> 00:00:33,800 Speaker 1: your take being first off, I suppose from the Northern 13 00:00:33,880 --> 00:00:37,360 Speaker 1: Territory budget for Northern Territory businesses. 14 00:00:38,240 --> 00:00:40,000 Speaker 2: Well, Katie, I was going to sort of lump them 15 00:00:40,000 --> 00:00:44,400 Speaker 2: together and just we're both kind of remarkably similar. Yeah, 16 00:00:45,760 --> 00:00:51,560 Speaker 2: in my view, very much focused on social and community issues. 17 00:00:51,800 --> 00:00:55,520 Speaker 2: I think federally the support for cost of living relief 18 00:00:55,600 --> 00:00:59,400 Speaker 2: is substantial as well as in the territory we're seeing 19 00:01:00,000 --> 00:01:04,000 Speaker 2: siderable spend in safety and security, health and education, So 20 00:01:04,800 --> 00:01:07,560 Speaker 2: a lot of alignment there. Maybe it's a labor it's 21 00:01:07,560 --> 00:01:12,280 Speaker 2: a labor thing across the country. But yeah, both, budget's 22 00:01:12,760 --> 00:01:15,080 Speaker 2: not a great deal for business at this point in time. 23 00:01:15,640 --> 00:01:17,640 Speaker 1: Yeah, look, it did seem I think it hit the 24 00:01:17,680 --> 00:01:19,600 Speaker 1: nail on the head there in the sense that it 25 00:01:19,640 --> 00:01:23,440 Speaker 1: does seem like there's a lot in there for safety, 26 00:01:23,520 --> 00:01:27,800 Speaker 1: which is going to be hopefully a positive for our businesses, 27 00:01:27,880 --> 00:01:29,959 Speaker 1: many of which have been on the receiving end of 28 00:01:30,280 --> 00:01:32,560 Speaker 1: some of those really serious issues when it comes to 29 00:01:32,600 --> 00:01:35,399 Speaker 1: crime and alcohol related crime in the NT. 30 00:01:36,840 --> 00:01:40,280 Speaker 2: Yeah, absolutely spot on there, Katie. We certainly support the 31 00:01:40,319 --> 00:01:46,640 Speaker 2: investment into those areas. Territory business is resilient enough on 32 00:01:46,680 --> 00:01:48,800 Speaker 2: its own, but it certainly is going to need some 33 00:01:48,840 --> 00:01:52,840 Speaker 2: help by able to recruit workers and people into their businesses, 34 00:01:53,200 --> 00:01:55,080 Speaker 2: and those people have got to want to stay and 35 00:01:55,160 --> 00:01:57,440 Speaker 2: live here. So you know, it's paramount that we get 36 00:01:57,440 --> 00:02:00,560 Speaker 2: those settings right and so that we are able to 37 00:02:00,600 --> 00:02:02,960 Speaker 2: service all of the projects that are to come our way. 38 00:02:03,680 --> 00:02:07,600 Speaker 1: Now. In terms of any sort of initiatives or cost 39 00:02:07,640 --> 00:02:12,760 Speaker 1: saving measures or any assistance for business, there isn't a 40 00:02:12,760 --> 00:02:13,520 Speaker 1: lot there is. 41 00:02:13,480 --> 00:02:18,880 Speaker 2: There not in this particular budget, Katie, But I think 42 00:02:18,919 --> 00:02:21,120 Speaker 2: business will be satisfied if we could if we do 43 00:02:21,200 --> 00:02:26,280 Speaker 2: see those improvements in the social triggures that we've got 44 00:02:26,320 --> 00:02:29,360 Speaker 2: at the moment, and if we do get those and 45 00:02:29,440 --> 00:02:35,000 Speaker 2: that will allow businesses to consolidate and prepare. One of 46 00:02:35,040 --> 00:02:37,120 Speaker 2: the things that we are chasing, and we've seen the 47 00:02:37,120 --> 00:02:41,520 Speaker 2: see peace support around the payroll tax issue. Those are 48 00:02:41,560 --> 00:02:43,720 Speaker 2: things that I think will come out through the election 49 00:02:43,840 --> 00:02:47,440 Speaker 2: process and we've obviously got that coming up fairly quickly. 50 00:02:47,880 --> 00:02:51,519 Speaker 2: But probably the most concerning aspect from both budgets to 51 00:02:51,600 --> 00:02:55,160 Speaker 2: gain is the fact that the debt levels continue to rise, 52 00:02:55,280 --> 00:02:59,800 Speaker 2: both federally and locally, and they continue to get pushed 53 00:02:59,800 --> 00:03:04,000 Speaker 2: out further and further. So we have got a very 54 00:03:04,080 --> 00:03:07,640 Speaker 2: very heavy reliance on revenue from these projects. Now that'll 55 00:03:07,680 --> 00:03:10,560 Speaker 2: be both payroll tax revenue for the government but also 56 00:03:11,360 --> 00:03:14,560 Speaker 2: royalties through these projects. So it's certainly a challenge for 57 00:03:15,560 --> 00:03:20,520 Speaker 2: future governments and making sure these projects actually come to fruition. 58 00:03:20,960 --> 00:03:22,600 Speaker 1: Yeah, let's look at that for a moment. I mean, 59 00:03:22,639 --> 00:03:26,919 Speaker 1: eleven billion dollars in debt here in the Northern Territory. 60 00:03:27,040 --> 00:03:30,840 Speaker 1: It is an astronomical amount of money. And the Chief 61 00:03:30,840 --> 00:03:33,320 Speaker 1: Minister telling us on the show earlier this morning that 62 00:03:34,120 --> 00:03:37,040 Speaker 1: you know, obviously our gas and Middle Arm, the development 63 00:03:37,040 --> 00:03:39,240 Speaker 1: at Middle Arm, they are going to have a huge 64 00:03:39,280 --> 00:03:42,880 Speaker 1: part to play in terms of bringing that debt down 65 00:03:43,000 --> 00:03:45,680 Speaker 1: over the coming years. But there's still a few hurdles 66 00:03:45,680 --> 00:03:47,600 Speaker 1: to jump over with those projects. 67 00:03:49,400 --> 00:03:52,840 Speaker 2: There certainly is. You know, we've seen projects slip in 68 00:03:52,920 --> 00:03:55,440 Speaker 2: the past, and you know, if we continue to see 69 00:03:55,480 --> 00:03:58,440 Speaker 2: slippage of time frames like we've seen, you know, we 70 00:03:58,800 --> 00:04:01,840 Speaker 2: are going to be challenged by delays in those revenues 71 00:04:01,880 --> 00:04:03,760 Speaker 2: and that's just going to push that number even higher. 72 00:04:03,920 --> 00:04:05,200 Speaker 2: By the time we get to the end of the 73 00:04:05,240 --> 00:04:08,720 Speaker 2: forecast period, we're up at around twelve point three or 74 00:04:08,760 --> 00:04:12,520 Speaker 2: four billion dollars. When you look at the insurance sorry, 75 00:04:12,600 --> 00:04:16,279 Speaker 2: the interest bill on that amount of money, it's roughly 76 00:04:16,360 --> 00:04:20,520 Speaker 2: two million dollars a day. That's more than the police 77 00:04:20,560 --> 00:04:21,359 Speaker 2: budget itself. 78 00:04:21,800 --> 00:04:24,520 Speaker 1: Does it concern you? I mean, it seems like the 79 00:04:24,600 --> 00:04:29,520 Speaker 1: Chief Minister is very very positive around gas and very 80 00:04:29,640 --> 00:04:33,920 Speaker 1: very positive in terms of progressing industry. But there are 81 00:04:33,960 --> 00:04:36,279 Speaker 1: still members of that cabinet or of the Caucus that 82 00:04:36,360 --> 00:04:40,159 Speaker 1: have openly said that they're not big fans of gas. 83 00:04:40,279 --> 00:04:40,960 Speaker 1: Is that a worry? 84 00:04:43,920 --> 00:04:47,000 Speaker 2: I think that's certainly a challenge. It's the territory's greatest 85 00:04:47,000 --> 00:04:49,440 Speaker 2: asset that we've got is going to help us through 86 00:04:49,440 --> 00:04:53,080 Speaker 2: this particular situation. So those challenges, and you know, the 87 00:04:53,120 --> 00:04:55,760 Speaker 2: attitude of the Chief Minteries Minister is one that we 88 00:04:55,920 --> 00:04:58,880 Speaker 2: applaud and it's great to hear the federal government starting 89 00:04:58,920 --> 00:05:02,480 Speaker 2: to turn its rhetoric along those lines as well. So 90 00:05:03,640 --> 00:05:06,680 Speaker 2: just in those industries, we're talking about twenty five to 91 00:05:06,800 --> 00:05:10,719 Speaker 2: thirty thousand people having to work in those areas, and 92 00:05:11,040 --> 00:05:13,320 Speaker 2: that's a huge uplift for the territory, not only in 93 00:05:13,320 --> 00:05:16,800 Speaker 2: the royalty space, but just the general economic spin off 94 00:05:16,880 --> 00:05:20,719 Speaker 2: of that population increase. So we certainly need them. We 95 00:05:20,760 --> 00:05:22,880 Speaker 2: certainly don't want people getting in the way. We have 96 00:05:23,000 --> 00:05:27,279 Speaker 2: enough challenges with activism around things that just shouldn't happen. 97 00:05:27,320 --> 00:05:29,960 Speaker 2: You know, Baros is a classic example of that. And 98 00:05:30,000 --> 00:05:32,080 Speaker 2: when you look at the impact the Baroca project on 99 00:05:32,120 --> 00:05:35,040 Speaker 2: its own is going to have on the territory budget, 100 00:05:35,920 --> 00:05:38,320 Speaker 2: you can see how important these projects are. 101 00:05:39,160 --> 00:05:41,120 Speaker 1: Greg Before I let you go, I mean anything else, 102 00:05:41,440 --> 00:05:45,440 Speaker 1: any big wins or big concerns that came for you 103 00:05:45,560 --> 00:05:49,000 Speaker 1: yesterday in listening to both of those budgets. 104 00:05:50,320 --> 00:05:52,280 Speaker 2: Look, I think there was quite a number of positives, 105 00:05:52,320 --> 00:05:58,520 Speaker 2: particularly in the investment into our social activities. Education is 106 00:05:58,600 --> 00:06:01,320 Speaker 2: key to breaking the side of some of these things, 107 00:06:01,600 --> 00:06:03,920 Speaker 2: we know that that's going to be the case. Our 108 00:06:03,960 --> 00:06:08,960 Speaker 2: healthcare system is extremely challenged and investment in that is 109 00:06:09,000 --> 00:06:13,159 Speaker 2: always going to be worthwhile. And police is are necessary 110 00:06:13,839 --> 00:06:16,400 Speaker 2: evil for one of a better word at this point 111 00:06:16,440 --> 00:06:18,880 Speaker 2: in time. So look, I don't see all of that 112 00:06:18,960 --> 00:06:23,120 Speaker 2: as positive and they will improve settings for business. Business 113 00:06:23,160 --> 00:06:25,960 Speaker 2: needs to have the confidence of getting these projects over 114 00:06:25,960 --> 00:06:28,680 Speaker 2: the line and we're looking forward to that as well well. 115 00:06:28,720 --> 00:06:32,760 Speaker 1: Greg Ireland from the Chamber of Commerce CEO, always appreciate 116 00:06:32,839 --> 00:06:34,520 Speaker 1: your time. Thanks so much for having a chat with 117 00:06:34,600 --> 00:06:35,200 Speaker 1: us this morning. 118 00:06:36,160 --> 00:06:36,960 Speaker 2: You're most welcome. 119 00:06:37,120 --> 00:06:37,960 Speaker 1: Thank you.