1 00:00:00,080 --> 00:00:03,680 Speaker 1: The Darwin Major Business Group have released their latest economic 2 00:00:03,800 --> 00:00:07,480 Speaker 1: analysis which highlights what it calls for a critical window 3 00:00:07,480 --> 00:00:11,200 Speaker 1: of opportunity for growth in the territory now. The new 4 00:00:11,400 --> 00:00:17,000 Speaker 1: Over the Horizons Opportunities report was prepared by the AEC Group. 5 00:00:17,040 --> 00:00:22,040 Speaker 1: It points to signs of recovery in population, employment and housing, 6 00:00:22,079 --> 00:00:24,959 Speaker 1: but once at the next phase will be key to 7 00:00:25,040 --> 00:00:29,760 Speaker 1: securing long term prosperity. Now, the chair Steve Margetek, says 8 00:00:29,800 --> 00:00:32,720 Speaker 1: that backing the private sector is going to be crucial 9 00:00:32,840 --> 00:00:36,120 Speaker 1: to driving that growth and he joins me on the line. Now, 10 00:00:36,320 --> 00:00:37,840 Speaker 1: good morning to you, Steve. 11 00:00:38,520 --> 00:00:39,320 Speaker 2: Good morning Caddy. 12 00:00:39,640 --> 00:00:42,000 Speaker 1: Lovely to have you on the show. Now, Steve, tell 13 00:00:42,040 --> 00:00:45,320 Speaker 1: me what are the strongest signs of recovery that we're 14 00:00:45,400 --> 00:00:48,680 Speaker 1: seeing right now. And you know, when we look at 15 00:00:48,680 --> 00:00:50,960 Speaker 1: the report that was released on Friday. 16 00:00:52,080 --> 00:00:55,279 Speaker 2: Well, certainly the housing incentive scheme that the government put 17 00:00:55,320 --> 00:00:58,680 Speaker 2: in place after it was elected has been a very 18 00:00:58,720 --> 00:01:03,680 Speaker 2: successful scheme and initiative and we've seen strong growth in 19 00:01:03,720 --> 00:01:07,480 Speaker 2: the housing market over that over the last eighteen months. 20 00:01:07,560 --> 00:01:09,600 Speaker 2: Now we'll continue to see that and we're certainly keen 21 00:01:09,680 --> 00:01:12,480 Speaker 2: for the government to maintain that incentive because housing is 22 00:01:12,480 --> 00:01:16,160 Speaker 2: a key driver. It's a demand in the economy. The 23 00:01:16,200 --> 00:01:20,720 Speaker 2: other areas we're seeing it. Our unemployment rate is dropping, 24 00:01:21,200 --> 00:01:24,319 Speaker 2: our overall migration is up a little bit, but we're 25 00:01:24,360 --> 00:01:27,480 Speaker 2: still getting that leakage out of the territory. So we're 26 00:01:27,560 --> 00:01:30,640 Speaker 2: keen to see that address. But the main area is 27 00:01:30,840 --> 00:01:36,839 Speaker 2: I think Kada with government is underpinning of quite quite 28 00:01:36,840 --> 00:01:39,160 Speaker 2: a bit of the economic activity at the moment in 29 00:01:39,200 --> 00:01:42,720 Speaker 2: the territory, and it's absolutely critical for us to see 30 00:01:43,200 --> 00:01:47,000 Speaker 2: that load transition to the private sector and private sector investment. 31 00:01:47,400 --> 00:01:50,600 Speaker 2: Now we'll see that through the likes of Beaterloo and 32 00:01:50,640 --> 00:01:53,760 Speaker 2: the like as it moves forward. But what we've got 33 00:01:53,880 --> 00:01:57,160 Speaker 2: in my advocacy to territories and territory business is that 34 00:01:58,040 --> 00:02:02,000 Speaker 2: none of these things happen without territory territorians leaning in 35 00:02:02,040 --> 00:02:05,320 Speaker 2: and taking advantage of these opportunities when they when they present. 36 00:02:06,000 --> 00:02:08,720 Speaker 2: They're not going to happen in and of their own cord. 37 00:02:09,080 --> 00:02:11,760 Speaker 2: It's a very competitive capital is a very competitive market. 38 00:02:12,160 --> 00:02:15,000 Speaker 2: But certainly have a you know, we have an amazing 39 00:02:15,000 --> 00:02:17,440 Speaker 2: opportunity ahead of us, as long as we lean into 40 00:02:17,480 --> 00:02:19,639 Speaker 2: that opportunity and seize the moment. 41 00:02:20,160 --> 00:02:23,440 Speaker 1: Now, I know that the report also emphasized the role 42 00:02:23,520 --> 00:02:25,640 Speaker 1: and you've just touched on it there and spoken about 43 00:02:25,680 --> 00:02:29,320 Speaker 1: it of the private sector, What specific policies or what 44 00:02:29,440 --> 00:02:32,239 Speaker 1: kind of support does business need do you think from 45 00:02:32,240 --> 00:02:34,360 Speaker 1: the government right now in terms of some of those 46 00:02:34,400 --> 00:02:37,080 Speaker 1: policy settings, and you know it may be the Northern 47 00:02:37,160 --> 00:02:40,440 Speaker 1: Territory government but also the federal government to try to 48 00:02:40,480 --> 00:02:43,560 Speaker 1: support the private sector really you know, wanting to do 49 00:02:43,600 --> 00:02:44,280 Speaker 1: more in the NT. 50 00:02:46,800 --> 00:02:49,680 Speaker 2: You're dead right. I think the key is with investment. 51 00:02:49,720 --> 00:02:52,800 Speaker 2: The key is certainty, so approval time frames and then 52 00:02:52,840 --> 00:02:58,160 Speaker 2: certainty around approvals when they're given. As I mentioned, capital 53 00:02:58,200 --> 00:03:01,720 Speaker 2: these days is not patients. When the opportunities present, and 54 00:03:01,760 --> 00:03:04,960 Speaker 2: investors want to look at that opportunity by invariably have 55 00:03:05,040 --> 00:03:08,320 Speaker 2: time frames around their investment decision making. And if we're 56 00:03:08,320 --> 00:03:10,440 Speaker 2: not able to meet those, and this is a challenge 57 00:03:10,440 --> 00:03:13,079 Speaker 2: for both the territory and the federal government, then we 58 00:03:13,160 --> 00:03:16,960 Speaker 2: missed that opportunity because the capital goes elsewhere. The key 59 00:03:17,040 --> 00:03:20,760 Speaker 2: for us and we've seen some positive steps already in 60 00:03:21,520 --> 00:03:26,639 Speaker 2: getting the settings right to provide more certainty, but there 61 00:03:26,639 --> 00:03:30,880 Speaker 2: are areas where we still struggle in time frames for 62 00:03:32,000 --> 00:03:36,200 Speaker 2: approvals and then once indicative approvals have provided to actually 63 00:03:36,200 --> 00:03:39,800 Speaker 2: get that to that point where activity can commence, and 64 00:03:39,840 --> 00:03:43,800 Speaker 2: it's not until that activity commences have you secured the opportunity. 65 00:03:44,480 --> 00:03:46,840 Speaker 1: I mean, one of the things I found interesting obviously 66 00:03:46,880 --> 00:03:48,800 Speaker 1: I am see the event on Friday. One of the 67 00:03:48,800 --> 00:03:52,760 Speaker 1: things I've found interesting when that report was being discussed 68 00:03:52,960 --> 00:03:56,000 Speaker 1: is it in places like North Queensland or in places 69 00:03:56,040 --> 00:03:59,680 Speaker 1: like Regional Queensland, you know, they seem to be able 70 00:03:59,720 --> 00:04:02,640 Speaker 1: to you know, to bring that investment in better than 71 00:04:02,680 --> 00:04:04,600 Speaker 1: what we are at the moment. I guess that was 72 00:04:04,640 --> 00:04:09,120 Speaker 1: one of the questions on people's lips, like why, And 73 00:04:09,200 --> 00:04:09,680 Speaker 1: I think. 74 00:04:09,520 --> 00:04:14,480 Speaker 2: That's it's momentum tating economic momentum or investment momentum. When 75 00:04:16,480 --> 00:04:18,880 Speaker 2: investors look at what else is going on, So they're 76 00:04:18,880 --> 00:04:22,680 Speaker 2: always looking to judge, you know, the temperature the environment 77 00:04:22,760 --> 00:04:25,560 Speaker 2: of the market they're investing in. When things are going ahead, 78 00:04:25,960 --> 00:04:28,960 Speaker 2: it's a very good indicator that there is economic growth 79 00:04:29,040 --> 00:04:33,240 Speaker 2: and that provides a level of confidence around their particular investment. 80 00:04:33,560 --> 00:04:35,800 Speaker 2: What that then means is they're prepared to take a 81 00:04:35,880 --> 00:04:39,839 Speaker 2: higher level of risk and invariably that means investing sooner 82 00:04:40,080 --> 00:04:42,840 Speaker 2: in the process. And it's that part of it where 83 00:04:42,839 --> 00:04:45,520 Speaker 2: we've got to change the dial in the territory. 84 00:04:46,080 --> 00:04:49,280 Speaker 1: I know, the report also highlighted, you know, some of 85 00:04:49,320 --> 00:04:54,479 Speaker 1: the risks like debt and also workforce retention. How serious 86 00:04:54,520 --> 00:04:57,120 Speaker 1: are some of those challenges at the moment we did 87 00:04:57,160 --> 00:04:59,880 Speaker 1: here on Friday, you know, some you know, like for 88 00:05:00,120 --> 00:05:03,960 Speaker 1: some of our businesses in the end they're needing to 89 00:05:04,440 --> 00:05:07,520 Speaker 1: bring in workers, but even that process can be really 90 00:05:07,640 --> 00:05:08,359 Speaker 1: very difficult. 91 00:05:09,600 --> 00:05:13,080 Speaker 2: There were some interesting points made, certainly, and I think 92 00:05:13,360 --> 00:05:17,120 Speaker 2: one of our panel members in the discussion suggested that 93 00:05:17,160 --> 00:05:19,880 Speaker 2: perhaps the territory should write its own real books an 94 00:05:20,400 --> 00:05:23,520 Speaker 2: around immigration and commencece advocacy. And it's a very good 95 00:05:23,560 --> 00:05:28,760 Speaker 2: idea being able to get We're slightly different jurisdiction to 96 00:05:28,800 --> 00:05:31,200 Speaker 2: the rest of Australia where there's a different discussion around 97 00:05:31,240 --> 00:05:34,839 Speaker 2: immigration the caring, but immigration's critical for the territory in 98 00:05:34,880 --> 00:05:37,720 Speaker 2: the context of getting key workers in and will remain 99 00:05:38,160 --> 00:05:38,560 Speaker 2: that way. 100 00:05:39,839 --> 00:05:41,320 Speaker 1: Yeah. I mean, we've got to make sure that we've 101 00:05:41,320 --> 00:05:43,240 Speaker 1: got workers here, we've got to make sure that we're 102 00:05:43,279 --> 00:05:46,839 Speaker 1: able to keep things sticking along. Steve. One of the 103 00:05:46,880 --> 00:05:48,520 Speaker 1: big you know, one of the big things that we 104 00:05:48,640 --> 00:05:50,719 Speaker 1: sort of talk about every day. I mean, even this morning, 105 00:05:50,720 --> 00:05:54,120 Speaker 1: we're talking about our ambulance service and the funding around that. 106 00:05:54,200 --> 00:05:57,119 Speaker 1: You know, we talk about hospital funding, we talk about 107 00:05:57,160 --> 00:05:59,400 Speaker 1: the money it's going to be required to fix our 108 00:05:59,480 --> 00:06:03,760 Speaker 1: roads post you know, the situation with the weather. How 109 00:06:03,839 --> 00:06:07,719 Speaker 1: important is it to have the economy ticking along and 110 00:06:07,760 --> 00:06:11,279 Speaker 1: to have that private investment into the Northern territory. You 111 00:06:11,279 --> 00:06:13,719 Speaker 1: know when you look at then the other side of 112 00:06:13,720 --> 00:06:16,480 Speaker 1: it and the Northern Territory government having to invest on 113 00:06:17,120 --> 00:06:21,120 Speaker 1: things like hospitals and roads, etc. And you know how 114 00:06:21,200 --> 00:06:24,160 Speaker 1: big a boost would it be if we've actually got 115 00:06:24,200 --> 00:06:27,680 Speaker 1: that private investment and we've got projects going that aren't 116 00:06:27,880 --> 00:06:29,920 Speaker 1: or don't need to be funded by the government. 117 00:06:31,880 --> 00:06:37,320 Speaker 2: It's fundamentals to the government and treasury having the revenue 118 00:06:37,360 --> 00:06:41,680 Speaker 2: sources to be able to fund schools, roads, hospitals, all 119 00:06:41,760 --> 00:06:45,799 Speaker 2: of those things without it where you're in a contracting environment. 120 00:06:45,880 --> 00:06:49,240 Speaker 2: So we have you know, we have increasing needs in 121 00:06:49,240 --> 00:06:52,880 Speaker 2: the territory, as does every state. So it's crittical to 122 00:06:52,960 --> 00:06:56,400 Speaker 2: have that economic growth because it's the economic growth and 123 00:06:56,480 --> 00:07:01,640 Speaker 2: the revenue derives from that through taxes, through GST returns. 124 00:07:02,600 --> 00:07:05,240 Speaker 2: That's where the income comes from to pay for all 125 00:07:05,279 --> 00:07:08,640 Speaker 2: of this, and that's what drives the increase in the 126 00:07:08,880 --> 00:07:13,160 Speaker 2: value of people's houses. It provides the jobs for families 127 00:07:13,240 --> 00:07:19,240 Speaker 2: and their kids. It's absolutely integral to a healthy, prosperous 128 00:07:20,720 --> 00:07:24,200 Speaker 2: society and economy in the territory, and then making more 129 00:07:24,320 --> 00:07:27,320 Speaker 2: ensuring that families are comfortable staying here and want to 130 00:07:27,360 --> 00:07:28,320 Speaker 2: stay in the territory. 131 00:07:29,000 --> 00:07:31,680 Speaker 1: Steve, we talk a lot, you know, about the different 132 00:07:31,720 --> 00:07:34,240 Speaker 1: ways that we could get the economy moving. It seems 133 00:07:34,280 --> 00:07:36,160 Speaker 1: like there's a lot of people with the will and 134 00:07:36,200 --> 00:07:38,680 Speaker 1: the want to do it. Why does it feel like we, 135 00:07:38,800 --> 00:07:42,960 Speaker 1: you know, we have these discussions and then sometimes things 136 00:07:43,000 --> 00:07:44,360 Speaker 1: don't keep moving forward. 137 00:07:46,120 --> 00:07:50,640 Speaker 2: Well, I think it's always harder than it seems. But 138 00:07:51,520 --> 00:07:54,600 Speaker 2: you know, I always look at it. You know, I've 139 00:07:54,640 --> 00:07:57,720 Speaker 2: been running the business here for forty years, and over 140 00:07:57,720 --> 00:08:02,840 Speaker 2: that period of time, every look in my lens, I 141 00:08:02,920 --> 00:08:05,920 Speaker 2: can't change what's it going to occur tomorrow, and it 142 00:08:06,080 --> 00:08:08,559 Speaker 2: sometimes it's quite difficult to change what's going to occur 143 00:08:08,600 --> 00:08:10,280 Speaker 2: in six months time or twelve months. But I've got 144 00:08:10,280 --> 00:08:12,160 Speaker 2: a pretty good idea of where we're going in three 145 00:08:12,400 --> 00:08:15,240 Speaker 2: years and five years and what needs to occur for 146 00:08:15,360 --> 00:08:18,480 Speaker 2: that for that to happen. It's no different for the 147 00:08:18,560 --> 00:08:24,200 Speaker 2: settings within investment frameworks for the territory. It takes a 148 00:08:24,240 --> 00:08:28,320 Speaker 2: while for changes in settings to generate actual change in 149 00:08:28,320 --> 00:08:32,439 Speaker 2: investment confidence and to actually see the evidence. Now we're 150 00:08:32,480 --> 00:08:35,800 Speaker 2: starting to see that evidence that evidence in certain areas 151 00:08:35,800 --> 00:08:38,520 Speaker 2: at the moment. Bloo is one of those that we 152 00:08:38,559 --> 00:08:41,680 Speaker 2: need to keep a very close eye on to enable 153 00:08:41,760 --> 00:08:47,280 Speaker 2: because I think that is singularly probably the most exciting 154 00:08:48,120 --> 00:08:52,959 Speaker 2: investment prospect and economic growth initiatives that the territory has 155 00:08:53,000 --> 00:08:57,040 Speaker 2: seen for many decades. But it won't occur if we 156 00:08:57,679 --> 00:08:59,959 Speaker 2: lean back. We've got to We've actually got a can 157 00:09:00,000 --> 00:09:02,480 Speaker 2: continue to lean in to see how we can enable 158 00:09:02,480 --> 00:09:07,319 Speaker 2: it to provide that momentum around its progress, rather than 159 00:09:07,920 --> 00:09:09,920 Speaker 2: sit back and think we'll do things because of the 160 00:09:10,040 --> 00:09:14,479 Speaker 2: nature of them will occur regardless. Yeah. 161 00:09:14,760 --> 00:09:18,120 Speaker 1: Well, Steve margtick V, Chair of the Darwin Major Business Group, 162 00:09:18,240 --> 00:09:20,920 Speaker 1: really appreciate your time this morning. Thank you so much 163 00:09:20,960 --> 00:09:21,880 Speaker 1: for having a chat with me. 164 00:09:22,840 --> 00:09:23,480 Speaker 2: Pleasure Cati