State budget: what we do and don't know so far
* $727 million to "operationalise" the new Metro Tunnel, slated to open later in 2025
* An extra $98.7 million to run more train services on other lines
* $2 billion to redevelop the Sunshine Station as part of building a rail line from Melbourne Airport to the CBD
* $727 million to increase beds and hire more staff across the prison system
* $61 million to slash stamp duty for off-the-plan apartments, units and townhouses for another 12 months
* $152.3 million to increase the Camps, Sports and Excursions Fund
* $15 million to deliver Get Active Kids Vouchers for another two years
* $15.9 million to help more drought-hit farmers and communities over winter
* $976 million for a "Better Roads Blitz" to fix potholes and upgrade road surfaces
* $2.2 million over four years to expand free public transport for seniors on weekends
* $318 million over four years to allow anyone under 18 to travel free on public transport
WHAT WE DON'T KNOW:
* How high is net debt projected to rise after it was forecast to hit $187.3 billion by mid-2028
* Will the budget still be forecast to get back in the black to the tune of $1.6 billion by 2025/26
* What will the projected wages bill be after Treasurer Jaclyn Symes flagged efforts to cut between 2000 and 3000 Victorian public servant jobs
* How many lapsing government programs, worth a total of $21.3 billion, will have their funding renewed
* Will the Emergency Service Volunteer Fund levy raise less than the $2.1 billion in forecast extra revenue before the government offered rebates to CFA and SES volunteers and some farmers
* Will a revised completion date be listed for Melbourne Airport Rail after it was pushed back at least four years to 2033 because of a now-resolved dispute
WHAT WE ALREADY KNOW IS IN THE 2025/26 VICTORIAN BUDGET:
* $727 million to "operationalise" the new Metro Tunnel, slated to open later in 2025
* An extra $98.7 million to run more train services on other lines
* $2 billion to redevelop the Sunshine Station as part of building a rail line from Melbourne Airport to the CBD
* $727 million to increase beds and hire more staff across the prison system
* $61 million to slash stamp duty for off-the-plan apartments, units and townhouses for another 12 months
* $152.3 million to increase the Camps, Sports and Excursions Fund
* $15 million to deliver Get Active Kids Vouchers for another two years
* $15.9 million to help more drought-hit farmers and communities over winter
* $976 million for a "Better Roads Blitz" to fix potholes and upgrade road surfaces
* $2.2 million over four years to expand free public transport for seniors on weekends
* $318 million over four years to allow anyone under 18 to travel free on public transport
WHAT WE DON'T KNOW:
* How high is net debt projected to rise after it was forecast to hit $187.3 billion by mid-2028
* Will the budget still be forecast to get back in the black to the tune of $1.6 billion by 2025/26
* What will the projected wages bill be after Treasurer Jaclyn Symes flagged efforts to cut between 2000 and 3000 Victorian public servant jobs
* How many lapsing government programs, worth a total of $21.3 billion, will have their funding renewed
* Will the Emergency Service Volunteer Fund levy raise less than the $2.1 billion in forecast extra revenue before the government offered rebates to CFA and SES volunteers and some farmers
* Will a revised completion date be listed for Melbourne Airport Rail after it was pushed back at least four years to 2033 because of a now-resolved dispute
WHAT WE ALREADY KNOW IS IN THE 2025/26 VICTORIAN BUDGET:
* $727 million to "operationalise" the new Metro Tunnel, slated to open later in 2025
* An extra $98.7 million to run more train services on other lines
* $2 billion to redevelop the Sunshine Station as part of building a rail line from Melbourne Airport to the CBD
* $727 million to increase beds and hire more staff across the prison system
* $61 million to slash stamp duty for off-the-plan apartments, units and townhouses for another 12 months
* $152.3 million to increase the Camps, Sports and Excursions Fund
* $15 million to deliver Get Active Kids Vouchers for another two years
* $15.9 million to help more drought-hit farmers and communities over winter
* $976 million for a "Better Roads Blitz" to fix potholes and upgrade road surfaces
* $2.2 million over four years to expand free public transport for seniors on weekends
* $318 million over four years to allow anyone under 18 to travel free on public transport
WHAT WE DON'T KNOW:
* How high is net debt projected to rise after it was forecast to hit $187.3 billion by mid-2028
* Will the budget still be forecast to get back in the black to the tune of $1.6 billion by 2025/26
* What will the projected wages bill be after Treasurer Jaclyn Symes flagged efforts to cut between 2000 and 3000 Victorian public servant jobs
* How many lapsing government programs, worth a total of $21.3 billion, will have their funding renewed
* Will the Emergency Service Volunteer Fund levy raise less than the $2.1 billion in forecast extra revenue before the government offered rebates to CFA and SES volunteers and some farmers
* Will a revised completion date be listed for Melbourne Airport Rail after it was pushed back at least four years to 2033 because of a now-resolved dispute
WHAT WE ALREADY KNOW IS IN THE 2025/26 VICTORIAN BUDGET:
* $727 million to "operationalise" the new Metro Tunnel, slated to open later in 2025
* An extra $98.7 million to run more train services on other lines
* $2 billion to redevelop the Sunshine Station as part of building a rail line from Melbourne Airport to the CBD
* $727 million to increase beds and hire more staff across the prison system
* $61 million to slash stamp duty for off-the-plan apartments, units and townhouses for another 12 months
* $152.3 million to increase the Camps, Sports and Excursions Fund
* $15 million to deliver Get Active Kids Vouchers for another two years
* $15.9 million to help more drought-hit farmers and communities over winter
* $976 million for a "Better Roads Blitz" to fix potholes and upgrade road surfaces
* $2.2 million over four years to expand free public transport for seniors on weekends
* $318 million over four years to allow anyone under 18 to travel free on public transport
WHAT WE DON'T KNOW:
* How high is net debt projected to rise after it was forecast to hit $187.3 billion by mid-2028
* Will the budget still be forecast to get back in the black to the tune of $1.6 billion by 2025/26
* What will the projected wages bill be after Treasurer Jaclyn Symes flagged efforts to cut between 2000 and 3000 Victorian public servant jobs
* How many lapsing government programs, worth a total of $21.3 billion, will have their funding renewed
* Will the Emergency Service Volunteer Fund levy raise less than the $2.1 billion in forecast extra revenue before the government offered rebates to CFA and SES volunteers and some farmers
* Will a revised completion date be listed for Melbourne Airport Rail after it was pushed back at least four years to 2033 because of a now-resolved dispute
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Mr Hatzistergos said there was no threshold for exceptional circumstances for ICAC, with public interest the "principle" requirement. The commission must also focus on "serious and systemic" corruption. The IBAC Act's definition of "corrupt conduct" requires it to constitute a criminal offence. Former IBAC commissioner Robert Redlich told the inquiry the Victorian and NSW watchdogs, the Law Institute, Victorian Bar and independent think tanks spoke with "one voice" in favour of expanding the definition. "The words at the end of section 4 of the definition should be removed so all of that 'grey corruption' can be addressed," he said. In his submission, Mr Redlich said the current definition provided a "safe haven for politicians and public officers". "We have serious questions that continue to be raised about whether or not the public sector still continues to place, first and foremost, (providing) frank and fearless advice ... to their minister," he said. 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"You can read the report and form your own views as to whether or not it's appropriate for that sort of conduct to be allowed to go without appropriate intervention from your corruption commission," he said. Operation Keppel uncovered the secret "close personal relationship" between Ms Berejiklian and former Wagga Wagga MP Daryl Maguire in a bombshell public hearing in October 2020. Mr Maguire resigned from NSW parliament in 2018 after ICAC began investigating his improper use of his role as an MP to benefit a company in which he had a financial interest. ICAC extended the investigation to include the premier in October 2021, prompting her resignation, and later found she engaged in serious corrupt conduct and breached public trust. The NSW Court of Appeal rejected Ms Berejiklian's attempt to clear her name in July 2024. 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Operation Keppel uncovered the secret "close personal relationship" between Ms Berejiklian and former Wagga Wagga MP Daryl Maguire in a bombshell public hearing in October 2020. Mr Maguire resigned from NSW parliament in 2018 after ICAC began investigating his improper use of his role as an MP to benefit a company in which he had a financial interest. ICAC extended the investigation to include the premier in October 2021, prompting her resignation, and later found she engaged in serious corrupt conduct and breached public trust. The NSW Court of Appeal rejected Ms Berejiklian's attempt to clear her name in July 2024. Mr Hatzistergos pointed out ICAC required a majority of its three commissioners, including himself as chief commissioner, to support a public hearing for one to proceed. A public hearing has never occurred after a 2-1 vote, the former NSW attorney-general said. "It's always been 3-0," Mr Hatzistergos told the Integrity and Oversight Committee. "That doesn't mean that we don't take reputations into account." Victoria's IBAC Act states an examination can only be held in public if there are "exceptional circumstances" or if it is in the public interest and won't cause "unreasonable damage" to a person's reputation, safety or wellbeing. Mr Hatzistergos said there was no threshold for exceptional circumstances for ICAC, with public interest the "principle" requirement. The commission must also focus on "serious and systemic" corruption. The IBAC Act's definition of "corrupt conduct" requires it to constitute a criminal offence. Former IBAC commissioner Robert Redlich told the inquiry the Victorian and NSW watchdogs, the Law Institute, Victorian Bar and independent think tanks spoke with "one voice" in favour of expanding the definition. "The words at the end of section 4 of the definition should be removed so all of that 'grey corruption' can be addressed," he said. In his submission, Mr Redlich said the current definition provided a "safe haven for politicians and public officers". "We have serious questions that continue to be raised about whether or not the public sector still continues to place, first and foremost, (providing) frank and fearless advice ... to their minister," he said. "The scope for soft corruption has increased because of the nature of executive government." Mr Redlich, whose five-year term leading the Victorian watchdog ended in December 2022, also wants the "exceptional circumstances" provision for public hearings dumped.
The Advertiser
4 hours ago
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'It's crunch time': productivity puzzle must be solved
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It's "crunch time" for the Australian economy. Young Australians face the prospect of being the first generation to be worse off than their parents and Treasurer Jim Chalmers' economic roundtable is crucial to ensuring that doesn't happen. The generational bargain is in peril and policymakers need to act, Productivity Commission chair Danielle Wood says. Now in their 30s, millennials are struggling to enter the property market, "as policy choices have contributed to house prices growing much faster than incomes for the best part of three decades", Ms Wood told the National Press Club on Monday. That's largely because successive governments have failed to adopt a "growth mindset" and encourage productivity - reaping more from the effort put into work - she said. "Productivity growth is the only way to sustainably lift wages and opportunities over time." The commission has spelled out a long list of recommendations to kickstart anaemic productivity growth in five separate reports released before the roundtable, which begins in Canberra on Tuesday. Suggestions include reforming the corporate tax system and financial incentives for workplace training. If the roundtable fails to revive productivity growth, Australia's GDP could be six per cent lower than it might otherwise be, a loss of about $6000 per person, HSBC chief economist Paul Bloxham said. "The stakes are high. It's crunch time." Mr Bloxham identified tax reform, competition and regulation as the three key areas the roundtable ought to address. Growth in the regulatory burden was symptomatic of a policy culture failing to prioritise growth, Ms Wood said. Governments have felt a need to "do something" every time an issue emerged, ending up in a system that dampened growth. An example was the Victorian government's plan to legislate at least two days a week of work from home. Ms Wood said the market had naturally found a "sweet spot", as businesses that offer more flexibility find it easier to attract and retain workers, and businesses that want stricter rules around office attendance tend to have to pay a premium. "So I guess if I was to apply a growth mindset to this, I would think what's the problem that we're trying to solve here? It's not clear to me that there needs to be a role for government in that," she said. "Regulatory hairballs" are everywhere, she argued, from 31-step approvals and licensing surveys for would-be Queensland cafe owners to "evermore stringent requirements for energy efficiency in the construction code". The Albanese government has lobbed its fair share of hairballs down Australia's regulatory gullet, contends opposition productivity spokesman Andrew Bragg. In its first term, Labor introduced 5034 new regulations and 400 fresh laws, raising the cost of compliance by $4.8 billion, according to Office of Impact Analysis figures cited by Senator Bragg. "Australia is now one of the most heavily regulated countries in the world," he said. The treasurer rubbished the claims, arguing the coalition introduced more regulations in its last term before its 2022 election loss. "If the coalition had answers on productivity, they wouldn't have presided over the worst decade for productivity growth in the last 60 years," he said. Dr Chalmers acknowledged the government had been getting in its own way with regulation that was slowing down new housing or energy projects. Some regulation, such as tying government procurement to gender equality aims, was serving a useful purpose, he said. "Where regulation is unnecessary, where it's duplicated, where it's not serving a useful purpose, we should seek to wind it back, and that's what we intend to do." It's "crunch time" for the Australian economy. Young Australians face the prospect of being the first generation to be worse off than their parents and Treasurer Jim Chalmers' economic roundtable is crucial to ensuring that doesn't happen. The generational bargain is in peril and policymakers need to act, Productivity Commission chair Danielle Wood says. Now in their 30s, millennials are struggling to enter the property market, "as policy choices have contributed to house prices growing much faster than incomes for the best part of three decades", Ms Wood told the National Press Club on Monday. That's largely because successive governments have failed to adopt a "growth mindset" and encourage productivity - reaping more from the effort put into work - she said. "Productivity growth is the only way to sustainably lift wages and opportunities over time." The commission has spelled out a long list of recommendations to kickstart anaemic productivity growth in five separate reports released before the roundtable, which begins in Canberra on Tuesday. Suggestions include reforming the corporate tax system and financial incentives for workplace training. If the roundtable fails to revive productivity growth, Australia's GDP could be six per cent lower than it might otherwise be, a loss of about $6000 per person, HSBC chief economist Paul Bloxham said. "The stakes are high. It's crunch time." Mr Bloxham identified tax reform, competition and regulation as the three key areas the roundtable ought to address. Growth in the regulatory burden was symptomatic of a policy culture failing to prioritise growth, Ms Wood said. Governments have felt a need to "do something" every time an issue emerged, ending up in a system that dampened growth. An example was the Victorian government's plan to legislate at least two days a week of work from home. Ms Wood said the market had naturally found a "sweet spot", as businesses that offer more flexibility find it easier to attract and retain workers, and businesses that want stricter rules around office attendance tend to have to pay a premium. "So I guess if I was to apply a growth mindset to this, I would think what's the problem that we're trying to solve here? It's not clear to me that there needs to be a role for government in that," she said. "Regulatory hairballs" are everywhere, she argued, from 31-step approvals and licensing surveys for would-be Queensland cafe owners to "evermore stringent requirements for energy efficiency in the construction code". The Albanese government has lobbed its fair share of hairballs down Australia's regulatory gullet, contends opposition productivity spokesman Andrew Bragg. In its first term, Labor introduced 5034 new regulations and 400 fresh laws, raising the cost of compliance by $4.8 billion, according to Office of Impact Analysis figures cited by Senator Bragg. "Australia is now one of the most heavily regulated countries in the world," he said. The treasurer rubbished the claims, arguing the coalition introduced more regulations in its last term before its 2022 election loss. "If the coalition had answers on productivity, they wouldn't have presided over the worst decade for productivity growth in the last 60 years," he said. Dr Chalmers acknowledged the government had been getting in its own way with regulation that was slowing down new housing or energy projects. Some regulation, such as tying government procurement to gender equality aims, was serving a useful purpose, he said. "Where regulation is unnecessary, where it's duplicated, where it's not serving a useful purpose, we should seek to wind it back, and that's what we intend to do." It's "crunch time" for the Australian economy. Young Australians face the prospect of being the first generation to be worse off than their parents and Treasurer Jim Chalmers' economic roundtable is crucial to ensuring that doesn't happen. The generational bargain is in peril and policymakers need to act, Productivity Commission chair Danielle Wood says. Now in their 30s, millennials are struggling to enter the property market, "as policy choices have contributed to house prices growing much faster than incomes for the best part of three decades", Ms Wood told the National Press Club on Monday. That's largely because successive governments have failed to adopt a "growth mindset" and encourage productivity - reaping more from the effort put into work - she said. "Productivity growth is the only way to sustainably lift wages and opportunities over time." The commission has spelled out a long list of recommendations to kickstart anaemic productivity growth in five separate reports released before the roundtable, which begins in Canberra on Tuesday. Suggestions include reforming the corporate tax system and financial incentives for workplace training. If the roundtable fails to revive productivity growth, Australia's GDP could be six per cent lower than it might otherwise be, a loss of about $6000 per person, HSBC chief economist Paul Bloxham said. "The stakes are high. It's crunch time." Mr Bloxham identified tax reform, competition and regulation as the three key areas the roundtable ought to address. Growth in the regulatory burden was symptomatic of a policy culture failing to prioritise growth, Ms Wood said. Governments have felt a need to "do something" every time an issue emerged, ending up in a system that dampened growth. An example was the Victorian government's plan to legislate at least two days a week of work from home. Ms Wood said the market had naturally found a "sweet spot", as businesses that offer more flexibility find it easier to attract and retain workers, and businesses that want stricter rules around office attendance tend to have to pay a premium. "So I guess if I was to apply a growth mindset to this, I would think what's the problem that we're trying to solve here? It's not clear to me that there needs to be a role for government in that," she said. "Regulatory hairballs" are everywhere, she argued, from 31-step approvals and licensing surveys for would-be Queensland cafe owners to "evermore stringent requirements for energy efficiency in the construction code". The Albanese government has lobbed its fair share of hairballs down Australia's regulatory gullet, contends opposition productivity spokesman Andrew Bragg. In its first term, Labor introduced 5034 new regulations and 400 fresh laws, raising the cost of compliance by $4.8 billion, according to Office of Impact Analysis figures cited by Senator Bragg. "Australia is now one of the most heavily regulated countries in the world," he said. The treasurer rubbished the claims, arguing the coalition introduced more regulations in its last term before its 2022 election loss. "If the coalition had answers on productivity, they wouldn't have presided over the worst decade for productivity growth in the last 60 years," he said. Dr Chalmers acknowledged the government had been getting in its own way with regulation that was slowing down new housing or energy projects. Some regulation, such as tying government procurement to gender equality aims, was serving a useful purpose, he said. "Where regulation is unnecessary, where it's duplicated, where it's not serving a useful purpose, we should seek to wind it back, and that's what we intend to do."
