CCI calls for abolition of 33 agencies

The Chamber of Commerce and Industry of WA has identified 33 government agencies which it believes are superfluous and, subject to review, need to be consolidated, abolished, or have their services privatised or contracted out.

In its pre-budget submission to the WA government, the CCI believes the current global financial crisis is an ideal time for the state to introduce a variety of public reforms.

The CCI submission says that limiting the number of government agencies would improve public sector efficiency, which in turn would free the government to focus its attention and funding on core areas of service delivery.

The 33 agencies and committees it wants reviewed include the Abalone Management Advisory Committee, the Beekeepers Consultative Committee, the Dental Prosthetists Advisory Committee, the Geographic Names Committee and the Premier's Water Foundation.

It says the state government also needs to provide meaningful tax relief and reduce the burden of being the highest taxing state in Australia.

For this to occur, a one-off reduction in taxes of $1.2 billion would be required, an indication of WA's deterioration in tax competitiveness in recent years.

CCI believes small and medium sized businesses are being consistently and adversely affected by payroll tax.
Increasing the payroll tax threshold exemption would help to stimulate economic activity and ease the burden on these businesses.

The lobby group said the provision of high quality social and economic infrastructure has to be an important goal if WA is to remain a key economic driver of the nation. Such infrastructure projects require a transparent and rigorous assessment so that they might be of maximum benefit to the state.

CCI acknowledged the need for the state government to form a broader policy agenda encouraging innovation, growth and entrepreneurialism in WA.

Other government objectives could be to focus on reforms addressing regulatory barriers such as the complex approvals processes and trading hours restrictions.