Carpenter calls on Costello for more cash

Premier Alan Carpenter has called on Federal Treasurer Peter Costello, who is visiting Perth today, to allocate more money to the State Government for infrastructure projects.

The full text of an announcement from the Premier's office is pasted below

Premier Alan Carpenter has called on the Federal Government to give Western Australia due recognition and invest more in the State's infrastructure.

The Premier made the plea as Federal Treasurer Peter Costello was set to make one of his rare visits to WA.

"The reason Peter Costello can deliver such massive Federal Budget surpluses is WA's strong economy," Mr Carpenter said.

"Yet Mr Costello rips $5 billion out of the WA economy each year to spend in the Eastern States where there are more marginal seats.

"The WA Government is embarking on a record $21.6 billion capital works program and we have consistently requested Commonwealth assistance for infrastructure projects in this State.

"However in the last Federal Budget, the Howard Government allocated only $317 per capita nationally on infrastructure, while the WA Government allocated $2,154 per capita in our State.

"This equates to the Federal Government allocating just 2 per cent of its expenditure on infrastructure, compared to the State Government allocating 21 per cent of its expenditure on infrastructure.

"The Howard Government's attitude towards WA is in stark contrast to Federal Labor leader Kevin Rudd, who recognises the important role being played by our State.

"Mr Rudd has committed $100 million annually as part of the WA Infrastructure Fund, based on a royalty share arrangement from the Gorgon and Pluto natural gas projects in the north of our State.

"Mr Rudd's commitment to developing a national strategy for skilled workers through the Skills Australia program will also immensely benefit the WA economy where the State is experiencing serious labour shortages.

"No such commitments have been forthcoming from the Howard Government, which has given scant regard to infrastructure projects in WA.

"We deserve our fair share."

Key facts:

• WA accounts for 36 per cent of Australia's export earnings;
• In 2005-06, WA provided $28 billion to the Commonwealth in taxes and revenue but received $23billion in return;
• The last Federal Budget allocated only $6.56 billion - or $317 per capita nationally - on infrastructure. The WA Government allocated $4.44 billion or $2,154 per capita in WA;
• Funding for the States (net of State taxes given up under the GST reforms) has fallen from 8.1 per cent of GDP in the early 1980s to 5.2 per cent in 2006-07, representing a funding cut of $30 billion to the States; and
• WA will receive only 10.3 per cent of Auslink National Network funding, despite its 22 per cent share of roads in the Auslink National Network.