The Federal Government has turned down a State request for assistance towards meeting a $400 million bill to maintain Western Australia's grain freight line, saying the matter is a state responsibility.
The Federal Government has turned down a State request for assistance towards meeting a $400 million bill to maintain Western Australia's grain freight line, saying the matter is a state responsibility.
Planning and Infrastructure Minister Alannah MacTiernan has accused the Federal Government of double standards, citing the example of a $15m Commonwealth bailout to South Australia in 2004 for the grain freight network on the Eyre Peninsula.
However a spokesperson for Federal Transport Minister Mark Vaile rejected the claims.
"The Australian Government's $15 million contribution towards the Eyre Peninsula Rail System, matched in full by the State, rail operator and grain growers, was a stand alone boost to economic activity in this region in the wake of natural disasters including bushfires," the spokesperson said.
"The co-operative work undertaken in relation to this issue, between the parties of the WA Grain Infrastructure Group, is encouraging. However, the State grain rail transport network in Western Australia is the responsibility of the State Government and private rail operator, WestNet Rail."
Ms MacTiernan said the decision showed the Federal Government did not consider Australia's grain export industry to be its responsibility.
The full text of an announcement from Ms MacTiernan's office is pasted below
The Federal Government has turned down a request from the Western Australian Government for assistance towards meeting a $400 million bill to keep much of WA's grain freight line from closing down.
Planning and Infrastructure Minister Alannah MacTiernan said today that the Federal Government had made it clear that it did not view Australia's grain export industry as a federal responsibility.
"The Commonwealth will not help us deal with this botched privatisation that is putting so much of our rail network at risk," Ms MacTiernan said.
"We've received a very clear and resounding no from the Federal Government for assistance.
"The Federal Government says it's not a federal responsibility, but in 2004 the Commonwealth gave $15 million to South Australia for the grain freight network contractor on the Eyre Peninsula.
"The Federal Government has also given $40 million to Eastern States bus contractors to fit seat belts, although school buses are not a federal responsibility.
"The Commonwealth has also provided $45 million to the Mersey Hospital in Tasmania, although running State hospitals is also not a federal responsibility.
"But the grain rail network, which services the bulk of Australian grain exports, does not create a blip on the Federal Government radar.
"It's in WA - so it doesn't matter."
