ADVANCE CAIRNS
Policy Priorities Our policy priorities in 2020 built on the major review undertaken in 2019, with several priorities updated due to successful advocacy and others reviewed in light of the current environment. Given the severe impact of COVID-19 on the region’s economy, one key priority which required refocussing surrounded aviation route development. Considerable short-term government support has been provided. This will continue to evolve during 2021 as Cairns looks to re-establish international air links as borders re-open.
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Cairns University Hospital highlights
In 2020, the Qld State Government declared its intention to build the Cairns University Hospital, announcing funding for a preliminary business case and land purchase. The 2020-21 State Budget confirmed recurrent funding for the Cairns and Hinterland Hospital and Health Service would be $1.057bn, the same level as the previous year.
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Cairns Hospital is progressing towards obtaining University Hospital status following the State Election commitment with talks underway to select and purchase land, in conjunction with James Cook University. In terms of operational funding, two key milestones remain to be achieved: securing extra Commonwealth Supported Places to enable full medicine degrees to be taught in Cairns and increased recurrent funding from the State to deliver higher level services.
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Cairns Aviation Route Development highlights
During COVID-19, Cairns lost 95% of its total air capacity for the three months ending June 2020. Globally, international airline capacity is not expected to return to pre-COVID capacity until after 2023. State and Federal Governments have recognised the effect of COVID-19 and the disproportionate impact on the Cairns region with several packages to assist, including $10 million destination funding for Tourism TNQ in the Federal Budget. With the assistance of the Federal Government and its International Freight Assistance Mechanism (IFAM), crucial export routes have been retained. Importantly, visitor numbers to the region for December, following the reopening of borders, rebounded to 70% of pre-COVID-19 numbers.
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Superyacht Chartering hightlight
A Special Recreational Vessels Bill was passed by the Senate on 5 December 2019 allowing foreign owned superyachts to charter in Australia via temporary licenSes. Benefits of the Superyacht bill for the Cairns economy are yet to be fully realised due to COVID-19. Despite the border restrictions, a total of three vessels ran four charters with an economic benefit of $8.54 million to the Australian economy. Advance Cairns is advocating for permanent legislative change as a temporary licencing option under the Special Recreational Vessels Bill is due to expire in June this year.
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Strategic Energy Sector Framework highlight
Notwithstanding the lack of a government framework, the energy sector continues to set its own agenda with multiple renewable energy projects being initiated in the region, as well as State Government commitment to a Northern Renewable Energy Zone (REZ). To achieve energy security and affordability while also transitioning to a lower emission environment, TNQ will require a region-wide strategic investment framework and bilateral Government support. Shared investment of approximately $1.5 million (based on 50:50 contributions) is being sought from the State and Federal Governments to develop the TNQ Energy Sector Investment Framework.
