Auslink’s regional approach with local government

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Submission to the Department of Transport and Regional Services

AUSLINK GREENPAPER February 2002

CRADLE COAST AUTHORITY 30 Marine Terrace, Burnie, Tasmania PO Box 338, Burnie, Tasmania 7320 Telephone: (03) 6431 6285 Facsimile: (03) 6431 7014


Cradle Coast Authority Auslink Submission

Table of Contents

1

EXECUTIVE SUMMARY .................................................................................3

2

ROLE AND FUNCTION OF THE CRADLE COAST AUTHORITY..........4

3

THE REGION COVERED BY THE CRADLE COAST AUTHORITY ......4

4 CORRIDORS AND LINKS OF NATIONAL AND REGIONAL IMPORTANCE............................................................................................................5 4.1 PORTS .............................................................................................................6 4.2 AIRPORTS........................................................................................................6 4.3 LINEAR INFRASTRUCTURE ..............................................................................6 4.3.1 Rail.........................................................................................................6 4.3.2 Road .......................................................................................................7 5

FREIGHT MOVEMENT....................................................................................8

6

PASSENGER TRANSPORT..............................................................................9

7

PRIVATE SECTOR FUNDING ........................................................................9

8

COST SHARING ...............................................................................................10

9

FUNDING FOR REGIONAL PRIORITIES FROM LOCAL GRANTS ....11

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A REGIONAL APPROACH ........................................................................12

11

REGIONAL TRANSPORT PLANS ............................................................14

12

SUMMARY OF RECOMMENDATIONS..................................................15

13

APPENDIX 1..................................................................................................17

14

SOURCES.......................................................................................................19

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Cradle Coast Authority Auslink Submission

1 Executive Summary The Cradle Coast Authority supports the goals and aims of Auslink particularly in terms of developing an integrated national land transport infrastructure network and developing a more strategic approach to the development of transport infrastructure at regional scale. Long term strategic integrated planning is essential to ensure that the transport system can be strengthened and developed where appropriate. The Cradle Coast region is dependent on land transport to provide economic and social connectivity both within the region and intrastate. The roles of sea and air transport in Tasmania are far more important in terms of connectivity than the other States where alternative forms of interstate passenger and freight transport exist. The key issue in this region is not the level of supply of transport services and infrastructure but the need to maintain and strengthen the region’s existing transport infrastructure asset base. It is felt that Auslink places a greater emphasis on new projects rather than maintaining and improving the current asset base. Maintaining and improving the current base is critical to the economic and social well being of this region. The challenge is to ensure that locally significant communities and industry are well connected to the regional and to the national transport network. Auslink will provide the opportunity for regional communities to access funding for transport infrastructure critical to their economic and social well being through the establishment of a regional framework. The Authority is keen to work with its member Councils, the State and the Commonwealth Government in developing a regional framework for the Cradle Coast region. The Authority is in a strong position to help coordinate and drive the development of a regional framework, particularly on a pilot basis. The Authority has proposed a concept model for the delivery of Auslink at a regional level. Although the Authority is supportive of the goals and intent of Auslink it does have concerns in regard to the diversion of funding away from local Government road grants to regional infrastructure. The amount of funding for local road purposes needs to be maintained, if not strengthened as maintenance of local roads is already putting a significant financial strain on local Government. The Authority also has concerns over equity in relation to distribution of funding between regional areas. The Authority believes that the capacity of smaller regional Councils to financially contribute to projects should not have a negative impact on the outcome of funding allocations. Auslink will need to weigh up the capacity of individual Councils to raise financial contributions against the strategic benefit of the proposal.

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Cradle Coast Authority Auslink Submission

Similarly the capacity of Tasmania to attract private sector investment for the provision of transport infrastructure because of scale and viability issues needs to be taken into account when funds for priorities are allocated. This submission will focus specifically on the regional approach proposed by Auslink. This submission does not necessarily reflect the views of the Authority’s member Councils.

2 Role and Function of the Cradle Coast Authority The Cradle Coast Authority is a joint authority created to coordinate and drive economic development across the nine local government areas of northwest and western Tasmania. Its primary role is to identify priorities for economic development and to broker partnerships between levels of government, industry and community groups at regional scale. The Authority’s member Councils contribute to its annual budget for core operations. All regional development activities are funded through partnerships and funding agreements with other bodies. The Authority is currently engaged in a wide range of regional initiatives including tourism, natural resource management, industry development and infrastructure projects. It has formal partnership agreements with all levels of government, including the Federal Government’s Sustainable Regions Program and it has established a regional Natural Resource Management Committee to manage regional planning for investment of National Heritage Trust (NHT) investment. Through its partnership mechanisms the Authority has been able to identify regional priorities, provide management, administration and coordinate funding to on the ground projects. The Cradle Coast Authority is in a unique position to coordinate regional involvement in State and Federal Government initiatives. The Authority welcomes any opportunity to help improve the economic performance of the region it covers and to work with the Government towards the economic and social development of the region, on a partnership basis.

3 The Region Covered by the Cradle Coast Authority The Cradle Coast region includes the municipal areas of the Latrobe, Devonport City, Kentish, Central Coast, Burnie City, Waratah-Wynyard, West Coast, Circular Head and King Island Councils of northwest and western Tasmania. The Cradle Coast region has a highly decentralised population, with a large percentage of the population living in small to medium sized towns. The pattern of settlement is characterised by a linear spread of towns along the North West coast

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Cradle Coast Authority Auslink Submission

dominated by Burnie and Devonport. The West Coast and King Island are considered remote. Along the North West Coast there are small rural settlements with strong connections to the core coastal area, and remote settlements like Strahan and Grassy which have weak links to the core area. Tasmania’s dispersed population and pattern of settlement means that there is a relatively high cost of providing services, including transport infrastructure. The population of the Cradle Coast region is 109, 028 (ABS June 2001) covering an area of 22, 202 km². The region is reflective of statewide trends in that there has been an overall decline in regional population and a significant shift of young people in particular out of the region. Some of the local government areas have a declining population and this has an impact on their rate base. Like the rest of Tasmania, the region’s economy is largely dependent on primary and natural resource based industries. Employment is based on agricultural production and processing, forestry, retail and trade skills, mining, specialised manufacturing and tourism. Accepted challenges of physical isolation have been compounded over recent years by the departure of major industrial employers and continuing rationalisation of government and corporate services. The region has a comparatively high unemployment rate.

4 Corridors and Links of National and Regional Importance This section provides an overview of the transport infrastructure in the Cradle Coast region which is of significance to the region and the State to ensure connectivity into and out of the region and interstate. The overview is not an exhaustive list of transport infrastructure and does not include reference to any local roads of regional significance. Tasmania’s island status means that the State is limited to sea and air transport for interstate access. The additional cost of transporting goods, services and passengers across Bass Strait can be a serious impediment to the State’s economic and social development in comparison with other States where alternative forms of land passenger and freight transport exist for interstate access. Therefore transport services must be responsive and cost effective to bring visitors and freight into and out of the State. Ease of access to and from Tasmania is a vital component of Tasmania’s industry, particularly tourism. Cost and access issues constrain growth in some industry sectors. The majority of transport infrastructure is already in place in Tasmania, therefore the emphasis in the future will be on appropriate asset management and maintaining and

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Cradle Coast Authority Auslink Submission

improving the asset to ensure the most effective life cycle cost of infrastructure is achieved. 4.1

Ports

Many of the regions and the States industries are dependent on competitive and effective shipping services. The region has two regionally significant ports based at Burnie and Devonport and six minor ports including King Island which is dependent on coastal shipping for the movement of goods to underpin the island’s economy. The ports allow the Tasmanian economy to participate and compete and operate in national and international markets. It is essential that port infrastructure is appropriate and the delivery of goods and services to and from the ports is seamless. The ports of Devonport and Burnie can handle most types of bulk shipping. Devonport is Tasmania’s major tourism port with a passenger service running daily between Devonport and Melbourne. The number of passengers travelling by sea has increased dramatically since the introduction of the two passenger ferries in August 2002. The increased use of sea travel can be linked to increased passenger and vehicle capacity, as visitors want to use their own cars when touring the State. 4.2

Airports

Air transport provides a vital role in the maintaining passenger and air freight flows between Tasmania and interstate. The North West coast is well serviced with two interstate airports located at Burnie and Devonport. The duplication of services between Burnie and Devonport may mean that the economies of scale needed to attract more frequent services or larger aircraft are not realised. There is another interstate airport located on King Island which is of economic significance to the island and a number of smaller airports in the region including three airports at the West Coast. The West Coast Council has decided to consolidate any future airport infrastructure at Strahan. This airport would need substantial upgrading and could be significant in the future in terms of servicing the tourism and fishing industry and as an access to a remote community. Tasmania is particularly vulnerable to disruptions in air services and past disruptions have highlighted the importance of having a cost effective regional air service. 4.3

Linear Infrastructure

Linear transport in the Cradle Coast region consists of both rail and road networks. 4.3.1 Rail Whilst Tasmania experienced a declining share of rail freight during the post-war period, the privatisation of rail in Tasmania in the 1990s has resulted in an increased level of capital investment by Tasrail to improve performance and a more aggressive approach in selling rail as a service. Rail is the preferred mode of transport for bulk long haul goods eg minerals and forestry products.

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Cradle Coast Authority Auslink Submission

The Cradle Coast region is serviced by the Western rail corridor and the Emu Bay line. Rail services heavy bulk industries such as Mt Lyell mine in Queenstown and Goliath Cement in Railton. There is also potential for greater use of the rail system for forestry operations, if appropriate infrastructure is developed and also for tourism purposes. Improvements in rail infrastructure help to improve the competitive position of Tasmanian exports by providing necessary industries with least cost transport options. Potential improvements in rail infrastructure in a strategic sense include investment in the extension of railway lines and improvement of rail to ports, industrial areas and improving the alignments along coastal towns. It has long been recognised that the impediment to rail’s performance is a deficiency in infrastructure. One of the major priorities in regard to rail transport in Tasmania has always been the classification of the Tasmanian system as part of the national rail network and that appropriate funding be allocated to increase the efficiency of the rail network. It is noted in the Auslink Green paper that there is no reference to the Tasmanian rail system in the corridors of National or Regional importance. The railway line from Burnie to Hobart should be included as part of the corridor of National importance. The railway line from Smithton (Wiltshire) to Burnie and the Emu Bay line from Burnie to Queenstown (Melba Flats) should also be recognised as corridors of Regional importance. 4.3.2 Road The road network is the principal system which rural and urban communities access and deliver goods and services necessary for economic and social well being. Councils with the Cradle Coast region vary in the length of urban and rural roads which they maintain. Councils within the region are responsible for approximately: • • •

680km of urban roads. 3,500km of rural roads. 30 280 m² of bridge deck area.

The Bass Highway along the northern coast is the primary element of the road network in the region, with a large number of north-south local roads connecting rural towns and areas to the highway. The primary connections to the West Coast are the Murchison Highway, the Guildford Hampshire Development Road and the Hobart Mt Lyell Highway. The Cradle Mountain Development Road is the only major inland east west connection connecting Deloraine to the West Coast. The Bass Highway from Hobart to Burnie, is an important corridor as it links the key population centres in Tasmania with both sea and airports and industry. 7


Cradle Coast Authority Auslink Submission

It is essential that the level of funding to the National Highway is maintained under Auslink. Any shortfall of funds towards this important corridor would have a profound affect on the State’s ability to maintain and improve its asset. As Tasmania’s national highway system does not link it to other State capital cities, it is felt that this might prejudice it in terms of being identified as a national priority. Tasmania’s absence of a road linkage and its reliance on sea and air transport needs to be taken into consideration when determining national priorities. Work undertaken by the State Government in conjunction with the Cradle Coast Authority has identified priority routes under the Draft Regional Integrated Transport Plan and it is the position of the Authority that these routes be awarded a priority status under Auslink. These corridors are important freight and tourism routes that link regional areas with key population centres, ports and airports. These road corridors in the region include: • The Bass Highway from Smithton to Burnie • Burnie to Queenstown via the Guildford Hampshire Development Road. The Bass Highway from Smithton to Burnie is currently the subject of submission under the Roads of National Importance (RONI) program. The submission highlights that this section of the highway : •

Provides a critical transport service to the far northwest, an area that is important to both the Tasmanian and Australian economies.

Is currently deficient in terms of its ability to provide a reliable transport service and in allowing heavy freight vehicles to operate at maximum efficiency.

As Tasmania is an island and therefore cannot be linked to other States through a land transport network it is essential that its National Highway from Burnie to Hobart is defined as a corridor of National importance as it links the road network with air and seaports to distribute and receive both goods and passengers in and out of the State. The Bass Highway from Smithton to Burnie and the road corridor from Burnie to Queenstown via the Guildford Hampshire Development Road should be included as part of the corridors of Regional importance.

5 Freight Movement Auslink places a major emphasis on managing the movement of freight and estimates that the freight task will double in the next 20 years. The efficient movement of freight into, out of and within the Cradle Coast region is of critical importance.

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Cradle Coast Authority Auslink Submission

For business and industries involved in exporting goods interstate and overseas remain competitive, they need an efficient transport network to distribute goods to sea and airports within the region. The freight task within the region is diverse but is dominated by the movement of high volume low, value products such as minerals and forestry products, but there are also high value, time sensitive products such as agricultural and fish products. The future freight distribution network needs to cater for this diversity. Multi-modal transport service corridors are essential in fulfilling the needs of industry. Improvements in rail infrastructure can lead to an increase of rail freight for bulk goods, which can reduce the impact of heavy freight traffic on roads. Therefore it is important that our road and rail corridors are recognised as being of National and Regional importance. While developing new and alternative routes for freight is important, improvements to freight movement can largely be achieved through improving existing corridors for both rail and road.

6 Passenger Transport The transport system services other important needs besides freight in the region. As population within the region is dispersed, the transport system ensures that local communities are well connected to each other, maintaining economic and social well being. Local roads are effectively the life blood of local communities. Our transport system also services other important industries in Tasmania, particularly tourism. The strength in the Tasmanian tourism industry is in touring. It is one of Australia’s best touring destinations because of its compactness and diversity of scenery making travelling by private car an engaging and enjoyable experience. An estimated 78% of tourists in Tasmania used private vehicles (rental, own vehicle, borrowed) as a form of transportation in 2000/01 (Tourism Tasmania, December 2002), showing that most visitors have and want a high degree of flexibility when travelling within the State. The Tasmanian Tourism Development Framework identifies a number of major journeys and themed trails linking attractions and population centres. A transport system which adds to the positive experiences of visitors is central to fulfilling visitor needs, as the journey is an important visitor experience in itself. The transport system needs to cater for economic and social needs, as well as the needs required by different industries.

7 Private Sector Funding While the Authority supports the investigation of alternative mechanisms for funding transport infrastructure, particularly from the private sector, it has concerns that 9


Cradle Coast Authority Auslink Submission

Tasmania may not be able to attract the level of private sector investment possible in other States where demand and commercial returns are higher. Securing private sector funding should not be a compulsory criterion for the prioritisation and allocation of Auslink funds, and seeking private sector involvement should not be a step that needs to be undertaken for all proposals. The involvement of the private sector in funding major transport infrastructure has not occurred frequently in the past in Tasmania. This can be attributed to issues of scale where significant demand cannot be achieved due to low population levels and the dispersed nature of the population in Tasmania. There needs to be an appropriate level of scale in order for the level of risk to be reduced and achieve viable returns on investment. There are opportunities for the private sector and transport providers to contribute to both the development of new infrastructure and maintenance of existing infrastructure that would be beneficial to their own businesses, eg rail extensions to new and existing industry. However some form of incentives for businesses to contribute to infrastructure may need to be offered. The capacity of Tasmania to attract private sector investment for the provision of transport infrastructure, because of scale and viability issues needs, to be clearly taken into account when funding priorities are allocated.

8 Cost Sharing One of the objectives of Auslink will be to encourage joint development of proposals and funding arrangements. Whilst the Cradle Coast Authority supports the concept of reciprocal responsibility and leveraging of project funds from both the private and public sectors, it is concerned that the level of funding that Tasmania would be able to leverage would not be as great as other States and that this would prejudice the allocation of project funds to Tasmania and the region. The Authority, in its submission to the Federal Government’s inquiry on Local Government and Cost Shifting (October 2002), argued that grants processes and matching funding requirements should weigh up the capacity of individual Councils and regions to raise financial contributions against the strategic benefit of the proposal. The method of allocating funding for matching contributions tends to favour larger Councils and regions with bigger budgets who have the capacity to absorb a higher proportion of the cost and disadvantage smaller regional Councils with limited funding abilities. Consideration should be given to other types of leveraging and reciprocal responsibility other than financial contributions such as in kind support eg management of projects and dedication of resources to undertake projects. It is also noted that some grants, for example the Financial Assistance Grants are to some degree determined on a per capita basis rather than need. This favours States and regions and Councils that are highly populated. Any new funding process under 10


Cradle Coast Authority Auslink Submission

Auslink needs to be equitable and give due consideration to need rather than determining projects on a per capita basis or to those that can leverage the most funds. Projects should be assessed on the strategic benefit of the proposal. For example if a proposal will lead to improvements in transport efficiency and therefore lead to increases in exports, then these benefits need to be taken into account. Funding processes need to give due consideration to the strategic benefits of projects and the capacity of smaller regional Councils to financially contribute to projects.

9 Funding for Regional Priorities from Local Grants Whist the Authority supports a more strategic approach to regional transport infrastructure from a local Government perspective, it does not support local Councils earmarking a component of their grants to regional priorities without an increase of funding of grants to local Government for local roads. The Councils within the Cradle Coast region have reservations regarding the diversion of funds away from local roads to regional and national priorities. It is felt that funding for regional priorities, if they are part of regional or national corridors, or part of the system which is maintained by the State or Commonwealth, should be funded by the State and Commonwealth Government and not local Government. It is important that funding for local roads is maintained. Local roads are of vital importance to the economy particularly as some local roads are used extensively by industry to transport goods eg forestry and agricultural products and by tourists all of which have a wider community benefit to the region. There is already insufficient funding to cover road maintenance in Tasmania. A report by the Auditor General in 1998, revealed that many Councils have difficulty in sustaining their current road and bridge assets at current expenditure levels, and that some Councils do not even have the resources to carry out adequate road asset management activities. Smaller Councils have a limited capacity to meet their existing obligations eg maintenance let alone taking on new roles and responsibilities through Auslink. It may be difficult for Councils to agree to direct funding away from essential expenditure in their own local Government area to regional priorities that do not directly benefit their own area. Local Government may be under considerable pressure from ratepayers and Councillors to fix problems within their own area rather than addressing regional needs. The Authority believes that the allocation of grants to local Government through Financial Assistance Grants needs to be maintained and that these funds should be continued to be used for local roads.

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Cradle Coast Authority Auslink Submission

An issue that needs to be clarified in relation to local links of regional significance is what level of Government has responsibility for the road. It could be that local Government maintains responsibility for the road but receives additional funding for the road from a regional source. If local links of regional significance are the responsibility of local Government, then a regional framework can provide an opportunity for funding to be sought for the maintenance and upgrading of these significant regional roads. Methods where funds are allocated for regional priorities from local Government need to be more closely explored. A possible option involves: •

Allocation of funds to a regional body for regional projects. The regional fund would not impact of the current distribution of money for local roads from Financial Assistance Grants. The regional body would then distribute funds to local links of regional significance, with the opportunity for additional project funds to be leveraged by local and State Government.

The Authority believes that allocation of funds towards a regional body would be a more appropriate model for distributing funds for local links of regional significance. The concept of a regional body is explored more closely in Appendix 1. The amount of funding of local grants for local road purposes needs to be maintained, if not strengthened as Councils are already stretched financially to maintain road assets. Earmarking of regional funding with local grants needs to be done through a mechanism that ensures Councils can commit to allocating funds for regional priorities.

10 A Regional Approach The Cradle Coast Authority supports the objectives of Auslink’s regional approach to: • Generate ideas through planning processes by a wide range of groups. • Prioritise infrastructure needs and projects. • Demonstrate linkages between national and regional priorities. Identification of opportunities, priorities and strategies for transport infrastructure on a regional basis by various and competing stakeholders will be a challenge. The region will need to demonstrate that the State, Councils, the community and industry have come together to identify and prioritise regional infrastructure requirements and that they are willing to part fund proposals. Planning will need to be proactive and strategic, focusing on anticipating and managing infrastructure needs rather than responding to infrastructure needs and whims on an adhoc basis. There is a need to focus on developing the best solution rather than focusing on the problem. If all stakeholders can get around the table to discuss issues facing a particular transport issue (eg haulage of logs on the main road), then joint planning sessions can result in mutually agreed outcomes and funding arrangements, where all 12


Cradle Coast Authority Auslink Submission

stakeholders are involved, rather than one party adopting a solution which does not have the support of the other. The regional approach will need to build on already established relationships. The Cradle Coast Authority already has an established relationships with its member Councils, and both the State and Federal Government. Therefore the Authority is in a position to help develop and implement a regional transport framework for the Cradle Coast region on behalf of its members Councils, particularly as it is in the process of developing a Regional Integrated Transport Plan. Regional bodies are already assuming a very important regional development role in the delivery of services in some areas. The strength of regional organisations are that they are close enough to local communities to be responsive, while retaining the ability to effectively coordinate and manage at a regional level. The Cradle Coast Authority would be keen to work with stakeholders to help develop and implement a regional model for Auslink on a pilot basis. The Authority has proposed a regional delivery model for discussion purposes in Appendix 1. The Cradle Coast Authority model has already proven to be an effective regional delivery model for north west and western Tasmania. The Authority has successfully established a Regional Natural Resource Management Committee to manage regional planning for NHT2 funding. The Authority is also part of the Federal Government’s Sustainable Regions program. Up to $12 million has been allocated for investment in the region over a three year period. The Federal Government appointed the Cradle Coast Authority Board, plus a representative from the Tasmanian Employment Advisory Council to direct and manage regional funding priorities. The Authority has developed an investment plan based on regional priorities which matched the intent of Sustainable Regions funding. The investment plan will guide the investment of program funds and provide a framework for rebuilding the regions economy. The establishment of a regional framework for Auslink would have the benefit of being owned by the region and therefore accountable to the region while providing benefits to all levels of government. Any regional framework would need to have clear criteria for selection of priority projects and a transparent and fair assessment process within and between regions to ensure that the distribution of project funds is equitable. In the Auslink Green paper there is a lack of detail regarding assessment criteria. It is suggested that the development of assessment criteria should be tested with stakeholders before being finally approved. The Authority is in a strong position to help coordinate and drive the development of a regional framework for the Cradle Coast region, particularly on a pilot basis. Clear and equitable assessment criteria need to be developed and should be tested with stakeholders before being adopted.

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Cradle Coast Authority Auslink Submission

11 Regional Transport Plans As part of its partnership arrangement with the State Government, the Cradle Coast Authority in conjunction with the Department of Infrastructure Energy and Resources is in the process of developing a Regional Integrated Transport Plan. The intent of this plan is to identify current and future transports issues and challenges within the region. The plan is an attempt to link transport and land-use planning and analyse the transport system as a whole at a strategic level rather than as discrete elements. The plan focus on long term outcomes and principles to be achieved. The plan has and will continue to be developed in conjunction with local Government, the community and industry and is managed through the State Government and the Cradle Coast Authority. The Integrated Transport Plan when it is implemented, will be a useful tool for Auslink in terms of identifying projects and infrastructure needs. The plan in conjunction with the regional framework developed by Auslink will mean that there will be a sound basis for regional transport planning and cooperation in the region. The plan will also need to be integrated with other regional plans and Auslink’s National Transport Plan. The Draft Integrated Transport Plan will be an important tool for regional transport planning under Auslink.

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Cradle Coast Authority Auslink Submission

12 Summary of Recommendations 1. The railway line from Burnie to Hobart should be included as part of the corridor of National importance. 2. The railway line from Smithton (Wiltshire) to Burnie and the Emu Bay line from Burnie to Queenstown (Melba Flats) should also be recognised as corridors of Regional importance. 3. As Tasmania is an island and therefore cannot be linked to other States through the road network it is essential that its National Highway from Burnie to Hobart is defined as a corridor of National importance as it links the road network with air and seaports to distribute and receive both goods and passengers in and out of the State. 4. The Bass Highway from Smithton to Burnie and the road corridor from Burnie to Queenstown via the Guildford Hampshire Development Road should be included as part of the corridors of Regional importance. 5. While developing new and alternative routes for freight is important, improvements to freight movement can largely be achieved through improving existing corridors for both rail and road. 6. The transport system needs to cater for economic and social needs, as well as the needs required by different industries. 7. The capacity of Tasmania to attract private sector investment for the provision of transport infrastructure because of scale and viability issues needs to be clearly taken into account when funds for priorities are allocated. 8. Funding processes need to give due consideration to the strategic benefits of projects and the capacity of smaller regional Councils to financially contribute to projects. 9. The amount of funding of local grants for local road purposes needs to be maintained, if not strengthened as Councils are already stretched financially to maintain road assets. 10. Earmarking of regional funding with local grants needs to be done through a mechanism that ensures Councils can commit to allocating funds for regional priorities. 11. The Authority is in a strong position to help coordinate and drive the development of a regional framework for the Cradle Coast region, particularly on a pilot basis. 12. Clear and equitable assessment criteria need to be developed and should be tested with stakeholders before being adopted. 15


Cradle Coast Authority Auslink Submission

13. The Draft Integrated Transport Plan will be an important tool for regional transport planning under Auslink.

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Cradle Coast Authority Auslink Submission

13 Appendix 1 Proposed Concept Model for Discussion of the Regional Delivery of Auslink in the Cradle Coast Region The Cradle Coast Authority (a Joint Authority created under the Tasmanian Local Government Act, 1993) is prepared to consider establishment of a formal regional structure to oversee and recommend funding for regional transport priorities. The regional structure could be established as a committee with delegated authority from the Cradle Coast Authority Board, and comprise members with appropriate background and experience in regional transport issues from private sector and local and state government perspectives. The committee could assess proposals raised by local Councils, State agencies and transport users for development and maintenance projects affecting local, State and Federal transport infrastructure with particular regional impacts or benefits. Proposals could be assessed against known and emerging priorities identified through regional transport and land use planning and review processes, and specific industry or sector needs (eg tourism, food industry, forestry). The Cradle Coast Authority currently manages several of these processes at regional scale and has extensive government and industry networks to draw on. Proposals and cost-sharing arrangements could be assessed on a case-by-case basis, taking into account factors including: •

Impacts and benefits for regional economic and social development.

Existing local, state and federal government obligations and priorities.

Specific impacts and benefits for export industries.

Opportunities for private sector investment and public/private partnerships.

On this basis, the committee could recommend appropriate cost-sharing arrangements and additional funding to be accessed from a dedicated regional transport infrastructure fund. The regional transport infrastructure fund could: •

Be accessed only through approved regional-level planning and decisionmaking structures and processes, such as those outlined above.

Be made available to regions in the form of a dedicated regional allocation, based on factors including remoteness and economic disadvantage indices,

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Cradle Coast Authority Auslink Submission

population and decentralisation, social factors and the nature and value of key economic activities and exports. •

Not be drawn from existing core Federal Assistance Grants for local roads, or any percentage-based levy on local government resources.

Include provision for the basic operating costs of approved regional planning and decision-making processes, on an annual basis.

Additional funding options should also be available for major ‘once off’ projects outside the scope of agreed regional funding. Key features of this model include: •

Use of existing regional structures, networks and management and administrative capabilities.

Objective and accountable assessment of regional priorities at regional level.

More rational and equitable cost-sharing arrangements for regional projects currently funded (by default) through local roads allocations and once-off grants from other sources.

Creation of dedicated funding for regional priorities that is separate from existing FAG arrangements and does not affect the abilities of local Councils to service local community and economic development obligations.

The Cradle Coast Authority presents this model for discussion purposes only, and would welcome any opportunity to contribute to further development of delivery models at regional scale

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Cradle Coast Authority Auslink Submission

14 Sources Cradle Coast Authority; Submission to House of Representatives Standing Committee on Economic Finance and Public Administration, Inquiry into Local Government and Cost Shifting, October 2002. Department of Infrastructure Energy and Resource; Draft Cradle Coast Region Integrated Transport and Infrastructure plan, Supporting Information, December 2002. Department of Transport and Regional Planning; Green paper Auslink, towards the National Transport Plan, 2002. Local Government Association of Tasmania; Draft Auslink Submission, January 2002. Tourism Tasmania, Tasmanian Visitor Survey, December 2002.

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