Transport and Regional Services

Aircraft en route charges — extension of the current payment scheme

The Government will provide $5.4 million in 2006-07 to continue the payment scheme for Airservices Australia's en route charges, and as a result, help support air services to regional communities. Regional airline operators of regular public transport services, whose aircraft have a maximum take-off weight of 15 tonnes or less, will continue to be eligible for the scheme. However, flights between capital cities will no longer be eligible. Operators of aeromedical services, such as the Royal Flying Doctor Service, and services provided on sole operator routes by operators wholly based in Western Australia using aircraft between 15 and 21 tonnes, will also continue to be eligible for assistance under the scheme.

Canberra International Airport — runway strengthening

The Government provided $28.5 million in 2005-06 to Canberra International Airport to strengthen its main runway to cater for heavy VIP and military aircraft. This will enable unrestricted access to the airport by the heavy aircraft such as Boeing 747s used by visiting foreign dignitaries and their entourages. It is expected that the works will be completed in time for the 2007 APEC Meetings.

Further information can be found in the press release of 27 February 2006 issued by the Minister for Transport and Regional Services.

Gawler River Flood Mitigation Scheme — contribution

The Government will provide a $7.8 million contribution in 2005-06 to the Gawler River Flood Mitigation Scheme to better protect the region from the impacts of flooding.

The scheme has a total cost of $20.0 million and involves the construction of a flood control dam on the North Para River, modifications to the spillway on the South Para Reservoir, and channel improvements along the lower reaches of the Gawler River. The remaining cost of the scheme will be met by contributions from the South Australian and local governments.

Griffin Legacy — further development

The Government will provide $0.5 million in 2006-07 for the National Capital Authority to further develop Griffin Legacy urban planning initiatives for the nation's capital. The Griffin Legacy is a strategic planning vision for the national capital, inspired by the spirit and intent of Walter Burley Griffin's original plan.

Investing in the nation's infrastructure — improving local roads

The Government will provide an additional one-off $307.5 million in 2005-06 to local, state and territory governments for investing in local roads as a supplement to the AusLink Roads to Recovery programme. The funds will be expensed over three years as projects are completed.

These funds will be allocated to local councils, and for unincorporated areas, in line with the current AusLink Roads to Recovery allocations. Conditions similar to those for AusLink Roads to Recovery will apply to the payments. The funds will be expensed over four years as project milestones are completed.

Investing in the nation's infrastructure — improving the national network

The Government will offer additional payments of $1.7 billion in 2005-06 to various of the states and territories to invest in highways on the AusLink national network. This funding is subject to agreement to a Memorandum of Understanding on the terms of the offer, including the works to be undertaken, their completion dates and reporting arrangements. The funds will be expensed over four years as project milestones are completed and will have a fiscal balance impact of $0.5 million in 2005-06 and $1.7 billion over the forward years 2006-07 to 2009-10.

The funding includes $800.0 million for the Hume Highway in southern New South Wales. Taken together with funding already being provided for the Hume Highway under AusLink, this would enable full duplication of the Hume Highway in New South Wales by the end of 2009 except for the bypasses of Tarcutta, Holbrook and Woomargama. Planning of the three bypasses would continue. An additional $160.0 million will be provided for projects on the Pacific Highway to support key safety initiatives and accelerate the upgrading of the highway to dual carriageway. This funding is subject to matching expenditure by the New South Wales Government.

In light of the impact of Cyclone Larry, the funding also includes $268.0 million for a programme of works on Queensland's Bruce Highway between Townsville and Cairns. This includes a further $48.0 million in addition to the Government's existing $80.0 million commitment to upgrade the Bruce Highway immediately south of Tully to an appropriate level of flood immunity and width.

A further $100 million will be provided to South Australia for new projects for the Sturt Highway.

Another $323.0 million will be invested in Western Australia on the Great Northern Highway ($234.0 million), the Great Eastern Highway ($14.0 million) and for the further widening of the Eyre Highway ($75.0 million).

An additional $30.0 million will be provided for the Northern Territory's Victoria Highway to improve flood immunity and $60.0 million for the upgrade of Tasmania's East Tamar Highway north of Launceston to Bell Bay.

These improvements will provide significant benefits to heavy vehicle operators engaged in interstate and intrastate transport.

Investing in the nation's infrastructure — improving the national rail track

The Government will provide $270.0 million to the Australian Rail Track Corporation in 2005-06 to assist with investment in Australia's interstate rail network. The Australian Rail Track Corporation aims to improve the rail track quality by re-sleepering sections on the North South rail corridor. This investment will improve track performance and reduce long-term maintenance costs on national rail corridors, increasing the competitiveness of freight rail.

National maritime emergency response arrangements — introduction

The Government will provide $57.7 million over four years to introduce national maritime emergency response arrangements (NMERA) to provide for emergency maritime towage and salvage. The Australian Maritime Safety Authority will be responsible for administration of the NMERA.

The NMERA will be partially funded through cost recovery of $32.1 million over three years from 2007‑08 from the shipping industry by an increase in the rate of the Protection of the Sea Levy that will be phased-in over three years, with full recovery thereafter. The Australian Maritime Safety Authority will use surplus cash reserves to fund the initial shortfall in revenue.