Northern Territory Second Reading Speeches
[Index]
[Search]
[Bill]
[Help]
AUSTRALASIA RAILWAY CORPORATION AMENDMENT BILL 2001
(This an uncorrected proof of the daily report. It is made available under the condition that it is recognised as such.)
I move the bill be now read a second time.
The governments are providing $480m which includes $165m from the Commonwealth, $165m from the Northern Territory, and $150m from the South Australian government. Section 28A of the AustralAsia Railway Corporation Act specifies the Territory contribution to construct the project is $165m. Up to an additional $79m in standby financial support maybe provided by the government should this be required. The funding as required will be provided at commercial terms, following the withdrawal of one of the institutions, providing some of the finance for the project. While a preferred position remains, the provision of this amount from the private sector, the timetable to secure such an arrangement is very limited.
Construction must start at the commencement of the Dry season in April. In order to ensure this occurs, the governments are prepared to provide a standby facility to give the consortium time to find additional finances and complete the necessary due diligence and legal arrangements. The standby funding would be provided on commercial terms as determined by the minister on advice, if required, until alternative private sector funding is found. The standby facility would then transfer to the private sector. If not required the monies would be returned to government.
It is necessary to amend section 28A of the Act to ensure legislative recognition of this additional standby facility. This bill represents the continued support of the Northern Territory government for the construction of the Alice Springs to Darwin railway. I commend the bill to Honourable Members.
[Index]
[Search]
[Bill]
[Help]