1,, AUSTRA~ 1
FOR MEDIA SUNDAY AUGUST 23 1981
JOINT COM, 4MONWEALTH-STATE REVIEW OF ASSISTANCE TO TASMANIA
A review of the Callaghan Special Assistance Plan for Tasmania
is to be undertaken by the Coimmonwealth and State governments.
The Prime Minister, Mr Fraser, and the Tasmanian Premier,
Mr Lowe, said today the review would seek ways of improving
S the scheme and its benefits for the State.
The review follows a request by the Premier to the Prime'Minister,
and subsequent discussions on detailed arrangements between the
Premier and the Minister for Administrative Services, Mr Kevin Newman.
Mr Lowe indicated that while both governments remained firmly
committed to a joint assault on Tasmania's special problems,
he believed present arrangements could be improved.
Mr Fraser and Mr Lowe said the ten point plan of Special Assistance
to Tasmania was adopted by the Commonwealth from reconmendations
by Sir Bede Callaghan in his 1977 report on Tasmania's industry
and employmnent structure. They said that'since then, action had
been taken under a variety of the ten points. Assistance by way
of grants and loans amounting to $ 10.02 million has been
approved, with the full anibunt payable over a period of years.
Mr Fraser and Mr Lowe said work on the review would begin in
August and should b~ e completed by the end of 1981. They said the
proposed terms of reference for the review would comprise:
1. An assessment of the operation and impact of the present
arrangements.
2. A re-assessment of Tasmania' s disabilities and development
opportunities. This would include the present and projected
situation of other States, and the implications of accelerated
resource development.
3. Consideration of the broad strategies and particular.
kinds of projects that would seem to be best suited
to alleviat. e the disabilities and exploit the opportunities
identified in the reassessment.
4. Evaluation of the appropriate policy framework and associated
arrangements for assistance in the future. This would
incorporate the most efficient and cost effective forms
of providing assistance.
2
Mr Fraser and Mr Lowe said the review would be carried out for
the existing Commonwealth-State Official's Committee on
Tasmania by senior State and Commonwealth officers. They
would possibly seek technical assistance from the Centre
for Regional Economic Analysis which was recently established
by the University of Tasmania with assistance under the
Callaghan programme. oOo---
COMMiONi1' WTEALTH SPECIAL ASSISTANCE TO TASIMANIA
This paper summarises progress on implementing the Callaghan
Point Plan
Action has been taken under eight of the ten points.
Assistance amounting to $ 10.02 million has been approved.
Actual payments to 30 June 1980 totalled $ 2.06 million
whilst payments to 30 June 1981 totalled $ 4.08 million.
Details are sunarised below: Total ApprovedPayments To 1979/ 80To 1980/ 81
$ 136,000 per annum for five
years under the Native
Forestry Program with
additional assistance of
$ 100,000 for four years
( Point 1)
$ 234,400 for the establishment
of education facilities
at the Tasmanian Fish Centre
( deferred) ( Point 2)
$ 200,000 for the development
of the Legana Industrial
Estate ( Point 4)
$ 343,000 loan for the re-
. equipment of the Launceston
Precision Tool Annexe ( Pt. 5) 1,080,000 234,400 200,000 343,000
2: 1 Assistance for the restoration
and development of Port
Arthur estimated at $ 6 million
over 7 years ( Point 81: 6,000,000
$ 1,802,000 for six Tasmanian
projects under ' the Commonwealth
Regional Develooment Program
( Point 9) 1,802,000
$ 200,000 for a program for
the acceleration of mineral
and. coal exoloration 400,000
1,389,000
200,000 1,200,000 1,549,000 200,000
$ 40,000 per annum for four
years commencing in 1980/ 81
for the establishment of a
centre for Regional Economic
Analysis at the University
of Tasmania 160,000
10,019,400 2,061,000 4,075,000
These proposals were not part of the 10 Point Plan; they were
approved by the Government in the context of the 1980/ 81
Budget following requests from the Ta.: manian Government. 2/
272,000608,000 195,00 323,000
I
Other decisions undur the Plan not involving payments to
Tasmania are:
-Relocation of the CS1RO Division of Fisheries and
Oceanor-ra; hv (-initial estima~ ted cost of -' 25 million)
-Airlinv between Christchurch and Hobart.