4j STIA1JA L
FOR MEDIA19 July 1983
The attached letter has been sent to the Chief Minister
of the Northern Territory, Mr Everingham, today.
714 PRIME MINISTER CANBEERRA
My dear Chief Minister
Thank you for your recent correspondence concerning
the Alice Springs to Darwin railway and your request
that I meet with you again to discuss this issue.
In your corresponCence you have rejected the Commonwealth's
offer in respect to the construction of the Alice Springs
to Darwin railway and our proposal that an independent
economic evaluation be held into the road and rail options
for providing a high standard all-weather transport link
to Darwin.
I must say that I find this advice somewhat at odds with
the recent announcement by yourself that you will join
the Premier of Queensland in funding a feasibility study
into rail links between Mt Isa, Alice Springs and Darwin.
I have noted your statement that the Queensland
Government would be prepared to meet the cost of building
such a project.
My communications with you on this matter have been made
in good faith, in an attempt to find a solution in the
interests of the Australian people, and particularly of
economic development in the Northern Territory. Despite
your initial rejection of it, I consider my offer for
the Commonwealth to fund completely an independent economic
inquiry into the interstate transport links of the
Northern Territory to remain open. However, if you
confirm your commitment to the proposal you announced today,
to fund jointly with Queensland a feasibility study of
the Mt Isa-Tennant Creek-Alice Springs-Darwin railway,
this would seem to represent an irreversible rejection of
interest in-the inquiry. Given the continued interest of
my own Government, and of other parties including the
South Australian Government, in carefully evaluating the
proposal, the Commonwealth will need to keep its own
options open even if you adopt this position.
For the record, I repeat that your rejection of the
Commonwealth's offer on the railway would not represent
the end of our commitments to improvement of Northern
Territory transport links. The Commonwealth would honour
the undertaking it gave to you of ensuring that a high
standard all-weathner land transport link was provided
through the Northern Territory to Darwin. This would be
achieved by completing the upgrading of the Stuart Highway..
between Alice Springs and Darwin by 1987 and providing / 2
2.
additional rail infrastructure in respect to the
Alice Springs rail service. As I have previously advised
you, these works would involve additional Commonwealth
grants of $ 50 million over this period.
I am afraid that it will be impossible to meet you over
the next two weeks, when the demands of budget preparation,
including meetings of the Budget Cabinet, are added to
the normal demands of my office. However, I have asked
my Minister for Transport, Mr Peter Morris, to make himself
available to meet with you on this matter as soon as a
mutually satisfactory time can be arranged.
Yours sincerely
R. J. L. Hawke
The Hon. Paul Everingham, MLA
Chief Minister of the Northern Territory
DARWIN NT 5790