Rudd Government’s raid of $2 billion Communications Fund a slap in the face for regional Australia

February 20, 2008

The Rudd Government has moved to raid the $2 billion Communication Fund which aimed to future proof regional Australia for future telecommunications technology, The Nationals Federal Member for Cowper, Luke Hartsuyker, said today.

 

Mr Hartsuyker said the Rudd Government has introduced legislation which would enable them to access the full $2 billion the previous Coalition Government had quarantined for telecommunication projects in regional areas.

 

The legislation will be vigorously debated in the Parliament this week.

 

The earnings from the fund were aimed to provide the income stream for the telecommunication projects.

 

“The legislation introduced into the Parliament today will enable the Rudd Government to spend all the earnings plus the quarantined $2 billion investment where-ever they chose.

 

“As a result, these funds which were specifically set aside for regional telecommunications projects, can be siphoned off to metropolitan areas.

 

“Indeed, according to the legislation, the funds can also be used to acquire shares, debentures or other assets.

 

“This is another slap in the face for regional Australia. The Rudd Government is slashing regional initiatives with abandon and the seven million Australians which live outside of the main metropolitan areas will pay the price.

 

“Under the previous Coalition Government, independent reviews of the regional telecommunications services would have identified where additional investment was required.

 

“The reality is that Mr Rudd will now be able to transfer taxpayer’s dollars away from the commercially unviable areas and into city areas where telecommunications are already viable.“

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