Ag policy takes centre stage

The future of agriculture policies took centre stage at the Farmwriters lunch in Sydney, where Primary Industries Minister Katrina Hodgkinson debated opposition spokesman Labor’s Steve Whan.

Significant points of difference emerged on drought policy, regional infrastructure funding and the sale of electricity network assets while a definitive statement on native vegetation was put on hold until later in the election campaign.

But surprisingly both politicians reached a strange consensus on land use: no bans for mining or coal seam gas on prime ag land.

Native vegetation

Ms Hodgkinson was only too happy to point out that the frustration started for farmers in 1995 when then Labor Premier Bob Carr introduced State Environment Planning Policy 46.

She acknowledged the laws which flowed from Labor’s fateful initiative had become “the bane of many farmers”.

Ms Hodgkinson did not elaborate on what reforms could be on the cards under the next term of a Coalition government, other than pointing out responsibility for the portfolio lay with the Environment Minister and to foreshadow “some major changes in this area” closer to the election date.

She was reluctant to address a question from the floor about the justice of farmers bearing the cost burden of native vegetation to benefit the community, but Mr Whan did acknowledge the predicament, although he couldn't promise any solutions.

“In the long term some type of stewardship (program) is something I would love to see, but it is not something I could commit to for a Labor government,” he said.

Regional infrastructure

Ms Hodgkinson found solid ground on the Baird government’s “poles and wires” sell off of electricity network, which excludes assets in regional NSW.

“Despite the fact country energy is totally quarantined from this long term lease regional NSW still gets $6 billion (or 30 per cent of the government’s projected revenue from the sale).

“That is a fantastic achievement for regional NSW.”

She said there was “much more” infrastructure building on the way if the Coalition was re-elected, allowing “industry to expand and people to move into the country”.

Mr Whan said the Coalition’s sale was unnecessary and questioned the projected $20bn windfall, arguing it would likely be closer to $11bn.

Labor has committed $10bn to infrastructure, including 30pc for regional NSW – which will be delivered from the State’s bulging coffers, which have been stuffed by the Coalition.

Mr Whan said rural residents should fear the future sale of the country network, which would leave “every consumer in rural NSW at the mercy of the owner”.

Land use

When questioned on how their parties would deliver more certainty around land use policy, neither politician offered an alternative to the current predicament which has caused so much consternation.

The Coalition has promised to reform land access laws in its next term and undertake a complete overhaul of coal seam gas, following the Chief Scientist’s recommendations.

“Industry needs to get the message NSW is open for business, but we need to protect the environment,” Ms Hodgkinson said.

“Many farmers’ children work in the mining sector and bring home a great pay packet. We need to take a view for the entire community.”

She said the government had implemented “a rigid assessment process” and said the Gateway process was “one of the toughest in the world”.

Mr Whan said it was “pretty clear” the gateway process wasn’t working and criticised the Coalition’s Mining State Environment Planning Policy, which prioritised the economic benefits of resources projects over the social and environmental impacts in the approvals process.

“The Gateway process hasn’t stopped a single project, it has just extended the process,” he said.

Mr Whan did not detail alternative regulations, save to say his party would issue a moratorium on CSG until the Chief Scientist’s recommendations were in place.

Labor would detail its planning policy closer to the polling day, he said.

Both Mr Whan and Ms Hodgkinson said they would stop short of zoning prime agricultural land off from the resources sector.

Drought support

Mr Whan was “extremely critical” of the government’s drought funding policy.

Labor would reintroduce drought declarations, “some forms of in-drought support and some drought preparedness funding”, he said.

Mr Whan said the low-interest loans championed by the Coalition cannot be accessed by some of the hardest-hit farmers.

“There are farmers in the north of State who can’t afford to access the low interest loans.”

Ms Hodgkinson lauded the government’s shift from in-drought support to preparedness measures.

“During the millennium drought $169 million went out in transport subsidies to fewer than 25pc eligible producers. That is just throwing taxpayers money into the bin.”

The Coalition recently announced a $300 million funding package focused on preparedness measures, including $250m for low interest loans.

It committed $250 million to concessional, low interest loans across five years and $45 million across five years in scholarships for additional training, $5 million in five years for transport assistance for animal welfare and donated fodder within NSW and $2.5 million to work with the Bureau of Meteorology to increase the network of weather stations across NSW.