Monday, July 3.
ADAM SHIRLEY: Alicia Payne is federal Member for Canberra, Labor member, and she's also Chair of the Joint Standing Committee on the National Capital and External Territories. Which was hearing some of this evidence from Sally Barnes and others. Alicia Payne, thanks so much for your time today.
ALICIA PAYNE: Good morning, Adam.
ADAM SHIRLEY: Sally Barnes, the head of the NCA doesn't know whether light rail stage 2 to Woden will be built. So how do you react to that?
ALICIA PAYNE: It was a bit of a surprise and a concern to hear that. But I think with a major project like this, there are always going to be hurdles and challenges. And we saw some of that with the earliest stages of the light rail. And so the NCA are working with the ACT government. And when the project comes to the stage of officially coming to that committee into the parliament, we, our federal government will be very keen to work with the ACT Government to see the light rail happening. We've been very supportive of this project and very keen to work with the ACT Government to see this major commitment of theirs and this major improvement for Canberra go ahead. So I'm sure these issues aren't insurmountable. And as Sally Barnes has said, they're just working through what many options there are at this stage.
ADAM SHIRLEY: I mean, obviously, the main coverage has been about from the NCA perspective protecting the heritage values of the Parliamentary Triangle. But to what degree are you surprised that it seems as the NCA tells it, the Directorate comes to them and says, and I'm paraphrasing here, but there could be some geotechnical issues for the route that we have set down and put to the Canberra public, we might need to go elsewhere around that parliamentary site?
ALICIA PAYNE: Well, so I think that that's not surprising in the extent that the NCA's role in this process is to maintain the heritage and character of the Parliamentary Triangle as quite separate to the ACT Government's role of actually doing the project. So I think that is exactly how any issues would be brought at this stage. And I just want to note as well that there is any project that comes through the Parliamentary Triangle, of course, comes to the NCA, and it also comes to that committee, my committee at a point and is voted on by the parliament by the Federal Parliament, given its the triangle. This is not anywhere near that stage, yet how this information came to light in that committee hearing was in a biannual briefing with the NCA. So just regular briefing where we get updates on projects, and we were talking about light rail, and that's where Ms Barnes talked about these issues.
ADAM SHIRLEY: But I mean, there's I would argue, it's irregular, the kind of information that came to light and that we were then able to hear from Sally Barnes on this program, because a lot of people might have assumed that with issues, geotechnical planning, whatever you want to call them, the route was settled, it appears not.
ALICIA PAYNE: Yes, well, it's actually that stage 2B is not settled yet. And that is not new information. That is that stage has not come to that point yet.
ADAM SHIRLEY: Alicia Payne is the Member for Canberra with us on ABC Radio Canberra breakfast 20 past 7. She's a Chair of the Joint Standing Committee on National Capital, and externally external territories as well. You mentioned Alicia Payne, and I've asked the finance minister Katy Gallagher about this, that the federal government wants to work with the ACT Government in building this. So does that mean financial commitment, what sort of money will you commit or will support the ACT Government in building this?
ALICIA PAYNE: Well, as I have said, and as the finance minister has said, we are very keen to support this. And we are a federal government that is working with the ACT Government and supporting this project. In terms of a financial commitment, it is not up to that stage yet.
ADAM SHIRLEY: Is it under consideration, though?
ALICIA PAYNE: Well, not at this stage, because they're still working out the route. So how that would work would be that. I guess the proposal would come at a later point when it comes to Parliament when the ACT Government formally announces what that will be.
ADAM SHIRLEY: I guess people might expect, would you philosophically or at least in an initial word to word or government to government process, you've made a commitment or a suggestion you will or won't you give money once that plan comes forward?
ALICIA PAYNE: Well, no, we wouldn't, we wouldn't at this stage. As I've said we have previously provided financial support to earlier stages of light rail. We are very keen to work with the government on this sort of capital building project and future proofing of our city. But in terms of financials for stage 2B, we're not up to that stage yet.
ADAM SHIRLEY: Another issue that I know you take an interest in and in fact that you've been speaking about in policy is the childcare subsidy changes that have now kicked in, I mean, how many Canberrans, which Canberrans might get a bit of support relief for their childcare costs now?
ALICIA PAYNE: Yeah, thanks, Adam. This is excellent news for Canberra families because we've had some of the highest childcare costs in the country. And so more than 30,000 families in Canberra will benefit from these changes which have just kicked in. Around the country, it's just about all families that use childcare. So it's about 1.2 million families. And so for example, a family who's earning $120,000 with one child and care will be about $1,700, a year better off. And for families with a combined income of 80,000 or less, that childcare subsidy will lift to 90%. So this is a real change for Canberra families and I know one that people have been hanging out for to begin in July. And this is great because it means that more young children can access the benefits of early childhood education and care, but also that families can be better supported to make decisions about balancing work and family, particularly mothers.
ADAM SHIRLEY: So you say it's really great news. But there are some parents as well, who see this in their own centres on the ground and see it pushing up rates. Because I guess a bit like the real estate market, once a subsidy kicks in, the proprietors, those who run these centres might look to push up their prices, because they know there's more money on the ground. What about that impacting some, what parents are saying is that the prices are actually going up to cancel out any subsidy you might provide?
ALICIA PAYNE: Yeah, so I'm a parent with a child in early childhood education as well. So I know that this happens, and it's pretty regular for childcare centers to increase their fees around the start of the new financial year. So two things, parts of our policy that prevent this. First of all, this is a historic level of investment in this subsidy. So it's over $5 billion over the forward estimates. So that will definitely flow to parents, but there are caps within the system, that mean that there is a cap on the hourly rate to which the subsidy can apply. So it doesn't cap the amount the centre can charge, but it does cap the amount that the subsidy applies to and therefore, that acts to keep it at a level that parents will not want to go much over that. And there's obviously a lot of competition between centres, I guess if someone were to be increasing it beyond that.
ADAM SHIRLEY: But in a city like Canberra, as you probably know, Alicia Payne, there is a certain demand that will always be there. So I'm not sure whether competition between centres would necessarily force prices down. That's probably not the experience of most parents.
ALICIA PAYNE: Well, I guess my point is that there is a cap in the system of the subsidy, that means that if a centre were to be going over that that would be unusual. And it would mean that the subsidy would not reflect that. So it would not be a response to the increased subsidy because the subsidy wouldn't be applied to that increase. But we've also tasked the ACCC with a review into this and we'll be monitoring closely any of those price increases
ADAM SHIRLEY: Well that will be worth watching given the anecdotal reports already now that we've ticked over two new financial year. Alicia Payne we do appreciate your time. Thank you for it.
ALICIA PAYNE: Thanks for having Adam.
