Parliamentary Speeches
V Australia Airlines Sydney Headquarters ( 01/04/2008)
Mr DONALD PAGE (Ballina) [3.44 p.m.]: At the outset I indicate that the Coalition welcomes yesterday's announcement by Virgin that it will locate V Australia headquarters in Sydney. This is very good and welcome news, given that there has been no good news in tourism and State development in New South Wales for many years under the current Government. I note that a few years ago Virgin's Australian headquarters were set up in Brisbane, not in Sydney. While the Opposition welcomes the good news, I take this opportunity to record how badly the State's tourism industry is performing and the adverse impacts on jobs and investment associated with tourism. I also indicate at the outset that while the Opposition will support the first two paragraphs of the motion, I will move an amendment to delete paragraphs 3 and 4 and insert instead:
3. Calls on the New South Wales Government to properly promote New South Wales tourism by increasing the New South Wales Tourism promotion budget by $20 million per year as recommended by the Tourism Business Alliance.
It is important to be honest and frank about tourism in New South Wales: Sydney is the only Olympic city to have gone backwards after hosting the Olympic Games and that should be a matter of great concern to us all. Fewer visitors now make Sydney and New South Wales their destination than was the case in 2000. The story is told by the statistics and I will deal with the details shortly. It is pretty sobering to think that Sydney is the only Olympic city that has gone backwards after hosting the Olympic Games. I reinforce the point made by the Tourism Business Alliance's report published late last year that since 2000-01 the New South Wales Government has failed to properly support and encourage the promotion and development of tourism and the tourism industry in New South Wales.
The report also points out that other States and Territories have capitalised on New South Wales not promoting the State's tourism whereas Victoria and Queensland did. For example, over the past eight years New South Wales has reduced its tourism budget in real terms by 11 per cent whereas for the same period Victoria increased its tourism budget by 44 per cent. In other words, while the New South Wales Government reduced its commitment to promoting tourism in this State by 11 per cent in real terms, over the same eight-year period Victoria increased its budget in real terms by 44 per cent and Queensland increased its tourism budget by slightly less than Victoria's. And while New South Wales cut back on New South Wales promotion of tourism, its competitor States, Victoria, Queensland and Western Australia, stole its market share.
That trend is directly reflected in the number of visitors to New South Wales and their expenditure, which have decreased significantly. The number of visitors to New South Wales decreased from 33 million in 2000 to 27 million in 2006. Expenditure by each visitor decreased by 14 per cent over the same period. Not only have fewer people been visiting Sydney and New South Wales but also the money they spent decreased by 14 per cent from 2000 to 2007. I would have thought that would be a cause for serious concern by the New South Wales Government if it were fair dinkum about promoting the State.
Although it is good to note the announcement made by Virgin yesterday, it is one of very few positive tourism announcements for Sydney and New South Wales that could result in development. I urge the New South Wales Government to take seriously the point made by the Tourism Business Alliance and increase tourism's budget allocation, which is currently approximately $60 million, by at least $20 million a year. Tourism Business Alliance comprises all the major tourism industry operators in New South Wales. Tourism is worth $23 billion to New South Wales and employs 185,000 people, 65,000 of whom live in regional areas. It is incumbent upon the New South Wales Government to recognise that New South Wales tourism has been going backwards under its stewardship and has been losing its market share. The Government really should do something about that.
If more evidence of New South Wales tourism's decline is required, one need only refer to the most recent national visitor survey that was published last week that indicated that fewer people come to Sydney now from Melbourne and Queensland than has been the case in the past. For example, 12 per cent fewer people are coming to Sydney from Queensland and 7 per cent fewer people are coming to Sydney from Melbourne than has been the case. Between December 2006 and December 2007 visitor nights in Sydney declined by three million. The statistics indicate that the Government has taken its eye off the ball in tourism management and promotion for New South Wales. As I said earlier, that has been reflected in fewer people coming to Sydney and to New South Wales.
The industry is certainly aware of that decline. In my role of shadow Minister for Tourism I am contacted by the industry on a regular basis. The industry is desperate to get a copy of the John O'Neill report into the tourism industry in New South Wales and to have it made available to the public. John O'Neill has written three reports; two have been made public and the third was completed and provided to the Government prior to Christmas last year—it was the big report that dealt with the entire tourism industry in New South Wales. I understand it made a series of significant recommendations. The tourism industry is desperate to get hold of that report. I understand the report was very embarrassing for the Government; it was a frank report that addressed the matters I have mentioned and the need for the Government to lift its game.
However, the Premier's department, and the Premier's office have taken the report and, like spin doctors, they are trying to put a decent spin on the Government's lack of performance. Frankly, it ill behoves the Government to take a report by John O'Neill—an esteemed person with a fantastic record in marketing rugby union, the World Cup, soccer and other events, and who was specifically appointed to do that job—and try to put their own spin on it. I call on the Government to, firstly, release that report, which the industry is desperate to have made public, and, secondly, when it releases the doctored report to do us the courtesy of also releasing the original John O'Neill report, so that we can compare what he said about the state of tourism and what must happen with the Government's spin on tourism.
Although the Opposition certainly welcomes the decision by Virgin, I point out that New South Wales has lost a number of major events to other States. They include the twelfth FINA World Championships in 2007, which went interstate; the 500cc Motorcycle Grand Prix; and the Bledisloe Cup in 2006 and 2007. I am a rugby fan and I like to watch a game, but to have to fly to Melbourne to watch the Wallabies play the All Blacks last year was, frankly, embarrassing.
