A Joint Submission to the Green Paper on Developing Northern Australia by the Communities of Central Queensland 1 Overview The Central Queensland (CQ) region is a social and economic powerhouse of Northern Australia. On almost every measure – whether that be population & growth; economic scale, expansion and diversity; the key industries of agriculture, mining and tourism; or education, training and research – the CQ region is a standout performer in Northern Australia. CQ hosts a density, diversity and scale of social and economic enterprise almost unmatched anywhere else in Australia. Driving this are the industries and communities built around the major population centres of places like Emerald, Mackay, Rockhampton, Longreach, Blackall, Gladstone, Moranbah, Proserpine, Yeppoon, Barcaldine, and Winton. CQ is a region 600,000 square km in size, which is three times the size of Victoria. It has a population of 411,000, which is the size of Newcastle – Australia’s 7th largest city. And CQ has a Gross Domestic Product almost twice the size of that of the state of Tasmania. Yet the CQ region is almost utterly invisible in the Commonwealth Government’s Developing Northern Australia policy development process being driven by the Northern Australia Taskforce. This stark exclusion of the CQ region was reflected in both the initial 2030 Vision for Developing Northern Australia Discussion Paper, and the subsequent Commonwealth Green Paper on Developing Northern Australia (the Green Paper). Despite the CQ region clearly positioned within the defined boundaries of ‘Northern Australia’, there was virtually no mention of the role the CQ region and its main population centres play in the prosperity and potential of the North. Instead there seemed to be an almost exclusive focus on the cities of Darwin, Cairns and Townsville, and the role that these regions will play in Northern Australia’s development over the next 25 years. This seeming bias is also being reflected acutely in the formation of the related Agriculture North Cooperative Research Centre proposal, and in the membership of the Northern Australia Advisory Group – the panel that will advise the Prime Minister on the final Development of Northern Australia White Paper policy. This joint submission to the Green Paper on behalf of the communities of CQ does not seek to discredit the immense strengths and contributions being made by the vibrant cities of Darwin, Cairns, Townsville and their surrounds. These three cities are tremendous performers and they have helped to shape Northern Australia into what it is today, and what it has the potential to become in the future. However given the almost exclusive focus on these three northern cities in the Developing Northern Australia policy development process, this submission will highlight the remarkable degree to which the CQ region performs in a host of key social and economic indicators when compared to the Darwin/NT, Cairns and Townsville regions/statistical divisions. Likewise, the signatories to this joint submission do not wish to discredit the intent that the Commonwealth has to develop a long-term policy strategy to expand the enormous opportunities of Northern Australia. The focus on Northern Australia by the Government has unanimous support from the signatories of this joint submission. Likewise the work of the Joint Select Committee on Northern Australia led by The Hon Warren Entsch MP, including the public hearings and the presentation of the Interim Report, is to be commended. This joint submission does seek, however, to highlight the extent to which the CQ region has been excluded from the initial Developing Northern Australia Discussion Paper, subsequent Green Paper, the Northern Australia Advisory 2 Group formation, the proposed Agriculture North Cooperative Research Centre and the critical need to rectify this glaring omission in the final White Paper. This joint submission to the Green Paper on behalf of the communities of CQ calls on the Northern Australia Taskforce to broaden its somewhat limited focus of Northern Australia to include the single greatest contributor to the top half of the nation – the CQ region. Population & Growth The Mackay, Fitzroy and Central West statistical divisions (which define the region identified as CQ) have a combined population of more than 410,000. This is almost half of all people living in Northern Australia. In other words, two in every five people that comprise the approximately one million people identified in the Green Paper as living in Northern Australia, call CQ home. By contrast the population of the Darwin region is just 131,900 (or 235,000 in the entire Northern Territory), the population of the Townsville region is just 229,000, and the population of the Cairns region is just 236,000. CQ saw a population increase of 44,700 in the 10 years to 2014, representing 24% population growth. This exceeds the growth experienced by the Cairns region of just 21%, the Townsville region of 20%, and the total for all of Northern Australia of just 1.9%. CQ has an enormous labour force of 199,000 people, which far exceeds that of the Townsville region (111,000), the Cairns region (110,000) and the Darwin region (65,000, or just 104,000 for the entire Northern Territory). And CQ housing affordability on average is $20,000 cheaper per dwelling than Darwin, Cairns and Townsville combined. Economy CQ’s Gross Domestic Product (GDP) of $44.4B is larger than that of the combined GDP of the Townsville region ($18.4B), the Cairns region ($12.2B) and the Darwin region ($7B). CQ’s GDP is almost twice the size of Tasmania’s GDP. The ten year growth rate of CQ’s GDP of 211% far outpaced that of the Townsville region (just 98%), the Cairns region (just 83%) and the Darwin region (just 79%). The CQ economy is one of the largest and fastest growing of any region in Australia, far outperforming that of the Darwin, Cairns and Townsville regions. Agriculture The CQ region produces one-third of Northern Australia’s entire annual agricultural wealth. The Gross Value of agricultural production in CQ is over $2.1B per annum, which is larger than the combined annual Gross Value of agricultural production of the Townsville region (just $640M), the Cairns region (just $686M) and the entire Northern Territory ($448M). 3 There are almost double the number of cattle in CQ (4.8m head) than all of the Northern Territory (2.2m head), the Townsville region (657,000 head), and the Cairns region (162,000) combined. CQ has the greatest beef stock density of any region in Australia, and CQ is the internationally recognised Beef Capital of Australia with the majority of the Northern Australian beef Herd having been derived from CQ genetic-derived stock. Over 16% of CQ’s workforce is employed in the Agricultural sector, compared to just 3.3% in the Townsville region, 4.7% in the Cairns region, and 0.9% in the Darwin region. CQ has over 51M ha of Agricultural commodities, which is equal to that of the entire Northern Territory enterprise. This figure dwarves that of the Townsville region at just 6.3M ha and the Cairns region at just 1M ha. There are over 8,400 registered businesses in the Agricultural sector in CQ, compared to just 505 in the Darwin region, 2,634 in the Townsville region, and 3,288 in the Cairns region. The CQ region plays host to two of the most respected Agricultural Training Colleges in Australia at Emerald and Longreach, and CQ’s own University, CQUniversity, is the highest ranked Australian University for Agricultural Research in the latest Commonwealth rankings. The CQ region is the unrivalled Agricultural giant of Northern Australia. Mining CQ is the mining and resources epicenter of Northern Australia. CQ Mineral wealth grew 419% in the 10 years to 2011/12 to exceed $29B, whereas the mineral wealth of the Cairns/Far North region grew by 158% to just $839M and the Townsville/Northern region shrunk by 53% to just $442M. CQ has 19,800 people employed by the resources sector representing $3.5B in wages, compared to just 5,300 employed in the Cairns/Far North and Townsville/Northern regions combined representing just $714M in wages for both regions. The direct and indirect value of the resources sector is worth $25.7B to the CQ economy, or 67% of CQ’s Gross Regional Product, compared to just $4.6B of value to the combined Townsville/Northern and Cairns/Far North region economies representing just 19.5% of their combined Gross Regional Product. The resources sector directly or indirectly supports 75% of CQ jobs compared to just 13.3% of all combined jobs in Townsville/Northern and Cairns/Far North regions, and there are 414 registered businesses in the Mining sector in CQ, compared to just 61 in the Darwin region, 106 in the Townsville region, and 127 in the Cairns region. The CQ region’s contribution to Northern Australia’s resource wealth is unmistakable. Tourism Despite the CQ region not having a perceived strength in this sector, the latest 2013 visitor statistics show that the Mackay/Whitsunday/Southern Great Barrier Reef (ie, CQ region) generated $2B of domestic and international visitor revenue, which is 80% of the value of the entire Far North Queensland market and 125% of the value of the Townsville region market. The CQ region is the most highly underestimated contributor to tourism enterprise and potential in Northern Australia. 4 Affluence The CQ economy and its workforce is one defined by its size, mobility and affluence. The entire CQ region is generating as much total wage/salary income as the Darwin, Cairns and Townsville regions combined, at approximately $13B. Average annual wages in CQ is $58,000 compared to just $50,000 in Townsville, $55,000 in Darwin & $44,000 in Cairns. Furthermore this is not just high-paid blue-collar jobs in the mining sector driving CQ’s high wages and affluence. There are 39,000 ‘white collar’ workers (Manager/Professional positions) employed in CQ compared to just 18,000 in the Darwin region, 17,500 in the Townsville region, and just 17,000 in the Cairns region. CQ vehicle ownership per 1,000 population is 11% higher than Townsville, Darwin & Cairns regions combined (840 vs 749). Education, Training & Research The CQ region hosts some of the best performing schools in the country, both Private and Public, providing quality education to the highest cluster of school children in Northern Australia. The Agricultural Training Colleges at Emerald and Longreach are two of the most highly respected institutions of their type in the nation. And the CQ region headquarters the single largest regional University in Australia, CQUniversity, which is also the region’s public provider of all Vocational Education and Training following its merger with CQ TAFE to establish Queensland’s only comprehensive University. CQUniversity has 36,000 students and is the second fastest growing University in Australia for domestic numbers. It has the greatest reach of any tertiary education provider in Australia with over 20 campus locations nationwide, including 12 spread throughout Northern Australia. CQUniversity has leading strengths in key Green Paper areas such as agriculture, health, mining, training and international education, and its main campus in Rockhampton is the single largest employer in the city shire of 120,000 people. The Invisibility of CQ While sitting firmly within the defined “Northern Australia” boundary, CQ is all but invisible in the initial 2030 Vision for Developing Northern Australia Discussion Paper and the subsequent Green Paper on Developing Northern Australia. Instead, the focus seems to be almost exclusively concerned with the role that Darwin, Cairns and Townsville will play in Northern Australia’s development over the next 25 years. The word ‘Mackay’ is mentioned just eight times in the text of the 116 page Green Paper document, the word ‘Rockhampton’ just four times, and the words ‘Emerald’, ‘Longreach’ or even ‘Central Queensland’ are mentioned just once each. In stark contrast, the words ‘Darwin’, ‘Cairns’ or ‘Townsville’ appear at a rate of almost once-per-page. Rockhampton doesn’t even appear on the Green Paper’s own map showing Northern Australia – instead there is just an unidentified dot where a city-shire of 120,000 people live. 5 The Green Paper refers to Northern Australia being ‘sparsely settled’ and having ‘no permanent human presence’ outside of North East Queensland and Darwin, despite almost half of the entire one million population of Northern Australia living in CQ. CQUniversity, the single largest university in regional Australia, was completely absent from the Green Paper, despite the institution providing abundant input into the multiple consultation processes and being renowned for its leading strengths in key Green Paper priorities such as agriculture, health, mining, training and international education. In contrast, the universities based in Darwin and Townsville/Cairns recorded almost 15 mentions in the Green Paper. Both CQUniversity and the CQ region are also absent as primary players in the formation of the Agriculture North Cooperative Research Centre, a $150m research group which is expected to be established as a result of the final Developing Northern Australia White Paper policy. This despite the CQ region being the most diverse, productive and valuable farming region in Northern Australia, and CQUniversity being the most highly ranked university in Australia for Agricultural research (Commonwealth Excellence in Research Australia ranking of 5 – Well Above World Standard). The CQ region has also been completely excluded from The Northern Australia Advisory Group – the 11 member panel that will advise the Prime Minister on the final Development of Northern Australia policy. While all appointees are outstanding and deserving individuals, not one of the 11 members of the panel represent an area south of Townsville. There are three members representing the Advance Cairns group alone. There are also three members of the panel representing Top-End cattle stations, despite the CQ region - Australia’s Beef Capital - holding more than double the number of cattle than the entire Northern Territory. Conclusion We, the signatories below, have long understood that the CQ region is the social and economic powerhouse of Northern Australia on almost every measure. Its presence and contribution is undeniable and unmatched anywhere in Northern Australia, or anywhere in regional Australia for that matter. It is almost inconceivable that the CQ region could be overlooked to the extent which it has been in the initial 2030 Vision for Developing Northern Australia Discussion Paper, the subsequent Commonwealth Green Paper on Developing Northern Australia, the formation of the related Agriculture North Cooperative Research Centre, and the composition of the Prime Minister’s Northern Australia Advisory Group. The degree of disproportionality of focus towards Darwin, Cairns and Townsville undermines both the contributions other regions are making in Northern Australia, and the validity of the long-term policy framework itself. Quite simply, a policy setting on Northern Australia would be virtually pointless without a serious inclusion of the CQ region. And perhaps of even greater concern for the communities of CQ, our long-held fate as a political ‘rain shadow’ region would be locked in place for a further 25 years if these urgent disparities are not addressed in the final White Paper. We seek that the Northern Australia Taskforce give genuine consideration of the CQ region as the White Paper on Developing Northern Australia is produced. 6 Signed: Mary Carroll Chief Executive Officer Capricorn Enterprise Cr. Graham Scott Chairman Capricorn Enterprise Ted Malone MP State Member for Mirani Rees Banks Chief Executive Officer Regional Development Australia Fitzroy and Central West Michelle Landry MP Federal Member for Capricornia Bruce Young MP State Member for Keppel Glenn Churchill Chief Executive Officer Gladstone Area and Promotion Development Ltd Ken O’Dowd MP Federal Member for Flynn Bill Byrne MP State Member for Rockhampton Sandra Hobbs Chief Executive Officer Central Highlands Development Corp. Stephen Schwer General Manager Mackay Tourism Ltd Julie Boyd General Manager Resource Industry Network Royce Bishop Chair Reef Catchments Cr. Bill Ludwig Mayor Livingstone Shire Council Cr. Margaret Strelow Mayor Rockhampton Regional Council Cr. Ron Carige Mayor Banana Shire Council Cr. Jennifer Whitney Mayor Whitsunday Regional Council Cr. Gail Sellers Mayor Gladstone Regional Council Cr Gail Nixon Acting Mayor / Deputy Mayor Central Highlands Regional Council Senator Matthew Canavan Queensland Hon. Tim Mulherin MP State Member for Mackay Tim Miles Chair Mackay Region Chamber of Commerce Prof Scott Bowman Vice-Chancellor and President CQUniversity Australia Cr. Rob Chandler Mayor Barcaldine Regional Council Chair, RAPAD Justin Commons Chief Executive Officer Livingstone Shire Council Correspondence c/o Capricorn Enterprise, 34 East Street (PO Box 1313), Rockhampton Qld 4700 7 Reference List Australian Bureau of Statistics, Data by Region reports 2012 http://stat.abs.gov.au/itt/r.jsp?databyregion Australian Bureau of Statistics, National Regional Profiles reports, 2008 http://www.abs.gov.au/AUSSTATS/abs@.nsf/NRPPastIssues!OpenView&Start=1&Count=1000&Expa nd=1.1.3&RestrictToCategory=Main%20Areas#1.1.3 Tourism and Events Queensland, Regional Snapshot Summaries year ended December 2013 http://www.teq.queensland.com/Research-and-Insights/Domestic-Research/Regional-Summaries Queensland Resources Council, What are Qld Resources Worth to me? Statistical Division reports https://www.qrc.org.au/01_cms/resource.asp?action=search&varKeyword=pdf&numResourceType =3&filterAID=4&page=274 Regional Development Australia Fitzroy and Central West, Regional Roadmap 2013 - 2016 Queensland Treasury & Trade, Experimental Estimates of Gross Regional Product, March 2013 Advance Cairns, press release; Advance Cairns welcomes Northern Australia Advisory Group Announcement 10 June 2014 http://www.advancecairns.com/files/media/original/026/f7c/media-release-nth-aust-advisory-gp10-jun-14.pdf The Australian Government Green Paper on Developing Northern Australia, 2014 http://northernaustralia.dpmc.gov.au/sites/default/files/papers/green_paper.pdf The Coalition’s 2030 Vision For Developing Northern Australia, June 2013 http://www.liberal.org.au/2030-vision-developing-northern-australia 8