Call to slash councils

State only needs three, says business group chief

TASMANIA’S 29 councils should be cut to three, the Tasmanian Chamber of Commerce and Industry has declared.

TCCI chief executive Michael Bailey says the current number is inefficient and doesn’t represent best practice.

Mr Bailey has called on the Liberal State Government and Labor Opposition to reform local government.

“The days have gone when every town in Tasmania needed a local council and it is time to ensure there is more transparency in the sector,” he has told the TCCI’s Tasmanian Business Reporter.

Tasmania has 263 councillors and around 4000 local government employees.

They represent up to 67,000 people in Launceston down to just 2139 in the Central Highlands, mainland Tasmania’s smallest council by population.

Mr Bailey does not nominate geographical boundaries, but southern, northern and northwestern local authorities would appear most logical.

Tasmania’s South has a population of 265,000, the North 144,000 and the NorthWest 112,000, each comparing to regional councils interstate.

Mr Bailey said over-government and duplication could be costing the state hundreds of millions of dollars each year.

Rate rises, like Glenorchy’s 12.5 per cent increase, regularly exceeded the consumer price index, Mr Bailey said.

He said “clumsy micro management of our state is preventing strategic, whole-ofregion/state planning”.

Little had happened since Local Government Minister Peter Gutwein called for reform during the Hodgman Government’s first term, Mr Bailey said.

“Local government has blown its chances and, despite being given the opportunity to do it for themselves, has demonstrated it is too self-interested to act on behalf of the people it represents,” he said.

The TCCI supports State Parliament’s House of Assembly increasing from 25 to 35 members, a move that could offset cuts to councils.

The State Government has ruled out forcing councils to amalgamate.

Local Government Associ- South — 265,000 North — North-West — 112,000 Source: ABS, Department of Treasury ation of Tasmania chief Katrena Stephenson said a “sensible” conversation on council reform was welcome.

Dr Stephenson conceded moves towards resource-sharing had been slow but said progress had been made. Hobart — 52,000 Launceston — 67,000 Devonport — 25,000 Burnie — 19,000 Ballarat (Vic) — 105,000 Wollongong NSW) — 214,000 Townsville (Qld) — 194,000

“As the closest level of government to the community, councils are in a unique position to identify community needs and make sure those needs are met,” Dr Stephenson said.

“The argument to simply change geographic boundaries is a simplistic one that fails to strategically take into account the community and operational drivers of a complex and diverse business.”

Mr Gutwein said reform needed to be driven by local communities.