Funds failure all one- sided

Coalition’s Port rejection blasted

THE Federal Government has been accused of “playing politics” with Townsville’s economic future by denying funds for the city’s port expansion.

The Turnbull Government was asked to match a $ 75 million funding commitment from the state for the Port of Townsville channel capacity upgrade.

However, the Bulletin revealed yesterday the Government preferred to finance the project through a loan from the Northern Australia Infrastructure Facility ( NAIF).

Townsville Enterprise board chairman Kevin Gill said the Federal Government’s preference for a loan was “disappointing”.

“The $ 193 million channel capacity upgrade project is recognised as a key priority under the ‘ Port City’ initiative of the Townsville City Deal,” he said.

“A fundamental component outlined in the landmark City Deal agreement was that all three tiers of government would work together to progress vital infrastructure in Townsville, not play politics with our economic future.”

Mr Gill said Townsville Enterprise would continue to lobby the Federal Government for a funding commitment.

“This is a vital project for our region that would drive new job generation, create economic opportunity and encourage business and industry to invest in Townsville North Queensland,” he said.

Federal Opposition Leader Bill Shorten slammed the idea of using NAIF to fund the project.

“This is yet another slap in the face for Townsville from a prime minister who is so out of touch with North Queensland,” he said.

Mr Shorten said it was a “disgrace” the Government could not find the money to fund such a “critical” piece of infrastructure.

“Funding the Port expansion will be good for jobs, good for tourism and good for Townsville’s economy,” he said.

“The experts agree that for every dollar spent, there’s going to be a lot more coming back to the region in economic gain.”

Townsville MP Scott Stewart said NAIF was being used as an excuse to give North Queensland an unfair deal.

“When it comes to those living in southern Australia, money flows freely ... whereas, when it comes to our infrastructure up here, why is it that we need to apply for NAIF funding,” he said.

“By ( the Federal Government) not contributing their fair share to this it sends a very clear signal that they do not care about North Queensland,” he said.

The Bulletin contacted the Deputy Prime Minister Michael McCormack for comment but his office did not respond by deadline.