Message from Kim

15 December 2011

BUDGET UPDATE SUMMARY

Coalition Government strengthens finances to grow Victoria's economy

Victoria's Budget will record a surplus of $1.3 billion in 2014-15 and net debt will be $804 million lower, as detailed in the 2011-12 Victorian Budget Update released on 15 December.

The Baillieu Coalition Government continues to deliver on its election commitments whilst delivering a responsible fiscal and economic strategy to strengthen Victoria's finances, improve service delivery, invest in vital infrastructure and grow Victoria's economy.

Further, the Coalition is taking responsible steps in the context of global uncertainty to put Victoria's finances onto a more sustainable path by addressing the medium term challenges inherited from the previous government.

We are prioritising investment to deliver quality community services in education, health and community safety, and improving public transport and road infrastructure by reducing unnecessary head office and administrative expenditure in the bureaucracy.

Over the 10 years to 2010-11 Victorian Government expenses growth outstripped revenue growth. The Independent Review of State Finances Interim Report concluded that this trend is unsustainable.

Victoria's public service grew at an average annual rate of 5.3 per cent over the period 2006 to 2010 compared to a 2 per cent average annual population growth over the same period.

In the 2011-12 Budget Update, the Coalition will reduce average expenditure growth to 3.1 per cent by implementing efficiency measures worth $1.9 billion including:

reducing through voluntary departure packages the number of public servants in non-service delivery and back-office roles by 3,600 positions;
non-renewal of some fixed term positions;
reducing the number of contractors and consultants across government; and
capping non-wage departmental expenditure growth for non-service delivery areas.

It must be stressed, that there will be no reductions in key frontline services delivery areas - for example, there will be no impact on teachers, police, nurses, child protection or corrections workers.

The Baillieu Government's priority is to increase investment in quality service delivery for the community and, consistent with the Coalition's election commitments, frontline professionals in key areas such as health, education, community services and community safety will increase.

Consistent with the weaker national outlook Victoria's taxation revenues have also been revised down.

The measures contained in the Budget Update will in part address this shortfall and will also provide funds towards the delivery of major projects inherited from the previous government that experienced cost blowouts.

The Coalition will deliver a new registration and licensing system to replace VicRoads' existing system.

In 2005, the Victorian Ombudsman identified the urgent need for the existing VicRoads registration system to be upgraded. When the previous government finally began the development of a new system, the project was so poorly managed by Labor that it became another Labor IT project blowout that was never delivered.

The Coalition Government has reviewed the registration and licensing project through the new high value/high risk process, and funding has now been provided to deliver this important project. However it will need to be funded through an increase in motor vehicle registrations fees.

There will be a $35 increase in the base motor vehicle registration fee from 1 April 2012, however Victoria's total registration renewal cost will remain the third lowest of the states. The duty rate on new passenger car purchases below the Commonwealth's luxury car tax threshold will also increase from 2.5 per cent to 3 per cent commencing 1 July 2012.

In summary, the Baillieu Government continues to deliver on its election commitments whilst implementing responsible economic reforms in the context of external challenges, including international uncertainty caused by the European financial crisis, a weaker national economy and a high Australian dollar.

These external economic pressures reinforce the importance of strengthening Victoria's finances to grow Victoria's economy.

Kim Wells Signature
Kim Wells MP
Member For Scoresby

News Feature - Victorian Coalition Government's Achievements In Its First 12 Months

The Victorian Coalition Government has worked hard over the year to deliver on its promises to Victorians.
Our commitments have been delivered despite $2 billion in black holes, cost overruns and unfunded projects left by the former Labor Government, tough economic circumstances and a $4.1 billion reduction in GST revenue from the Gillard Government.
We have kept the trust placed in us by Victorians and delivered on our commitments in challenging circumstances.
More than 130 of our commitments have already been implemented and the Coalition Government will continue to work hard to ensure all our commitments are delivered to benefit Victorian families.

Improving productivity and growing the economy
Declining productivity hurts all Victorians. That\'s why the Coalition Government has moved to improve the long-term decline in productivity in Victoria by revising the industrial relations principles applying to firms seeking government building and construction work so taxpayers get better value for money.
The 2011-12 Victorian Budget also delivered on the Coalition Government\'s commitment of a $100 million minimum surplus and reduced spending growth - which has averaged eight per cent a year over the past decade - to 3.2 per cent a year.
Restoring basic services
The Coalition Government\'s commitments are designed to restore basic services to the levels which Victorians expect after years of neglect under the former Labor Government.
There have already been improvements in train punctuality and reliability, and 635 more train services per week together with more funding for basic maintenance will ensure network improvements continue.
Recruitment is well underway for new police and Protective Services Officers to ensure Victorian streets and railway stations are safer.
The Budget also included a record $13 billion in health spending in 2011-12, including new programs to improve health service delivery and drive down waiting lists. This includes new funding for extra ambulance paramedics.
The Coalition Government has also funded new schools, including specialist schools, to help improve education standards in Victoria.

Helping with the cost of living

The Coalition Government\'s first year included a $1.2 billion package of measures to ease cost of living pressures for Victorian families.

The Budget delivered big stamp duty cuts for first home buyers, pensioners and young farmers and gave relief to families with a 50 per cent cut in ambulance membership fees.

It also provided $445 million for eligible households to benefit from a year-round electricity concession and enable water and sewerage concessions to keep pace with increasing costs - benefiting an estimated 815,000 Victorians.

Integrity of government

The Coalition Government is delivering on its commitment to restore the trust in government that was eroded by spin, misconduct and waste under Labor.

We have introduced legislation to implement an independent broad-based anti-corruption commission.

We have introduced a tough new Fundraising Code of Conduct that includes sweeping reforms to fundraising practices in Victoria.

These reforms will also apply to former members of Parliament, senior staff and party officials who now work as lobbyists, providing a clear set of guidelines with which all Coalition members will be required to comply.

In Parliament, standing orders have been tightened by putting time limits on answers to questions without notice and fining MPs who are ejected.

Pay rises for Members of Parliament have been capped at 2.5 per cent.

Boosting community safety

The Coalition Government funded in its first Budget the largest-ever recruitment of Victoria Police in a single term of government.

Because of our commitment, 1700 more police (including 100 transit police) will be recruited to protect Victorians.

Recruitment is also underway for 940 Victoria Police Protective Services Officers who will patrol every metropolitan railway station and major regional railway stations after dark to protect commuters.

A range of justice reforms were also passed, including tough new hoon laws to reduce dangerous driving and impound and crush the vehicles of repeat offenders, new dangerous dog legislation and the abolition of home detention and suspended sentences for serious crimes.

Funding was also provided for councils and community groups to implement practical community safety projects such as security lighting and CCTV, and to develop and deliver local solutions to graffiti.

Fighting for the interests of Victoria

The Victorian Coalition Government has worked hard in the last year to vigorously represent the interests of Victorian families and Victoria.

We secured a better health deal from the Gillard Government, including more funding, greater transparency and protecting Victoria\'s country hospital boards from amalgamation.

Communities and families affected by the devastating Victorian floods received the support they needed to get back on their feet.

We have lobbied for the development of a national reform agenda to reduce federal and state administrative duplication by eliminating overlaps.

Pressure from Victoria resulted in the Gillard Government\'s agreement to review the GST, especially after Victoria\'s GST revenue was cut by $4.1 billion.

The Coalition Government also released economic analysis showing the devastating impact of the Gillard Government\'s carbon tax on Victorian families and businesses.

This analysis showed that by 2015, there will be 35,000 fewer jobs than would have been the case without a carbon tax; investment will be down almost $6.3 billion, or 6.6 per cent; per capita income will be more than $1,050 lower; and the Victorian State Budget is predicted to be almost $660 million worse off.

The Deloitte Access Economics report also highlighted the devastating impact the Gillard Government\'s carbon tax will have on regional Victoria.

The Coalition Government also appeared before Fair Work Australia to terminate the damaging Qantas industrial dispute after the Commonwealth refused to act until planes were grounded worldwide. Up to that point, our concerns had been dismissed by the Gillard Government as a \'media stunt\'.

Protecting vulnerable Victorians

The Coalition Government\'s first year in office included major commitments to support vulnerable Victorians.

Our first Budget included a $200 million package to support those with a disability, their families and carers, $34 million to strengthen palliative care, and - in the critical area of child protection - a $98 million commitment to transform the child protection workforce and services in Victoria and ensure better support for our most vulnerable children.

As part of this commitment, the Coalition Government is implementing a plan to increase the frontline child protection workforce by at least 160 staff, or approximately 20 per cent - the largest-ever increase in frontline child protection workers in Victoria.

The 2011-12 Victorian Budget also provided an additional $88 million package to address neglect of mental health issues.
The Coalition Government has taken tough action against bullying by passing new laws making it clear that serious bullying is a serious crime that can be punished by a prison term of up to 10 years.

Ending waste

The Coalition Government\'s first Budget reduced unnecessary wasteful spending by $2.2 billion, including savings from a reduction in ministerial staff, media and marketing positions, consultants, government advertising, political opinion polling, travel, office floorspace and consumables.

In its first year, the Coalition also terminated Labor\'s wasteful plan to spend $20 million on fairy lights for the Westgate Bridge, immediately halted taxpayer-funded party political advertising, reduced the government\'s advertising spend by 40 per cent and reduced by 25 per cent the number of taxpayer-funded ministerial advisers compared to those employed by the former Labor Government.

Fixing Labor\'s messes and plugging Labor\'s black holes

The need for the Coalition Government to take a responsible approach to economic management was underlined by the $2 billion in black holes left by the former Labor Government\'s mismanagement, incompetence and under-funding of infrastructure projects.

Because of Labor\'s incompetence, many Victorian major projects are subject to serious cost blowouts and cost pressures which in some cases are greater than the initial cost of the project, including myki, LEAP/LINK and HealthSmart as well as Regional Rail, the Melbourne Market redevelopment and the West Gate Bridge widening project.

The Coalition Government has been working hard to put each of these projects on a responsible footing, including determining the full risk of each project so taxpayers are not exposed to further losses.

For example, the Coalition Government announced its intention to proceed with the myki ticketing system while putting a much stronger framework around the project to ensure costs and project management do not spiral out of control as occurred under Labor.

Unfortunately in some cases contracts signed under Labor condemn taxpayers to many years of financial pain. For example, the desalination plant contracts made public under the Coalition Government require payments of almost $2 million a day for the next 27 years even before any water has been purchased.

The Coalition Government has introduced a rigorous process so that major projects now have proper governance, management, design and financial costing to ensure that these projects are delivered on time and on budget.

Building on our achievements:

Policies implemented by the Victorian Coalition Government since its election

Racing integrity protected with $4 million Coalition grant
Regional Victoria Living Expo to entice tree change
Coalition Government delivers on commitment to clean up at Brookland Greens Estate
$3.2m pilot opens door for people with mental illness
Coalition Government launches Places Victoria
Independent report on Labor\'s shabby consultation over the Geelong Ring Road Section 4C
New options for Geelong\'s general aviation sector
Emergency Management legislation passes Parliament
New headspace sites to enhance access to youth mental health
Coalition Government gives a boost to secure Melbourne to Warrnambool Cycling Classic
Victorian Design Review Panel to help strengthen Victoria\'s leadership in design
Baillieu cracks down on illegal puppy farms
Gippsland carers get funding boost
Minister click starts new Shrine of Remembrance website
Victorian Coalition Government to establish new Work and Learning Centres in Geelong and Carlton
Government unveils $10 million Mental Illness Research Fund
Communities given greater say in wild dog control
Victorian Coalition Government delivers on commitment to help problem gamblers
Expert panel to hold public forums on review of VET fees and funding
Tougher laws against illegal brothels introduced to Victorian Parliament
Minister makes $20 million commitment to support Communities for Nature
More Victorian kids to get the chance to learn how to swim
Coalition puts price on fox and wild dog scalps
Young people get the chance to Be Heard!
Mayors to advise Minister
Funding for Scouts Victoria and Girl Guides Victoria supports young Victorians
$440,000 upgrade to Gilwell Park Scouts Centre
Coalition reinvigorates Victorian Young Farmers
Funding boost for Victoria\'s smallest kindergartens
Traralgon South Primary School lights up
$100,000 to strengthen mens\' sheds
Timboon P-12 School receives electronic speed signs
Coalition to deliver 60 new Landcare facilitators
Independent Road Safety Camera Commissioner Bill passes Parliament
Yea\'s bid for saleyards upgrade wins $400,000
Coalition implements state-wide bushfire mapping in response to Royal Commission recommendations
Victorian Coalition Government delivers stronger gambling integrity measures
Victoria leads by establishing the Settlement Co-ordination Unit
Coalition restores community\'s rights on wind farm planning
Bong ban to end Labor\'s mixed message to kids and youth
Victorian prisoners to get access to condoms
Responsible Alcohol Victoria launches new website
Minister launches Public Safety Infrastructure Grants
Discussion paper: Port of Geelong well-placed for future relocation of car trade
$5 million to improve safety in bushfire-prone communities
Minister launches grants to stamp out graffiti
$20 million to make studying easier for regional students
New ward for the Geelong Hospital
Minister launches Community Safety Grants for local crime prevention initiatives
Harness racing returns to country tracks under Coalition Government
Green light for safer turns into Stud Road
Our Place continues to support community
Vic Coalition launches $1 billion boost for regions
Vic Coalition Govt delivers on promise to expand access to government subsidised training
Hoons on notice as tough new laws start tomorrow
Government delivers website on hospital performance
Coalition abolishes forced euthanasia of pound animals
Rebates on water-efficient products for all Victorians
12 new Yarra Ranges bus shelters fulfill election promise
Coalition Government delivers the keys for home buyers
Coalition cuts ambulance membership fees in half
Kids can now visit the zoo for free
Vic Coalition announces new loan scheme to support bushfire-affected small businesses
Apache Cat wins another million for retired legends
Groundwork for recreational boating industry strategy
Election commitment met: feasibility study for Yarra Valley gateway tourism centre
Walsh announces funding for Living Ballarat
Coalition reforms GAIC to improve housing affordability
Election commitment met: business case for Old Gippstown heritage park
Coalition delivers key planning reform with new Urban Renewal Authority
New legislation delivers for second Victorian container port
Coalition Govt honours Indigenous Victorians with nation\'s first-ever Indigenous Honour Roll
Coalition commits financial support for bushfire planning
Independent assessment process for possible expansion of urban growth boundary in growth areas
$5 million boost for Bendigo Airport
Coalition delivers $1 million for greyhound adoption
Coalition Government delivers on $130m Wallan-Kilmore Bypass election promise
$20 million for Dingley Bypass planning
Historic day for Victoria\'s CFA volunteers
Coalition Government\'s Budget delivers for students with special needs
Coalition Government secures Eaglehawk Primary School\'s future
Victorians to have their say about Vocational Education and Training Fees
Coalition Government delivers on metro level crossing removal to end congestion and improve safety
Minister unveils landmark health plan
Coalition Govt delivers on commitment to expand Frankston Hospital
Coalition Govt invests further $100 million in vital government school maintenance
Coalition Government delivers on Skilled Stadium overhaul
Parliament gives true independence to Bushfire Implementation Monitor
Coalition Govt announces first DPC Regional satellite offices in Ballarat and Bendigo
Coalition delivers on Rock Eisteddfod Challenge
Coalition restores public holiday flexibility to country Victorians
Coalition Government delivers more transit police
Coalition Government gives communities a say on bottle shops
Coalition reduces the risk of alcohol-related harm to our children
Restoring four lanes makes Black Forest Drive safer
Stud Road bus lane pain to end
Coalition honours indigenous Victorians
Public comment invited on direct election of Geelong Mayor
Coalition Government extends freeze on late-night liquor licences
New unit aims to improve housing affordability
New peri-urban planning unit
Coalition delivers on racing commitments to regional Victoria
Living Victoria roadmap calls for urgent water reform
Coalition Government delivers on additional race meet at Avoca
Napthine confirms Bendigo to go the extra distance
Coalition to legislate $1 billion regional growth agenda
CFA Volunteer Charter to be enshrined in legislation
Revitalising Victoria\'s manufacturing industry
Revealed: The true cost of John Brumby\'s desalination plant
Victorian Taskforce established for National Disability Insurance Scheme
Coalition Government delivers early year-round discounts on electricity bills
Work to begin immediately on $2 million Rowville rail feasibility study
Victorians to have their say on Registered Aboriginal Parties
Baillieu Government seeks national approach on race wagering and betting
Coalition to deliver true independence for Bushfire Implementation Monitor
Baillieu Government delivers on election commitment to end Easter Sunday trading confusion
Coalition gives principals power to search, confiscate and ban school yard weapons
Coalition to strengthen independence of Victorian Multicultural Commission
New era for Ringwood Railway Station and bus interchange under Coalition Government
Protecting Victoria\'s vulnerable children: inquiry launched
Coalition Govt announces major overhaul of Victoria\'s road safety cameras
Coalition Govt helps bushfire survivors
Major changes to TAFE training fees for youth Health Care Card holders
Research begins on strategic cattle grazing to reduce bushfire risk
Liquor licensing fees halved for low risk licensees
Coalition continues policy implementation with community safety legislation
Coalition delivers on reduction in ministerial staff positions
Coalition Government leads discussions on implementation of NDIS
Development controls removed at Portland and Narrawong
Planning amendment paves way for Portland helipad
$3 million for Mildura Airport redevelopment
Baillieu Government acts on planning to protect Melbourne\'s character
Coalition delivers for small business with clearways changes

Coalition Government Strengthens Victoria’s Financial Services Industry

Treasurer Kim Wells today released the government response to the Victorian Competition and Efficiency Commission (VCEC) Report, On Sound Commercial Terms. Mr Wells said the Victorian Coalition Government's productivity and competitiveness agenda would support the financial services industry to expand and would strengthen Victoria's position as a leading financial services hub in Australia and the Asia-Pacific region.

Coalition Government Strengthens Finances To Grow Victoria's Economy

Victoria's Budget will record a surplus of $1.3 billion in 2014-15 and net debt will be $804 million lower in the 2011-12 Victorian Budget Update delivered by Treasurer Kim Wells today.

Kick Off For New Soccer Facility At Eastern Recreation Precinct

Budding Eastern Metropolitan soccer stars now have a dedicated soccer facility to improve their skills thanks to the completion of the new Knox Regional Football Centre at the fast developing $32 million Eastern Recreation Precinct in Knox.

News Feature - Victorian Coalition Government's Achievements In Its First 12 Months

Baillieu Government's First 12 Months.... Building on our achievementsDelivering on commitments to VictoriansThe Victorian Coalition Government has worked hard over the year to deliver on its promises to Victorians.Our commitments have been delivered despite $2 billion in black holes, cost overruns and unfunded projects left by the former Labor Government, tough economic circumstances and a $4.1 billion reduction in GST revenue from the Gillard Government.We have kept the trust placed in us by Victorians and delivered on our commitments in challenging circumstances.More than 130 of our commitments have already been implemented and the Coalition Government will continue to work hard to ensure all our commitments are delivered to benefit Victorian families.Improving productivity and growing the economyDeclining productivity hurts all Victorians. That's why the Coalition Government has moved to improve the long-term decline in productivity in Victoria by revising the industrial relations principles applying to firms seeking government building and construction work so taxpayers get better value for money.The 2011-12 Victorian Budget also delivered on the Coalition Government's commitment of a $100 million minimum surplus and reduced spending growth - which has averaged eight per cent a year over the past decade - to 3.2 per cent a year.Restoring basic servicesThe Coalition Government's commitments are designed to restore basic services to the levels which Victorians expect after years of neglect under the former Labor Government.There have already been improvements in train punctuality and reliability, and 635 more train services per week together with more funding for basic maintenance will ensure network improvements continue.Recruitment is well underway for new police and Protective Services Officers to ensure Victorian streets and railway stations are safer.The Budget also included a record $13 billion in health spending in 2011-12, including new programs to improve health service delivery and drive down waiting lists. This includes new funding for extra ambulance paramedics.The Coalition Government has also funded new schools, including specialist schools, to help improve education standards in Victoria.Helping with the cost of livingThe Coalition Government's first year included a $1.2 billion package of measures to ease cost of living pressures for Victorian families.The Budget delivered big stamp duty cuts for first home buyers, pensioners and young farmers and gave relief to families with a 50 per cent cut in ambulance membership fees.It also provided $445 million for eligible households to benefit from a year-round electricity concession and enable water and sewerage concessions to keep pace with increasing costs - benefiting an estimated 815,000 Victorians.Integrity of governmentThe Coalition Government is delivering on its commitment to restore the trust in government that was eroded by spin, misconduct and waste under Labor.We have introduced legislation to implement an independent broad-based anti-corruption commission.We have introduced a tough new Fundraising Code of Conduct that includes sweeping reforms to fundraising practices in Victoria. These reforms will also apply to former members of Parliament, senior staff and party officials who now work as lobbyists, providing a clear set of guidelines with which all Coalition members will be required to comply.In Parliament, standing orders have been tightened by putting time limits on answers to questions without notice and fining MPs who are ejected.Pay rises for Members of Parliament have been capped at 2.5 per cent.Boosting community safetyThe Coalition Government funded in its first Budget the largest-ever recruitment of Victoria Police in a single term of government.Because of our commitment, 1700 more police (including 100 transit police) will be recruited to protect Victorians.Recruitment is also underway for 940 Victoria Police Protective Services Officers who will patrol every metropolitan railway station and major regional railway stations after dark to protect commuters.A range of justice reforms were also passed, including tough new hoon laws to reduce dangerous driving and impound and crush the vehicles of repeat offenders, new dangerous dog legislation and the abolition of home detention and suspended sentences for serious crimes. Funding was also provided for councils and community groups to implement practical community safety projects such as security lighting and CCTV, and to develop and deliver local solutions to graffiti.Fighting for the interests of VictoriaThe Victorian Coalition Government has worked hard in the last year to vigorously represent the interests of Victorian families and Victoria.We secured a better health deal from the Gillard Government, including more funding, greater transparency and protecting Victoria's country hospital boards from amalgamation.Communities and families affected by the devastating Victorian floods received the support they needed to get back on their feet.We have lobbied for the development of a national reform agenda to reduce federal and state administrative duplication by eliminating overlaps.Pressure from Victoria resulted in the Gillard Government's agreement to review the GST, especially after Victoria's GST revenue was cut by $4.1 billion.The Coalition Government also released economic analysis showing the devastating impact of the Gillard Government's carbon tax on Victorian families and businesses.This analysis showed that by 2015, there will be 35,000 fewer jobs than would have been the case without a carbon tax; investment will be down almost $6.3 billion, or 6.6 per cent; per capita income will be more than $1,050 lower; and the Victorian State Budget is predicted to be almost $660 million worse off.The Deloitte Access Economics report also highlighted the devastating impact the Gillard Government's carbon tax will have on regional Victoria.The Coalition Government also appeared before Fair Work Australia to terminate the damaging Qantas industrial dispute after the Commonwealth refused to act until planes were grounded worldwide. Up to that point, our concerns had been dismissed by the Gillard Government as a 'media stunt'.Protecting vulnerable VictoriansThe Coalition Government's first year in office included major commitments to support vulnerable Victorians.Our first Budget included a $200 million package to support those with a disability, their families and carers, $34 million to strengthen palliative care, and - in the critical area of child protection - a $98 million commitment to transform the child protection workforce and services in Victoria and ensure better support for our most vulnerable children.As part of this commitment, the Coalition Government is implementing a plan to increase the frontline child protection workforce by at least 160 staff, or approximately 20 per cent - the largest-ever increase in frontline child protection workers in Victoria.The 2011-12 Victorian Budget also provided an additional $88 million package to address neglect of mental health issues.The Coalition Government has taken tough action against bullying by passing new laws making it clear that serious bullying is a serious crime that can be punished by a prison term of up to 10 years. Ending wasteThe Coalition Government's first Budget reduced unnecessary wasteful spending by $2.2 billion, including savings from a reduction in ministerial staff, media and marketing positions, consultants, government advertising, political opinion polling, travel, office floorspace and consumables.In its first year, the Coalition also terminated Labor's wasteful plan to spend $20 million on fairy lights for the Westgate Bridge, immediately halted taxpayer-funded party political advertising, reduced the government's advertising spend by 40 per cent and reduced by 25 per cent the number of taxpayer-funded ministerial advisers compared to those employed by the former Labor Government.Fixing Labor's messes and plugging Labor's black holesThe need for the Coalition Government to take a responsible approach to economic management was underlined by the $2 billion in black holes left by the former Labor Government's mismanagement, incompetence and under-funding of infrastructure projects. Because of Labor's incompetence, many Victorian major projects are subject to serious cost blowouts and cost pressures which in some cases are greater than the initial cost of the project, including myki, LEAP/LINK and HealthSmart as well as Regional Rail, the Melbourne Market redevelopment and the West Gate Bridge widening project. The Coalition Government has been working hard to put each of these projects on a responsible footing, including determining the full risk of each project so taxpayers are not exposed to further losses.For example, the Coalition Government announced its intention to proceed with the myki ticketing system while putting a much stronger framework around the project to ensure costs and project management do not spiral out of control as occurred under Labor.Unfortunately in some cases contracts signed under Labor condemn taxpayers to many years of financial pain. For example, the desalination plant contracts made public under the Coalition Government require payments of almost $2 million a day for the next 27 years even before any water has been purchased.The Coalition Government has introduced a rigorous process so that major projects now have proper governance, management, design and financial costing to ensure that these projects are delivered on time and on budget.