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Moore / Political risks of riding the rails

THE politics of infrastructure projects can be challenging. In Canberra, the Liberals are using the Capital Metro light rail project as a bludgeon for the Labor government and particularly Greens’ Minister Shane Rattenbury.

Michael Moore.
Michael Moore.
This is not new politics. One of the reasons for the demise of the great NSW Premier Jack Lang was to do with the borrowed money for that iconic infrastructure project, the Sydney Harbour Bridge.

The Liberals have seen the political opportunity and are milking it mercilessly. Constantly raising the costs, fuelling ideas about cheaper bus alternatives and last month attempting to block legislation in the ACT Assembly that attempts to expedite the progress of the light rail project. These are just some of the tools. There is a myriad of letters to the editor. No doubt some are genuine. However, it has long been a standard political tool to seek to have party members and Liberal supporters writing letters, phoning into talkback shows and writing articles for publication in the mainstream media.

Of recent times the use of Twitter and Facebook has also been deployed incredibly effectively by political parties to criticise government. The Canberra Liberals are also adept at using these and other forms of social media.

From the government’s perspective: “The world’s best and most liveable cities all have excellent transport systems, designed and planned in tandem with land use to create walkable, people friendly communities with a range of transport options”.

However, when so much of the framing of politics over the last decade has been around attaining a Budget surplus, the argument goes that it is simply profligate to be spending so much money on this type of project. It is not.

Borrowing money for infrastructure projects means that some of the costs are shared by the generations of the future that will receive great advantage from them.

Borrowing for capital works, for infrastructure projects, is very different from borrowing for recurrent expenditure, which would be asking future generations to pay for the services we receive now.

By retaining a Triple A credit rating, governments are able to borrow at much lower rates than ordinary people can borrow for a mortgage.

A common argument against the Canberra Metro is that it favours Gungahlin at the expense of the other town centres such as Tuggeranong and Belconnen. This argument misses the point. The other town centres have the most important infrastructure – they have large federal departments located centrally providing jobs within their boundaries.

In contrast to Gungahlin they are not in the situation where almost all the traffic in the mornings is heading out of Gungahlin and in the afternoons all returning.

At the last election the Liberals ran a very effective campaign warning that “rates will triple” and won eight of the 17 seats. In October next year they will be contesting 25 seats and, it seems, they are shaping up for a battle on the light rail.

The messages will be simple, they will be designed to convince voters that Labor is wasting their money and they will talk of cheaper alternatives.

In 1932 Jack Lang suffered a 15 per cent swing against his government. Perhaps it was more over his extremist views than over infrastructure. Earlier this year Campbell Newman suffered a similar swing after just one term in government. His was also an extremist government – on the opposite side of the political spectrum – but he was attempting to persuade Queenslanders that his was an infrastructure government.

Prime Minister Tony Abbott argues that his is the greatest infrastructure spending government. His “Plan for Real Action” includes “building more modern roads to boost productivity and get Australia moving, with a special emphasis on bottlenecks”.

Rather than so much on roads, an investment in a high-speed rail from Melbourne through Canberra to Sydney and Brisbane would provide the sort of futuristic vision that went into the construction of the Sydney Harbour Bridge.

 

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Michael Moore

Michael Moore

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3 Responses to Moore / Political risks of riding the rails

Alan Kerlin (RigilKent) says: 18 March 2015 at 11:46 am

Well summarised Michael, exposing the purely political motives behind the ACT Liberals’ position on this entire issue. It is important that the ACT Government gets this project well and truly under way, with hard and irreversible construction started well before the election.

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Yellowsnow says: 19 March 2015 at 9:11 am

Wow. This article couldn’t be more wrong. Michael Moore is clearly out of touch with the Canberra community. I’ve never seen a bigger grassroots uprising than this one. Light rail issue is THE big topic of discussion in my workplace, café, friendship networks, on the buses, on social media. It has really polarised people. About 70% of the people I speak to seem to be against it – fervently so. The only supporters seem to live in Gungahlin and parts of the inner north – of course they support it because they will get a personal benefit – though a few of those are against it too because they see no good reason to spend $1 billion on something even they will rarely use.

It’s cynical (and offensive) in the extreme to suggest all the people against light rail are puppets of some kind of machiavellian Liberal party machine. We all know the ACT libs can be hopeless and just don’t have that kind of capacity. If anything, the liberals are not going strong enough on this issue and are keeping their statements to a minimum. Perhaps this is because they know there is such huge resentment in the community and real world people will make the arguments against light rail in the letters pages, workplaces, on social media etc. I’ve even heard suggestions/conspiracy theories that the libs aren’t pushing too hard because they don’t want Labor to drop light rail, as they want it to remain an issue at the election, as they know this is the one thing likely to win them the election.

For the record, I have no liberal party affiliation and voted for labor and the greens in the past. Regular Canberra Times letter writers on this issue also absolutely are not liberal party members and to suggest that is their motivation is insulting.

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yellowsnow says: 19 March 2015 at 9:25 am

As for Michael Moore’s justifying light rail going to Gungahlin because there are no federal government departments there – how ridiculous! Of all the reasons I’ve heard that’s just about the worst one. Certainly even the government has never used this reasoning.

If you look at the light rail experience in other cities, including overseas, they are rarely commuter lines to dormitory suburbs, running empty 20 hrs a day. They actually go past destinations people want to go throughout the day – universities, hospitals, tourist attractions, they often link up with heavy rail stations (including MGV/ very fast train stations in the case of French cities like Reims). Look at the Gold Coast line. It links up key attractions and institutions, it doesn’t just take commuters in one direction at peak hour.

A better line in my view would have been Belconnen, University of Canberra, Bruce Stadium, Calvary, ANU, Civic, Parliamentary Triangle, Manuka, Kingston. Such a line would have way more patronage, throughout the day and on weekends, it would be may more popular among all Canberrans (and tourists) and would be easier to justify politically. But for some reason the govt did not consider other routes and unilaterally chose Gungahlin (perhaps the Gungahlin Community Council, and Alan Kerlin when he led it, was doing too good a job and had too much influence! But their win comes at the expense of the rest of the city). The key argument that the govt has used in favour of the Northbourne – Gungahlin line is the development potential along the line, and the land sale revenue potential. But here’s the problem with that logic: light rail is supposed to be about public transport, not enabling developers, and giving them the line they – and not the people – want.

Some people also argue that it doesn’t matter where the line goes because this is only Stage 1 of a bigger network, coming soon to a suburb near you!! I’ll tell you why this is a dangerous approach: there’s a good chance this project will experience huge cost over runs, traffic disruption, problems with construction and the PPP; it’ll be extremely unpopular and decimate the ACT’s bank balance, leaving little money for anything else; patronage will be lower than projected; Northbourne will become a treeless mess. It’s likely to lose the government the next election, and if not this one than the one following. After that experience, no government will dare go anywhere near another light rail for another 50 years! And we’ll never see light rail come to the southside of the lake. That’s why it’s important to get stage 1 right – because if we don’t, there will never be a stage 2. And stage 1 at the moment is not the right route for Canberra. It may be the light rail for a minority in Gungahlin and along the Northbourne corridor (incl Shane Rattenbury, Andrew Barr and Katy Gallagher – all residents of the area, incidentally), and a few developers and speculators, but not the city as a whole.

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