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2010-05-28

A strong Australian federation needs strong States

Comments on Richard Court “States must stop Canberra”, 28/05/2010, http://www.theaustralian.com.au/news/opinion/states-must-stop-canberra-stealing-their-wealth/story-e6frg6zo-1225872283186

Sadly but the main points of Richard Court are true.

The imbalance in the Australian federation is ever increasing and towards a higher and higher degree of centralisation.

There should be some counter balancing factor to prevent further power centralisation to Canberra, because the Rudd government has shown federal government can be even worse in service delivery and policy development, demonstrated by home insulation, the BER, the Indigenous housing and the RSPT policy.

The balance should be that a State right will remain State's only and only if the State agree to hand it to Canberra.

Further, the GST allocation by the CGC should also need to catch up with contemporary policy development and needs to take efficiency and incentive and property rights into consideration, just as we move to efficient funding for health, for example.

CGC is seriously out of step with contemporary thinking.

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