Budget 2020-21: Key Portfolio Measures

6 October 2020

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Defence, Foreign Affairs, Trade, Home Affairs and Attorney-General

The Federal Government has committed funds to a series of national security initiatives and a new Critical Policy Coordination Office. The Government has also announced that it is supporting near neighbours, with a key investment of $124 million over 10 years for infrastructure in the Southwest Pacific, including to construct a border and patrol boat facility in the Solomon Islands. The national migration cap will be maintained at 160,000, however Family Stream places will increase by 29,568 on a one-off basis. The Government has also allocated funding to strengthen the capacity of AUSTRAC and to temporarily reactivate the Christmas Island Immigration Detention Centre.

Key measures

  • Australian Naval Infrastructure Pty Ltd will receive an additional equity injection over two years from 2020-21 for infrastructure works at the Future Submarine Construction Yard and Osborne precinct in South Australia.
  • $201.5 million to implement the 2020 Cyber Security Strategy.
  • $124.3 million over 10 years from 2020-21 to deliver security infrastructure in the Southwest Pacific, including to construct a border and patrol boat outpost in the western provinces of the Solomon Islands.
  • $104.9 million, including $48.9 million in capital funding, to strengthen the capacity of the Australian Transaction Reports and Analysis Centre (AUSTRAC).
  • $62.2 million to support the Comprehensive Strategic Partnership with India.
  • $55.6 million in 2020-21 to temporarily reactivate the Christmas Island Immigration Detention Centre.
  • $25 million over two years from 2020-21 to ensure consistent foreign policy between federal, state and territory governments.
  • A financing package for the Solomon Islands Electricity Authority to fund the completion of the connection of the Tina River Hydropower Development Project to the main electricity grid distribution point in Honiara, Solomon Islands. This will be funded out of the Australian Infrastructure Financing Facility.
  • $15.6 million to enhance Australia’s national security capability by establishing a Critical Technology Policy Coordination Office in the Department of Prime Minister and Cabinet. The Department of Defence will expand its role in assessing trends in relevant emerging technologies.
  • $10.6 million in grants will be provided to deliver community-based projects to prevent modern slavery under the National Action Plan to Combat Modern Slavery 2020-25.
  • $8 million to deliver a proof of concept trial for the Public Safety Mobile Broadband (PSMB) program in NSW to prepare and respond to natural disaster emergencies.
  • $7.2 million in receipts by extending the free rate of customs duty until 31 December for medical hygiene products used to prevent the spread of COVID-19.
  • The Government’s activities in implementing the Foreign Influence Transparency Scheme will receive an additional $7.2 million.

Further Reading

Health, Families and Social Services

In the Health portfolio, the Government has affirmed its commitment to improve service provision in the aged care sector and in the primary care system. The Budget prioritises resilience and agility in the recovery from the COVID-19 pandemic, with further investment in personal protective equipment (PPE) and significant funding for access to potential vaccines. The Budget has also extended the availability of income support payments and remote access to critical health services.

Key measures

  • $1.7 billion commitment to procure more than 84.8 million doses of potential vaccine candidates developed by the University of Oxford and the University of Queensland.
  • Through the Home Care Packages Program, $1.6 billion over four years for an additional 23,000 home care packages across all levels.
  • $750 million to improve Australia’s COVID-19 testing capability.
  • $375.5 million over four years to reduce out-of-pocket costs for new and amended Pharmaceutical Benefits Scheme (PBS) listings, including Lynparza for the treatment of ovarian cancer.
  • $171 million for the continued operation of up to 150 dedicated respiratory clinics to assist the management and diagnosis of COVID-19 cases.
  • $148 million to fund mental health support, including critical frontline services such as headspace, Lifeline, Kids Helpline and Beyond Blue.
  • $125.3 million across three years for Disability Support for Older Australians, assisting older Australians with disability who were otherwise ineligible for NDIS support.
  • $112 million to extend the availability of Medicare-supported telehealth services provided for GP, allied health and specialist consultations.
  • $46 million in targeted mental health and crisis support measures for Victoria.
  • $2 million over the forward estimates to aid preventative health by improving access to kava in Australia.

Further Reading

Infrastructure, Regional Development and Cities

With the Federal Government set to expand its ten-year infrastructure pipeline by $10 billion to $110 billion, Treasurer Josh Frydenberg said rebuilding the economy includes “building more roads, rail and bridges”. The Government’s infrastructure program is headlined by $7.5 billion for new transport infrastructure projects across all states and territories. The Budget also includes a focus on fast-tracking new ‘shovel-ready’ smaller projects to support the economy.

Key measures

  • $7.5 billion for new transport infrastructure projects, including $560 million for the Singleton Bypass on the New England Highway (NSW); $528 million for the Shepparton and Warrnambool Rail Line Upgrade (Vic); $750 million for Stage 1 of the Coomera Connector (Qld); $227 million for METRONET (WA); and $200 million for the Hahndorf Township Improvements and Access Upgrade (SA).
  • $2 billion for road safety upgrades through the new Road Safety Program.
  • $2 billion in new funding to build water infrastructure across the country as part of the national water grid, including dams, weirs and pipelines.
  • $1 billion additional funding for the recently established Local Roads and Community Infrastructure Program, increasing the total size of the program to $1.5 billion.
  • $327.5 million to support projects under the new Perth City Deal.
  • $200 million additional funding for grants to extend the Building Better Regions Fund.
  • An equity injection to the Australian Rail Track Corporation to deliver the Inland Rail project.

Further Reading

Communications and the Arts and Education, Skills and Small Business

The Federal Government has continued to roll out its JobMaker reform package to promote employment and prepare job-ready graduates. JobMaker will be further enhanced with the new $4 billion JobMaker Hiring Credit which will provide payments to organisations who hire new eligible workers. The Government will also commit to spending on higher and vocational education, with $903.5 million in additional funding to higher education providers, and $263 million to support the development of the VET system.

Key measures

  • $4 billion for the JobMaker Hiring Credit for those organisations who take on eligible workers who previously received government support, including JobSeeker.
  • As previously announced, the Government will invest $1.2 billion over two years to provide a 50 per cent wage subsidy to businesses that employ new Australian apprentices.
  • $314.2 million will be provided to Victorian Early Childhood Education and Care (ECEC) services.
  • $298.5 million over the forward estimates to provide an additional 12,000 Commonwealth-supported university places from 2021 in priority areas.
  • $251.8 million over two years for a further 50,000 subsidised higher education short course places.
  • $91.6 million over the forward estimates to establish the Apprenticeships Data Management System to assist in administering apprenticeship programs.
  • $62.8 million to establish a Local Jobs Program across 25 regions in Australia.
  • $39.5 million in additional funding will be provided to the Office of the eSafety Commissioner.
  • $33 million to Screen Australia to develop the local screen sector.
  • $7.6 million to the SBS to improve its language service offering.

Further Reading

Resources, Energy and Industry

The Budget reaffirms a number of commitments previously announced by the Federal Government, most notably in relation to its gas-fired recovery plan, funding for investment in emerging low emission technologies and increasing domestic fuel storage. As previously announced, $1.5 billion has been allocated to implement the Modern Manufacturing Strategy aimed at supporting Australian manufacturers to scale up, be more competitive and strengthen the nation’s supply chains in response to the COVID-19 pandemic.

Key measures

  • $1.9 billion over 12 years from 2020-21 to support ARENA and the Clean Energy Finance Corporation, and invest in low emissions technologies. This includes $1.4 billion to continue funding ARENA to provide research and development investment for emerging low emission technologies.
  • $1.5 billion over five years to support the Modern Manufacturing Strategy.
  • An additional $459.2 million over four years for the CSIRO to address the impacts of COVID-19 on its commercial activities.
  • $203.7 million over four years for a competitive grants program to support the construction of new diesel fuel storage which would support industry in meeting its minimum stockholding obligation from 2021.
  • $134.7 million over four years to support investment in dispatchable generation and reliable energy supplies in the National Electricity Market and the Wholesale Energy Market in Western Australia, including funding for four projects such as the Marinus Link project.
  • $103.6 million over four years to continue the National Radioactive Waste Management Facility (NRWMF) program to identify, secure and design the facility.
  • $59.2 million over four years to support the Government’s gas-fired recovery plan. This includes $28.3 million over three years to establish five Strategic Basin Plans and $10.9 million in 2020-21 to implement a plan to reset the East Coast gas market, including developing a National Gas Infrastructure Plan.
  • $10 million over the forward estimates from 2020-21 to support industry-led collaborative research projects through the Cooperative Research Centres Projects program to develop innovative solutions for recycling and reuse of plastics, paper, tyres and other problematic materials and hard-to-recycle waste.
  • An additional $5.4 million in 2020-21 to continue engaging with state and territory governments to progress priority energy reforms as agreed by National Cabinet.

Further Reading

Agriculture and Environment

The Budget is focused on supporting the agricultural and livestock sector and regional communities affected by the ongoing drought and the COVID-19 pandemic. It seeks to promote growth via international export markets. Funding is also directed towards streamlining federal, state and territory environmental assessments and approvals as mandated in the Environment Protection and Biodiversity Conservation Act 1999. Additionally, the Budget reaffirms funding to expand Australia’s waste management and recycling capability.

Key measures

  • $328.4 million over four years for a package to support agricultural exporters, including $222.2 million over four years for digital services to help farmers do business and $14.3 million over three years for improving regulation post COVID-19. This includes targeted intervention for the seafood and live export sectors and $71.1 million over three years for Australian export services to ensure products make it to export markets.
  • $269.6 million over four years for a Murray-Darling Basin investment package, including funding for community resilience, delivery and implementation of the Basin Plan, and compliance and monitoring systems.
  • $254.6 million over four years for the Bureau of Meteorology, including $225.6 million over three years for asset maintenance.
  • $249.6 million over four years to increase Australia’s waste and recycling capacity, including the establishment of a $190 million Recycling Modernisation Fund.
  • $155.6 million over four years for a package to support drought-affected farmers and communities, including $50 million to extend the On-farm Emergency Water Infrastructure Rebate Scheme and $86 million over four years through the Future Drought Fund to establish eight Drought Resilience and Adoption Hubs.
  • $36.6 million over two years to improve environmental assessments and undertake further reforms under the Environment Protection and Biodiversity Conservation Act 1999, including $10.6 million over two years to progress negotiations with the states and territories for a single touch approach for approvals.

Further Reading

 

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