Forum highlights Wheatbelt challenges and opportunities

A Parliamentary Panel was moderated by Regional Chambers of Commerce & Industry of WA chief executive officer Kitty Prodonovich and followed a full day of presentations from industry experts on future growth opportunities for the Wheatbelt.

Parliamentary members of the panel were Agricultural Region MLC Darren West, Central Wheatbelt MLA Mia Davies, Federal MP for Durack Melissa Price, Agricultural Region MLC Steve Martin, who all oversee many regional relevant portfolios.

They were joined by Renee Manning, principal regional development officer, Wheatbelt Development Commission and Jeff Healy, executive director strategy, corporate and Statewide services, Small Business Development Corporation.

Ms Prodonovich asked a selection of questions which were submitted by the 170 strong delegation via a digital platform throughout the day-long forum.

Being limited to an hour, not all 46 submitted questions could be put to the group.

She began the panel discussion by asking Mr West what the State government could do about the cost of building a house that could be a lot more than would it would sell for.

An example of cited of a three bedroom, two bathroom house costing $950,000 to build that would end up being worth no more than $400,000.

"Is there anything that the government can do to provide financial support for that specific market issue, I am not talking about general housing issues," Ms Prodonovich said.

Mr West said the government had implemented multiple incentives in the past.

"Particularly when the housing and construction sector took off on its own accord and the economy came out of the recession," he said.

"But there's a limit to which the government can try to manipulate the market."

Mr West said there were issues with land availability, as well as housing, admitting the issue was complex and there was a need for more workers.

Ms Price was asked to provide a Federal government point of view to the issue, while acknowledging Ms Price's Liberal party is in opposition.

"What are some of the things that can be done to encourage the building of more houses in regional Australia and the Wheatbelt," Ms Prodonovich said.

"What sort of incentives, and how can the Federal government work with the State government?"

Ms Price suggested having a "special program for local government" that receives funding from both State and Federal governments.

"There are plenty of local governments, and I represent two of them, where they are aware of land that is owned by the State government," Ms Price said.

"They are desperate to build some service worker accommodation or for over 55s, just have a special program for them."

Dalwallinu presents an opportunity to take up such a program according to Ms Price.

"In Dalwallinu there's two blocks of land which are owned by the State government, the local council are going gangbusters in Dally and they want someone to build on those two blocks," she said.

"They have got the wherewithal in Dalwallinu to build it themselves, but it's land owned by the State government, but the State government said they're not going to build any more State housing.

"I believe that's not the desire of the State government to own State/Council houses anymore, they said we're not going to do anything with the land.

"I think there is some land that's not stranded as such, but it's not being developed, I think probably there's councils out there who would really like to be able to develop it, so perhaps there's one idea for Darren to take back to his cabinet."

Ms Price suggested there were countless houses around WA not being utilised, despite the demand which needed to be investigated.

"I still think there's thousands of houses," she said.

"Steve Martin would know better than I do, there's still thousands of houses around the State which are boarded up.

"If we know what the demand is, but we haven't actually articulated what the supply is.

"Until you know what your supply is, until you know what are the houses we're talking about, and acknowledge it costs money to fix up a house and you need investors, until you get it on one piece of paper, you can't move forward."

Ms Davies referenced previous models that were successful in the past, suggesting the WA Government needed to take responsibility.

"We don't need to reinvent the wheel," Ms Davies said.

"I think Melissa's idea around making sure we have funds for local governments and where there are private investors that will put their toe in the market as well, a little bit less red tape.

"The State government needs to take responsibility, or change some of the parameters so that we've got more flexibility to deliver more different types of housing stock out here."

Ms Prodonovich spoke of an increase in properties being sold to investors, not community members.

"In the last 12 months a large percentage of homes are being bought by investors, which has resulted in a massive void of actual home ownership in regional WA," Ms Prodonovich said.

Mr Martin was asked for his thoughts on stamp duty and payroll tax.

"I will wonder if not now then when?" Mr Martin said.

"When can we do this structural taxation reform that's badly needed in Western Australia?

"I haven't been in government, some of my more experienced colleagues have, so I get to have a free swing - it's a disgrace, we put a tax on cigarettes to discourage people smoking and yet we have a tax on jobs.

"Enough of the payroll tax, and by the way we compare badly to other jurisdictions who don't have multi billion dollar surplus like we do, so if not now then when."

Mr Martin said first home buyers were abandoning the market, saying, "for the first time in many years we have seen nervousness about rates going up".

"There was a bit of fairly optimistic commentary a couple of months ago that might be it, we might be done, I don't think we are anywhere near done, I am not a financial expert but it feels to me that nervousness is now built in, so if we can do something around stamp duty at any length in the market that would be good," Mr Martin said.

While she was quizzed on these issues as well, Ms Price acknowledged that stamp duty and payroll tax issues for the State to address.

"But I have lots of conversations around payroll tax, also the State's energy, many people say their dream of home ownership is never going to happen," Ms Price said.

"I do agree with Steve, if not now when, for the opportunity to shift the dial you actually need a lot more people talking all at the same time.

"What happens is people get really annoyed with something they want the government to do, or not to do, we've seen this with the hospital in Tom Price, but you need a significant number of people, a mass of people to be unhappy about something and express it at the same time."