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Indo-Australian Business 
Bi-Monthly  |   Issue: Sep-Oct 2006
 
 
 
Mike Rann on
Mission India

By Dev Varam

South Australia's Premier Mike Rann is in India on a mission, like he had been twice in the recent past. Rann means business. The youthful and dynamic Premier of a very progressive Australian State is aware of the immense potential that is waiting to be tapped by both India and Southern Australia. This includes crucial areas such as energy, mining and minerals, food processing, education and entertainment, to name a few.

Known variously as Australia's Wine State, the Arts State and the Defence State, because of its outstanding achievement in these areas, the centrally located Southern Australia is keen to boost increased trade and cultural links with India. Three visits in just about two years by the Premier of an economically fast growing State indicate Rann's eagerness to forge lasting business bonds with India that can help boost bilateral trade between the two sides, which is less than $200 million at present. This means there is tremendous scope to step up the two-way trade. In its turn, the Indian economy has been consistently growing at a rate upwards of 7.0 percent a year for the past few years. India is also opening up its economy to allow imports of foreign products, goods and services and investments to further fuel the growth. So, this growth offers a great advantage to South Australia to be a part for mutual benefit.

Take for example, the case of environment-friendly alternative energy. Southern Australia is not only a laudable regional achiever but also a praise-worthy global player. The Rann government has initiated measures to produce "Green Power" sourced from the Sun, wind, water and bio-waste. Already the government establishments, including hospitals, schools, state departmental buildings, police stations, etc., have access to "Green Power."

Rann recently said that his government is leading the way to achieve its 20 percent energy target years before the 2014 deadline. "Our move will keep South Australia at the forefront in tackling the impact of climatic change and is one of many policy initiatives which will deliver real benefits to the environment," he said recently. In order to take the whole population of his State along with his forward-looking renewable energy policy, Rann has announced that households having solar panels will be rewarded for putting their surplus power back into the power grid. Power-deficit India can learn a lesson or two from the South Australian experience.

The progress Southern Australia has achieved in reducing unemployment to a record low has been impressive. The unemployment rate has dropped down to 4.7 percent, thanks mainly to job growth in the mining, infrastructure and construction industries.

Recently, the Rann government has also come up with a $35 million incentive scheme, aided by the Federal Government, to encourage innovative capabilities of South Australia's industry to help entrepreneurs upgrade technology and skills.

It is not all work and little play in South Australia. The State has won the right to hold the IX Special Olympic National Games to be held in Adelaide in December 2010, which prompted Rann to say, " This is another brilliant addition to the State's major event calendar."

No doubt, the Games will attract a large number of sports enthusiasts besides tourists, to draw whom in large numbers, the State has drawn up a year-round calendar of events, covering a whole gamut of activities - sport, adventure, art, culture, covering food, wine and festivities.

During his India visit, Rann is visiting Mumbai, home to Bollywood, the movie dreamland. With South Australia's capabilities in offering world-class post-production film processing, Mumbai's movie Moghuls will be too glad to take advantage, of course, over a bit of wooing. Rann will certainly do it, what with beauties like Priyanka Chopra already shooting in South Australia for a futuristic sci-fi film - Love Story 2050.

Traditionally, India and Australia have enjoyed much in common; membership of the Commonwealth, common legal system and the English language besides being mad about Cricket. Why not business for mutual benefit? Rann knows the answer.

SA, now Australia's role model with initiative on green power

South Australia's Government will lead the whole nation by buying enough 'Green Power' to meet 20 per cent of its energy needs, Premier Mike Rann has announced.

Rann, who also is Minister for Sustainability and Climate Change, said by January 1, 2008, the South Australian Government would be buying more of its energy as 'Green Power' than any other jurisdiction in Australia.

"Our commitment to 20 per cent is double the next highest in Australia and will again put South Australia in an international leadership position," Rann said.

'Green Power' is government accredited clean renewable energy sourced from sun, wind, solar water and waste. It is the premium green energy product available on the Australian market.

Government sites including hospitals, schools, police stations and departmental buildings will now have access to "Green Power".

"As a State, we have set ourselves a target of reducing greenhouse gas emissions to 60 per cent of 1990 levels by 2050, as well as increasing renewable electricity use to 20 per cent of our electricity consumption by 2014," Rann said.

"We are giving these targets the force of law. No other government in Australia is doing this."

Rann said the purchase would help reduce the government's greenhouse gas emissions by 21 per cent or 107,741 tonnes per year. This is equivalent to taking 29,000 cars off the road.

"The South Australian Government is leading the way to achieve its 20 per cent renewable energy target years before the 2014 deadline," Rann said. "I am now challenging local councils and business to commit to buying Green Power. Our move will keep South Australia at the forefront in tackling the impacts of climate change and is one of many policy initiatives which will deliver real benefits to the environment."

Certified Green Power is purchased by governments in five jurisdictions:

Commonwealth 8 per cent
NSW 3 per cent
Victoria 10 per cent
Queensland up to 5 per cent
ACT up to 4 per cent

The latest announcement builds on a number of State Government initiatives to support the renewable energy sector and to reduce greenhouse gas emissions including:

The introduction of Australia's first feed-in laws which will reward owners of solar panels for the surplus energy they return to the energy grid;

The trialling of a new generation of micro-wind turbines on Government buildings;

Mandating five-star energy ratings for all new houses;

Progressively installing solar panels on 250 schools across the State;

Installing solar panels on North Terrace institutions including the Art Gallery, SA Museum, State Library and Parliament House;

Using bio-fuels in buses and trains as well as powering Government cars with alternative fuels.


Putting power back in grid: SA offers sops to households with solar panels

South Australia's Premier Mike Rann has announced that households with solar panels will be rewarded for putting power back into the electricity grid.

Under proposed legislation, a new 'feed-in' rebate will make greater economic and environmental sense for households to buy solar panels.

"At the moment, customers with solar panels have to have a meter that records energy imported from the grid as well as energy put back into the grid," Rann said.
"When the surplus power is returned it's only matched dollar-for-dollar with the standard retail price, and only some retailers are part of this arrangement.

"Under the proposed new system, households with solar panels will be rewarded for giving back unused energy because we are going to offer up to double the amount they get paid for putting power back into the grid."

Rann said the State Government would start consulting immediately with energy retailers, regulators and distributors about the new legislation. The impact on power prices across the state would be negligible, even if this initiative resulted in a major increase in solar panel installations, he said.

"Climate Change is a greater threat to Australia than terrorism - Australia will be one of the nations hardest hit economically and environmentally. The CSIRO report released this week showed how South Australia will be hit hard by projected temperature increases and declining rainfall," Rann said.

"We must take action. As a State, we have set ourselves a target of reducing greenhouse gas emissions to 60 per cent of 1990 levels by 2050, as well as increasing renewable electricity use to 20 per cent of our electricity consumption by 2014. We are giving these targets the force of law. And encouraging people to look at renewable energy options like solar panels will help meet these targets," he said.

He said that in recent weeks South Australia had been praised by world environmental leaders including Al Gore, Mikhail Gorbachev and David Suzuki for its approach to tackling sustainability.

"Feed-in laws also have the backing of many other environmentalists, including Don Henry from the Australian Conservation Foundation and Thinker-in-Residence Professor Stephen Schneider. This move will keep South Australia at the forefront in tackling the impact of climate change, and is one of many policy initiatives which will deliver real benefits to the environment," Rann said.

Feed-in measures have been introduced in 16 of the 25 European states and another seven countries outside Europe including Canada, China and Israel.

South Australia has more than 45 per cent of Australia's grid-connected solar power.
To June 2006, there was about one solar system installed in every 403 households.
The next two states were Victoria and New South Wales, where there was about one per 1098 households and one per 1120 households respectively.

"We are the clear national leaders in solar and wind power, but we want to do more," Rann said.

SA unemployment drops to record low

There's good news on the jobs front in South Australia with a new historic high in the numbers of South Australians employed and the lowest trend unemployment rate since monthly records began.

Figures released today by the Australian Bureau of Statistics for September show our unemployment rate dropping down to reach 4.7 per cent, in both trend and seasonally adjusted terms - better than the national figures.

"We've achieved a new record high in total employment, with a total of 756,400 South Australians now in work," Rann said. "This follows 13 consecutive months of trend employment growth in this State with the creation of 15,100 new jobs in that time."

"South Australia has not only achieved a new record in total employment, we have also achieved a new historic high in trend full-time employment, with 524,300 South Australians now in full-time jobs," Rann said.

"The number of unemployed people has also fallen to the lowest level since monthly records began, down to 37,500. This is fantastic news for South Australia particularly in the lead-up to significant economic and jobs growth in the mining, defence, infrastructure and construction industries," he said.

Since the Rann Labor Government came to office in March 2002, a total of 64,300 jobs have been created in South Australia. The ABS figures also show that more South Australians are participating in the workforce, rising to 62.5 per cent. Youth unemployment also improved last month with an additional 2,200 teenagers winning jobs. That resulted in a 5.6 percentage point improvement in the youth unemployment rate, bringing it down to 22.7 per cent.

Forward indicators suggest a relatively positive outlook for South Australia's labour market over coming months.


SA's industry gets $35 mln innovation incentive

A new $35 million programme has been announced to help step up South Australian industry's focus on its innovation and technology capabilities and improve expanding the skills of its workforce.

Australian Industry Minister, Ian Macfarlane and South Australian Deputy Premier, Kevin Foley, welcomed the announcement of the programme to follow and broaden the success of the Structural Adjustment Fund for South Australia (SAFSA).

The Australian Government will contribute $30 million and the South Australian
Government $5 million to the new program.

"We now have a solid track record of success with this sort of program in South Australia with the previous SAFSA scheme attracting more than $250 million in new investment and creating over 1300 jobs in South Australia," said Macfarlane.

"The 19 new projects brought to South Australia under SAFSA have extended the state's capabilities in the advanced manufacturing, food processing and solar energy sectors, while offering employees the opportunity to develop new skills," he said.

"The South Australian economy remains strong. In August some 1800 jobs were created in the State at a time when the State's unemployment rate of 4.8 percent is at 30-year lows," said Foley.

"This program will be instrumental in boosting the competitiveness of our manufacturing base," he said.

"As ministers interested in the future of industry in this country and state, we will continue to put politics to one side to ensure new project and work opportunities are developed in South Australia under this new program," Foley said.

"The future for South Australia is bright and there are significant new investments being made in the defence related industry and an expanding mining sector. This new $35 million collaboration will help milk those new opportunities" he said.

The guidelines and make-up of a taskforce to act as an independent body to consider and make recommendations on proposals for investment under the new program will be announced by the Ministers soon.

Following the announcement by Electrolux, the Australian Government will also provide targeted assistance to employees, including immediate access for eligible workers to intensive one-on-one customised support; job search training and advice, counselling and access to the Job Seeker Account.

SA wins 2010 Special Olympics National Games

South Australia has won the right to hold the IX Special Olympics National Games in Adelaide in December 2010. The announcement was made at the closing ceremony of the VIII Special Olympics National Games on Queensland's Gold Coast recently by Premier Mike Rann.

"This is another brilliant addition to the State's major event calendar," he said, adding, "The event will bring more than 1,000 athletes from around Australia to Adelaide, as well as 100 athletes and support staff from invitational Asia Pacific countries and an additional 2000 family and friends.

Organisers say the event is likely to generate an economic impact of more than $3 million over the eight days of competition during the second week in December 2010. The bid was coordinated by Special Olympics South Australia (SOSA) and Events South Australia - the major events division of the South Australian Government.

State Coordinator of Special Olympics Jen Thomas said winning the bid was a major achievement for South Australia. "It is an enormous privilege to hold the IX Special Olympics National Games in Adelaide. It will be an absolute thrill to host the games in our hometown and show the nation how far SOSA has come," he said.

The event is expected to provide various benefits to South Australia, including the economic benefit from the influx of several thousand athletes, support staff and spectators.

"However the best part of winning the bid is that the 2010 games will raise awareness of the positive achievements of people with intellectual disabilities. Every athlete has a story to tell and the games will help them to express those stories. Whether or not they succeed at the games is not as important as the hurdles they have overcome to get there in the first place - it's all about celebrating their achievements," she said.

The games will use the best of Adelaide's sporting facilities such as Santos Stadium and Adelaide Shores at West Beach.

SA's round-the-year event
calendar to lure tourists

South Australia's growing reputation for hosting international sporting, arts and cultural events will be boosted with a multi-million-dollar investment in the State Budget.

Premier Mike Rann and Tourism Minister Jane Lomax-Smith have recently outlined details of the State Government's plan to attract and promote a year-round calendar of major events in South Australia.

The Rann Government's extra investment over four years includes:

$2 million to increase the number of teams participating in the Tour Down Under and attract new events to South Australia, with a focus on the winter period. The 2006 Tour attracted more than 15,330 visitors to South Australia, up from 11,670, and injected $16.25m into the State's economy.

$800,000 to promote South Australian arts and sports events in the summer period.

$2.5 million over the next five years for the Rugby Sevens World Series, Adelaide's first two-day rugby festival to be held in April 2007. The event is expected to generate up to $6m in economic benefit to the State.

$900,000 towards a Food Symposium and a Food and Wine Summit to strengthen South Australia's position as Australia's premier food and wine State. The events will be held in alternate years with a particular focus on increasing sales of SA produce.

$2 million for the annual two-week Adelaide International Guitar Festival, to be held at the Adelaide Festival Centre from 2007 and expected to attract a world-wide audience. This new annual event will feature performances by local, national and international artists across a variety of genres including rock n roll, classical, Spanish, blues, roots and jazz and experimental.

$8 million over the next three years to upgrade the Dunstan Playhouse. It's 30 years since South Australia's flagship arts venue was built, and this investment will see the Dunstan Playhouse upgraded, along with the public foyers, the Tuttu Ku Restaurant and Artspace.

$2 million to make the Fringe Festival an annual event. This is a fantastic platform for our emerging artists, and making it an annual event will attract new audiences and increase tourism.

$500,000 to provide free public events at the Adelaide Festival of the Arts. This will help deliver more free performances like The Dancing Sky, which attracted 150,000 people to Elder Park this year to experience outdoor theatre at it's best.

$200,000 to continue the Adelaide Festival of Ideas as a biennial event. This event continues to grow, attracting some of the best national and international speakers.

A one-off injection of $200,000 towards the Adelaide Festival Centre Trust winter program. This will help enliven Adelaide's winter and spring cultural tourism calendar with new events at our flagship arts centre.

According to Premier Rann, South Australia is riding high on the back of the more direct international airline flights and the presence in June of hundreds of holiday experts for the Australian Tourism Exchange.

"Those initiatives have been a direct result of the State Government's investment and we want to leverage the benefits by getting people to experience our State's "brilliant blend," Rann said, adding, "In addition to New Zealand, we will continue to target the United Kingdom - our number one source market for international visitors - and the emerging and enormous Indian market."

Dr Lomax-Smith said tourists now have more ways to reach South Australia, with 24 international flights operating per week to Adelaide, up from 14 weekly flights in 2003.

"This budget boost will help to make us even more competitive as a destination for holidays and events, helping to fill our hotels, restaurants and shops and create jobs for South Australians," he said.

The most recent tourism figures show a 6.0 percent increase in international visitors to South Australia to June 2006 compared to the previous 12 months.

"South Australia's performance outstripped the national average of a 1.0 percent increase and comes on the back of Adelaide hotels recording their highest ever occupancy levels at the start of the year," Dr Lomax-Smith added.