Ghan Concessions Promise

Federal Member for Solomon, David Tollner MP, said today that the Federal Government would fund a pensioners and veterans concession on the Alice Springs to Darwin Ghan rail link following the Northern Territory Government's rejection of the proposal.

This follows the announcement this morning of the new funding initiative by the Prime Minister during his visit to Darwin. This initiative will make travel on the Ghan more affordable for about 10,000 pensioners and veterans and provide around $1.5 million of additional concessions for travel each year.

"The Territory Government has declined approaches by both the Australian Government and Great Southern Railways (GSR) to fund pensioner concessions on the Alice to Darwin rail line.”

"The Northern Territory was the only jurisdiction where pensioner concessions are not provided on long distance rail services. Other state governments fund these concessions, generally including concessions for Pension Card Holders,” Mr Tollner said.

GSR estimates that the inability to provide a full pensioner and veteran discount on the Alice Springs-Darwin service means that well over 10,000 fewer tourists are visiting the Territory each year.

"If GSR had been forced to cancel the second weekly service between Alice Springs and Darwin, estimated annual tourism visitors to the Territory would fall by a further 15,000 to 20,000,” Mr Tollner said.
"As the Ghan accounts for over 10% of all tourism traffic in the Territory, a halving of its capacity would have had a serious material impact on NT tourism.”

"Yet the Territory Government indicated no willingness to contribute to concession arrangements which would materially bolster tourism activity in the Territory.”

Federal Government funding, combined with GSR's own discount, enables the provision of a 55% reduction on the basic economy fare (Red Seat) for Pensioners on all routes except Alice Springs-Darwin.
The Federal Government's position is that it is the responsibility of state and territory governments to provide pensioner rail concessions outside of the Commonwealth's historically defined responsibilities.

The Department of Families, Community Services and Indigenous Affairs has an agreement with GSR to provide concession benefits on their services to Australian Pensioners, Veterans and Commonwealth Senior Health Card holders. But until today, the Federal Government made no contribution to pensioner and veteran concessions on the Alice Springs-Darwin service.

Facsia decide in 2004 to extend the concession to Commonwealth Senior Health Card Holders, but that benefit did not extend to Pensioners and Veterans.

2007-08-29