Rudd challenges foes to find alternative plans for infrastructure projects
Prime Minister Kevin Rudd challenged Western Australia's Liberal Premier Colin Barnett to find a better alternative to fund infrastructure projects.
Mr. Rudd is currently in talks with mining leaders and union workers in Perth to discuss the benefits of the resources super profit tax.
Mr. Rudd also confirmed yesterday on the Government's plan to shell out $6 billion for the regional infrastructure fund to be taken out from the mining tax.
In the proposal, both resource-rich states WA and Queensland will receive $2 billion fund each for infrastructure projects.
On Thursday, Mr. Rudd called on Mr. Barnett to devise a better alternative.
“Mr. Barnett is very critical of the tax reform plan that we have made. My challenge to him is, what is his alternative plan?” he said.
He added that the mining leaders are afraid to admit they need to pay more taxes.
However, Federal Opposition Leader Tony Abbott has accused the prime minister of “pork barreling” to gain support for the tax reform.
"He's desperately trying to shore up his marginal seats with a bit of pork barrel, but I think people are getting very skeptical of promises from a Prime Minister who made a lot of promises before the last election and hasn't delivered," he said.
In response to Mr. Abbot's statements, Mr. Rudd said the distribution of the fund from RSPT will benefit giant resource states such as WA and Queensland.
"Ours is on the table because this state needs to have investment back into the roads, rail, port and other economic infrastructure to support the state's future development,” Mr. Rudd argued.