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Federalism and the corporate governance analogy : Comments
By Ken Parish, published 30/1/2008The problems of Australian federalism are overstated and relatively easily fixed given the requisite political will.
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By doing so, states can contribute to the creation of an efficient body of national laws covering industrial relations, criminal law, consumer and occupational health laws, to name but a few.
Rudd may propose a re-structured role for (formerly) state organisations in performing their new national charter. That should keep most public servants happy.
The Premiers need to put forward simple proposals to refer state powers, perhaps starting with industrial relations, then health, education, climate change, water and ports.
Off-load these areas and the savings to State coffers will be in the billions annually. The state governments could then focus on the residual functions under their stewardship.
For example, long suffering customers are sure to appreciate any serious effort to fix the woeful state of public infrastructure, as is evident in public transport and electricity generation and distribution.
Down-sizing the states will help premiers meet high service delivery expectations without taking such highly contentious measures as the privatisation of essential services.
The fact that Premiers have done so against the overwhelming views of Australian citizens underlines the unsustainable governance of state governments.
Genuine reform is achievable - if Premiers engage in deep down-sizing.