ID :
158100
Tue, 01/25/2011 - 16:36
Auther :

Food price hike likely after Australia floods

As Federal Treasurer Wayne Swan issued a grim warning of price hikes for food caused by the Queensland floods, Premier Anna Bligh moved to eliminate confusion over payments from her disaster relief fund.
The Australian Bureau of Statistics has reported big hikes in the cost of essential food items such as fruit (up 15.5 per cent) and vegetables (up 11.4 per cent).
And Mr Swan has warned of continuing high prices in the months ahead.
"The impact of these disastrous floods in Queensland through January will be felt by Australian families at the checkout because of the impact, particularly on fruit and vegetable prices," Mr Swan told reporters in Canberra on Tuesday.
Meanwhile, future payments from the Queensland Premier's Disaster Relief Appeal will likely go to those who pass a $100,000 annual income test.
The first payments from the $145 million fund - $2000 for adults and $1000 for children directly affected by the flood - will not be means tested and will start arriving in bank accounts this week.
But there has been a community backlash since it was revealed future payments will likely be means-tested, with donors arguing the fund should not discriminate.
Ms Bligh said there had been a lot of confusion regarding the payments.
She said absolutely everyone who had seen water above their floorboards would benefit in the first round, no matter their financial standing.
"The second round will depend on how much money we raise and how many people will need the money," she told reporters on Tuesday.
She said a decision had not yet been made on means testing, but there would likely need to be an income cut-off as seen for appeal payments in other natural disasters.
"The Victorian bushfire appeal had a means test, Cyclone Larry's appeal had a means test, and the trigger was around the $100,000 income mark," she said.
"That's where I would hope we would land and we've got the best chance of doing that if we encourage people to keep donating to the appeal.
Opposition Leader John-Paul Langbroek said $100,000 would be a good cut-off.
But he wanted the government to broaden its means-tested grants, too, as many earned too much to access them.
Meanwhile, the Brisbane City Council is calling for a 30-day deadline to change flood levels for developers.
The current approved flood level along the Brisbane River is 3.7 metres on the city gauge.
The Brisbane City Council said it needs to be redetermined after the January 13 peak of 4.46 metres affected more than 26,000 homes, with 11,900 completely flooded.
Lord Mayor Campbell Newman has also urged state and federal governments to join the council's scheme to buy back flood-prone homes,
The council has been operating its buyback scheme since 2006, allocating $4 million a year.
To date, about 45 homes have been bought and demolished.
Mr Newman said the state government was asked to take part in the scheme but it didn't see the point.
"We requested that the state go 50/50 with us, and that was declined," Mr Newman said.
"No one else would get on board in those days, so we've just been plugging away at it."
He said the council could make a bigger dent and avoid catastrophe for many families if other levels of governments chipped in.
"It would be terrific to see the state on board. It would be even better if the Commonwealth got on board. There are hundreds of very highly flood-prone properties in Brisbane and we could buy a whole lot more if they were on board," Mr Newman said.
All three levels of government took part in a similar scheme in Brisbane following the devastating 1974 floods.
Ms Bligh said a buy back scheme would be an option on the table for consideration.
"Whether its dams, levees or buy back schemes - everything is on the table," she said.
Ms Bligh said there was not a significant take up of the Brisbane City Council's buy back scheme.
"Now that we've seen this sort of flooding we may well find people with a different view and we need to make sure they have an opportunity if that's the best way to protect that part of Brisbane or any other regional part of Queensland," she said.

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