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Australian Government Coat of Arms

Budget | 2015-16

Budget 2015-16
Australian Government Coat of Arms, Budget 2015-16

Appendix D: Debt Transactions

The Commonwealth holds a stock of around $2.5 billion in loans advanced to the states. The states make interest payments and repayments to the Commonwealth in respect of these loans.

The Commonwealth advances the states loans under a range of agreements. These advances have often been over very long repayment periods (some in excess of 50 years), although the terms of each agreement vary considerably.

Most of the interest payments and repayments relate to housing and infrastructure. Payments are also made against loans under agreements for natural disasters, asbestos removal and other purposes administered by various Commonwealth agencies.

Total advances, interest and repayments from the states to the Commonwealth are shown in Table D.1.

Table D.1: Summary of advances, interest and repayments, by year and state
$'000 NSW VIC QLD WA SA TAS ACT NT Total
Outstanding loans as at 30 June 2014                  
Contingent Liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund 57,114 57,114
Natural disaster relief 29,727 88,900 118,627
Environment                  
Northern Territory — water and sewerage assistance 9,291 9,291
Housing                  
Commonwealth-State Housing Agreement loans 574,419 163,896 154,695 43,983 80,227 23,454 1,040,674
Housing for service personnel 29,533 16,648 3,134 1,293   50,608
Other housing 96,111 53,315 149,426
Infrastructure                  
Railway projects 1,251 1,251
Sewerage 9,045 2,934 2,253 14,232
Other purposes                  
Australian Capital Territory debt repayments 5,093 5,093
Loan Council — housing nominations 350,711 125,820 215,076 151,707 92,811 122,138 1,058,263
2014‑15                  
Advances                  
Asbestos removal in the ACT 750,000 750,000
Contingent Liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund 12,500 12,500
Natural disaster relief 7,037 1,554 8,591
Repayments                  
Asbestos removal in the ACT
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund
Natural disaster relief ‑21 ‑8,233 ‑8,254
Environment                  
Northern Territory — water and sewerage assistance ‑136 ‑136
Housing                  
Commonwealth-State Housing Agreement loans ‑37,096 ‑9,920 ‑9,424 ‑2,463 ‑5,028 ‑792 ‑64,723
Housing for service personnel ‑1,503 ‑915 ‑248 ‑52 ‑2,718
Other housing ‑7,755 ‑2,703 ‑10,458
Infrastructure                  
Railway projects ‑324 ‑324
Sewerage ‑7,703 ‑1,919 ‑1,037 ‑10,659
Other purposes                  
Australian Capital Territory debt repayments ‑555 ‑555
Loan Council — housing nominations ‑8,581 ‑3,157 ‑5,473 ‑3,590 ‑2,301 ‑2,856 ‑25,958
Interest                  
Asbestos removal in the ACT ‑8,190 ‑8,190
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund ‑2,324 ‑2,324
Natural disaster relief ‑628 ‑1,867 ‑2,495
Environment                  
Northern Territory — water and sewerage assistance ‑555 ‑555
Housing                  
Commonwealth-State Housing Agreement loans ‑33,794 ‑9,643 ‑9,084 ‑2,588 ‑4,720 ‑1,381 ‑61,210
Housing for service personnel ‑1,947 ‑1,087 ‑200 ‑88 ‑3,322
Other housing ‑6,969 ‑2,918 ‑9,887
Infrastructure                  
Railway projects ‑76 ‑76
Sewerage ‑573 ‑171 ‑189 ‑933
Other purposes                  
Australian Capital Territory debt repayments ‑627 ‑627
Loan Council — housing nominations -20,720 - -7,407 -12,661 -8,931 -5,464 - -7,189 -62,372
Net Financial Flow ‑95,353 ‑42,765 ‑37,490 ‑18,938 ‑17,513 725,904 ‑18,530 495,315
2015‑16                  
Advances                  
Asbestos removal in the ACT 250,000 250,000
Contingent Liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund 50,000 50,000
Natural disaster relief 358 358
Repayments                  
Asbestos removal in the ACT
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund
Natural disaster relief ‑4,083 ‑17,286 ‑21,369
Environment                  
Northern Territory — water and sewerage assistance ‑136 ‑136
Housing                  
Commonwealth-State Housing Agreement loans ‑37,130 ‑9,955 ‑9,543 ‑2,596 ‑5,052 ‑828 ‑65,104
Housing for service personnel ‑1,595 ‑976 ‑263 ‑57 ‑2,891
Other housing ‑7,854 ‑2,839 ‑10,693
Infrastructure                  
Railway projects ‑287 ‑287
Sewerage ‑1,342 ‑963 ‑648 ‑2,953
Other purposes                  
Australian Capital Territory debt repayments ‑555 ‑555
Loan Council — housing nominations ‑8,967 ‑3,299 ‑5,719 ‑3,751 ‑2,404 ‑2,985 ‑27,125
Interest                  
Asbestos removal in the ACT ‑25,143 ‑25,143
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund ‑4,522 ‑4,522
Natural disaster relief ‑628 ‑1,709 ‑2,337
Environment                  
Northern Territory — water and sewerage assistance ‑548 ‑548
Housing                  
Commonwealth-State Housing Agreement loans ‑31,943 ‑9,156 ‑8,618 ‑2,452 ‑4,472 ‑1,345 ‑57,986
Housing for service personnel ‑1,881 ‑1,047 ‑189 ‑86 ‑3,203
Other housing ‑6,620 ‑2,781 ‑9,401
Infrastructure                  
Railway projects ‑58 ‑58
Sewerage ‑97 ‑32 ‑91 ‑220
Other purposes                  
Australian Capital Territory debt repayments ‑558 ‑558
Loan Council — housing nominations -20,366 - -7,273 -12,429 -8,781 -5,366 - -7,072 -61,287
Net Financial Flow ‑62,554 ‑51,338 ‑37,106 ‑18,462 ‑17,294 209,270 ‑18,534 3,982
2016‑17                  
Advances                  
Asbestos removal in the ACT
Contingent Liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund
Natural disaster relief
Repayments                  
Asbestos removal in the ACT
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund
Natural disaster relief ‑4,083 ‑11,397 ‑15,480
Environment                  
Northern Territory — water and sewerage assistance ‑136 ‑136
Housing                  
Commonwealth-State Housing Agreement loans ‑37,268 ‑10,033 ‑9,596 ‑2,736 ‑5,105 ‑865 ‑65,603
Housing for service personnel ‑1,697 ‑1,037 ‑277 ‑63 ‑3,074
Other housing ‑7,972 ‑2,983 ‑10,955
Infrastructure                  
Railway projects ‑224 ‑224
Sewerage ‑52 ‑340 ‑392
Other purposes                  
Australian Capital Territory debt repayments ‑555 ‑555
Loan Council — housing nominations ‑9,370 ‑3,447 ‑5,976 ‑3,920 ‑2,512 ‑3,119 ‑28,344
Interest                  
Asbestos removal in the ACT ‑25,351 ‑25,351
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund ‑5,712 ‑5,712
Natural disaster relief ‑549 ‑1,377 ‑1,926
Environment                  
Northern Territory — water and sewerage assistance ‑542 ‑542
Housing                  
Commonwealth-State Housing Agreement loans ‑30,078 ‑8,665 ‑8,142 ‑2,309 ‑4,222 ‑1,307 ‑54,723
Housing for service personnel ‑1,810 ‑1,004 ‑178 ‑83 ‑3,075
Other housing ‑6,267 ‑2,637 ‑8,904
Infrastructure                  
Railway projects ‑42 ‑42
Sewerage ‑1 ‑38 ‑39
Other purposes                  
Australian Capital Territory debt repayments ‑488 ‑488
Loan Council — housing nominations -19,992 - -7,133 -12,184 -8,623 -5,264 - -6,946 -60,142
Net Financial Flow ‑110,560 ‑44,145 ‑36,619 ‑18,112 ‑17,103 ‑40,633 ‑18,535 ‑285,707
2017‑18                  
Advances                  
Asbestos removal in the ACT
Contingent Liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund
Natural disaster relief
Repayments                  
Asbestos removal in the ACT ‑50,000 ‑50,000
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund
Natural disaster relief ‑4,083 ‑11,397 ‑15,480
Environment                  
Northern Territory — water and sewerage assistance ‑136 ‑136
Housing                  
Commonwealth-State Housing Agreement loans ‑37,531 ‑10,109 ‑9,737 ‑2,883 ‑5,151 ‑904 ‑66,315
Housing for service personnel ‑1,813 ‑1,089 ‑287 ‑69 ‑3,258
Other housing ‑8,131 ‑3,135 ‑11,266
Infrastructure                  
Railway projects ‑161 ‑161
Sewerage ‑168 ‑168
Other purposes                  
Australian Capital Territory debt repayments ‑555 ‑555
Loan Council — housing nominations ‑9,792 ‑3,602 ‑6,246 ‑4,096 ‑2,626 ‑3,260 ‑29,622
Interest                  
Asbestos removal in the ACT ‑25,351 ‑25,351
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund ‑6,004 ‑6,004
Natural disaster relief ‑470 ‑1,158 ‑1,628
Environment                  
Northern Territory — water and sewerage assistance ‑535 ‑535
Housing                  
Commonwealth-State Housing Agreement loans ‑28,189 ‑8,166 ‑7,660 ‑2,158 ‑3,966 ‑1,268 ‑51,407
Housing for service personnel ‑1,735 ‑958 ‑166 ‑80 ‑2,939
Other housing ‑5,908 ‑2,486 ‑8,394
Infrastructure                  
Railway projects ‑29 ‑29
Sewerage ‑14 ‑14
Other purposes                  
Australian Capital Territory debt repayments ‑418 ‑418
Loan Council — housing nominations -19,595 - -6,984 -11,925 -8,456 -5,156 - -6,813 -58,929
Net Financial Flow ‑109,212 ‑43,463 ‑36,211 ‑17,924 ‑16,899 ‑90,363 ‑18,537 ‑332,609
2018-19                  
Advances                  
Asbestos removal in the ACT
Contingent Liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund
Natural disaster relief
Repayments                  
Asbestos removal in the ACT ‑50,000 ‑50,000
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund ‑11,565 ‑11,565
Natural disaster relief ‑4,083 ‑10,815 ‑14,898
Environment                  
Northern Territory — water and sewerage assistance ‑136 ‑136
Housing                  
Commonwealth-State Housing Agreement loans ‑37,608 ‑10,245 ‑9,850 ‑3,038 ‑5,172 ‑945 ‑66,858
Housing for service personnel ‑1,892 ‑1,139 ‑295 ‑77 ‑3,403
Other housing ‑8,222 ‑3,293 ‑11,515
Infrastructure                  
Railway projects ‑92 ‑92
Sewerage ‑60 ‑60
Other purposes                  
Australian Capital Territory debt repayments ‑555 ‑555
Loan Council — housing nominations ‑10,232 ‑3,765 ‑6,527 ‑4,281 ‑2,744 ‑3,406 ‑30,955
Interest                  
Asbestos removal in the ACT ‑24,083 ‑24,083
Contingent liabilities                  
Loan to NSW to assist beneficiaries of the Asbestos Injuries Compensation Fund ‑6,310 ‑6,310
Natural disaster relief ‑392 ‑939 ‑1,331
Environment                  
Northern Territory — water and sewerage ‑528 ‑528
Housing                  
Commonwealth-State Housing Agreement loans ‑26,271 ‑7,658 ‑7,166 ‑1,997 ‑3,698 ‑1,225 ‑48,015
Housing for service personnel ‑1,654 ‑910 ‑153 ‑77 ‑2,794
Other housing ‑5,542 ‑2,327 ‑7,869
Infrastructure                  
Railway projects ‑19 ‑19
Sewerage ‑3 ‑3
Other purposes                  
Australian Capital Territory debt repayments ‑348 ‑348
Loan Council — housing nominations -19,175 - -6,826 -11,650 -8,279 -5,047 - -6,673 -57,650
Net Financial Flow ‑119,182 ‑42,297 ‑35,752 ‑17,812 ‑16,661 ‑88,750 ‑18,533 ‑338,987