On 5 May 2017, the Federal Treasurer tasked the Productivity Commission to undertake an inquiry into Australia’s system of Horizontal Fiscal Equalisation (HFE), which underpins the distribution of GST revenue to the states and territories.

On 8 October 2017, the Productivity Commission released its Draft Report into HFE, outlining its initial views on the impact of HFE on the community, economy and state governments and detailing its findings and recommendations on how HFE is currently achieved in Australia. The PC invited submissions to its Draft Report by 10 November 2017.

The Northern Territory Government lodged its submission to the Productivity Commission Draft Report on HFE on 9 November 2017.

Northern Territory Submission to the Productivity Commission Draft Report on HFE November 2017

The Northern Territory Government’s first submission to the Productivity Commission Inquiry into HFE was lodged in July 2017.

Northern Territory Submission to the Productivity Commission Inquiry into Horizontal Fiscal Equalisation July​ 2017

The Productivity Commission is expected to provide its Final Report to the Commonwealth Treasurer by 31 January 2018.

Further information on the Productivity Commission inquiry into HFE can be found here: http://www.pc.gov.au/inquiries/current/horizontal-fiscal-equalisation