Territory Stories

Budget 2013/14 Northern Territory Economy



Budget 2013/14 Northern Territory Economy

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Tabled paper 295


Tabled Papers for 12th Assembly 2012 - 2016; Tabled Papers; ParliamentNT




Tabled by David Tollner


Made available by the Legislative Assembly of the Northern Territory under Standing Order 240. Where copyright subsists with a third party it remains with the original owner and permission may be required to reuse the material.




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Department of the Treasury and Finance

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Tourism 167 Northern Territory Economy AliceSprings, which have been widely reported in the national and international media, are also likely to have made the town a less attractive holiday destination. A further contributor to the difference in performance between the regions was strong growth in the number of domestic business visitors, of whom the majority travelled to the Top End. This reflects differences in economic activity, with the Top End benefiting from increasing investment in mining and energyrelated projects (see Chapter 10: Mining and Manufacturing and Chapter11: Construction). The stronger Top End economy has also drawn skilled labour to the region and increased the potential intrastate visitor market for tourism operators in close proximity to Darwin. Accommodation Data on tourismrelated accommodation is collected by the ABS through its quarterly Survey of Tourist Accommodation (STA). The STA includes in its scope all hotels, motels, guest houses and serviced apartments with 15 or more rooms available to the public. In 2012, accommodation capacity in the Territory increased by 0.6percent to 7329 rooms compared with the previous year, with almost half of the rooms available located in the Darwin region. A constraint on growth in 2012 is likely to have been the lack of availability of rooms due to renovations such as the refurbishment of rooms at Lasseters Hotel Casino in AliceSprings and the removal of rooms due to longterm leases taken out by organisations requiring accommodation for workers in Darwin, limiting the accommodation available to shortterm visitors. Occupancy rates in the Territory increased by 0.9 percentage points in 2012 to an annual average of 64.2percent. Within the Territory occupancy rates ranged from 77.9percent in the Darwin tourism region to 41.1percent in the KakaduArnhem region. Occupancy rates are much higher in Darwin than in other regions of the Territory due to its comparative strength in terms of visitor numbers as well as the high number of shortstay and flyinflyout workers who may be unable to find accommodation in the private rental market and thus rely on hotels and serviced apartments. In KakaduArnhem, annual average occupancy rates are affected by large seasonal variations, as large parts of the region can be cut off during the wet season due to flooding. For example, in the March quarter 2012, occupancy rates were as low as 28.1percent in the region. In the other tourism regions in the Territory, AliceSprings had an annual average occupancy rate of 60.5percent in 2012, in Katherine it was 52.7percent, in the Barkly district it was 43.3percent, while in Lasseter (which includes Yulara), occupancy rates were an average of 49.4percent.