Instead of asking the federal government to expand the $70 billion JobKeeper program, Tasmanian Liberal senator Eric Abetz believes reopening the state's borders should be Premier Peter Gutwein's priority.
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Senator Abetz said while Mr Gutwein had done an "outstanding job" responding to the pandemic, border protection policies within Australia should be relaxed.
Coronavirus: All the latest updates on COVID-19 for Tasmania
His comments came after some of Australia's most senior health experts revealed the Australian Health Protection Principal Committee advising national cabinet had never suggested states close their borders.
"From a medical point of view, I can't see why the borders are still closed," deputy chief medical officer Paul Kelly told reporters last week.
His fellow deputy chief medical officer Nick Coatsworth said given the small number of cases Australia-wide, it was challenging to see the medical benefit of keeping state borders closed.
"The national strategy is suppression...which means we're not going for zero cases Australia-wide and so we expect to see small numbers of cases come up," Dr Coatsworth said.
"Closing the borders may lead to an expectation that you can have zero cases in a particular area until there's a vaccine and I think that would too much pressure on the nation."
In light of the advice and economic damage caused by border closures, Senator Abetz said state leaders should "look at opening the borders as a priority rather than seeking extra funding from JobKeeper with borrowed money".
"This is not cash we found behind the cushions on the couch, this is borrowed money," Senator Abetz said.
"Any saving that can be made, needs to be made to protect the economy and to protect the capacity of future generations to determine their priorities for our nation and not be saddled with a burden of debt that this generation has left them."
Small Business Minister Sarah Courtney said the government's position was clear and ensuring the health, safety and wellbeing Tasmanians was a higher priority than the economy.
"We've continued to take advice from our experts in Tasmania and we'll continue to do so," Ms Courtney said.
Labor leader Rebecca White said businesses needed more certainty.
"With consideration of public health advice, the Premier needs to set a date for when borders will reopen so that businesses have certainty for when they can start taking bookings again," Ms White said.