Senate debates

Wednesday, 23 March 2011

Questions without Notice

Carbon Pricing

2:54 pm

Photo of Judith TroethJudith Troeth (Victoria, Liberal Party) Share this | | Hansard source

My question is to the Minister for Innovation, Industry, Science and Research, Senator Carr. Can the minister advise the Senate whether the government intends to protect Australia from job losses in manufacturing industries, such as the cement industry, in its proposed new carbon tax arrangements?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

I thank Senator Troeth for her question; I trust it is not the last. I note that she does obviously get a question every now and again—it is rare for her to be provided with the opportunity.

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Senator Carr, come to the question.

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

Mr President, she is one of the very few remaining liberals on that side of the chamber, and I just want to acknowledge that.

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Senator Carr, that is not the point of the question.

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

I also want to acknowledge that she is genuinely concerned about manufacturing, coming as she does from Victoria. It is a pity a few more on the other side do not display that level of interest. This government is committed to ensuring the prosperity of manufacturing in this country. We recognise the concerns of industry, and we also recognise the fact that there is an opportunity here to transform Australian industry in such a way as to ensure that jobs in Australia will grow.

Honourable Senators:

Honourable senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Senator Carr, resume your seat. I draw the attention of those on my left to the fact that I am waiting for silence so question time can proceed. Senator Carr.

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

Jobs in Australia will continue to grow with a carbon price where there is incorporation of appropriate levels of assistance and co-investment. This government is determined to ensure that new jobs are created in new industries and that existing industries are able to be transformed to meet the challenges of the 21st century. Sustainability and carbon efficiency ought to be the touchstones of every business in this country, and we are ensuring that those opportunities are developed to ensure that that actually happens. The government is working to ensure that existing manufacturing jobs and important skills in new manufacturing industries are able to meet the challenges of a carbon constrained world.

A very good example of that is occurring in all sorts of industries, particularly in the automotive industry in Victoria where we are seeing already an industry transforming itself to meet the challenges of a carbon constrained world. This government is working with industry to ensure that we keep our manufacturers and the goods that they produce internationally competitive. We want to ensure that the carbon price—(Time expired)

Photo of Judith TroethJudith Troeth (Victoria, Liberal Party) Share this | | Hansard source

Mr President, I have a supplementary question. Is the minister aware that, in many cases, sending jobs offshore, which may occur because of the government’s policy, may also lead to increases in global CO2 emissions as Australian industry is often more greenhouse efficient than its competitors?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

The opposition is seeking to pretend that Australia is rushing ahead in the global fight against climate change. That is a bit like trying to claim that Australia won the Ashes. We have a situation where Australia is, in fact, falling behind in the race to develop clean technology solutions and clean energy solutions. Countries around the world are transforming their industries to the realities of the 21st century at a much faster rate than we are in this country. We now have a situation where emissions trading schemes operate in some 27 countries of the EU, in New Zealand and, of course, in many parts of the United States. Carbon taxes are being applied in Britain, Denmark, Norway, the Netherlands, Canada and India. We are seeing it in Japan and South Africa. We are seeing whole new approaches being taken to ensure that their economies—(Time expired)

Photo of Judith TroethJudith Troeth (Victoria, Liberal Party) Share this | | Hansard source

Mr President, I have a further supplementary question. Will the minister advise the Senate whether it is more important to deal with job losses from manufacturing industries as a result of this new tax or to provide income redistribution from the revenue of the scheme?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

Senator Troeth has misunderstood the nature of the scheme. What we have indicated is that every cent raised as a result of this scheme will be redistributed to assist this country adapt to a carbon constrained world, whether it be to households or industry. We are in the business of ensuring that Australian industry remains competitive and, by doing so, is able to transform itself in such a way as to be able to deal with the challenges that every business in this country has to face up to. It is foolish and incredibly short-sighted to believe that we can persist with business-as-usual approaches to the issues of climate change. What is required is for us to engage with business in such a way as to enable every firm in this country—every business, every enterprise in this country—to adjust to the circumstances that we are facing in the contemporary environment. That is exactly what this government is doing. We are engaging with manufacturers; we are engaging with all other aspects of the economy. (Time expired)