Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Hansard source

I thank the member for his question and obviously his question arises from some publicity in today’s newspapers about the minerals resource rent tax. On the direct matter that he raises, I can advise that the Policy Transition Group, which the relevant minister is attending and which is being led by Don Argus, is working its way through a number of issues. That is exactly what it is there for. We have said all along we will credit existing royalties and scheduled increases and the Policy Transition Group will advise on the best way to do that to provide certainty to the industry. Obviously, in implementing the minerals resource rent tax it just makes commonsense that we not give a green light to state and territory governments to increase royalties, with us effectively footing the bill. I would take this opportunity to remind the member—and it is something that ultimately the opposition in this place is going to have to exercise its votes on—that the proceeds of the minerals resource rent tax are going to expand the productive capacity—

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