House debates
Tuesday, 15 August 2006
Questions without Notice
Energy Initiatives
2:38 pm
Kym Richardson (Kingston, Liberal Party) Share this | Link to this | Hansard source
My question is addressed to the Minister for Industry, Tourism and Resources. Would the minister update the House on industry’s response to the government’s energy initiatives announced yesterday? Is the minister aware of any threats to low energy prices in Australia?
Jenny Macklin (Jagajaga, Australian Labor Party, Deputy Leader of the Opposition) Share this | Link to this | Hansard source
David Hawker (Speaker) Share this | Link to this | Hansard source
Order! The Deputy Leader of the Opposition is warned!
Cameron Thompson (Blair, Liberal Party) Share this | Link to this | Hansard source
How’s interest rates—
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
I thank the member for Kingston not only for his question but also for the hard work he has done in representing the concerns of his constituents, particularly on the issue of fuel prices and what the government should be doing in terms of relieving them. Those on this side of the House believe in responsible economic management so that, when the government need to give support to the community, we are able to. At a time of historically high oil prices globally, the government has acted to help Australian motorists, announcing practical steps for cheaper fuel options and long-term energy security. $1.5 billion of assistance was announced yesterday—
Joel Fitzgibbon (Hunter, Australian Labor Party, Shadow Assistant Treasurer and Revenue) Share this | Link to this | Hansard source
Mr Fitzgibbon interjecting
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
I will come to you, Member for Hunter—and amongst those initiatives was $677 million to encourage the uptake of LPG, $17 million to help service station operators upgrade equipment for ethanol blended fuel and $135 million to boost petroleum exploration in Australia. The response from industry and the support for this package is very strong. The NRMA has said it is:
... a seriously good package for families and the local alternative fuels industry.
The Australian Automobile Association says:
The initiatives ... will increase competition ... through making alternatives, such as LPG and ethanol blends, more competitive and attractive to the average consumer.
On that topic, in the three hours that the hotline had operated to noon today, there had been 1,100 calls—
Joel Fitzgibbon (Hunter, Australian Labor Party, Shadow Assistant Treasurer and Revenue) Share this | Link to this | Hansard source
Mr Fitzgibbon interjecting
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
Are you listening to this, Joel? There had been 1,100 calls to that hotline centre and 80 per cent of them were about retrofitting LPG to their vehicles.
Joel Fitzgibbon (Hunter, Australian Labor Party, Shadow Assistant Treasurer and Revenue) Share this | Link to this | Hansard source
Mr Fitzgibbon interjecting
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
The member for Hunter does not understand a basic principle of commerce: that if you increase demand you increase supply. And that is what will happen with LPG supply—
Lindsay Tanner (Melbourne, Australian Labor Party, Shadow Minister for Finance) Share this | Link to this | Hansard source
Mr Tanner interjecting
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
Despite the fact that I am not the Reserve Bank governor, I know a lot more about economics than you do. Of course, I am asked about—
Lindsay Tanner (Melbourne, Australian Labor Party, Shadow Minister for Finance) Share this | Link to this | Hansard source
Mr Tanner interjecting
David Hawker (Speaker) Share this | Link to this | Hansard source
The member for Melbourne is warned!
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
Mr Speaker—
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
We know about bananas. I am asked about threats to energy prices in Australia and the threat comes from those who sit opposite and their climate change policy. The Labor Party has a policy to reduce greenhouse gas emissions by 60 per cent by 2050. Recent ABARE analysis said that a 50 per cent reduction would double the price of fuel to Australian motorists—
Kim Beazley (Brand, Australian Labor Party, Leader of the Opposition) Share this | Link to this | Hansard source
Mr Beazley interjecting
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
A load of rubbish, he says!
Kelvin Thomson (Wills, Australian Labor Party, Shadow Minister for Public Accountability and Human Services) Share this | Link to this | Hansard source
You’ve doubled it in two years!
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
On the Labor Party’s policy, while they sit here—
Kelvin Thomson (Wills, Australian Labor Party, Shadow Minister for Public Accountability and Human Services) Share this | Link to this | Hansard source
You’ve doubled it in two years!
Ian Macfarlane (Groom, Liberal Party, Minister for Industry, Tourism and Resources) Share this | Link to this | Hansard source
and deride what the government did yesterday—something that was welcomed and supported by industry and has been supported by motorists today—they have in their back pocket a policy which will double the price of petrol to motorists in Australia.