Michelle Rowland (Greenway, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Treasurer. Will the Treasurer outline for the House the importance of putting a price on carbon to transform our economy for a low carbon future?

Ewen Jones (Herbert, Liberal Party) Share this | Link to this | Hansard source

Mr Ewen Jones interjecting

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The member for Herbert, my having reminded people that there is a general warning, will leave the chamber for one hour under standing order 94(a).

The member for Herbert then left the chamber.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

I thank the member for Greenway for her question, because it is imperative that we price carbon to ensure that we have sustainable economic growth. Sustainable economic growth does require a price on carbon because we need the investment to drive the technology to make ourselves much more energy efficient. We need that investment to get the investment in renewable energy so that we can create the jobs for the future. Of course, the economics of this are not seriously contested by many. They certainly are by sceptics on the other side of the House, but the economics of this were accepted widely in this parliament only 18 months ago. The economics of this go back to the report by Lord Stern in 2006.

Opposition Members:

Opposition members interjecting—

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

There we go: the sceptics opposite are now going to dispute the Stern report, the most fundamental analysis of the economics of climate change that we have seen—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The Treasurer will ignore the interjections

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

and which is widely accepted, particularly in Britain, even by conservative politicians, as being the roadmap for the future. What Lord Stern said is that tackling climate change is the only pro-growth strategy for the future—that is, if we do not act on climate change, the damage to our environment and therefore the damage to our economy will be great, and if we wish our economies to grow then we must put a price on carbon. In Australia we are the highest per capita polluters in the world. That makes it even more imperative that we deal with the price on carbon.

Of course, all of these points were made last week by Professor Garnaut—most particularly, the importance of a price on carbon to drive the investment in the technology, particularly in renewable energy, which will create the jobs of the future. It was only 18 months ago when those on that side of the House all favoured an emissions trading system.

Sophie Mirabella (Indi, Liberal Party, Shadow Minister for Innovation, Industry and Science) Share this | Link to this | Hansard source

Don’t lie!

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The Treasurer will resume his seat. The member for Indi will withdraw.

Sophie Mirabella (Indi, Liberal Party, Shadow Minister for Innovation, Industry and Science) Share this | Link to this | Hansard source

I withdraw.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The member for Indi will leave the chamber for one hour under standing order 94(a).

The member for Indi then left the chamber.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

There are many on that side of the House who now clearly do not accept the science of climate change and do not accept the economics of dealing with climate change. We had a conservative politician in the country in the last few days—Lord Deben. Lord Deben described climate change sceptics as ‘oddballs’. The problem the coalition has is that the oddballs have taken over. The oddballs—the climate change sceptics—have taken over on that side of the House but only 18 months ago they did accept the science of climate change. Now they do not. We had the Leader of the Opposition say only in the last week or so:

… the so-called settled science of climate change isn’t always quite what it’s claimed to be.

So there he was, outing himself as a climate change sceptic. We know that he thinks that climate change is crap.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The Treasurer will directly relate his material to the question.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

Mr Speaker, Lord Stern described climate change as the greatest market failure in the history of the world. What we are witnessing in this House is the greatest political failure we have ever seen from the Liberal Party.

Christopher Pyne (Sturt, Liberal Party, Shadow Minister for Education, Apprenticeships and Training) Share this | Link to this | Hansard source

I rise on a point of order in terms of direct relevance. I simply ask how these unadulterated attacks can be regarded as directly relevant to the question.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Those who were paying attention to the proceedings rather than indulging themselves in whatever they indulge themselves in during question time will know that I asked the Treasurer to directly relate his material to the question.

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

The climate change sceptics have taken over and that endangers our prosperity and jobs.