House debates

Thursday, 3 December 2020

Questions without Notice

Employment

2:44 pm

Photo of Richard MarlesRichard Marles (Corio, Australian Labor Party, Shadow Minister for Defence) Share this | | Hansard source

My question is to the Minister for Energy. In September the government announced it would support Australia's four oil refineries, including Viva, which employs 700 workers in my electorate. Since then, BP has announced the closure of its refinery in Western Australia, with the loss of 650 jobs. Labor is keen to support a well-designed package, but this critical industry can't wait forever. When will the government finally deliver on its September announcement so even more workers don't lose their jobs?

Photo of Angus TaylorAngus Taylor (Hume, Liberal Party, Minister for Energy and Emissions Reduction) Share this | | Hansard source

I thank the member for his question and I acknowledge the keen interest he has in this issue as a local member with a refinery—the Viva refinery, which is an important employer in his electorate as are the refineries right across Australia. We acknowledge the important role they play.

We have been meeting regularly with the refineries since the beginning of the coronavirus pandemic and we have been very conscious of the significant challenge they have faced. On the one hand they have seen a very sharp reduction in demand for their product, particularly aviation gas and gasoline—and, to a lesser extent, diesel, which has tended to hold on better. But they have also been faced with the double whammy of a very sharp reduction in their refining margins.

With that in mind we announced a package several months ago, which was included as part of the budget, with a focus not only on fuel security but also on making sure we give our local refiners every chance of success and backing our local refining sector through a production payment. We are seeking, through our discussions with the refineries, to get that production payment in place as quickly as possible. We realise the urgency of this. Indeed, I spoke with management from the Viva refinery today; they were very cordial discussions. We have also been in regular discussions with the unions; I spoke with the AWU and representatives of the refineries yesterday on exactly this issue. We will continue to work with the refineries on a regular weekly basis—often more regularly than that, actually—to get this production payment in place, and we look forward to ensuring not only that we have the fuel security this country deserves for our farmers and our tradies—

Ms Madeleine King interjecting

Photo of Tony SmithTony Smith (Speaker) Share this | | Hansard source

The member for Brand!

Photo of Angus TaylorAngus Taylor (Hume, Liberal Party, Minister for Energy and Emissions Reduction) Share this | | Hansard source

but also that we give those important jobs every chance of success into the future.

Ms Madeleine King interjecting

Photo of Tony SmithTony Smith (Speaker) Share this | | Hansard source

The member for Brand is now going to leave the chamber under standing order 94(a). There's no point in people looking at me confused, after, 15 minutes ago, I said I'm warning everyone who's been interjecting.

The member for Brand then left the chamber.