Helen Polley (Tasmania, Australian Labor Party) Share this | Hansard source

I rise to take note of answers given by the Minister for Finance and Administration and Leader of the Government in the Senate, Senator Minchin, on the issue of emissions trading in Australia. The answers given by the senator indicate just how out of touch this government is. I think the contribution that has been made by two of the senators from the other side makes that very clear to us on this side.

Another year and nothing has changed with this government. The Prime Minister and his key ministers remain sceptical about climate change and in the process are neglecting to take action. By the time they wake up and see the damage that has already been done it may well be too late. While the Howard government have in the past repeatedly ignored the warnings of scientists on climate change, they are now ignoring international business warnings on the effect climate change will have on our economy. The Global Roundtable on Climate Change has called on all governments to accept the science that climate change is real and set strong targets for greenhouse pollution reductions. This recommendation includes encouraging energy efficiency and carbon trading.

The global roundtable of business is not small fish in the business world. It includes companies like General Electric, Ford, Toyota and Wal-Mart. These companies, which are household names, have joined the growing list of those concerned that the cost of inaction on climate change will far outweigh the price of acting now. Australian businesses are already worse off as a result of the Howard government’s continued failure on climate change. Australia’s economy is on the line here. Australian jobs will be lost if action is not taken now.

Yet it still seems that the Howard government is oblivious to the effects of climate change. Despite delivering 11 federal budgets, the Treasurer has never mentioned climate change. That is 11 years in a row without a single mention of what could be the greatest challenge ever to face mankind—although, after comments Mr Costello recently made in the Age newspaper, it now appears that he is leading the Howard government in displaying at least some level of commonsense. He has said that he is now prepared to accept that the science is correct. He concedes that human activity is responsible for carbon emissions that are a direct factor in the changing environment. Even with this revelation, it appears that the difference of opinion within the government continues, with the Minister for Finance and Administration telling the media that he is still sceptical about climate change and opposed to emissions trading. For a minister in a key portfolio such as finance to openly display his cynicism is sure to have an effect on whether the Howard government makes any attempt to meet its responsibility to look at a carbon price.

While the Howard government continue their squabbling over climate change, debating no doubt whether the scientific proof fits with their agendas for Australia, business is suffering. Australian jobs are already being forced offshore—my home state knows that only too well with the recent closure of Blundstones—because businesses are functioning without access to the multibillion dollar carbon trading market, without access to new markets through the clean development mechanism and without the prospect of planning for a shift to a low carbon economy.

The Prime Minister has paraded his usual rhetoric on climate change and carbon trading. He says his government will not be panicked into making a decision that impacts on the economy. I do not think that taking action after 11 long years is showing any sign of panic. While the Prime Minister takes his time, the economy is already hurting and the Howard government will find that it is a long way behind public opinion and business on the issue of climate change. Australians know that climate change is an issue that must be tackled now, and a major step towards that is establishing an emissions trading scheme. With the current government unwilling to take the action so urgently required on climate change to ensure Australia’s future prosperity, Australians will also realise that the only way they will see the kind of action that is needed to tackle this issue is with a change of government to a Rudd-led Labor government.

But it is not only on the issue of carbon trading that the Howard government is failing Australians and the environment. In other corners of the globe governments are embracing the prospect of wind power, and in 2006 the industry experienced yet another record year, with expansion at 32 per cent. In Australia it is a different story, with $13 billion of stalled projects across the country. The Howard government’s refusal to commit to a carbon trading scheme is leaving our electricity producers unwilling to commit to clean coal technology or able to provide extra capacity for our major residential corridors along Australia’s coastline.

Question agreed to.