Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Hansard source

I thank Senator Sandy Macdonald for this question. The budget expenditure on CSIRO has actually been increased over the next four years. It will rise from $633 million in 2007-08 to $676 million in 2008-09. There is actually a modest increase in the total expenditure for the CSIRO, which is consistent with the government’s commitment to responsible economic management.

We have said that reining in government expenditure is essential if we are to put downward pressure on inflation and we take the view, unlike the opposition, that the question of the inflationary challenge that this country faces is not a charade. It is not a fairytale, as the opposition would have us believe; it is real and it is hurting working families. While those opposite sit on their hands as inflation climbs to its highest level in 16 years, the government are determined to act. Inevitably, that means setting clear priorities and taking tough decisions. In line with that undertaking we gave before the election, CSIRO has been asked to deliver an extra two per cent efficiency dividend just like every other agency. The dividend applies only to CSIRO’s administrative expenditure, not to its overall appropriation. The government have also asked for an additional one-off dividend from CSIRO, which will save $39.8 million over the four years. After 11 years of the spending frenzy—