Senate debates

Thursday, 26 November 2009

Carbon Pollution Reduction Scheme Bill 2009 [No. 2]; Carbon Pollution Reduction Scheme (Consequential Amendments) Bill 2009 [No. 2]; Australian Climate Change Regulatory Authority Bill 2009 [No. 2]; Carbon Pollution Reduction Scheme (Charges — Customs) Bill 2009 [No. 2]; Carbon Pollution Reduction Scheme (Charges — Excise) Bill 2009 [No. 2]; Carbon Pollution Reduction Scheme (Charges — General) Bill 2009 [No. 2]; Carbon Pollution Reduction Scheme (CPRS Fuel Credits) Bill 2009 [No. 2]; Carbon Pollution Reduction Scheme (CPRS Fuel Credits) (Consequential Amendments) Bill 2009 [No. 2]; Excise Tariff Amendment (Carbon Pollution Reduction Scheme) Bill 2009 [No. 2]; Customs Tariff Amendment (Carbon Pollution Reduction Scheme) Bill 2009 [No. 2]; Carbon Pollution Reduction Scheme Amendment (Household Assistance) Bill 2009 [No. 2]

In Committee

4:17 pm

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Climate Change and Water) Share this | Hansard source

I did not want to take a point of order in the interests of trying to proceed through these matters. If Senator Milne can give me a minute or two, I will respond to Senator Macdonald and then I will come to her amendment.

In relation to Yabulu I am advised that representatives of Queensland Nickel are meeting with my department in a couple of weeks time—or some time thereabouts—to discuss this issue: that is, the activity definition for nickel production. So I am certain my department will consider very closely what is being put by that company. I would make the point that the government—supported by the majority of the opposition—has agreed on a very significant amount of transitional assistance to our emissions-intensive industries. Those thresholds have been public and the subject of consultation with industry for some time. They enable, as assistance, a starting rate for the most emissions-intensive industries of 94.5 per cent of free permits, and some 66 per cent for the moderately intensive industries.

I am certainly happy for my department to work with this company through the issues raised. The government has put a lot of focus on ensuring that this is a scheme that enables our economy to continue to grow, in terms of both the size of the economy and jobs. That is certainly what the Treasury modelling shows us. So, on that issue I indicate that the department will be meeting with that company.

In relation to the amendment which is before the chair, I say to Senator Milne firstly that she is asking what the government’s negotiating position is but that that is not something that has yet been announced, and I do not propose to announce it now. Secondly, we have put on the record—I did last night—that Australia is prepared to pay its fair share in an agreed global climate finance package. However, it is the case that those matters are still under consideration and for negotiation. We have said quite clearly that we recognise the significant and urgent need for international financing. We recognise that these are matters which need to be dealt with both in Copenhagen and beyond, but the government is not minded to accept this amendment. We think this is legislation which is about reducing Australia’s carbon pollution. It is not necessary to include this provision in domestic legislation. We will continue to engage, through the UNFCCC, to deal with financing issues.

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