Senate debates

Monday, 28 February 2011

Matters of Public Importance

Carbon Pricing

7:43 pm

Photo of Dana WortleyDana Wortley (SA, Australian Labor Party) Share this | Hansard source

The Labor government has been clear before, during and the since the election that we want to tackle climate change, unlike those opposite. And the best way of doing this is through a price on carbon. We have never resiled from this position. Climate scientists worldwide are telling us that carbon pollution is contributing to climate change, and we as a government accept the climate science and accept that action is needed. We know it is not ‘absolute crap’, to quote the Leader of the Opposition—and, what is more, we are ready to take action.

There are many of us in this place—on this side, on the opposite side and on the crossbenches—who witnessed the government’s concerted, genuine effort in the previous parliament to address the issue of climate change. We even had support from those opposite for a while, until of course the far right of the Liberal Party got control and suddenly those who believed, those who supported addressing the very serious issue of climate change, appeared stone faced. Even as the debate was had in this chamber today there were those opposite who looked very uncomfortable—I will not name them; they know who they are—because, despite the argument they are now putting forward, they know that putting a price on carbon will cut pollution and it will drive investment in clean energy. They know that a carbon price is the cheapest and fairest way to reduce pollution and invest in clean energy—it is just not their policy.

Last week the Minister for Climate Change and Energy Efficiency, Minister Combet, spoke of the scare tactics used by the opposition in relation to a carbon price. I agree with the minister that the tactics of those opposite are completely unprincipled—not only that; in fact, they look prehistoric when it comes to climate change. They bury their heads in the sand and refuse to accept the need to deliver essential economic reform to propel our nation’s move towards a clean-energy future. It is a fact that those opposite are putting all their energy—very inefficiently, I might add—into scare tactics to make sure nothing changes in Australia and that we plod along the same route, oblivious to the perils of climate change.

In the past few days the opposition, in particular the Leader of the Opposition, have been out there trying to mislead Australians about this important debate. But that should not surprise anyone: he is just continuing his mission to stop, wreck, destroy and mislead. In stark contrast the Gillard government is committed to tackling climate change and promoting investment in clean energy. For the second time today I say: we are prepared to do the hard yards.

So why are the opposition so flustered about this issue? It is because the Gillard government has released its plan to cut pollution, tackle climate change and deliver the economic reform Australia desperately needs to move to a clean-energy future. Our plan makes the opposition look like they mingle with hairy mammoths rather than belonging to modern-day Australia. Our two-stage plan for a carbon price mechanism will start with a fixed price period for three to five years before transitioning to an emissions trading scheme. A carbon price is a price on pollution. It is the cheapest and fairest way to cut pollution and build a clean-energy economy. The best way to stop businesses polluting and get them to invest in clean energy is to charge them when they pollute. The businesses with the highest levels of pollution will have a very strong incentive to reduce their pollution. We will propose that the carbon price commences on 1 July 2012, subject to the ability to negotiate agreement with a majority in both houses of parliament and pass legislation this year. The government will then use the money raised—and this is a very important point—to assist families with household bills, help businesses make the transition to a clean-energy economy and tackle climate change. The government will not shy away from this difficult but vital economic reform to move Australia to a clean-energy nation.

The Australian economy is an emissions-intensive economy. The terrible reality is that  Australia is one of the largest carbon polluters per capita in the world. We emit around 27 tonnes of carbon pollution for every person every year. The US emits around 24 tonnes per person and China emits less than seven tonnes per person. India emits under four tonnes per person. The 2010 Intergenerational Report highlights that, without action to combat climate change, Australia’s GDP will fall by eight per cent by 2100. No responsible government can ignore these findings, which is why we are making a start to reducing carbon pollution now. A carbon price mechanism is the key to our economic transformation and reducing our carbon pollution. It is an interim first step towards an emissions trading scheme. A carbon price is not only an important economic reform; it is the right thing to do. Those opposite can call it what they want, but we call it essential.

A carbon price is also the least costly, most efficient way of reducing carbon pollution in our economy and driving investment in clean energy. As the Prime Minister pointed out, the opposition know that a carbon price has not been announced, nor has the household assistance package, but there they are out there throwing made-up figures around, doing what they do best: scaremongering. Businesses and the economy can rely on a stable, predictable price on carbon for the first few years to ensure a smooth transition to a clean-energy economy.

Sadly for the opposition, it seems members of the public are more up-to-date with the need for action on climate change than those who sit opposite. Interestingly, a constituent rang my electorate office in Adelaide today to pass on a message. This is what she told my staff:

We accept that pumping pollution into the sea has negative effects, we accept that pumping pollution into soil has negative effects, yet the opposition seem unwilling to accept that pumping pollution into the air has negative effects.

I think there was a lot of that going on today. The fact is that 32 countries and 10 US states already have emissions trading schemes in operation, with many more moving towards a low-pollution economy. In a global economy which is moving to cut pollution, we must not be left behind, because it will hurt our economy and cost us jobs. (Time expired)

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