Joe Ludwig (Queensland, Australian Labor Party, Manager of Government Business in the Senate) Share this | Hansard source

I think it is worth while adding to this debate—not to prolong it—that there is a little bit of misinformation I think starting to seep in. Current inter­national accounting rules recognise neither the carbon stored in harvested wood products nor the carbon dioxide emissions generated by the disposal of these products. That means that, in terms of international account­ing standards for this, it is something that we can wish for but does not currently exist. To that end the government is actively seeking an international climate change outcome that includes a more complete and balanced approach to recognise the ongoing storage of carbon in wood products and create an incentive to produce longer-lived wood products. Accounting for emissions from forest products as and when they occur, I think we all agree, is quite complex. We do want to ensure that we then move to a low-carbon economy. I do not want that complexity to prevent that, but we do need at least be sure that the current international accounting rules do not allow that to be used. The government is consulting with industry. We are aware of the industry's view on the proposed changes to international rules with a view—and I would not put it any higher than that—to ensure that the CFI remains consistent with international rules. It is important that we do recognise that there is an international accounting body. We will continue to maintain consistency with that. Therefore, it does mean at this juncture that the argument has been progressed, and even if it had merit—I assume it does—the current rules do not allow it.