Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Hansard source

I thank Senator Hume for her question. I was asked about inflation. I can advise that Treasury estimates indicate that the excise cut could directly reduce headline inflation by around half a percentage point through the year to the June quarter of 2026. I would emphasise that, obviously, the reduction in the fuel excise that is being brought forward is temporary.

In relation to how this is to be funded, I note the boasting from the shadow finance minister—who looked to increase debt and increase deficits and increase taxes—that the coalition's policy was a more responsible policy. I would make the point that the position of the coalition, in relation to what they proposed on excise, was to make electricity bills more expensive, because, in an ideological approach to energy policy, their proposal was to cut the Cheaper Home Batteries Program.

There are around 300,000 Australians, including households and small businesses, who have installed a cheaper home battery. This permanently reduces power bills. It delivers real and lasting cost-of-living relief for families and businesses and benefits everyone by taking pressure off the electricity grid. I would make the point, Senator Hume—through you, President—that the so-called savings that you describe in fact would have ensured that more Australian households had higher energy prices.