Senate debates

Monday, 16 June 2008

Questions without Notice

Hybrid Vehicles

2:15 pm

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party) Share this | | Hansard source

My question is to Senator Evans, the Minister representing the Minister for Innovation, Industry, Science and Research. Isn’t it a fact that, while the Australian government pays $35 million to import and assemble 10-year-old generation 1 hybrid technology from 2010, from the same year Japan, Europe and the United States will be accessing generation 2 plug-in lithium-ion battery hybrids?

Photo of Richard ColbeckRichard Colbeck (Tasmania, Liberal Party, Shadow Parliamentary Secretary for Health) Share this | | Hansard source

You can’t use the same answer this time.

Photo of Chris EvansChris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | | Hansard source

I can and I will. I thank the senator for his question. I am not sure what the point of it is. As I say, I am not clear at all what the Liberal opposition stand for. Do they support the future of a hybrid car industry in Australia or don’t they? Do you support it or don’t you? It is a very simple question, but it seems to me that you do not, and I think that is a sad thing because we always had strong bipartisan support for the development of the Australian car industry. Senator Minchin used to be a very strong supporter of the car industry. I hope that extends beyond South Australian borders to Victoria as well.

I am concerned that the opposition seem unwilling to support what I think is a really important announcement. The $35 million government decision to support the hybrid Camry development is an important one. It is about developing new technology. It is about ensuring that we develop new technology, that we have increased research and development, and that we have retooling of Australian plants with equipment necessary to product the hybrid car. This will allow us to develop an alternative car and other initiatives through the Green Car Innovation Fund, which will reduce fuel consumption, will contribute to the fight against the growth in carbon emissions and, I think, will be welcomed by the Australian public as an important contribution.

We are also aware, of course, that the Bracks review is tasked with making recommendations on the broader delivery of the government’s Green Car Innovation Fund. That review reports on 31 July 2008 and, once we have that, we will be developing further measures which will look to use that serious amount of money we have allocated for this fund.

This first announcement has been welcomed by the Australian community. It does mark a new beginning for the Australian car industry and it is clear that this decision by the government has assisted Toyota in deciding to pursue these developments in Australia, to support Australian jobs, rather than pursue the option in Thailand. We think that is very important. Toyota have made it very clear that this decision was influential in them making this decision, and we think it is an important decision for the Australian economy. We think we have to maintain capacity for manufacturing in this country, and Toyota’s decision to produce 10,000 hybrid Camrys a year at Altona from 2010 very much gets us into the game. It gives local component makers a chance to develop new skills and new products and it gives us a head start in the race to win work on the next generation of hybrid and other green cars.

So I am not at all negative, as the opposition seems to be, about this development. I think it is a good thing for Australian industry, it is a good thing for the car industry and it is a good thing for motorists. It gives an opportunity for us to reduce fuel consumption, reduce the cost to them and also make a contribution to tackling carbon emissions. I know the opposition are not at all interested in the threat of climate change, but this government is. We are serious about it; we are contributing serious money to the efforts to build an economy where we emit less. I think this will be one of those steps along that path and the opposition ought to get on board and support what is a really important development.

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party) Share this | | Hansard source

Mr President, I ask a supplementary question. I never thought I would miss Senator Carr! Perhaps the minister might like to have a second stab at answering whether, from 2010, Japan, Europe and the United States will be accessing generation 2 technology. The minister might also answer: when did the government seek to remove its much trumpeted research and development criteria for expenditure of funds from its so-called Green Car Innovation Fund? What conditions has the government put in place to ensure that new so-called green car research and development takes place at Toyota as a result of its grant? The minister could perhaps answer: was Kim Carr right when he told the Weekend Australian:

… it doesn’t have to be new research and development, it doesn’t have to be adopted off the drawing board, it doesn’t have to be newly patented technology …

Photo of Alan FergusonAlan Ferguson (President) Share this | | Hansard source

Order! Before calling Senator Evans, I would remind Senator Fifield he must refer to a senator by his proper title.

Photo of Chris EvansChris Evans (WA, Australian Labor Party, Leader of the Government in the Senate) Share this | | Hansard source

Thank you, Mr President. The key point is this: our contribution, the $35 million capital grant, will support Toyota in developing the hybrid Camry in this country. They will do the R&D, they will do the retooling and they will produce cars in Australia—a very important development. I do not know what your problem, particularly as a senator for Victoria, is with us actually securing these developments in Victoria that will help create jobs in your home state, Senator. I think it is very clear this is a really positive thing for Australia. We have, through the capital grant, the capacity to negotiate with Toyota the sorts of conditions that will apply, and we are focusing on research and development, the retooling of the plant and ensuring that we get as much flow-on benefit for suppliers out of this development as we can. (Time expired)