Senate debates

Wednesday, 13 May 2009

Questions without Notice

Budget

2:51 pm

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

My question is to the Minister representing the Minister for Agriculture, Fisheries and Forestry, Senator Sherry. Given that the agriculture sector will play a key role in Australia’s economic recovery, why has the Department of Agriculture, Fisheries and Forestry been the only department to be hit with an across-the-board budget cut in this year’s budget?

Photo of Nick SherryNick Sherry (Tasmania, Australian Labor Party, Minister for Superannuation and Corporate Law) Share this | | Hansard source

I thank Senator Colbeck for his question. I do not think Senator Colbeck is aware of the range of circumstances that have impacted on the budget for the Department of Agriculture, Fisheries and Forestry.

Photo of Eric AbetzEric Abetz (Tasmania, Liberal Party, Deputy Leader of the Opposition in the Senate) Share this | | Hansard source

A weak minister, for starters.

Photo of Nick SherryNick Sherry (Tasmania, Australian Labor Party, Minister for Superannuation and Corporate Law) Share this | | Hansard source

This is not superannuation, Senator Abetz. Let me outline the impacts on the Department of Agriculture, Fisheries and Forestry. The first thing that should be remembered when looking at the forward estimates—and I do not know whether the senator has looked at the forward estimates in detail—is that the Dairy Adjustment Levy has been abolished. That accounts for a reduction in the forward estimates of some $233 million. The second overall range of changes that reduce the forward estimates has been a consequence of the transfer of funding to other agencies, including Centrelink. Another impact on the forward estimates reduction has been drought funding estimates that have been revised because of a decrease in the number of areas EC declared. That is approximately $28 million. Funds previously recorded in the agricultural portfolio budget of some $524 million are now accounted for by Treasury as part of the financial relations reforms stemming from a COAG agreement. The number of areas which have been declared to be in exceptional circumstances has fallen from some 74 as at 1 July 2008 to 58 as at 1 May 2009. (Time expired)

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

Mr President, I ask a supplementary question.Why, when Minister Burke says, ‘Research and innovation are crucial to the government’s plans to make our primary industries productive and more sustainable,’ has the government gutted the Rural Industries Research and Development Corporation and terminated Land and Water Australia?

Photo of Nick SherryNick Sherry (Tasmania, Australian Labor Party, Minister for Superannuation and Corporate Law) Share this | | Hansard source

I was indicating in terms of the first question—and I will come to the specific matter raised in the supplementary—that there have been further adjustments to the forward estimates. The Murray-Darling Basin grants for irrigators program concludes on 30 June 2009, resulting in a $75 million reduction to the agricultural portfolio’s 2009-10 appropriation. I understand that is well known. If you add up those adjustments, I do not accept the assertion or the claim in your question that there has been overall a reduction, given the circumstances that I have outlined. I am not being critical of you, Senator Colbeck, because I would not expect you or indeed any other senator to have read the agricultural forward estimates, given the time, in the level of detail to have been aware— (Time expired)

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

Mr President, I ask a further supplementary question. Why should Australian agriculture put up with a minister who is so weak that his portfolio has been slashed by 31.8 per cent, including unidentified savings identified at $12 million?

Photo of Nick SherryNick Sherry (Tasmania, Australian Labor Party, Minister for Superannuation and Corporate Law) Share this | | Hansard source

I think I have responded to the question in very great detail. I have gone through the areas and the programs that have been transferred to other departments and the particular programs that have been concluded—which were well known were going to conclude, such as the Dairy Adjustment Levy. I have gone through the circumstances. Fortunately, we have improved seasonal conditions in parts of Australia, which was reflected in an overall decline in allocations quite specifically for drought under exceptional circumstances. As I suggested, if you go through those changes, adjustments and movements to other portfolios, you will find that there is not a reduction in the department’s budget. As I have said, I am not being critical, because I do not think you have had the time yet to have had a look through those. (Time expired)

2:56 pm

Photo of Helen PolleyHelen Polley (Tasmania, Australian Labor Party) Share this | | Hansard source

My question is to the Minister for Climate Change and Water, Senator Wong. Can the minister please update the Senate on the new budget measures announced last night as part of the government’s Solar Flagships program to build the world’s biggest solar power project in Australia? How would this important Clean Energy Initiative support growth in the solar industry into the future? How do projects like these assist Australia’s transition to a low-pollution future?

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

I thank Senator Polley for the question and for her interest in the new clean energy of the future and the very substantial announcement in the budget last night of an investment of $3.5 billion into Australia’s Clean Energy Initiative to support the growth of clean energy generation in this country—part of the Rudd government’s comprehensive approach to the challenge of climate change.

The Clean Energy Initiative is about reducing our carbon pollution and stimulating the economic activity to support thousands of new pollution jobs. It will strengthen Australia’s domestic and international climate change response, underpinned by the Carbon Pollution Reduction Scheme. Under the initiative, the Rudd government will invest $1.6 billion in solar technologies, including just over $1.3 billion for the Solar Flagships program. This is about positioning Australia as a global leader, a world leader, in solar energy technology for the future.

Those who were in the chamber yesterday might recall Senator Cormann advocating for nuclear power. While you are for nuclear power, Senator Cormann, we on this side want to be the world leaders in solar energy—solar energy on this side versus nuclear power on that side. We want to create the clean energy jobs, the low-pollution jobs, of the future.

Opposition Senators:

Opposition senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Order! Senator Wong, resume your seat. When there is quiet we will proceed.

Opposition Senators:

Opposition senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Order! The time for debating these issues is after question time, I remind senators.

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

As I said, we on this side want Australia to be the world leader when it comes to solar technology. This program will aim to create an additional 1,000 megawatts of solar generation capacity in Australia. This is an ambitious target. It is three times the size of the largest solar energy project currently operating anywhere in the world. We will seek to develop up to— (Time expired)

Photo of Helen PolleyHelen Polley (Tasmania, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a supplementary question. Apart from the Solar Flagships program, can the minister update the Senate on further actions from the government to support clean, renewable energy technologies? How do these substantial new measures encourage innovation in clean energy generation and low-emissions technologies into the future?

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

This is a government that is focused on developing the new clean jobs of the future, the low-pollution jobs of the future, as core to our meeting the challenge of climate change. That is why, in addition to the Clean Energy Initiative announced last night, we have, as you know, a target to increase fourfold Australia’s use of renewable energy by 2020. And, of course, the Carbon Pollution Reduction Scheme, which will be introduced to the other place tomorrow, will for the first time place a price on carbon. I would remind those opposite that their own adviser, in another one of the reports they commissioned in a vain attempt to get over their own scepticism on the issue of climate change, said that central to the way forward and central to building the low-pollution economy of the future is a price on carbon. That is what Mr Turnbull used to think, that is what Mr Turnbull used to say, before those opposite got to him. (Time expired)

Photo of Helen PolleyHelen Polley (Tasmania, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a further supplementary question. Can the minister update the Senate on any threats to building the low-pollution economy of the future Australia?

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

There is one threat, and that is the opportunism of those opposite and the weakness of the Leader of the Opposition. The Leader of the Opposition used to advocate for solar energy, he used to advocate for action on climate change and he used to be prepared to stand up to the sceptics in his own party room. But what we know is that he is not up to the task. Last night’s budget delivers a $15 billion investment, across government, on climate change initiatives. That is what we are doing. What are they doing on that side? Mr Turnbull is shrinking in the face of the opposition in his own party room. He used to believe in these matters, but now he is too weak and too opportunistic to face up to the challenge.

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

Mr President, I ask that further questions be placed on the Notice Paper.