Senate debates

Tuesday, 16 November 2010

Questions without Notice

Automotive Industry

2:25 pm

Photo of Gavin MarshallGavin Marshall (Victoria, Australian Labor Party) Share this | | Hansard source

I have a question for the Minister for Innovation, Industry, Science and Research, Senator Carr. I ask the minister if he can inform the Senate on the progress of the New Car Plan for a Greener Future?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

I thank Senator Marshall for his timely inquiry. We have just passed the second anniversary of the New Car Plan for a Greener Future. This plan is a 10-year strategy to transform the Australian automotive industry. It is a plan for innovation. It is a plan not just to save the car industry but to actually change it. We are building a greener, more globally competitive industry for the benefit of all Australians. This is about ensuring we have high-wage, high-skill, green jobs in manufacturing in Australia. It is about rolling out cars that are easier on the environment and easier on the pocket.

The key to transformation is new investment. The government provides its support on a co-investment basis. When the global economic crisis hit, car makers across the world went to the wall. The plan was instrumental in Australia in maintaining and building our advanced manufacturing capabilities. Yesterday Holden resumed its second shift operation at Elizabeth with the new production of the Cruze for export orders. That means jobs for another 165 workers. This is good news for the industry. Of course, it also builds upon the support we have seen through Ford’s $230 million investment in ecoboost technology and advanced liquid injection LPG systems for the Falcon, not to mention Toyota’s investment in bringing the Camry and the Hybrid Camry to Australia with a new engine plant.

We have seen with the new plan the component sector also improving its global competitiveness. We are providing the technology and the products for the car industry in China and increasing exports to the United States. The new car plan is bringing investment to Australia and innovation to the automotive industry. (Time expired)

Photo of Gavin MarshallGavin Marshall (Victoria, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a supplementary question. I thank the minister for that answer. How does the minister respond to suggestions that the plan should be scrapped?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

The investments I have just described are a massive vote of confidence in the Australian auto industry. It is a shame, as we have just heard from the interjections today, that the Liberal Party are walking away from that investment. The member for Indi, for instance, has said there are more worthy and more needy causes. The member for Goldstein has called for the green car fund to be scrapped. As Victorians you would have thought they would have known better. Will they go down to Altona, Geelong or Glen Huntly and tell those Victorian workers: ‘Go home. You’re not needed. There are more worthy causes’? Will they go to Elizabeth or to Launceston and tell workers in the factories: ‘Go home. You’re not needed. There are more worthy causes’?

The Toyota investment at Altona will lead to dramatic expansions and renewal of capacity and anchor Toyota’s Australian investments for years to come. If we look at what is happening with Ford, which is supported by the Brumby government, we see great news for workers in that company. (Time expired)

Photo of Gavin MarshallGavin Marshall (Victoria, Australian Labor Party) Share this | | Hansard source

I thank the minister for that answer. Mr President, I have a further supplementary question. Can the minister explain the sort of technology the green car plan is delivering?

Photo of Kim CarrKim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | | Hansard source

Thank you, Senator Marshall. Australia now has the capacity to develop exciting new generations of green technologies. If we take the new body shop at Holden’s plant at Elizabeth in South Australia, it is amongst the most advanced and most flexible in the General Motors world. It lends itself to fuel systems such as LPG, natural gas and ethanol. It could even be adapted in the future with a business case to develop hybrid or electric drive trays. The Australian firm Orbital Corporation is developing direct injection technologies for the lucrative Chinese market. CSIRO has just signed a technology transfer agreement with a leading Australian company, Moran, to enable solar car motors to be manufactured in Victoria. The transformation of this industry and its technology is well underway. I just hope the Liberal Party is prepared to stand by that industry, change its negative attitude and actually defend green jobs in Australia.