Senate debates

Wednesday, 2 March 2011

Questions without Notice

Carbon Pricing

2:08 pm

Photo of Trish CrossinTrish Crossin (NT, Australian Labor Party) Share this | | Hansard source

My question is also to the Minister for Finance and Deregulation, Minister Senator Wong. Can the minister outline to the Senate the importance of maintaining fiscal integrity around major economic reforms such as tackling climate change?

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

Pricing carbon is a major economic reform and it is one that should be undertaken in an economically and fiscally responsible manner. Regrettably, that is not something that the opposition is doing, because what has been disclosed today is that the opposition’s so-called direct action policy will in fact cost nearly three times more than they told the people before the last election—in fact, $20 billion more than they costed at the last election. How embarrassing. This party pretends to be—

Opposition Senators:

Opposition senators interjecting

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

How embarrassing: a party that claims to be fiscally responsible now is found out, now is caught out. A policy that was supposed to cost just over $10 billion will in fact cost $30 billion, another addition to your budget black hole. How embarrassing. One wonders what happened. Did Mr Robb not check the figures before the policy was released before the last election? Did they all—Senator Cormann and others—just rely on Mr Hunt to do it right? Well, he has led you up the garden path, and it is utterly embarrassing.

Opposition Senators:

Opposition senators interjecting

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

Senator Wong, resume your seat.

Photo of Ian MacdonaldIan Macdonald (Queensland, Liberal Party, Shadow Parliamentary Secretary for Northern and Remote Australia) Share this | | Hansard source

Senator Ian Macdonald interjecting

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

Senator Macdonald, I remind you that shouting is disorderly and continuous shouting is completely disorderly.

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

Mr President, I understand why they want to shout, because they do not want to hear this because it is embarrassing. You go to the last election and you say, ‘We’re going to meet the five per cent reduction by 2020.’ You say, ‘We’re going to cost it at $10-and-a-bit billion.’ You are now found out: $30 billion, a $20 billion black hole on top of your previous black holes, and this is the coalition that already started behind the eight ball. You already had a budget black hole; you are just adding to it. (Time expired)

Photo of Trish CrossinTrish Crossin (NT, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a supplementary question. Can the minister also outline to the Senate the implications for households of taking a different approach to tackling climate change?

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

Not only would the coalition’s so-called direct action plan increase the budget black hole; it will also leave the average Australian family some $720 worse off. That is because your plan takes from taxpayers and gives to polluters, with very little environmental gain. It is inefficient. That is $720 per year that the average Australian family will be worse off under your policy. So, next time you do one of your stunts and go along to a fruit stall, picking up apples and saying, ‘Oh, these will be more expensive,’ why don’t you tell the truth and say, ‘What we’re actually going to do is put our hands into the wallets and the purses—

Opposition Senators:

Opposition senators interjecting

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

Senator Wong, resume your seat.

Photo of Ian MacdonaldIan Macdonald (Queensland, Liberal Party, Shadow Parliamentary Secretary for Northern and Remote Australia) Share this | | Hansard source

Senator Ian Macdonald interjecting

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

You got sacked from the shadow ministry for lying, Ian, so—

Opposition Senators:

Opposition senators interjecting

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

Senator, I think you should withdraw that.

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

I withdraw it unconditionally, Mr President.

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

Why wouldn’t the opposition be upfront and say, ‘Actually, our policy is to put our hands in the purses and the wallets of Australian families and hand it to polluting companies for questionable environmental gains’? That is your policy. (Time expired)

Photo of Trish CrossinTrish Crossin (NT, Australian Labor Party) Share this | | Hansard source

Mr President, I ask a further supplementary question. Can the minister also outline to the Senate any support for the economic implications of taking an alternative approach to tackling climate change?

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

The coalition have searched far and wide for an economist who will say this is a good idea, because what we know is this: the Treasury say it is not a good idea and the Department of Climate Change and Energy Efficiency say it is not a good idea. Where are the economists who say it is a good idea? Really, I think Mr Turnbull had it right. Mr Turnbull essentially said that there are no economists who can be found to support your policy. You are a party that pretends to be economically and fiscally responsible. You have put forward a policy with a bunch of black holes associated with it, which will cost three times more than you told the Australian people, $20 billion more—$720 from Australian families—and you have no economic basis, no economic credibility and no economic rigour to your policy whatsoever. And Mr Turnbull and other people in your party know it. (Time expired)

2:14 pm

Photo of Cory BernardiCory Bernardi (SA, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | | Hansard source

My question is to the Minister representing the Minister for Climate Change and Energy Efficiency, Senator Wong. Is the minister aware of a national survey that found that 83 per cent—

Photo of Doug CameronDoug Cameron (NSW, Australian Labor Party) Share this | | Hansard source

Is this a question about a burqa?

Honourable Senators:

Honourable senators interjecting

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

Senator Bernardi, I will have to ask you to start again. I cannot hear the question.

Photo of Doug CameronDoug Cameron (NSW, Australian Labor Party) Share this | | Hansard source

Is this a question about a burqa?

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

Senator Cameron!

Photo of Cory BernardiCory Bernardi (SA, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | | Hansard source

There’s a sheep bleating.

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

Senator Bernardi, I do not need your comments on this matter. I am endeavouring to give you what you are entitled to, and that is to be heard in silence. Senator Bernardi, start again.

Photo of Cory BernardiCory Bernardi (SA, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | | Hansard source

My question is to the Minister representing the Minister for Climate Change and Energy Efficiency, Senator Wong. Is the minister aware of a national survey that has found that 83 per cent of businesses intend to pass on the cost of Labor’s carbon tax through increased prices? Regardless of what price the minister and the government decide to put on carbon dioxide emissions, and regardless of how high the tax might be, can the minister admit that the evidence indicates that consumers and Australian families will inevitably be worse off?

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

Given some of the senator’s recent statements, there is very little that he says that I would give any weight to.

Honourable Senators:

Honourable senators interjecting

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

And there are those moderates on the other side who agree with me.

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Shadow Parliamentary Secretary for the Murray Darling Basin) Share this | | Hansard source

Play the ball, Penny, not the man.

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

I am very happy to do that, Senator. It’s a pity some on your side don’t do that.

Opposition Senators:

Ooh!

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

Senator Wong, resume your seat. When there is silence, we will proceed. Senator Wong.

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

We have been upfront with the Australian people that pricing something that is—

Photo of George BrandisGeorge Brandis (Queensland, Liberal Party, Shadow Attorney-General) Share this | | Hansard source

‘There will be no carbon tax.’ How upfront was that?

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

I remind senators that interjections are disorderly and I need to hear the answer.

Photo of Mathias CormannMathias Cormann (WA, Liberal Party, Shadow Assistant Treasurer) Share this | | Hansard source

You are misleading the Senate!

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

That is another interjection that does not help the capacity of this chamber to deliver a reasonable question time to those who are listening.

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

I am asked about price impacts. As the Prime Minister has said, once you price something that is currently free, which is polluting, there will be price impacts. The carbon price is paid by big polluters but, yes, we have acknowledged there will be price impacts, which is why, under the approach we will be taking, households will get assistance. The Prime Minister has been clear about that. For Senator Bernardi’s information, it is one of the key differences between the government’s approach as proposed and the opposition’s approach. The opposition takes from taxpayers and gives to polluters. The government levies a charge on pollution, recognises the price impacts and provides assistance to Australian households. No amount of the sort of scaremongering and inaccurate information that Senator Bernardi and others in the opposition put forward will make us resile from this basic fact: we want to price carbon. If you do not price carbon, you do not effectively tackle climate change. There will be price impacts. The government has said that, which is why we have also said that we would be looking, as the first priority, to assist households.

Photo of Cory BernardiCory Bernardi (SA, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | | Hansard source

Mr President, I thank the minister for the answer and I ask a supplementary question. Given that the government intends to compensate Australians for the cost of this tax, isn’t this just a massive exercise in socialist wealth redistribution, driven by a Greens ideology through an inefficient bureaucracy at the cost of millions of dollars to Australian businesses?

Opposition Senator:

Bob’s nodding!

Honourable Senators:

Honourable senators interjecting

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

When there is order, we will proceed.

Honourable Senators:

Honourable senators interjecting

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

Everyone has enjoyed the moment. If we could have silence, then we will proceed with question time.

Photo of Nick SherryNick Sherry (Tasmania, Australian Labor Party, Minister Assisting the Minister for Tourism) Share this | | Hansard source

The only socialists left in the place are the National Party!

Photo of Eric AbetzEric Abetz (Tasmania, Liberal Party, Shadow Minister for Employment and Workplace Relations) Share this | | Hansard source

Senator Abetz interjecting

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

Whilst this might be interesting across the chamber, I wish to draw to your attention that this is a matter for post question time. All that is being achieved here is chewing up the time that is allocated for question time, and I do not think that that is healthy. Senator Wong.

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

The answer is no.

Photo of Stephen ConroyStephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Government in the Senate) Share this | | Hansard source

That’s all it deserved.

Honourable Senators:

Honourable senators interjecting

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

When there is order, we will proceed.

Photo of Cory BernardiCory Bernardi (SA, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition) Share this | | Hansard source

Mr President, I ask a further supplementary question. Given that this carbon tax will cost Australian households as well as businesses millions of dollars, why is the government introducing a tax that will destroy Australian jobs, hurt Australian families and fail to achieve its stated goal of emissions reduction?

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

The government have made clear our view that climate change is a challenge that needs to be responded to. We believe that pricing carbon is an important economic reform. We believe that the most efficient way of doing that is to put in place a market mechanism to impose such a price and to ensure that there are proper measures to assist households as well as businesses through the transition. This is about meeting one of the challenges of today that is a challenge of tomorrow. It is about looking to the future. It is about trying to ensure in years to come that we look back and we say, ‘We did manage the transition to a clean-energy, low-pollution economy’—whereas people will look back on this Hansard, Senator Bernardi, and reflect on the somewhat outlandish conspiracy theories and the scaremongering, fearmongering, oppositionist approach that you always take to most issues and most certainly to this one.