Senate debates Questions without Notice

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Jenny McAllister

Jenny McAllister NSW, Australian Labor Party

2:55 pm

My question is to the Minister for Communications, Senator Fifield. Since the election, the cost of the Turnbull government's second-rate NBN has blown out, first by $12 billion, then by $15 billion and now by a total of up to $26.5 billion. On each occasion, the government has asserted that cost blow-outs will be funded from private debt. Will the entire $26.5 billion NBN blow-out be funded by private debt?

Mitch Fifield

Mitch Fifield Victoria, Liberal Party, Manager of Government Business in the Senate

2:56 pm

Senator McAllister is referring to and, I think, wrongly characterising the base case funding for the NBN. As was fairly recently updated, the base case for funding for the NBN is within a range of $46 billion to $56 billion, with a likely base case of $49 billion. Twenty nine point five billion—

Penny Wong

Penny Wong SA, Australian Labor Party, Leader of the Opposition in the Senate

Thank you, we know that. We can read the corporate plan.

Stephen Parry

Stephen Parry President

Order on my left! Minister, you have the call.

Ian Macdonald

Ian Macdonald Queensland, Liberal Party

Can you be quiet just for a minute?

Senator Wong interjecting—

Stephen Parry

Stephen Parry President

Order! Pause the clock.

Ian Macdonald

Ian Macdonald Queensland, Liberal Party

Can you just shut up for five seconds?

Senator Wong interjecting—

Stephen Parry

Stephen Parry President

Order! Senator Macdonald and Senator Wong! Order on both sides!

Senator Sterle interjecting—

And you too, Senator Sterle.

Mitch Fifield

Mitch Fifield Victoria, Liberal Party, Manager of Government Business in the Senate

The government's equity contribution will be capped at $29.5 billion and, as has been made clear, the balance of funding required for the NBN will be made up of private sector debt.

Jenny McAllister

Jenny McAllister NSW, Australian Labor Party

2:57 pm

Mr President, I ask a supplementary question. I simply wish to confirm, based on the minister's answer: will the minister rule out any increase in government equity above $29.5 billion?

Mitch Fifield

Mitch Fifield Victoria, Liberal Party, Manager of Government Business in the Senate

The government equity contribution is capped at $29.5 billion.

Jenny McAllister

Jenny McAllister NSW, Australian Labor Party

Mr President, I ask a further supplementary question. Minister, if the Australian public will not be contributing more equity directly, will Australians have to underwrite this $26.5 billion disaster through an explicit government guarantee?

Mitch Fifield

Mitch Fifield Victoria, Liberal Party, Manager of Government Business in the Senate

2:58 pm

Let me put a fairly straightforward proposition to colleagues in the chamber. What would colleagues around the chamber—indeed, let's talk more broadly: who would members of the community—have more confidence in: a plan which was produced and overseen by former communications minister Malcolm Turnbull or one that was prepared and overseen by Senator Conroy?

Senator Cormann interjecting—

Stephen Parry

Stephen Parry President

Pause the clock. Order, Senator Cormann!

Mathias Cormann

Mathias Cormann WA, Liberal Party, Minister for Finance

Do you remember the red underpants?

Stephen Parry

Stephen Parry President

Order!

Honourable senators interjecting—

Order! Senator Wong and Senator Cormann and Senator Conroy!

Claire Moore

Claire Moore Queensland, Australian Labor Party, Shadow Minister for Women

Mr President, I rise on a point of order on direct relevance. Could you draw the minister's attention to the question that was asked—because it had no relevance to the answer he gave.

Stephen Parry

Stephen Parry President

I will remind the minister of the question and remind him that he has 26 seconds in which to answer.

Mitch Fifield

Mitch Fifield Victoria, Liberal Party, Manager of Government Business in the Senate

Again I say: what would people have more confidence in—the Conroy plan or the Turnbull plan?

Stephen Parry

Stephen Parry President

Order, Minister. I did bring your attention to the question. I would ask you to address the question.

Mitch Fifield

Mitch Fifield Victoria, Liberal Party, Manager of Government Business in the Senate

Mr President, I had got barely 10 words out before there was a point of order. This is the first time that we actually have a good handle on costs, because we have done the work and NBN has done the work. Those opposite did not. So we have a better handle on costs. (Time expired)