Peter Georgiou (WA, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

Before I start, Mr President, I would like to congratulate you on your appointment. My question without notice is to Senator Cormann. Minister, the Productivity Commission released a draft report on the current GST distribution, showing that Western Australia is getting an unfair share. That report outlined a proposal that Western Australia could get up to $3.6 billion in extra GST funding per year. However, another submission from the Grants Commission has cast doubts over that PC report, suggesting that in fact the big states of Victoria and New South Wales would benefit more. Can the minister outline what submissions he and his WA Liberal Party colleagues have lodged to ensure that Western Australia no longer keeps getting ripped off?

Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Link to this | Hansard source

Firstly, all WA Liberal members and senators have worked for a long time to get a better deal for WA when it comes to GST sharing arrangements, and the Australian government has long recognised that WA's share of the GST is inappropriately low, which is why, for some time now, the federal government has made more than $1.2 billion worth of top-up payments, in order to ensure that effectively WA's share of the GST does not fall, as a short-term measure, below the relativity which applied in 2014-15. Furthermore, as part of our efforts to look at this whole issue more on a medium- to long-term basis, and in the context of reforms over the medium to long term, the government initiated the Productivity Commission review. The report that Senator Georgiou references is indeed a draft report of the Productivity Commission in response to the government's initiative. Now, of course, there is a process to be followed. There is a final report due at the beginning of 2018. Once that report has been received, the government will of course properly consider the findings and recommendations in that report and make decisions as appropriate in due course.

Scott Ryan (President, Special Minister of State) Share this | Link to this | Hansard source

Senator Georgiou, a supplementary question?

Peter Georgiou (WA, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

Will the minister give an assurance, irrespective of the final report from the Productivity Commission, that he will lobby the PM and the Treasurer for WA to get a boost in GST distribution compared to the 34c in the dollar the state currently receives?

Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Link to this | Hansard source

Indeed, the state of WA already effectively gets more than 34c in the dollar. The WA share of the GST went as low as 30c in the dollar, and since the 2015-16 financial year the Australian government has made top-up payments to Western Australia, effectively to maintain WA's share of the GST at 37.6c in the dollar, which was about $1.2 billion worth of additional payments to WA to invest in infrastructure in Western Australia. Beyond that, of course, it is now a matter of awaiting the final report of the Productivity Commission, which is focused on assessing national productivity and national economic growth implications from current GST sharing arrangements. When that report has been received, of course the government will consider it and make a judgement in the national interest as appropriate.

Scott Ryan (President, Special Minister of State) Share this | Link to this | Hansard source

Senator Georgiou, a final supplementary?

Peter Georgiou (WA, Pauline Hanson's One Nation Party) Share this | Link to this | Hansard source

Can the minister explain why no WA Liberal Party MP, other than Senator Dean Smith, attended the Senate estimates hearings on GST in May and October this year?

Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Link to this | Hansard source

I thank Senator Georgiou for that question. Senator Smith is one of the many hardworking WA Liberal members and senators. If Senator Georgiou were a student of the WA Liberal Party, he would realise very quickly that the WA Liberal members and senators work as a team. We are all focused on getting the best possible deal for WA. Of course, the Australian government have made the decisions that we have made so far, including allocating more than $1.2 billion worth of top-up payments towards WA infrastructure, as a result of the hard work as a team of all WA Liberal members and senators. WA Liberal members and senators will continue to be strong and effective advocates for the great state of Western Australia.

Scott Ryan (President, Special Minister of State) Share this | Link to this | Hansard source

Senator Duniam.