Senate debates

Wednesday, 3 April 2019

Bills

Appropriation Bill (No. 3) 2018-2019, Appropriation Bill (No. 4) 2018-2019, Appropriation (Parliamentary Departments) Bill (No. 2) 2018-2019; Second Reading

1:06 pm

Photo of Doug CameronDoug Cameron (NSW, Australian Labor Party, Shadow Minister for Human Services) Share this | | Hansard source

This package of bills is required to ensure that the ordinary functions of government continue for the remainder of the 2018-19 financial year. The bills appropriate a total of around $3.3 billion in the 2018-19 financial year. This amount is already incorporated into the budget bottom line, as presented in the 2018-19 MYEFO. Labor will not block supply.

Despite all their talk about being better economic and fiscal managers, debt is at record highs and growing under the Liberals. Net debt has more than doubled on their watch and is now a record $360 billion, and gross debt has crashed through half a trillion dollars for the first time ever in the country's history—it has reached a record $543.3 billion—all on the coalition's watch. Both kinds of debt have been growing faster under the Liberals, in rosy global conditions, than they did under Labor, which had a global financial crisis to contend with.

Scott Morrison and his Liberals have no-one else to blame but themselves for their record and growing debt. In the last year alone, the Liberals have blown $200 million on political ads to distract from their cuts and chaos and the division and dysfunction that has consumed this rabble of a government. Every week, the government spends $100 million on cash refunds for excess franking credits for people who don't pay any tax—an unsustainable tax loophole that the vast majority of Australians don't access. The budget is a mess, and debt is at record highs because of the Liberals' twisted priorities, including giving unsustainable tax breaks to those who need them least and spraying around hundreds of millions of dollars on political ads. Scott Morrison and the Liberals aren't managing the economy or the budget in the interests of ordinary Australians. Under the Liberals, the economy is not working for all. Everything's going up except people's wages.

A strong economy needs a stable government. The Liberals are so divided, so dysfunctional, so much of a rabble, that they can't manage themselves. Five years of the Liberals' cuts and chaos have damaged the economy. Under the Liberals, wages growth is the slowest on record, childcare costs are up 24 per cent, power bills are up 15 per cent and private healthcare costs are up 30 per cent. Company profits are growing six times faster than wages. Can you believe it—profits going up six times faster than wages? Around 1.8 million Australians are underemployed, meaning they can't find enough hours at work. Living standards are stagnating and household debt is at record highs. The Liberals' only plan has been cuts to Medicare, cuts to schools and massive tax cuts to the banks.

Labor has a plan to give all Australians a fair go, not just the banks and the top end of town. We will pay for our plan by making multinationals pay their fair share of tax, closing loopholes mostly used by the top end of town and not giving the big banks a tax cut. We have a Fair Go Action Plan to fix our schools and hospitals, ease pressure on household budgets, stand up for workers, invest in cheaper, cleaner energy and build a strong economy that works for all. Our Fair Go Action Plan fixes schools and hospitals, delivers bigger tax cuts for workers and puts money back into the pockets of everyday Australians. That's good for the whole economy. Labor has led the way when it comes to budget repair, and we will continue to display the fiscal and economic leadership the government has been incapable of.

The budget that the coalition brought down last night fails to reverse cuts to schools and hospitals, and fails to reverse cuts to TAFE and apprenticeships. In the past six years, the Liberals have cut $3 billion from TAFE and skills, and cut 150,000 apprenticeship places. They promise a surplus that is subsidised by short-changing people with disability through a massive underspend in the National Disability Insurance Scheme.

The budget also confirms that the economy is not working for everyday Australians—everything is going up except wages. Wages growth has again been cut. Economic growth is slowing, downgraded from MYEFO. Household consumption is down, downgraded from MYEFO. The budget confirms that net debt has more than doubled under the Liberals' watch. That's nearly $15,000 for every person in Australia. After doubling the debt, their promise to pay it down is laughable. Look, the Liberals will say anything over the next six weeks to cover up for six years of cuts and chaos.

Labor will support the tax cuts that begin on 1 July for working and middle-class people. This is essentially a copy of what we proposed last year, and they are simply catching us up. A Shorten Labor government—through our Fair Go Action Plan—will fix our schools and hospitals, ease pressure on family budgets, stand up for workers, invest in cheaper, cleaner energy and build a strong economy that works for all of us. We will pay for it by making multinationals pay their fair share of tax and closing tax loopholes used by the top end of town.

Bill Shorten and Labor will deliver a fair go for all Australians, not just the top end of town. And the sooner Scott Morrison, the Prime Minister, calls an election, the better, because the sooner we will get this rabble of a government off the government benches and into opposition.

1:13 pm

Photo of Peter Whish-WilsonPeter Whish-Wilson (Tasmania, Australian Greens) Share this | | Hansard source

I'm glad I got to hear Senator Cameron say the word 'rabble' one last time—I'm not sure if he'll be able to squeeze it into his valedictory speech this afternoon, but I suspect he might be able to.

This is the seventh budget that I've been involved with for the Greens. While budgets have a lot of information—there can be a lot of detail out there—they're actually quite simple at the end of the day. Budgets are a plan. They're a plan for a government seeking a mandate from the Australian people and they're a document that outlines the priorities of a government. That plan then supports the government's priorities. I would say: this government's budget has no plan, and they've got all their priorities wrong.

My predecessor in this place, Senator Bob Brown, used to say, 'A good policy is a policy that's good for your grandchildren.' I look at the budget and see the lack of vision, the lack of planning, the lack of strategic foresight and I really am concerned. While there might have been a fistful of dollars, a surplus on a one-off windfall gain from mining revenues for our exports, there was no surplus of good ideas in this budget. There was no surplus of big ideas. There was no surplus of reform in this budget. What mandate, exactly, are the government achieving?

Let's be completely honest. This was one of the most unique budgets, if not the most unique budget, in Australian political history, because it was announced just days before the calling of a federal election; that's never happened before. So make no bones about it; last night's budget by the Treasurer was the beginning of the government's election campaign. And what mandate, exactly, are they seeking from the Australian people? What is their plan? What is their vision? Is it more cash splashes? Is it spending money from an unsustainable one-off budget surplus, the first surplus in many, many years? Where's the reform?

Well, there's one reform that the media's talking about this morning and that's the government's reform of the Australian tax system. But what exactly is that? It's making a flat tax system less progressive in this country. It is making the rich richer at the expense of the poor. Whichever way you look at it, wealthy Australians will benefit the most from these changes. How is that tackling one of the great challenges of our time—inequality? How is that dealing with long-term planning? How is that helping a social safety net, investing in the country's down-and-out and most unfortunate? How is that planning for a future for our kids? This budget robs from the future of our children to give to potential voters for the Australian Liberal Party and the Nationals. That's what this is. These are election bribes designed purely to get the Liberal Party re-elected, to hang onto power at all costs. There's no vision in this budget. There's no plan for the Australian people. The only plan is to get the Liberals re-elected.

I've tallied the so-called surpluses, which, by the way, have been questioned by a lot of good economists as to whether there actually will be a surplus over forward estimates. And when I say 'forward estimates', I mean the next three years. I've tallied those surpluses based on last night's figures and they're about $45 billion. I look at the tax cuts and the potential savings for opposing those, and I say: If we had $65 billion, because that's what they add up to, what we would spend that money on that is reform, that is a plan for the Australian people and that shows some vision? We would give free higher education to all Australians, we would increase Newstart for the country's battlers who are doing it tough, we would put DentiCare under Medicare, we would build 500,000 new homes for Australians because we desperately need public housing in this country and lastly—and possibly most importantly—we would transition this country to 100 per cent renewable energy. And we would have money left over. We would be tackling inequality head-on through increasing public housing and making education more affordable for young Australians. We would be tackling inequality head-on by raising Newstart and we would be tackling arguably the greatest existential crisis we face as a country and a nation—our climate emergency.

We've got no time left to fiddle around the edges. I spoke in here yesterday about my experience being down at Cape Grim in the north-west of Tasmania. By coincidence, within 24 hours of Mr Turnbull calling the double dissolution in 2016, the weather station there, one of two on the planet, had measured carbon dioxide in our atmosphere at 400 parts per million. That was a very ominous beginning for that election campaign. I stood on the beach with a placard that said '400 parts per million' and I did a short video urging as many Tasmanians as possible, 'We have to make this a climate change election.' This was a line in the sand we didn't want to cross. But, even though I'm a Greens senator, I feel deeply about these issues and I've been fighting for decades for the environment and for climate—even though that is the case—I can tell you that, looking back now, standing on that beach I could never have imagined how bad things would get in our climate. I could never have imagined that, that very year, we would see the worst mass coral bleaching on the Great Barrier Reef. I could never have imagined—and nor could any of our climate scientists, some of the best in the world, whose models predicted that it wasn't possible until 2050 to have back-to-back bleachings on the coral reef—that the following year that would actually happen and we would lose nearly half the Great Barrier Reef. I could not have predicted that Tasmania's giant kelp forests, the last of the 10,000-year-old ecosystem that spanned the entire east coast of Tasmania, would disappear in 2016. I couldn't have predicted that we would break every weather record possible in this country in the next three years, that we would see fires burning in the middle of winter in New South Wales at unprecedented levels or that we would see our World Heritage areas, areas that haven't seen fire for thousands of years, burning in three out of five summers. This has all happened in the last three years.

And what did we get in this budget? What's in the appropriation bill that is before us for climate change? Senator Di Natale said today that this government is spending more money on setting up Christmas Island as a detention centre than it is for the entire 15 years of its plan for the environment and for climate. The Greens have announced a climate fund. We've announced an environmental fund to fund new laws and properly fund threatened species recovery plans in the agencies that are necessary. Our commitment is at least 10 times what the government has outlined, just in the forward estimates. That's the quantum of funding we need if we are going to have policies that are good for our grandchildren. A good policy is a policy that is good for your grandchildren, not a one-off cash splash on the back of an unsustainable budget surplus. That is not a good plan. This government has got its priorities totally wrong. There's no forward thinking here. This is a budget to get the Liberal Party re-elected. We desperately need to change government. We desperately need to get serious action on reducing emissions, investing in biodiversity and investing in the future of our grandchildren.

The Greens will be going to this election and we will do everything we can to make this election about climate. I look back on 2016 and, while I felt that I did everything I could, I failed in my state to make it a climate election. I'm not going to make the same mistake twice. Based on the current carbon dioxide parts per million measurement out of Cape Grim, we've got less than 10 years to go before we hit 450 parts per million, which every scientist recognises is runaway climate change—where it's too late. That's going to happen in the next decade based on our current emissions trajectory. It's not going to happen on my watch if I have any say in the matter, and I know I speak on behalf of my party, who first raised this issue in parliament in the 1990s. We will continue to fight to get climate action and we will continue to fight, whichever government is in power, to get a proper plan funded through a budget and funded through appropriations such as we have before us today, to actually take meaningful action—the strongest possible action. There's no point in talking about jobs and growth and whatever it is that is spouted by the ideology of this Liberal-National party if we don't get the climate settings right. It's all going to be undermined in the future. Inequality and threats to national security—it's all there if we don't act on climate. It is what this budget should have delivered and has failed miserably to deliver on climate change.

1:24 pm

Photo of Zed SeseljaZed Seselja (ACT, Liberal Party, Assistant Minister for Treasury and Finance) Share this | | Hansard source

I thank senators for their contributions. I particularly enjoyed Senator Whish-Wilson's 'if I were Prime Minister one day' contribution. It would have been helpful if he'd shared some of the other Greens policies, such as their plans to introduce death taxes, dismantle the US alliance, deindustrialise the economy, allow illicit drugs to be made freely available and open the borders. We didn't get all of the Senator Whish-Wilson vision for 'if the Greens were in charge' but it is a scary thought nonetheless.

But I digress. For the edification of Senator Whish-Wilson, the appropriation bills Nos 3 and 4 before us pertain to the midyear update, not the budget. Appropriation bills Nos 3 and 4 work the same way they do every year and nothing has changed about them this year.

I thank senators for their contribution to this debate. These additional estimates appropriation bills seek authority from the parliament for the additional expenditure of money from the Consolidated Revenue Fund. Passage of the bills will ensure the continuity of government programs, the commencement of new activities agreed to by the government since the 2018-19 budget, and the Commonwealth's ability to meet its obligations for 2018-19 as they fall due. Details of the bills were considered in the additional estimates process.

In summing up, I would like to highlight some of the particularly important areas relating to delivery of the government's commitments that are supported by these three bills, the Appropriation Bill (No. 3) 2018-2019, the Appropriation Bill (No. 4) 2018-2019 and the Appropriation (Parliamentary Departments) Bill (No. 2) 2018-2019. First, the bills include support for the Royal Commission into Aged Care Quality and Safety. Second, they provide assistance for farmers and farm communities in drought. Third, they include additional funding for the Australian Securities and Investments Commission. Finally, they deliver critical enhancements to the security infrastructure of Australia's overseas diplomatic network. Once again I thank all senators for their contributions and I commend these three bills to the Senate.

Question agreed to.

Bills read a second time.