Senate debates

Wednesday, 8 March 2023

Questions without Notice

Cost of Living

2:33 pm

Photo of Perin DaveyPerin Davey (NSW, National Party, Shadow Minister for Water) Share this | | Hansard source

My question is to the Minister representing the Treasurer, Senator Gallagher. National Transport Commission data shows our truckies would pay an additional $2.6 billion in taxes and charges over three years under the proposal being considered by the Minister for Infrastructure, Transport, Regional Development and Local Government, Catherine King. Everything Australians grow on farm, or they make in a factory, or they buy in a shop has to travel by truck. Will these extra taxes and charges add to inflation and make a difficult inflationary situation even worse?

2:34 pm

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

I think Senator Davey is talking about the heavy vehicle road user charges. Is that correct? Yes. Any decision to increase heavy vehicle charges is a collective decision of all state and territory governments, and no decision has been taken yet. Those charges are intended to recover the heavy vehicle share of road expenditure by all governments, and the principle that heavy vehicle operators should continue their share towards the cost of roads is shared by government and industry. At the previous Infrastructure and Transport Ministers Meeting, ministers agreed in principle, across all governments, to a three-year charging cycle following calls from industry for longer-term certainty, but no final decision has been reached on these charges.

In response to the specifics of the question as it relates to the Treasury portfolio as opposed to the infrastructure and transport portfolio, the senator asked whether any increase in these charges—on which a decision hasn't been made—would have an effect on inflation. That is one of the reasons why we have an economic plan which is designed to ensure that government, through our revenue and expenditure, is not adding to inflation in the economy. But inflation is not determined by one charge in one part of the economy. It's the entire budget response that this government will be cautious and careful about, because we do not want to make the inflation challenge—which is real in this country and is hurting households—stay around for any longer than is necessary to bring it back into the target rate and into a more normalised setting. That is exactly why we want to concentrate on our economic plan to ensure that we're doing what we need to do. (Time expired).

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Davey, first supplementary?

2:36 pm

Photo of Perin DaveyPerin Davey (NSW, National Party, Shadow Minister for Water) Share this | | Hansard source

I think I need to be a bit more specific. Has the government received any advice from the Department of Finance or from Treasury as to the inflationary impact of Labor's proposed truckie taxes and whether they could add further pressure for even higher increases on interest rates? If so, what is that advice?

2:37 pm

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

As I said, this is not Labor's charge—if you want to call it that way. This is something that's negotiated across governments at the state and territory levels, where I think there still are some Liberal governments in power. So I think it's disingenuous, as is your entire question time attack, really, about—

Opposition Senators:

Opposition senators interjecting

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

Well, it is, because you can't actually argue on the merits, so you try and dress it up into something that it's not. No decision has been taken. As to what advice Treasury and Finance provide, I'm not going to go into advice. I can certainly say that I have not been provided—

An opposition senator interjecting

Thank you. I am not aware of—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator McGrath! Senator Davey, second supplementary?

2:38 pm

Photo of Perin DaveyPerin Davey (NSW, National Party, Shadow Minister for Water) Share this | | Hansard source

Minister, given the potential impact of increasing truckie taxes on transporters and, more importantly, consumers and their grocery bills and national inflation, will the government rule out increasing taxes on Australian truckies, or will this become another one of Mr Albanese's broken promises, of which the number is mounting?

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

I should see if Senator McGrath would like to answer this on my behalf.

Opposition Senators:

Opposition senators interjecting

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

Yes, exactly. Have a go; have a crack. You must be so proud of yourself on International Women's Day. Such a champion! Good on you. Well done. Opposition life is hard.

Honourable senators interjecting

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Minister Gallagher, please resume your seat. Order across the chamber!

Senator Wong, I have a senator on her feet. Senator Davey.

Photo of Perin DaveyPerin Davey (NSW, National Party, Shadow Minister for Water) Share this | | Hansard source

Point of order: relevance. My question had nothing to do with International Women's Day, and I'd like her to stick to the question.

The P:

Senator Davey, the minister has just started and she is being relevant. I am more interested at this point in there being order across the chamber so that I might hear the rest of her answer.

Photo of Katy GallagherKaty Gallagher (ACT, Australian Labor Party, Minister for the Public Service) Share this | | Hansard source

As the senator knows, this is a matter that's at the decision-making table of infrastructure and transport ministers, who have not made a decision. It is across state and territory governments, which are involved in discussions with the Commonwealth. So I think it's appropriately resolved at that level, and perhaps you could lobby your colleagues if you're so concerned about the position they might be taking.