CLEAN ENERGY LEGISLATION (CARBON TAX REPEAL) BILL 2013 & RELATED BILLS
November 18, 2013
Mr CHESTER (Gippsland—Parliamentary Secretary to the Minister for Defence) (20:39): It is with great pleasure that I join the debate this evening. The reason I say that is because the people of the Latrobe Valley and Gippsland have waited a long time for this moment. Right from 2010 when the former Prime Minister betrayed the people of Gippsland by announcing after the election that she would in fact introduce a carbon tax—after promising in the days leading up to the election that there would be ‘no carbon tax under a government I lead’—the people of Gippsland and the Latrobe Valley have lived under a cloud of uncertainty as they have lived the real-life experience of the carbon tax and the uncertainties provided not just in the Latrobe Valley power stations and major manufacturing industries but also through the small business sector and into households and farming communities. The people of the Gippsland and the Latrobe Valley have waited a long time for this opportunity to hear tonight’s debate and they welcome in no uncertain terms the Prime Minister’s commitment and capacity to deliver on his promise to repeal the carbon tax as the first order of business of a new coalition government.
There is a clear contrast between this coalition government and the former Labor government in that we went to the election with a clear promise to the Australian people that we would, as a first order of business on the first sitting day of parliament, take measures to repeal the carbon tax. Contrast that with the former Prime Minister, who told the Australian people that there would be no carbon tax under a government she led and then promptly ditched that promise in the most extraordinary betrayal of trust the Australian people have seen in a very long time as part of the deal with the Australian Greens. That decision by the former Prime Minister to go into a formal agreement with the Australian Greens and to betray the Australian people by introducing a carbon tax was pivotal in the former Prime Minister’s failure to connect with the Australian people over the ensuing months of her prime ministership.
So it is with great pleasure that I stand here tonight on behalf of the people of Gippsland and welcome this decision by the Abbott and Truss government to repeal the carbon tax. While the previous speaker, the member for Grayndler and former minister for infrastructure, would like to pretend that there is no mandate for the coalition government in this regard, there is a clear mandate. Leading up to this election the Prime Minister, then Leader of the Opposition, all the shadow ministers and candidates right throughout the Liberal and National parties across Australia made it very clear that this was a referendum on the carbon tax. Quite clearly the Australian people handed a majority of seats to the Liberal and National coalition and we are in the position we are in today where the legislation is before the House.
The reasons for my support for this legislation to repeal the carbon tax relate specifically to jobs and the future of the Latrobe Valley. Throughout the period of 2010 to 2013 we have seen enormous uncertainty affecting investment decisions made by the brown coal power station generators in the Latrobe Valley. That uncertainty has lead to reduced investment in maintenance and that has had a flow-on effect right through the heavy construction sector and the contract workers in the Latrobe Valley region.
During this period the people of the Latrobe Valley were given enormous assurances from former cabinet ministers. They were told that there would be a regional structural adjustment package to assist my community as it dealt with the impacts of the uncertainty and the additional costs imposed as a result of the carbon tax. The government actually came down to the Latrobe Valley, met with community leaders and promised in the order of tens of millions of dollars would be available under the structural adjustment package. I think it was a $270 million package across Australia, but I could be corrected on that. But once the government abandoned its Contract for Closure scheme, it also abandoned the regional structural adjustment package.
What we have seen over this period of the last three years is a region disadvantaged by betrayal of trust in the form of the former Prime Minister; then misled on the policy direction that was supposedly going to assist that community to adjust to these new policy directions; and then finally left with virtually nothing, until, in the very dying days of the former government, we had the new regional infrastructure minister visit the region and make some more promises of the Latrobe Valley about how they would be assisted, if only they re-elected the Labor government. Thankfully, that is not the case. Thankfully the Labor Party was not re-elected and we have this opportunity today in this place to begin the process of repealing the carbon tax and providing more certainty to large manufacturers and large employers in my electorate, including the power stations.
I cannot quite figure out what it is about this issue that the Labor Party do not get. What don’t they understand about the decision made by the Australian people on 7 September? The Australian people made their position on this issue abundantly clear. The previous speaker, the member for Grayndler, spoke about rallies on the weekend, with supposedly thousands of people supporting the opposition’s position. There were rallies week after week after week between 2010 and 2013 opposing the carbon tax and demonstrating against that betrayal of trust I spoke about earlier. I cannot quite figure out why the Labor Party will not listen to the Australian people on this issue. If they took the time to go out and meet with regional business owners in my electorate they would understand very quickly just how hated the carbon tax is in regional Australia. It is not just the major manufacturers I talked about before; in the small business sector and in the agricultural sector I am constantly approached by business owners raising their concerns about how the carbon tax has added to the input costs of their businesses—the cost of doing business in the transport sector and a whole range of small businesses, particularly the dairy sector. The average dairy farmer is faced with an extra $5,000 a year in energy bills as a direct result of the carbon tax. These are businesses that we were assured, in the aftermath of 2010, would not pay the carbon tax. They may not have been liable for the carbon tax directly, but they had the indirect costs associated with higher energy prices and fuel costs.
At a time when the Australian dollar was strong and Australian exporters were finding it difficult to compete on world markets, what genius in the former government came up with the idea to add to the imposts on Australian business owners? It was not the Labor Party who came up with it—it was the Greens. We all do an analysis of our party’s result after elections and try to figure out what went right and what went wrong. I suggest to those in the Labor Party that they need look no further than the Australian Greens to find out where their problems started. They need look no further than the Australian Greens to find out why the Australian people are abandoning the Labor Party in droves. The Greens are the greatest threat to jobs in regional communities throughout Australia. They are a threat to jobs in our traditional industries, such as the timber industry. They are opposed to commercial fishing and they are opposed to jobs in the agricultural sector. They keep passing on an enormous burden to the agricultural sector. They led the charge against the live export industry, which led to enormous job losses through Northern Australia and that had a flow-on effect throughout the entire beef industry in Australia. As the Labor Party does its analysis of where things went wrong, they should look no further than their formal agreement with the Australian Greens and the carbon tax and the betrayal of trust that that led to.
The broken promise by the former Prime Minister led to an enormous lack of confidence in Labor in regional communities. Small business owners in particular were saying to me that they simply did not trust the government and the direction it was taking . Some of those listening tonight will have played team sports. When your team lacks confidence it is almost impossible to get it back. It is the same in the business sector. Once the business sector starts losing its confidence, it takes a lot of things to go right for business to regain the confidence to invest, whether it be in new infrastructure or in hiring more people. Following the betrayal of trust by the former Prime Minister in 2010 business simply lost confidence that the government was heading in the right direction. They simply did not believe that the government knew what it was doing. We had a Prime Minister who promised one thing before the election but did something completely the opposite after the election, and that led to a severe lack of confidence in the business sector right throughout regional Australia and indeed through our cities.
Today we hear members opposite saying they are not prepared to listen to the will of the Australian people—the will clearly communicated through the ballot box at the federal election. It strikes me as extraordinary that any party which intends ever to govern again in Australia would fail to learn the lesson from their electoral experience and think it could continue to support a carbon tax when the Australian people have so clearly called for its repeal. The key issue for those listening at home tonight is the extraordinary additional costs of living which have been passed onto their households as a direct result of the previous government’s carbon tax. According to Treasury modelling, upon repeal the cost of living across all Australian households will be on average $550 lower than it otherwise would have been if the carbon tax remained in place. Extending that figure into the broader community, the modelling indicates that the carbon tax has been a $9 billion a year hit on the economy.
When I talk to people in the broader Gippsland region, they say to me that they are keen to have a government that listens to them—not a government that continually lectures them and tells them what they are doing wrong; not a government led around by the Australian Greens, who tell people what jobs they can and cannot have. The people of Gippsland and the Latrobe Valley tell me they have had a gutful of being told by city-based Greens what jobs they can and cannot have. They are saying to me that they want a government that tells them what it wants to do before the election and then does it after the election. That is the fundamental trust that the Australian people want to have in their government. When the Australian people voted at the last federal election they were very clear in their own minds about what they would get in an Abbott-Truss government. It was clear to them that they were voting for the abolition of the carbon tax, and that is what is eventuating. The Australian people expect us to repeal the carbon tax. There is a level of expectation in the community that has been factored into the lives of ordinary householders and into the decisions of both small and large businesses. They knew in advance that if the coalition government won government we would take action immediately to repeal the carbon tax. So it is a proud day for me, as a member of the coalition and as a member of the Nationals, to be able to stand here today and support the measures being taken by the coalition government.
One of the key issues members opposite try to use as a political weapon against the coalition is the environmental measures associated with the carbon tax. The bottom line is the carbon tax did not do anything for the environment in Australia. The carbon tax did not result in reduced emissions from Australian sources. It never has and probably never will whereas the coalition’s plan for direct action is targeted precisely at improving the environment for the Australian community.
Dr Leigh interjecting—
Mr CHESTER: It is interesting the member opposite, who seeks to interject, has been in the parliament for all of 30 seconds and is already keen to have an argument. Perhaps he would like to go back to his constituency and explain why his party is ignoring the will of the Australian people, the overwhelming majority of Australian people who voted to repeal the carbon tax, and explain also why his former leader promised one thing before the election and promptly betrayed the Australian people only days later as a part of a dodgy deal with the Australian Greens. Perhaps he would like to go back to his constituency and explain all that or get on board with the Nationals and with the Liberal Party and support the repeal of the carbon tax; it is his choice. The great thing about the Australian democracy is we have a choice. The Australian people made that choice and, in making that choice, were very clear.
I will finish where I started and refute the member for Grayndler’s suggestion that there is no mandate for this. The member for Warringah, the current Prime Minister, and all National and Liberal shadow ministers at the time—now cabinet ministers—campaigned precisely for this moment. We campaigned and said this was a referendum on the carbon tax. We campaigned and told the Australian people that we were prepared to repeal the carbon tax as the first order of business if we were elected. That is what we have done; that is why we are here tonight. I encourage those opposite to listen to the will of the Australian people and support the coalition in its efforts to repeal the carbon tax. Let us get on with delivering for the Australian people what we promised.