Emissions Trading Scheme
Senator FIFIELD (2.14 pm)-My question is to the Minister representing the Prime Minister, Senator Evans. Minister, will the impact of the government’s
ETS on prices be a one-off event or will it vary with changes to the carbon price?
Senator CHRIS EVANS-I thank the senator for this question. The government has supplied the information on the modelling of the impact on households and on prices. The government’s commitment was that
it would structure the compensation package to meet those costs. That modelling was released when we debated this legislation twice in this parliament-I do not quite understand how it is that the opposition now
wants to debate it again before the bill actually comes back to the Senate.
As I say, the opposition have had two chances to debate the bill, to seek to amend it if they thought it needed improving and to pass the bill, but now it seems they are more interested in discussing it, having already defeated it twice. The parliament will get the chance to vote on this legislation again and I hope the interest they are now showing in our legislation will be represented in their approach to it when it comes back. The package of compensation was announced by the government, it was made clear that it was focused on-
Senator Abetz-Mr President, I rise on a point of order on relevance. Sessional orders require that the minister be directly relevant to the question. There was no mention of compensation in the question, it was simply whether the ETS on prices would be a one-off event or would it vary with changes to the carbon price. The answer is either that, yes, it is a one-off
event, or it will vary-just tell us. The compensation is nowhere near the issue.
The PRESIDENT-I cannot instruct the minister on how to answer the question and I cannot ask the minister to give you necessarily the answer that you may desire, but I can draw the minister’s attention to the question, which I am going to do, and advise the minister that he has 47 seconds left to address the question.
Senator CHRIS EVANS-I am doing my best to help the senator. As I said, the compensation package was outlined by the government based on the modelling.As part of that-
Senator Abetz-How is this relevant?
Senator CHRIS EVANS-Senator Abetz, if you would just stop interjecting I would actually give the answer that the senator wants, but you are determined to be the star of question time, apparently. I am happy to help, if I can be heard over the interjections.
The PRESIDENT-Order! Return to the question, Senator Evans.
Senator CHRIS EVANS-In announcing the compensation package, the government committed to an annual review of its household assistance package, so the compensation is ongoing. The government committed
to an annual review of its household assistance package to make sure that it was meeting the needs outlined by the government in terms of the compensation targets. (Time expired)
Senator FIFIELD-Mr President, I ask a supplementary question. Given that it stands to reason that if the carbon permit price changes then prices on basic
goods may vary, which I think the minister was on the verge of conceding, how does the minister explain the Prime Minister’s statement on the Today show on Tuesday that there is a one-off adjustment to the price? Minister, did the Prime Minister get it wrong?
Senator CHRIS EVANS-I have to confess to missing the Today show that morning.
Senator Abetz-How convenient!
Senator CHRIS EVANS-Well, some of us have got a real job, Senator Abetz, so we are busy.
The PRESIDENT-Order! Just answer the question, Senator Evans.
Honourable senators interjecting-
The PRESIDENT-Senator Evans, ignore the interjections and just answer the question.
Senator CHRIS EVANS-I am trying to assist the senator by giving him the answer. As I said, the government committed to an ongoing compensation package and the figures were calculated according to the Treasury analysis to provide that compensation. The government has already committed to the annual review of its household assistance package which I understand
from Senator Wong will be adjusted in the budget context. So there is ongoing compensation that will be adjusted as part of an annual review. The key point is this: the Rudd Labor government will compensate families and put the costs on polluters; the Liberal Party will not put a cap on pollution and will make taxpayers carry the cost. (Time expired)
Senator FIFIELD-Mr President, I ask a further supplementary question. Minister, if, according to the Prime Minister, there is only a one-off adjustment to the price, why is an annual review needed? If the Prime Minister cannot understand his own scheme then how can he expect the Australian public to understand it, let alone support it?
Honourable senators interjecting-
The PRESIDENT-Order! When there is silence we will proceed.
Senator CHRIS EVANS-I can only repeat to the senator that this whole package was released late last year, that the Treasury analysis that supported it was presented and that we have provided for compensation
to Australian families and pensioners. We also committed to an annual review of the household assistance package so it would be adjusted in the budget context. That is how the compensation scheme is designed to
work. We have had two attempts to get this legislation passed by this parliament and you have refused to support it. Quite frankly, a debate about the detail could have occurred then, but the key point is this: under the
government’s scheme we seriously tackle climate change, we compensate Australian families and we make the polluters pay. Mr Abbott’s scheme does not cap pollution and does not compensate families; it makes taxpayers carry the burden. (Time expired)
Honourable senators interjecting-