John Howard (Bennelong, Liberal Party, Prime Minister) Share this | Hansard source

Can I say in answer to the member who represents not only the largest electorate in Western Australia and in Australia but also the largest electorate in the world—and it is an electorate that, as we all know, is home to the great resource industries of that state and, according to the people who sit opposite, it is therefore the home to the principal explanation for our economic prosperity—that many things have contributed to our economic prosperity, and part of that contribution has come from the resources boom, which has been underpinned in no small measure by the industrial relations policy pursued in this country over the last 10 years. But, in going directly to his question, the answer is that the government is still opposed to the ratification of the Kyoto protocol because it is not in Australia’s interests that we do so. We are going to reach the target or go very close to reaching the target, but we have declined to ratify the protocol for the very good reason that that would do great damage to Australia’s industries. I have been saying all along that, because of the way the protocol operates, if we had ratified we would be assuming obligations that our competitors would not be assuming and that would put us at a disadvantage.

My colleague the member for Kalgoorlie asks me whether that view has been supported by any expert opinion in recent times. I have to tell the honourable gentleman that it has, in today’s West Australian newspaper, by no less an authority and expert in economic matters than Mr Marney, the Western Australian Under Treasurer—that is, the head of the Western Australian Treasury. Mr Marney was appointed by the Western Australian Labor government. He is a career public servant and somebody who, I have no doubt, has given good service to both sides of politics in Western Australia. When he was appointed, the Western Australian Treasurer, Eric Ripper, waxed lyrical about his ability, about his 14 years experience in economics, about how he had worked in the Reserve Bank and about how he had clearly demonstrated that he has the capacity and vision required to hold the position of Under Treasurer—in other words, somebody who would know the real economic interests of the great state of Western Australia and would know what was good for Western Australia and what was bad.

What did we find the Under Treasurer saying this morning, apparently quoted at a gathering of CEDA? ‘Prime Minister John Howard was right not to ratify the Kyoto protocol on greenhouse gases because it could have a devastating effect on the competitiveness of Australian industry.’ This is not a political figure; this is an apolitical Public Service expert who knows something about the Western Australian economy. He goes on to say, ‘As long as, for example, the Kyoto protocol has a bunch of our competitors sitting outside of the constraints that come with that protocol then for us to sign up to that would be disastrous.’ There was no equivocation, and that is exactly the argument that I have been advancing. It is exactly the argument in support of the position that we have taken.

The truth is that, in responding to climate change, no rational government caring for the long-term interests of Australia is going to enter into an arrangement that would reduce the competitiveness of Australian industry. That is precisely why we remain opposed to the ratification of Kyoto. It does not include all of the major polluters. It does not include, for example, China, a country that the Leader of the Opposition on the weekend said was absolutely indispensable to a solution to our environmental problems. I think the words spoken by the Western Australian Under Treasurer, who is in an unqualifiedly advantaged position to know what would happen in his state and therefore to the resource industry of Australia, are right on the money and go directly to the relevance of the government’s position.

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