Martin Ferguson (Batman, Australian Labor Party, Minister for Resources and Energy) Share this | Hansard source

I will firstly deal with the very serious issues raised by the member for Groom, because it is fair to say that the nature of the legislation that he is referring to with respect to geosequestration was work in progress by the previous government. As shadow minister for transport from December 2004 to December 2006, I can say that it was legislation we expected to come forward, but unfortunately it did not see the light of day during the previous parliament.

Having said that, it is very serious business for the current government. In my opinion the department has done a good job over an extended period in seeking to consult with industry to make sure that we get this legislative framework right. There are very serious issues of liability, and we are also trying to work out the proper balance between those who are seeking to sequester carbon and those who have existing rights to extract oil and gas.

The bill has been referred to the House of Representatives Standing Committee on Primary Industries and Resources following proper consultations in trying to work out the views of industry. It will now proceed on the basis of a proper reference. The committee’s chair is the member for Lyons, Dick Adams, and the deputy chair is the member for Hume, Alby Schultz, who absolutely welcomed this opportunity. It is also a statement by the current government that House committees are regarded as being capable of doing serious legislative considerations rather than, as the history of this place has indicated until now, the practice of just referring legislation to the Senate. If we get it right, this is a world first.

All being well, it is intended that the legislation be introduced in the very near future. It will then sit on the table to allow the committee consideration to proceed in the break with a view to finalising the legislation in the spring session. It is to be hoped that, given consideration of this offshore legislation, it also creates a road map to finalise onshore state and territory legislation, because it is important that wherever possible we get the best common approach across offshore and onshore with respect to all these issues.

I also welcome the member’s interest in the question of clean coal technology. There is a clean coal fund of $500 million, part of which was previously allocated. Over and above that, can I also assure the former minister, the member for Groom, that there is an absolute government commitment to maintain our participation in the Asia Pacific partnership. I think that is a very important issue because it goes to global endeavours to try and get clean coal technology right, because carbon capture and storage, so far as I am concerned, are central to Australia’s economic future. Eighty-two per cent of our electricity comes from coal-fired power stations and, whilst renewables will grow, just like the demand for energy will grow, unless we as a nation and a global community get carbon capture and storage right, our economic future is seriously at risk.

As part of that, I will also—following proper consultation—soon announce a clean coal council, which will obviously involve representatives of the mining industry and also state and territory governments, because it is not just government money on the table at a federal level; it is also state money from the states of Queensland, New South Wales and Victoria. We have to make sure that we get absolute cooperation, including from the scientific community such as the universities and CSIRO. There will also be a task force on the issue of sequestration, to have a look at the issues of pipelines and mapping and all those associated issues. If everything were to go right, then we would be able to put acreage out in 2008. We are not talking about fly-by-nighters who will be interested in sequestration; we are talking about an investment of $50 million to $100 million to consider whether or not sequestration can be commercialised, from the private sector’s point of view.

On the question of Table Cape Lighthouse, I must say, Sid, that I have been to a lot of places in your electorate. I have not been fortunate enough to experience it in more recent times, but I well appreciate the nature of the commitment by the government of $185,000 to upgrade Table Cape Lighthouse, a commitment which was delivered in the budget under the Australian Tourism Development Fund. As you and I appreciate, Waratah-Wynyard Council has been working on this important community project with your support over a very long period, and I was pleased to see the commitment, which was an election commitment, fully delivered in the budget, because that enables this very popular local tourism destination and the project associated with it to go forward now. It is important regionally. (Time expired)

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