House debates

Monday, 13 October 2008

Private Members’ Business

Drought

9:25 pm

Photo of Jon SullivanJon Sullivan (Longman, Australian Labor Party) Share this | Hansard source

Firstly, I associate myself with the comments that were made earlier by the member for Flynn—in particular, his comments about the capacities of the current Minister for Agriculture, Fisheries and Forestry, Mr Burke. It is widely acknowledged that this current drought is significantly worse than when exceptional circumstances, or EC, assistance was originally conceived and initiated during the Hawke-Keating Labor government years as a means of providing federal government assistance to rural or primary producers. With respect to the mover and the seconder of this motion, it is impossible not to recognise the seriousness of the drought situation across rural Australia. This drought is different. It is more protracted and severe than previous droughts. Most farms are now affected in some way, and many are severely affected. The impacts on farm families and communities of such an unprecedented drought are profound and lasting. Drought and climate change are now the greatest challenges facing rural Australia. Chillingly, a commentator recently indicated that he believed that this was not a drought but our new weather. If that is the case, it is a very sobering thought indeed for all of us in this country.

When this government was elected in 2007 the Prime Minister, Kevin Rudd, made it clear that we will not be walking away from our farmers in their time of need. The Rudd Labor government has publicly committed to maintaining the existing rules and guidelines for EC for those farm families and small businesses currently in receipt of assistance. The Rudd government will continue to support those farmers and businesses in need in current EC declared areas. As the member for Flynn indicated, 33 areas whose EC status was due to expire on 30 September recently had it extended. That brings to 69 the number of areas across Australia that remain EC declared, and that is about 48 per cent of Australia’s agricultural land.

This government has not been sitting on its hands in giving assistance to rural producers. The first Swan budget set aside $760.9 million for the provision of EC income support, interest rate subsidies and interim income support for the 2008-09 financial year. The $750,000 off-farm assets cap has been extended by this government until 30 June 2009. That commitment will continue to assist more eligible farmers and small businesses to access EC assistance under these programs as they adjust to a changing climate. Beginning on 16 June this year, a transitional income support program will help producers who are no longer in an EC declared area but continue to experience severe financial difficulties. The transitional income support program is available to all farmers who are still finding it difficult to put food on the table, not just those coming out of EC declarations. $2.8 billion has been expended on EC programs since July 2001, and 21,300 farming families have been assisted. $71½ million of support has been extended to small businesses in EC declared areas, 1,100 operators have accessed income support and 1,800 interest rate subsidies have been approved. The government has stated publicly that while farmers and small businesses are in an EC declared area and meet the criteria for EC assistance they will be able to access that vital support. This will not be affected by the outcome of the comprehensive review of drought policy currently underway and mentioned earlier by my colleague the member for Flynn.

As my colleague said, some areas of Queensland have been EC declared for eight years and half of New South Wales has been EC declared for over five. This kind of makes a mockery of the urgency of this motion here before us tonight. The situation in rural Australia has been getting worse not since 24 November 2007 but over a number of years. I agree, as does the government, that there need to be some changes to policy, and we have been doing that. We have setting that up since April, as the member said.

Debate interrupted.

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