Ms Julie Bishop (Curtin, Liberal Party, Deputy Leader of the Opposition) Share this | Hansard source

I withdraw. It is evident that the Treasurer knew of the Western Australian plans to increase the royalties on iron ore well before he advised the Prime Minister to sign that mining deal with the three big miners. And this is the rub: the Treasurer knew that Western Australia was going to raise the royalty rate across the board to 7.5 per cent. They went into that meeting last year with the big miners—remember how they had to fix the mining tax debacle; they had to sack Kevin Rudd because the government had gone off the rails—knowing that Western Australia was going to raise the royalty rate, and yet they promised those miners that they would credit all current and future royalty rate increases. Now they are screaming blue murder, telling the Australian public they knew nothing about it when they knew all about it. The Treasurer knew before he made the commitment to credit all state and territory royalties against any national mining tax liability. It was interesting during Senate estimates last night how the Prime Minister's own department sought to distance itself from this debacle caused by the Treasurer. The Prime Minister's department pointed out very clearly that the advice to the Prime Minister on the mining tax deal came directly from the Treasurer on this occasion. In fact, the Prime Minister's own department was sidelined—this was all from the Treasurer. The question remains: why did the Treasurer not advise the Prime Minister that signing the mining tax deal would mean that the increases from Western Australia would be credited? Or did the Treasurer tell the Prime Minister and she thought she could get away with it before the election?

We are witnessing a huge deception of the Australian public, an enormous deception by the Treasurer to suggest he knew nothing about the Western Australian increase to 7.5 per cent when he knew all about it. He stood in this House today and said to the parliament and through the parliament to the Australian people that it came suddenly out of the blue. He has had over 12 months notice, in detailed discussions with the Western Australia government. Through a series of press announcements, he knew, yet he stood in this parliament and said it came suddenly out of the blue. This government is not only destroying the Australian mining industry but it also cannot be believed on anything. (Time expired)

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