Craig Emerson (Rankin, Australian Labor Party, Minister for Trade and Competitiveness) Share this | Hansard source

The point I am making is that in one breath coalition MPs are saying that putting a price on carbon will devastate the mining industry in Queensland and in Australia. That is what they say, but what do they do? They actually lodged a vote of confidence in the future of the mining industry of Queensland and Australia through their wallets, just like the major mining companies such as Peabody, Rio Tinto, BHP and Xstrata are doing. That is why the member for Ryan, the member for Bennelong and the member for McPherson have mining shares. I have no problem with that. It is just that they should not be going around saying that the mining industry faces a bleak future. Then there are the members for Moore, Bradfield, Dickson, Grey, Swan, Fadden and Brisbane. In fact, two MPs—the member for Stirling and the member for Flynn—acquired their shares after the implementation of a price on carbon.

So, when it comes to their wallets, when it is in their kick, when it really comes down to the basic motivations of MPs, they are in there investing in the future of mining in Australia. I do not have a problem with that. What I have a problem with is when they come into this chamber and say, 'Mining is going to be wiped out.' The member for Flynn is here and I think he might be one of these investors. Maybe he could tell us later. Yes, I see that he is. He showed his vote of confidence by investing after the implementation of this measure.

So let us not have in this chamber—I know we cannot use the word 'hypocrisy', so I will not—the double standards of people coming in here and pretending they have great concern for the future of the mining industry when in fact they do not. Indeed, the implementation of the mining tax, the MRRT, which is designed to share the benefits to the very communities to which the Leader of the Nationals has referred, could and would do that. In fact, $5.6 billion of the $6 billion in the Regional Infrastructure Fund is being funded by the minerals resource rent tax, and to what purposes is this infrastructure fund being put in Queensland alone? The Blacksoil Interchange project, with up to $54 million in the electorate of Blair, the Townsville Ring Road project, with up to $160 million in the seat of Herbert, and the Peak Downs Highway project, with $120 million in the seat of Capricornia. The member for Capricornia supports it and supports the raising of the revenue that would fund this investment, but it is opposed by the Leader of the National Party and would-be Deputy Prime Minister.

In addition there is the upgrade of the intersection of the Bruce and Capricornia highways for up to $40 million. Again, it is strongly supported by the member for Capricornia and strongly opposed by the Leader of the Nationals because the Leader of the Nationals opposes the minerals resource rent tax. He wants to give that money back to Clive Palmer and Gina Rinehart because he, along with the Leader of the Opposition, believes that Clive Palmer and Gina Rinehart pay too much tax and that these communities do not deserve the benefits of this infrastructure investment.

The Mackay Ring Road study of up to $10 million is also being funded out of this infrastructure fund which is overwhelmingly being funded by the minerals resource rent tax. So where is the true allegiance of members of the coalition? It is not with the Queensland economy and not with the mining communities of Queensland but with Clive Palmer and Gina Rinehart, because the opposition believes they are paying too much tax.

I never thought I would see the day when coalition MPs came in here and voted against a reduction in company tax and against a small business tax break allowing small businesses to write off instantly any and all assets valued at up to $6,500. I see the member for Higgins and I wonder if she would agree with her predecessor, who said that when it comes to cutting the company tax rate this is a reform that is in the national interest. He called upon Labor to support that reform in the national interest. When the coalition reduced the company tax rate, funded by some base-broadening measures, the former member for Higgins said that it was incumbent upon the Labor opposition to support these measures in the national interest. And what did Labor do? We supported them in the national interest. We supported the implementation of the business tax reform measures that were the outcome of the Ralph review. We had the former member for Higgins saying that we must because there was an obligation on oppositions to vote in the national interest.

They were the good old days as far as opposition parties voting in the national interest are concerned, because this political party, the coalition, will not vote in favour of a reduction in company tax which would support mining communities and would give a tax break to all of the 2.7 million small businesses in Australia—all of the contractors, not just the 30 per cent who are companies.

We had the embarrassment of the member for Goldstein coming in here and saying, 'But the company tax rate only applies to incorporated entities, which is only 30 per cent of them, so the rest of the small business community gets nothing.' He must be the only guy in Australia who does not understand the $6,500 instant asset write-off. In a debate late last week, when we were discussing the instant asset write-off, the member for Goldstein made exactly the same point. Learn nothing, forget nothing. It was exactly the same point. I said—predictably—in response that, of course, all small businesses get the benefit of the instant asset write-off. And he said to me, unbelievably, 'But you've got to spend $22,000 to get the $6,500 write-off.' I explained to him that you do not; you spend $6,500 or less to get the $6,500 write-off. He thought you had to spend three times that amount. He multiplied something by 30 per cent—one over 0.3—and got this figure in his head. I explained all this. Learn nothing, forget nothing. He comes into the parliament and asks the same question.

The reason he is not voting for it is that he does not understand it. The reason the Leader of the Opposition is not voting for it is that he wants to increase tax to pay for his paid parental leave scheme with a great big new tax on everything you buy. He wants to increase tax by 1½ percentage points. The true high-taxing champions in Australia are the Liberal Party. If you want to look for tax relief, if you want to look for incentive and if you want to look for small business support, then always look to the Australian Labor Party.

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