Michelle Landry (Capricornia, National Party, Shadow Assistant Minister for Manufacturing) Share this | Hansard source

Manufacturers across Australia are facing challenging times. Spiralling energy costs, severe labour force shortages and disrupted supply chains are pushing businesses to the brink of collapse. Everywhere I go and every business owner I speak to, the message is clear: import costs are going up and it's a struggle to fill vacant positions. Since I was appointed shadow assistant minister for manufacturing, I have heard from many businesses who are concerned for the future of the manufacturing sector under this government. Power prices are hitting record highs and we continue to watch the slow-motion trainwreck of energy policy under the current Labor government. The threat of energy disruption is increasing every day under this government, which seems more interested in renewable ideology than firming up the system with reliable and affordable energy supply. In fact, last month we learnt that electricity prices are continuing to spiral out of control under Labor, with increases of up to 29 per cent for small businesses from 1 July. This equates to a jump of $1,310 a year in their electricity bills. I ask the minister: what tangible solutions do you have to ease energy costs while ensuring supply remains reliable? Why the reckless race towards renewable energy when it's an unstable form of power set to drive up consumers' electricity bills?

Small business is the engine room of our economy, yet this Labor government has failed to effectively help industry continue to drive the economy forward. The budget was a missed opportunity for the government to support industry and business in tackling spiralling costs, workforce shortages and supply chain prices. Australian businesses waited with bated breath leading into May's budget for outcomes that would assist with easing the pressures they face, yet the Labor government chose to forge ahead with no plan for our business community. Again, I ask the minister: how will your policies assist the manufacturing sector to stand strong against the increasing cost of production? What plans do you have to rectify the deteriorating supply chain?

Labor's lack of action for Australian manufacturers will have a devastating impact on their productivity and will whittle away any chance of growth. This government has chosen to focus on making it more difficult for industry to expand their business and employ more Australians. Instead of creating a policy to bolster the manufacturing industry and continue the coalition's successful Modern Manufacturing Initiative fund, this government chose to redirect the Modern Manufacturing Initiative fund without having rolled out their own National Reconstruction Fund. This is a lost year for our manufacturers—12 months wasted for businesses to boost their productivity. Why did this government choose to cut the crucial Modern Manufacturing Initiative before the National Reconstruction Fund was established? Labor has promised numerous times that the National Reconstruction Fund will reinvigorate the manufacturing sector. I ask: why was there next to no funding in May's budget for the National Reconstruction Fund? If you stand by your belief that the National Reconstruction Fund is crucial to support industry, why are we seeing such delays? This government has done nothing but hold up crucial support for our industry.

The coalition government's strategy for manufacturing focused on creating the perfect economic conditions that are required for business—to make science and technology work for industry while focusing on areas of advantage and ensuring supply chains are more resilient. This is everything that the National Reconstruction Fund will decimate. When there is proof of a policy successfully boosting industry and the economy, why would a government tinker with a proven model? A time when industry is being confronted with energy prices skyrocketing, supply chain issues and workforce shortages, manufacturers need a government who will commit to a model which has been proven to work, not interfere with self-serving new policies that won't provide the industry relief. When will this government focus on delivering a policy that will reduce the damage inflation is causing the industry, and put forward a plan to deal with spiralling power prices? Labor's record on manufacturing is woeful, and it's concerning to think how much damage those opposite can do and will do to the industry.

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