House debates

Wednesday, 15 May 2024

Ministerial Statements

Regional Budget Statement

12:16 pm

Photo of David LittleproudDavid Littleproud (Maranoa, National Party, Shadow Minister for Agriculture) Share this | Hansard source

It was just under two years ago, at the conclusion of the federal election, that the Prime Minister stood up at an RSL in the inner west of Sydney to give his first televised address to this nation. In his speech, he took this opportunity to articulate the two guiding principles that would drive his government: no-one would be held back, and no-one would be left behind. We've heard these words repeated many times, yet this vision, this promise, this slogan—no-one held back and no-one left behind—rings hollow for the 30 per cent of Australians who live in regional Australia. They are the hardworking men and women who have always been the backbone of our economy. They are the proud men and women who grow our nation's food and fibre and dig up our resources. They are those dedicated Australians who contribute enormously to sectors like primary production, tourism, mining and manufacturing—all those essential services that keep our country moving forward.

It should never be lost on those sitting opposite that much of the wealth which underpins their electorates in metropolitan Australia and this budget comes from the efforts of those who live, work and invest in the regions. However, the stark reality is that, in just under two years of this Labor government, the people, the families, the communities and the industries in regional Australia are doing it tough, and it's a direct consequence of the policy decisions this government is making.

What we've seen in the 24 months since the Albanese government was elected is an unprecedented and targeted assault on the regions. We've seen enormous cuts to regional infrastructure in road, rail and water projects. We've seen the government tear up the dedicated agricultural visa despite crippling and widespread workforce shortages. We've seen changes to the PALM scheme to the point where it's almost unworkable for our primary producers. We've seen Labor pushing ahead with a $150 million fresh food tax on Australian farmers to make them pay for the biosecurity risks of their international competitors. We've seen the devastating human toll of the government's move to shut down Australia's live sheep export industry.

We've seen the end of bipartisanship on the Murray-Darling Basin Plan and the return of water buybacks and the recovery of an additional 450 gigalitres of water. We've seen the ongoing rollout of wind and solar factories and the 28,000 kilometres of transmission lines across agricultural land in pursuit of a disastrous all-renewables approach to our energy grid. We've seen the distribution priority area classification system blown up, which has made it more difficult for rural and remote towns to recruit a doctor. We've seen a tax on new vehicles, where Australian families, farmers and tradies will pay more for SUVs, four-wheel drives and utes. We've seen more than $400 million wasted on a referendum that divided our nation. And we've seen a cost-of-living crisis continue to worsen, where inflation remains high and where, under Labor's watch, the cost of almost everything is going up—a crisis that has been further compounded by shameful price gouging by the big supermarkets, with Labor taking far too long to act. These are just a few examples of what this government has inflicted on regional Australia. All over our regions it has been hit after hit. It is clear that these are the practices and decisions of a government that is blinded by an ideology which has no empathy, no understanding and no recognition of the practical realities of living in regional Australia and it only promises to get worse, because last night the Treasurer did us over again. This is a budget that completely fails regional Australia.

Ever since it was elected, the Albanese government has proven itself incapable of dealing with the cost-of-living crisis that is smashing the hip pockets of so many families. These are families that simply can't afford a third budget failure in beating this crisis, a crisis where Australians are paying 10 per cent more for their food, 12 per cent more for housing, nearly 20 per cent more for their power and 25 per cent more for their gas—their gas. The ultimate result of Labor's economic mismanagement is that families in regional Australia are being hit with higher taxes, higher grocery bills, higher energy bills and higher mortgage repayments.

Driven by poor policy and surging migration, Australia is facing a housing crisis. It is an issue that is biting hard in the regions. Since Labor was elected, national median rents have increased by 21 per cent, and Australians are paying an extra $24,000 per year on an average mortgage. Immigration is out of control, and the budget papers confirm the unprecedented increase in net overseas migration which will now see nearly 1.7 million new migrants coming to Australia over five years. This government has fuelled our nation's housing and rental crisis with record immigration at a time when housing approvals are at an 11-year low. While cost-of-living pain intensifies and the housing crisis worsens, many entrenched problems in regional Australia remain under Labor's radar. This is a government that refuses to fix the mess it caused by its decision to change the parameters of the distribution priority areas, a move that has forced rural towns into direct competition with city suburbs to recruit GPs. For Australians living in regional, rural and remote communities, this remains difficult to accept, and it puts lives at risk.

Access to child care is an enormous source of stress and frustration for young families living in our regions. Currently about nine million Australians live in a childcare desert while one million have no access at all. We urgently need innovative measures that provide flexibility, choice and access for families living outside the major cities, something that the Albanese government has again failed to do.

When it comes to infrastructure and water, we noted that in its first two budgets the Albanese government swung the financial axe over crucial projects which will be worth billions of dollars. Labor cancelled, cut and delayed $25 billion worth of infrastructure projects over its first two years. They abolished more than $10 billion worth of regional programs, crucial programs such as the Building Better Regions Fund, the Local Roads and Community Infrastructure Program, community development grants, the Stronger Communities Program and the Roads of Strategic Importance, among many others, are all gone. On top of this we saw transformational water projects including Hells Gate Dam, Dungowan Dam and Emu Swamp Dam all having their funding ripped away. Unfortunately, in last night's budget we saw this trend of cuts and neglect continue with confirmation that not one cent for regional economic development community infrastructure will be delivered this year. Meanwhile, not one new program to support regional economic development was announced. Despite claiming that $1 billion will be made available to strengthen regional communities, funding which would commence on 1 July 2023, no money will be paid out this year under either the Growing Regions or the Regional Precincts and Partnerships Program.

In total, our regions have been robbed of $130 million worth of investment that was intended to be delivered this year. In addition to the $25 billion that was cut and cancelled in our first two years, these budget papers reveal a further $2.1 billion worth of infrastructure that has been gutted from the regions. This takes total project cuts and cancellations under Labor to more than $27 billion. This is a government that now expects to spend $1.6 billion less on infrastructure this year than they budgeted for just five months ago in MYEFO. This is yet more proof of Labor's inability to deliver. Road investment will be $906 million less in 2024-25, and rail investment has been reduced by $528 million across the same period from what was budgeted last May. It's a shame that Labor can find money for an extra 36,000 Canberra bureaucrats but couldn't spend money to fill a few potholes—let alone build new roads—for regional Australia.

In the water portfolio, Labor have cut more than $590 million in funding for the Paradise Dam Improvement Project, the Big Rocks Weir project and the Hughenden Irrigation Scheme and redirected those savings to other priorities they haven't even announced. Disgracefully, this government has form when it comes to ripping out funding from water projects, and these cuts add to the $7 billion that was removed from water infrastructure in Labor's first budget. It's also an insult to impacted regional communities that Labor is still hiding how much funding it has allocated to water recovery in the Murray-Darling Basin. These are the water buybacks which will drive up the cost of food and pour more fuel on a cost-of-living crisis. What they're not hiding is the additional $217 million in funding that the Department of Climate Change, Energy, the Environment and Water have received to increase their number of public servants by 35 per cent. It's unclear why the department needs more Canberra based bureaucrats at a time when the government is damaging regional communities in our nation's food bowl.

But it's not just the paralysis of infrastructure and water where this government has failed the regions. Despite being legislated more than a year ago, Labor's $15 billion National Reconstruction Fund is yet to deliver a single cent into Australia's manufacturing industry. Those opposite may talk a big game about 'made in Australia', but there's been minimal action on the ground.

This is a budget that also shamelessly highlights the contempt the Albanese government holds for Australian agriculture, and among the most troubling measures confronting this sector is the government's so-called biosecurity protection levy, which is due to take effect in less than two months. It's, at core, a new tax which is expected to collect $50 million a year—a tax on Australian farmers and Australian fresh produce. It's a fresh food tax that will make our farmers pay the biosecurity risk of their foreign competitors so they can bring their products into this country and compete with Australian producers on the shelves of our supermarkets. In what parallel universe would any government do this to our primary producers? But, despite widespread opposition, with a glaring lack of detail Labor is pushing ahead by setting the tax rate as a proportion of an industry gross value of production over a three-year period.

Unlike under those opposite, under a coalition government Australian farmers will not be punished by the biosecurity risks of their international competitors. If elected, our approach to sustainably fund biosecurity in the long term will target those who create the risk—the importers. This will be done by establishing an importer container levy, which would apply to all containerised cargo coming into Australia. This is the sensible, reasonable and fair approach that's needed. So, when it comes to the biosecurity protection levy, we urge the Albanese government to listen to the concerns of our farmers and industry leaders and to take action.

An essential part of our agriculture sector is the live export industry. It contributes more than $1 billion, provides a crucial source of employment across regional Australia and is underpinned by the world's best animal welfare standards. However, what we see in this horror budget is $107 million committed by the Albanese government to transition to the end of live sheep exports by 1 May 2028. It's inexcusable that we have just witnessed an Australian government throw more than $100 million in taxpayers' money to shut down a lawful, profitable and sustainable animal production industry—one which employs more than 3,000 Western Australians.

The decision by the Albanese government to proceed with this policy is disgraceful, heartless and morally bankrupt. An essential question is: while sheep producers are suffering from drought and falling prices and being forced to shoot their own livestock, why has Labor callously placed the interests of extreme activists over the emotional wellbeing of our farmers? This is a decision that will cost thousands of jobs and will tear apart the social and economic fabric of Western Australia. Shamefully, this is a decision that has never been predicated on science or economic data, and it's one that ignores the clear evidence that this trade is growing substantially and the comprehensive animal welfare reforms implemented in 2019 have been world leading.

I say to those opposite that ripping up this trade—cutting and running—and ruining innocent livelihoods in the process is not the Australian way. Today I reaffirm the federal coalition's ironclad commitment that, if we are elected, we will protect, support and reinstate the live sheep export industry if Labor succeeds in shutting it down. Under the coalition, this trade has a future, and this side of the House will always stand shoulder to shoulder with our farmers.

In this budget, when it comes to agriculture, the hypocrisy of the Albanese government is staggering. Take, for example, drought assistance. Not only is the government announcement of a $519 million Future Drought Fund nothing new, given that it was the coalition who set it up when we were in office, but the stark reality is that Labor voted against it in 2019. So we welcome this measure and the support that it will offer. It's worth recognising that when this fund was first created it was Labor MPs who turned their backs on farmers and local communities at a time of drought when they needed it the most.

In conclusion, in contrast to the empty slogans of the Albanese government under their watch, our regions are being held back and left behind. Right now, the people in that part of the nation are struggling. Under Labor, they feel abandoned, ignored and taken for granted. I want to take this opportunity to assure those regional Australians who are watching this broadcast that, if the federal coalition is elected into government, we'll take the decisive action that's needed to give them a fair go. We'll take action on Labor's cost-of-living crisis by tackling the drivers of inflation. We'll take action by delivering the strong infrastructure funding pipeline that our regional communities need. We'll take action by reinstating the ag visa and ensuring that the PALM scheme works for farmers so that we can establish a sustainable long-term regional workforce. We'll take action by axing Labor's shambolic fresh food tax and instead properly funding our biosecurity system by targeting the risk creators—the importers—instead of forcing primary producers to pay for the biosecurity risks of international competitors. And we'll take action by always supporting and backing our live export industry and reinstating the live sheep trade, in contrast to Labor, who have embraced a destructive ideology to tear it down. Unlike those opposite, the federal coalition will take the action that's required to give regional Australia the optimistic and promising future that it deserves.

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