Kirsten Livermore (Capricornia, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Prime Minister. Will the Prime Minister update the House on the progress of the government’s efforts to fund the reconstruction of regions impacted by recent natural disasters?

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

I thank the member for Capricornia for her question. Of course she was one of many members in this House who spent the weeks of summer assisting communities that were hit by natural disasters. In her case it was the city of Rockhampton being hit by flooding and being isolated for quite an extended period of time. Members on both sides of the House were called upon to assist their communities in that time of flooding. Members are still, in some parts of the country, being called upon to assist communities that have suffered flooding in recent days.

During that period, as we emerged from that summer of natural disasters with the flooding and then the cyclone, I made a pledge on the nation’s behalf—and that pledge was that we would not let go. We would assist the communities that had suffered so greatly during this period to rebuild. I said that all Australians would be with them during the rebuilding and recovery effort and that we would get on with it with good judgment and common purpose so that we could assist these communities to rebuild and to get on with their lives.

Last night two bills passed the Senate, the 51st and 52nd bills to do so in this parliament. They were the legislation to fund the reconstruction and recovery effort. We know these disasters have come at a terrible human cost and a cost to the economy. Queensland, which suffered so badly, is over one-fifth of our economy, and early Treasury and RBA estimates suggest that GDP growth will be half a per cent lower than would otherwise have been the case. Crop production will be around $1.2 billion less, there will be $300 million less in tourism, and coal production could be 16 million tonnes less in the March quarter.

As we go about this recovery and rebuilding we do know that, despite this economic setback from natural disasters, the underlying economy is strong. That is why it is appropriate to pay as we go. As the economy trends back to full capacity we will not take the soft option by deferring hard savings until four years from now. That is why the government took the decision to engage in savings. It was not easy, but it was the right thing to do. And we took the decision to defer infrastructure; once again, it was not easy, but it was the right thing to do. And we also took the decision to ask the Australian people—people of goodwill—to pay a flood levy, which was very fairly constructed so that 60 per cent of taxpayers are paying less than a dollar a week.

Of course, we made these tough decisions; we found the tough saves, rather than claiming it was easy. In doing so we did not play the politics of fear. We did not cut programs to earn a cheap headline. We got on with the methodical decision making necessary to rebuild Queensland and to rebuild the nation. As we know—

Dan Tehan (Wannon, Liberal Party) Share this | Link to this | Hansard source

Mr Speaker, I rise on a point of order which goes to relevance. I was wondering whether the Prime Minister could outline, now that she has taxed the Victorian people, what the plan is for Victoria for the $500 million.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

It is hard for me to decide whether the member for Wannon should know, on the basis of his predecessor’s knowledge of the standing orders, that that was not a standing order. But I would indicate to him that the next time that he interrupts proceedings in that manner he will be dealt with. I think that I have been overly generous to a number of people—whose cries I hear, and one who has interjected since he returned. Being a Tasmanian does not give him any special privileges. I warn the member for Wannon to be careful.

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

And, of course, we will rebuild Victoria too. The House would recall that the government’s plan was met by the politics of fear. The government’s plan was met by a scare campaign led by the Leader of the Opposition. That scare campaign is silent now. What we should learn from that example is that, ultimately, the Leader of the Opposition’s carbon pricing scare campaign will fall silent too—indeed, there is some evidence it has already fallen silent today—because fear cannot stand up against facts, and we will be there explaining the facts.

Anthony Albanese (Grayndler, Australian Labor Party, Leader of the House) Share this | Link to this | Hansard source

Mr Albanese interjecting

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

And I thank the Leader of the House for his very timely reminder. With those words—

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

Ms Julie Bishop interjecting

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

and with the Deputy Leader of the Opposition showing the intelligence she is famous for, I ask that further questions be placed on the Notice Paper.

Opposition Members:

Opposition members interjecting—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! I would invite the Prime Minister to withdraw, given that it was just the reaction.

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

I am happy to withdraw.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

I thank the Prime Minister for her cooperation.

Opposition Members:

Opposition members interjecting—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! When matters are dealt with members should learn to just get on with it.