Kelly O'Dwyer (Higgins, Liberal Party) Share this | Link to this | Hansard source

My question is to the Acting Prime Minister. Is the Acting Prime Minister aware that the Master Builders Association has declared today that the carbon tax will reduce output in just this industry by $24 billion between now and 2020? How can the government continue to claim that the carbon tax will have little or no impact when it will add more than $5,000 to the cost of the average home?

Wayne Swan (Lilley, Australian Labor Party, Treasurer) Share this | Link to this | Hansard source

I do not think we should be surprised that there is a lot of dodgy modelling around. There are a lot of untrue claims being made and we have heard a lot of them in the House today. But the truth will be there from 1 July onwards and then we will be dealing with the reality of a carbon price: what impacts it will have on the overall price level and how it will flow through our economy. We had a very good endorsement yesterday of the carbon price from the IMF, which goes through endorsements we have had and work that has been done by groups as diverse as the Productivity Commission, the OECD and many other international agencies. The fact is our economy will continue to grow, and grow strongly. Our economy will continue to generate jobs and it will continue to generate prosperity. But, in the interim, those opposite are hell-bent on the scare campaign we are witnessing today and it is not surprising to anyone on this side of the House that they are joined in that by some sections of industry, but it does not make it right. The fact is that our economy will grow strongly, wealth will be created and we will be a better country because we will be more energy efficient and more powered by renewable energy. That is a good thing for all Australians. But we have seen all sorts of exaggerations over the past couple of days. This is what the shadow Treasurer had to say yesterday:

… electricity prices in Sydney have risen 66% since Federal Labor came to power. This increase because of the carbon tax just adds further to cost of living pressures …

I rest my case.