Lyn Allison (Victoria, Australian Democrats) Share this | Hansard source

I would ask the minister to address my question. I understand the point that was made, although it is my understanding that it was indeed intended. This subsidy, as you describe it, was intended because we wanted to get the biofuels industry off the ground. At the present time it is nowhere in this country. It is just starting to develop. We have the possibility of even moving to about one million litres of biofuel production in this country. That is still a very small amount compared to what happens in other countries and the great potential in this country.

I ask the minister to focus on one question. In terms of the cost and the impact of this legislation, from 1 July this year and from 1 July next year and maybe the year after that, can you assure the Senate, given all of the givens that we have already seen in terms of the price and the effects of the various mechanisms in this bill, that biodiesel will not become more expensive than diesel in all of those permutations? If there is some that will not become more expensive, can you tell the chamber that? Can you tell us which mix of assumptions—whether it is on or off road; whether it is B49 or B20 or something else—will continue to have the current advantage that it has in terms of price over diesel?