Senate debates

Wednesday, 25 June 2008

Committees

Fuel and Energy Committee; National Broadband Network Committee; Establishment

3:50 pm

Photo of Chris EllisonChris Ellison (WA, Liberal Party, Manager of Opposition Business in the Senate) Share this | Hansard source

by leave—I move motions Nos 136 and 137, standing in my name, together:

(1)
That a select committee, to be known as the Select Committee on Fuel and Energy, be established to inquire into and report on:
(a)
the impact of higher petroleum, diesel and gas prices on:
(i)
families,
(ii)
small business,
(iii)
rural and regional Australia,
(iv)
grocery prices, and
(v)
key industries, including but not limited to tourism and transport;
(b)
the role and activities of the Petrol Commissioner, including whether the Petrol Commissioner reduces the price of petroleum;
(c)
the operation of the domestic petroleum, diesel and gas markets, including the fostering of maximum competition and provision of consumer information;
(d)
the impact of an emissions-trading scheme on the fuel and energy industry, including but not limited to:
(i)
prices,
(ii)
employment in the fuel and energy industries, and any related adverse impacts on regional centres reliant on these industries,
(iii)
domestic energy supply, and
(iv)
future investment in fuel and energy infrastructure;
(e)
the existing set of state government regulatory powers as they relate to petroleum, diesel and gas products;
(f)
taxation arrangements on petroleum, diesel and gas products including:
(i)
Commonwealth excise,
(ii)
the goods and services tax, and
(iii)
new state and federal taxes;
(g)
the role of alternative fuels to petroleum and diesel, including but not limited to: LPG, LNG, CNG, gas to liquids, coal to liquids, electricity and bio-fuels such as, but not limited to, ethanol;
(h)
the domestic oil/gas exploration and refinement industry, with particular reference to:
(i)
the impact of Commonwealth, state and local government regulations on this industry,
(ii)
increasing domestic oil/gas exploration and refinement activities, with a view to reducing Australia’s reliance on imported oil, and
(iii)
other tax incentives; and
(i)
the impact of higher petroleum, diesel and gas prices on public transport systems, including the adequacy of public transport infrastructure and record of public transport investment by state governments.
(2)
That the committee report to the Senate from time to time on any related matters, and present its final report by 21 October 2009.
(3)
That the committee consist of 8 members, 2 nominated by the Leader of the Government in the Senate, 4 nominated by the Leader of the Opposition in the Senate, 1 nominated by the Leader of Family First in the Senate and 1 nominated by any minority group or groups or independent senator or independent senators.
(4)
(a)
On the nominations of the Leader of the Government in the Senate, the Leader of the Opposition in the Senate and minority groups and independent senators, participating members may be appointed to the committee;
(b)
participating members may participate in hearings of evidence and deliberations of the committee, and have all the rights of members of committee, but may not vote on any questions before the committee; and
(c)
a participating member shall (not) be taken to be a member of the committee for the purpose of forming a quorum of the committee if a majority of members of the committee is not present.
(5)
That the committee may proceed to the dispatch of business notwithstanding that not all members have been duly nominated and appointed and notwithstanding any vacancy.
(6)
That the committee elect an Opposition member as its chair.
(7)
That the committee elect a Government member as its deputy chair who shall act as chair of the committee at any time when the chair is not present at a meeting of the committee, and at any time when the chair and deputy chair are not present at a meeting of the committee the members present shall elect another member to act as chair at that meeting.
(8)
That, in the event of an equally divided vote, the chair, or the deputy chair when acting as chair, have a casting vote.
(9)
That the quorum of the committee be 5 members.
(10)
That the committee have power to appoint subcommittees consisting of 4 or more of its members and to refer to any subcommittee any matter which the committee is empowered to examine.
(11)
That 3 members of a subcommittee include a quorum of that subcommittee.
(12)
That the committee and any subcommittee have power to send for and examine persons and documents, to move from place to place, to sit in public or in private, notwithstanding any prorogation of the Parliament or dissolution of the House of Representatives, and have leave to report from time to time its proceedings and the evidence taken and interim recommendations.
(13)
That the committee be provided with all necessary staff, facilities and resources and be empowered to appoint persons with specialist knowledge for the purposes of the committee with the approval of the President.
(14)
That the committee be empowered to print from day to day such documents and evidence as may be ordered by it, and a daily Hansard be published of such proceedings as take place in public.
(1)
That a select committee, to be known as the Select Committee on the National Broadband Network, be established to inquire into and report by 30 March 2009 on:
(a)
the Government’s proposal to partner with the private sector to upgrade parts of the existing network to fibre to provide minimum broadband speeds of 12 megabits per second to 98 per cent of Australians on an open access basis; and
(b)
the implications of the proposed National Broadband Network (NBN) for consumers in terms of:
(i)
service availability, choice and costs,
(ii)
competition in telecommunications and broadband services, and
(iii)
likely consequences for national productivity, investment, economic growth, cost of living and social capital.
(2)
That the committee’s investigation include, but not be limited to:
(a)
the availability, price, level of innovation and service characteristics of broadband products presently available, the extent to which those services are delivered by established and emerging providers, the likely future improvements in broadband services (including the prospects of private investment in fibre, wireless or other access networks) and the need for this government intervention in the market;
(b)
the effects on the availability, price, choice, level of innovation and service characteristics of broadband products if the NBN proceeds;
(c)
the extent of demand for currently available broadband services, what factors influence consumer choice for broadband products and the effect on demand if the Government’s fibre-to-the-node (FTTN) proposal proceeds;
(d)
what technical, economic, commercial, regulatory and social barriers may impede the attainment of the Government’s stated goal for broadband availability and performance;
(e)
the appropriate public policy goals for communications in Australia and the nature of regulatory settings that are needed, if FTTN or fibre-to-the-premise (FTTP), to continue to develop competitive market conditions, improved services, lower prices and innovation given the likely natural monopoly characteristics and longevity of the proposed network architecture;
(f)
the possible implications for competition, consumer choice, prices, the need for public funding, private investment, national productivity, if the Government does not create appropriate regulatory settings for the NBN;
(g)
the role of government and its relationship with the private sector and existing private investment in the telecommunications sector;
(h)
the effect of the NBN proposal on existing property or contractual rights of competitors, supplier and other industry participants and the exposure to claims for compensation;
(i)
the effect of the proposed NBN on the delivery of Universal Service Obligations services;
(j)
whether, and if so to what extent, the former Government’s OPEL initiative would have assisted making higher speed and more affordable broadband services to areas under-serviced by the private sector; and
(k)
the cost estimates on which the Government has based its policy settings for a NBN, how those cost estimates were derived, and whether they are robust and comprehensive.
(3)
That, in carrying out this inquiry, the committee will:
(a)
expressly seek the input of the telecommunications industry, industry analysts, consumer advocates, broadband users and service providers;
(b)
request formal submissions that directly respond to the terms of reference from the Australian Competition and Consumer Commission, the Productivity Commission, Infrastructure Australia, the Department of the Treasury, the Department of Finance and Deregulation, and the Department of Infrastructure, Transport, Regional Development and Local Government;
(c)
invite contributions from organisations and individuals with expertise in:
(i)
public policy formulation and evaluation,
(ii)
technical considerations including network architecture, interconnection and emerging technology,
(iii)
regulatory framework, open access, competition and pricing practice,
(iv)
private sector telecommunications retail and wholesale business including business case analysis and price and demand sensitivities,
(v)
contemporary broadband investment, law and finance,
(vi)
network operation, technical options and functionality of the ‘last mile’ link to premises, and
(vii)
relevant and comparative international experiences and insights applicable to the Australian context;
(d)
advertise for submissions from members of the public and to the fullest extent possible, conduct hearings and receive evidence in a manner that is open and transparent to the public; and
(e)
recognise the Government’s NBN proposal represents a significant public sector intervention into an increasingly important area of private sector activity and that the market is seeking openness, certainty and transparency in the public policy deliberations.
(4)
That the committee consist of 7 senators, 2 nominated by the Leader of the Government in the Senate, 4 nominated by the Leader of the Opposition in the Senate, and 1 nominated by minority groups or independents.
(5)
(a)
On the nominations of the Leader of the Government in the Senate, the Leader of the Opposition in the Senate and minority groups and independent senators, participating members may be appointed to the committee;
(b)
participating members may participate in hearings of evidence and deliberations of the committee, and have all the rights of members of the committee, but may not vote on any questions before the committee; and
(c)
a participating member shall be taken to be a member of the committee for the purpose of forming a quorum of the committee if a majority of members of the committee is not present.
(6)
That the committee may proceed to the dispatch of business notwithstanding that all members have not been duly nominated and appointed and notwithstanding any vacancy.
(7)
That the committee elect as chair one of the members nominated by the Leader of the Opposition in the Senate.
(8)
That the quorum of the committee be 4 members.
(9)
That the chair of the committee may, from time to time, appoint another member of the committee to be the deputy chair of the committee, and that the member so appointed act as chair of the committee at any time when there is no chair or the chair is not present, at a meeting of the committee.
(10)
That, in the event of an equally divided vote, the chair, or the deputy chair when acting as chair, have a casting vote.
(11)
That the committee have power to appoint subcommittees consisting of 3 or more of its members, and to refer to any such subcommittee any of the matters which the committee is empowered to examine, and that the quorum of a subcommittee be 2 members.
(12)
That the committee and any subcommittee have power to send for and examine persons and documents, to move from place to place, to sit in public or in private, notwithstanding any prorogation of the Parliament or dissolution of the House of Representatives, and have leave to report from time to time its proceedings and the evidence taken and such interim recommendations as it may deem fit.
(13)
That the committee be provided with all necessary staff, facilities and resources and be empowered to appoint persons with specialist knowledge for the purposes of the committee with the approval of the President.
(14)
That the committee be empowered to print from day to day such papers and evidence as may be ordered by it, and a daily Hansard be published of such proceedings as take place in public.

Motion No. 136 is about the establishment of a select committee on fuel and energy, and motion No. 137 is about the establishment of a select committee on the national broadband network. These are very important measures indeed. I think a very good starting point is a quote by Senator Evans, the Leader of the Government in the Senate, who, when addressing the Subiaco branch of the Australian Labor Party on 28 June 2007, stated:

Labor recognises the role and value of an empowered Senate. Our support for the Senate has grown as it has developed into an effective political institution. Labor—in government or opposition—supports the Senate as a strong house of review, scrutiny and accountability.

That is something which squarely sets the scene for the establishment of these two select committees on two very important issues. Labor, formerly in opposition, stated a very clear principle that the Senate is a house of review, scrutiny and accountability. That statement says that, even in government, Labor would hold that view. I therefore call upon the government to agree with these two motions to set up Senate select committees, on fuel and energy and the national broadband network, both of which are major issues in Australia today.

At the outset I foreshadow an amendment that Senator Parry will move. It is a technical amendment in relation to motion 136, and deals with the issue of a deputy chair. It is a matter which is technical in nature. But the biggest issue here is the subject matter of these select committees. Firstly, in relation to fuel and energy, we have comprehensive terms of reference which speak for themselves and request the Senate to refer this motion to a select committee, which is to report by 21 October 2009. The single biggest issue in discussion right across Australia today is the price of fuel and, in particular, the cost to fill the average family car. The impact of spiralling costs upon the disposable incomes of working families is unquestionable. This has been an issue which the Rudd government has made much of and, during the campaign for the recent election, it spoke of reducing the price of petrol—in fact, it was very much at the core of the Rudd campaign in the last election.

Alternatives to current contemporary fuels, including the wide range of renewable energy sources currently available, and new-age synthetic fuels such as coal to liquids and gas to liquids, also need to be carefully examined and benchmarked to determine their costs, commercial viability and availability. The committee would inquire into the impact of higher petroleum, diesel and gas prices on families, small businesses, rural and regional Australia and grocery prices, as well as on industry. It would look at the role of the petrol commissioner, the impact of an emissions-trading scheme, state regulatory powers, taxation arrangements and a number of other crucial areas which deal with fuel and energy in this country.

This is not a reference which simply goes to a Friday committee for a two-week turnaround. This is not a reference which comes about as a result of one particular piece of legislation. It comes about as the result of an issue which has an impact across a broad range of areas in average life today in Australia. It merits a comprehensive review by a Senate select committee and it needs the time for that review to be adequately carried out—hence, we have included in the reference the reporting date of 21 October 2009.

The other select committee would deal with a national broadband network. This is required to fully examine the government’s national broadband network proposal, which is vague, to say the least. It needs to consider the confusion and concern surrounding that plan and also the potential contribution of $4.7 billion of more public money. This process has been cloaked in a veil of secrecy and it needs adequate scrutiny by the Senate.

The committee will also examine the implications for consumers of the proposed national broadband network in terms of service availability, choice and costs—all of these being of crucial importance to average Australians around this country. The potential impacts on competition in the telecommunications sector and existing broadband services, as well as likely consequences for national productivity, investment, economic growth, inflation, cost of living and social capital, also need to be considered.

It should also be put on the record that the government when in opposition complained about the lack of scrutiny concerning Telstra. We had many committees of inquiry dealing with the legislation surrounding the sale of Telstra, what Telstra did and the implications of broadband. It was then that the current government in opposition complained that there was not sufficient scrutiny then. This is an issue which is not going away. It is becoming more and more important to all Australians. Of course, with the development of technology and with the changing climate of communications, it becomes even more important that we maintain Senate scrutiny in relation to these areas. I hark back to the comments by Senator Evans, the Leader of the Government in the Senate, when he said:

Labor—in government or opposition—supports the Senate as a strong house of review, scrutiny and accountability.

In setting up these two select committees, we are replacing previous select committees that have done their job and reported—and, I might say, they have done a service to the parliament in the scrutiny they carried out. These two select committees will have broad-ranging terms of reference and the time to carry out this essential scrutiny. In the case of the broadband reference, the motion refers to a reporting date by 30 March 2009; again, taking these issues very seriously, allowing the Australian community as well as stakeholders who have a vital interest to make submissions and ensuring that the Senate has that scrutiny role, which is so essential. As I have said, it is not appropriate that we refer it to a Friday committee for a two-week turnaround. These are very important motions which provide for participation by senators from across the board in this chamber and contemplate the make-up of the Senate post 1 July this year.

I understand that Senator Brown might have a motion which he has discussed with me, where ‘minority groups’ should be referred to as ‘minority parties’. I can say that the coalition has no trouble with such an amendment. I commend these two motions to the Senate. The coalition has no problem in the question being put separately, should it be required.

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