Penny Wong (SA, Australian Labor Party, Minister for Climate Change and Water) Share this | Hansard source

You haven’t? I am happy to have the discussion again, but I think I have placed on record very clearly in this chamber why the government’s view is that we should act and why we should pass this legislation. If senators do not agree with it, I do not think that me explaining the rationale over and over again is going to really assist the process.

The senator asked some questions about the impact of the scheme. I am not sure I can give per capita figures, because that is not really a sensible way of approaching it. Perhaps I can explain it this way. What the Treasury modelling showed with a scheme, frankly, that had less industry assistance than the scheme that is before the chamber—and this is excluding what climate change costs us; this is just what the effect of a carbon price would be—was that out to mid-century the effect would be this: we would grow by one-tenth of one per cent slower each year. So we would continue to grow jobs and the economy—I think 1.7 million additional jobs by 2020—but we would grow one-tenth of one per cent slower. In the context of the costs of climate change, most would agree one-tenth of one per cent slower is a reasonable contribution. That modelling did not include what the costs of climate change were to our economy, so it did not include the costs of inaction. That is the price. That is what we are asking the community to bear: growth one-tenth of one per cent slower.

In terms of the impact on CPI, I have put that on the public record before. It is about 1.1 per cent higher at the end of the second year of the scheme than it would have been before. That is the additional consumer price index increase. In relation to the assistance to families, the largest single share of the revenue will go to Australian families. Of Australia’s 8.8 million households 8.1 million will receive direct cash assistance to help adjust to the impact of a carbon price. That is about 90 per cent of all Australian households. Low-income Australians will be fully compensated for the overall cost increase they face. About 2.6 million Australian households within the low-income bracket will receive assistance equivalent to about 120 per cent of the overall cost increase they face. All pensioners, seniors, carers and people with disabilities will be fully compensated for the overall cost increase they face. About 3.6 million middle-income households will receive some form of direct cash assistance. About half of that number, about 1.7 million middle-income households, will be fully compensated for the overall cost increase flowing from the scheme.

I am happy to continue to provide this information. The chamber is in fact discussing Senator Milne’s amendments in relation to a different method of allocating EITE support. I have indicated the government’s position. We are not proposing to support that. I wonder if it would be possible for us to perhaps bring this discussion on Senator Milne’s amendments to a conclusion.