Penny Wong (SA, Australian Labor Party, Minister for Finance and Deregulation) Share this | Hansard source

We were getting along so well. I was asked a similar question, I think, during the last sitting week by Senator Cormann. In relation to Senator Milne's question, I would remind her of a number of issues. The first is that the government has established a GST review panel, which has considered the distribution arrangements for the GST. That panel comprises former premiers Greiner and Brumby and Mr Bruce Carter. That panel has provided its report to government and the government is considering it. The panel was asked to look at, amongst other things, how there could be a disincentive or how to remove the incentive for states to increase royalties. In relation to royalties, as I think I have made clear to the chamber previously, the design of the MRRT, which includes the fact that royalties are able to be credited, has been factored into the budget bottom line. I think I answered on a previous occasion that we have referenced the recent Queensland royalty hikes in our assumptions as to MRRT revenue. I also have answered, in response to the New South Wales royalty increase, given there was no detail on that and that it is an aspirational revenue target without basic details, that that has not been calculated. (Time expired)