Ian Macdonald (Queensland, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

My question is to the Minister for Innovation, Industry, Science and Research. The minister would be aware that last Friday the Minister for Resources and Energy took responsibility for the damage an emissions trading scheme could do to industries in his portfolio, and he consequently convened a summit of companies that could be forced to shut down or to shed jobs because of an ETS. I ask the minister: when is he going to take similar responsibility for the impact on our manufacturing sector of a rushed and poorly designed emissions trading scheme, and when is he going to call a summit of manufacturing companies to talk these issues through?

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

I thank Senator Macdonald for that question. That truly is a dorothy and I am sure of dorothys this week since you have asked me about nine or 10. I am looking forward to the opportunity—

John Hogg (President) Share this | Link to this | Hansard source

Order! Senator Carr, address your comments to the chair.

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

Thank you, Mr President. Senator Macdonald starts from a fundamentally flawed proposition in attacking Mr Ferguson. He unfortunately has fallen for the old trap of believing what he reads in newspaper headlines. He has some fundamental problems in understanding these basic principles. What has occurred is that this government, right across the board, is consulting with industry. The government is ensuring that the fundamental challenges faced by this country in regard to climate change are addressed squarely, because what we had was 12 years of neglect and 12 years of negligence from those opposite in regard to facing up to the responsibilities this country has had to deal with on issues of climate change.

Before the release of the green paper, of course, there was discussion with industry and after the release of the green paper there has also been discussion with industry. Australia’s heavy manufacturing industries such as aluminium and steel are significant contributors to the Australian economy. As a consequence I have established working groups within my department, which have been operating for several months dealing with these matters on a daily basis. The level of consultation with industry and the level of access has probably been greater with this government than they were in the last 12 years of the previous government.

Of course one acknowledges that heavy industry is a significant contributor to greenhouse gas in this country. So it is appropriate that the introduction of a national emissions trading scheme ahead of global carbon constraint may, of course, affect the competitiveness of emissions-intensive, trade-exposed heavy manufacturing industries in Australia. That is why we are providing the certainty necessary for these industries to be able to make the adjustments. We are providing the certainty that is necessary to attract new investment and to provide opportunities for increased employment in this country. And of course we are committed to ensuring that Australia—

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

Senator Wong interjecting—

Opposition Senators:

Opposition senators interjecting—

John Hogg (President) Share this | Link to this | Hansard source

Order! Senator Wong and others, it is disorderly to carry on a debate across the chamber when Senator Carr is answering the question.

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

The question is: how does an advanced industrial economy like ours adjust to the challenges of climate change? The answer—it is a pity the opposition does not understand this—is to attract new investment, to find new technologies, to develop new processes and to ensure that our industries are able to meet these challenges head-on and maintain their international competitiveness. We will establish a Carbon Pollution Reduction Scheme that will provide the certainty to enable industry to invest in long-lived assets like power stations and of course steel plants. Taking the lead ahead of some countries we understand how important it is not to undermine competitiveness. In fact we understand that climate change is a global challenge and the design of the scheme, as Senator Wong has outlined, will address the competitive challenges facing emissions-intensive trade-exposed firms. We will work in partnership with energy-intensive industries on research and development and on the application of new technologies to reduce emissions wherever possible. (Time expired)

Ian Macdonald (Queensland, Liberal Party, Shadow Parliamentary Secretary Assisting the Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

Mr President, I have several supplementary questions. Firstly, why couldn’t you answer this question yesterday, Senator Carr? Secondly, did you not understand that I was actually praising Martin Ferguson? Thirdly, if this is a dorothy dixer, why didn’t you get a proper brief on it? And fourthly, have you received representations from any trade unions concerning a poorly designed and rushed emissions trading scheme which could cost Australian workers their jobs?

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

Senator Wong interjecting—

David Johnston (WA, Liberal Party, Shadow Minister for Resources and Energy) Share this | Link to this | Hansard source

Senator Johnston interjecting—

Honourable Senators:

Honourable senators interjecting—

John Hogg (President) Share this | Link to this | Hansard source

Order! Senator Wong, Senator Johnston and others. Senator Carr.

Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Link to this | Hansard source

I do appreciate a dorothy when it comes to a supplementary, once more! The opposition wants to talk about submissions from trade unions. Of course we understand the submissions that they delivered to trade unions with their Work Choices legislation. We understand their attitude to working people in this country, which was to cut wages and undermine living standards. We understand their attitude to working people in this country and we see it here today. We see their attitude in terms of encouraging the increase in interest rates. We saw 10 interest rate rises as a result of the previous government’s actions and now we see these crocodile tears about the fate of working people in this country. I can tell you that this government is confident that Australian industry, including Australian manufacturing, will take up the challenge of reducing greenhouse gases and boosting energy efficiency in their operations. Initiatives we are taking will ensure that happens. (Time expired)