Sue Boyce (Queensland, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister for Climate Change and Water, Minister Wong. Does the minister agree with the genuine concerns expressed by the mayors of Mount Isa, Gladstone, Latrobe and Newcastle that federal Labor’s proposed emissions trading scheme will destroy thousands of jobs in these important regional communities and cause untold damage to local economies?

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

In relation to the industries which are represented in those locations, I have visited a number of them. I remind the senator—and it is a pity because I thought Senator Boyce actually had a slightly more realistic and progressive position on climate change than some others, but obviously I was wrong—that, for example, regarding the aluminium smelting and refining, which is an industry represented in Gladstone, as she would know, the government have made clear in the white paper that we would anticipate, obviously subject to the provision of information about emissions, that aluminium smelting would receive 90 per cent free permit allocation.

Ian Macdonald (Queensland, Liberal Party, Shadow Parliamentary Secretary for Northern Australia) Share this | Link to this | Hansard source

Why don’t you talk to them and find out how many jobs will be lost?

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

Senator Macdonald says I have not talked to them. I have actually visited that factory, Senator Macdonald, and I have met with that company on a number of occasions. Senator Macdonald might want to talk to some of the scientists who actually talk about climate change, but that would not be something that would enter his ken—

Opposition Senators:

Opposition senators interjecting—

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

Order! Senator Wong, address your comments to the chair. Those on my left, cease interjecting.

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

Thank you, Mr President. In terms of aluminium refining, there was an indication that that was likely, again subject to the information being provided, to receive 60 per cent free permits. We have also made clear, for example, that copper smelting is likely to receive emissions-intensive trade-exposed assistance in the form of free permits.

Ian Macdonald (Queensland, Liberal Party, Shadow Parliamentary Secretary for Northern Australia) Share this | Link to this | Hansard source

What about the workers?

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

The point about the workers is that free permits are about the transition. I will take that interjection from Senator Macdonald. He supported the job-destroying Work Choices laws and is still probably one of those people who cannot bring himself to make it die. He dares to come in here and tell the Labor Party that they do not care about working families!

Honourable Senators:

Honourable senators interjecting—

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

Order! Senator Wong, resume your seat. I will call you again when there is silence. This is not a time for debate—that is at the end of question time. Order, on my right! Senator Wong, you have 14 seconds to complete your answer.

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

Thank you, Mr President. What I would say through you, Mr President, to Senator Boyce is that the white paper sets out a very substantial set of assistance for industries so as to ensure that we support— (Time expired)

Sue Boyce (Queensland, Liberal Party) Share this | Link to this | Hansard source

Mr President, I have a supplementary question, and I would like to move onto the topic of modelling later. Given that Xstrata has indicated that it would be forced to slash at least 1,000 Australian jobs and that Alcoa has stated that at least 800 of its Australian workers will be let go because of the government’s flawed emissions trading scheme, how many more companies have indicated to the government that they also will be forced to cut their workforce and future investment in Australia as a result of the emissions trading scheme?

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

I am asked about Alcoa and I again remind the good senator that we have indicated in the white paper that aluminium is likely to receive 90 per cent free permits. I also note that the Alcoa response to the draft legislation was to welcome it and indicate that they would work through the detail over the coming weeks. The reality is that we are ensuring a substantial amount of assistance today whilst driving the incentives for the clean jobs of tomorrow. Those opposite never talk about the jobs that are lost or forgone.

Honourable Senators:

Honourable senators interjecting—

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

Order! Senator Wong, resume your seat. Order! I will call you, Senator Boyce, when there is quiet on both sides. Senator Boyce.

Sue Boyce (Queensland, Liberal Party) Share this | Link to this | Hansard source

I rise on a point of order on relevance, Mr President. The question was about how many more companies have indicated to the government that they will have to slash their workforces and stop investment because of the scheme.

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

Senator Wong, there are 24 seconds left and I draw your attention to the question.

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

The question included a reference to Alcoa and I am talking about Alcoa. I understand that the senators may not like the answer because the answer is that not only are we on this side serious about supporting today’s jobs through the provision of assistance such as free permits but we also want to drive investment in the clean jobs of the future.

Sue Boyce (Queensland, Liberal Party) Share this | Link to this | Hansard source

Mr President, my second supplementary question is regarding modelling. Has the minister modelled the impact on jobs of the emissions trading scheme in industry-intensive Australian regions such as Newcastle, Gladstone and Mount Isa? When will the government listen to the concerns of Australian communities, employers and industry and acknowledge that the emissions trading scheme is flawed and will destroy jobs in Australia?

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

As I previously said, the government has modelled through the Treasury—the same people who advised Peter Costello—the impact on the economy, which shows not only continued growth but a very substantial increase, some 30 times, in renewable energy. The reality is that those opposite do not—

Honourable Senators:

Honourable senators interjecting—

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

Order! Resume your seat, Senator Wong. If senators wish to debate the issue there is time at the end of question time to take note of the answers that have been given. Senator Wong, you have 38 seconds left.

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

The fact is those opposite do not want to talk about the jobs that will be lost if we do not act on climate change.

Nick Minchin (SA, Liberal Party, Leader of the Opposition in the Senate) Share this | Link to this | Hansard source

Senator Minchin interjecting—

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

Senator Minchin laughs. The Australian people should be aware that Senator Minchin laughs at that.

Honourable Senators:

Honourable senators interjecting—

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

Order! Resume your seat, Senator Wong. Senators on both sides, Senator Wong is entitled to be heard in silence. Senator Wong.

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

Those opposite do not wish to talk about the jobs that will be lost if we do not act on climate change in this country. They are happy to continue to duck that challenge, as they did for 12 years in government. Those opposite do not want to talk about the jobs forgone. They do not want to talk about the fact that we need to prepare this nation for a time where there is a global carbon constraint and we have to compete in that world. (Time expired)