Scott Ryan (Victoria, Liberal Party, Shadow Parliamentary Secretary for Small Business and Fair Competition) Share this | Link to this | Hansard source

My question is to the Minister for Finance and Deregulation and the Minister representing the Minister for Climate Change and Energy Efficiency, Senator Wong. I refer the minister to the case of a constituent in Ormond Victoria, whose name I am happy to provide to the minister privately, who at his own expense was forced to have an electrician fix the faulty workmanship carried out in his family home under your disastrous $2.4 insulation program because he feared that his house would burn down. Minister, is this constituent entitled to be reimbursed by the government for the cost of fixing this mess in his home? If not, why not?

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

Obviously, I am not aware of the specifics of the case. I appreciate the senator’s offer to have a discussion privately about it so as to ensure that we can make the necessary inquiries. I am quite willing to do that. In relation to this program, I think that Minister Combet and the government have been quite upfront about the objective of remedying the range of problems associated with this program. I do not think that anyone in the government has sought to underplay or minimise the difficulties and problems with this scheme.

As you would be aware, under the Home Insulation Safety Program, which is the remediation program associated with this, safety inspections of, I am advised, at least 150,000 homes with non-foil insulation are being carried out. These inspections are based on a risk assessment. I am also advised that households with safety concerns can request an inspection through the safety hotline. On the advice that I have been provided with, these inspections are being performed in addition to the minimum of 150,000 homes to which I referred earlier.

The Senate would also recall that there was another remediation program, the Foil Insulation Safety Program. Under that scheme, over 50,000 householders who had foil insulation installed are being offered a choice based on the advice of a qualified electrician to have their insulation removed or safety switches installed.

Scott Ryan (Victoria, Liberal Party, Shadow Parliamentary Secretary for Small Business and Fair Competition) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Minister, doesn’t the government have an obligation to provide an act of grace payment to all those people who, like the constituent I have just mentioned, have had to resort to fixing problems themselves because the government failed to provide timely assistance when they believed that their homes were in danger? Do you believe that the government has an obligation to make such as act of grace payment?

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

Act of grace payments are something that governments of both political persuasions have put in place. What we have put in place in relation to this scheme, however, is a set of remediation programs with a very substantial focus on ensuring that the errors in this program are being remedied. As I said, my understanding—and this is based on the advice that I have been provided—is that people who call the hotline who have concerns about safety can request an inspection through that hotline. That inspection is performed in addition to the risk based inspections that the government is undertaking. As I said to the senator, I am very happy to get the details from him and to make further inquiries.

Scott Ryan (Victoria, Liberal Party, Shadow Parliamentary Secretary for Small Business and Fair Competition) Share this | Link to this | Hansard source

Minister, I am sure that that long explanation will provide comfort to those who believe that their house is in danger. Given that this constituent first raised these concerns with the government 12 months ago and was told by a government inspector that the problem would need to be rectified, why will the minister not answer the question as to whether constituents who act on their own behalf to protect their own homes are at least worthy of an act of grace payment?

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

Senator, you should know—and perhaps you would like to speak to Senator Minchin about this—how act of grace payments are dealt with. They are certainly not dealt with through this type of question in question time. If there is an implication that we do not regard these issues as important, I completely reject that. I have outlined to you, Senator, the measures that the government has put in place to remedy these issues. I have offered in good faith to sit down with you to seek to deal with this. But it is quite clear from the way that you are approaching these questions that an outcome is probably not the thing that you are seeking; you are seeking to make a point here. The government understands absolutely the difficulties and problems with this program. We have been upfront about that, which is why we have put a substantial amount of effort into the remediation programs that regrettably have been necessary. And we will continue to do that. (Time expired)