Christine Milne (Tasmania, Australian Greens) Share this | Link to this | Hansard source

My question is to the Minister representing he Treasurer, Senator Cormann. Given the Treasurer's admission that we cannot take another decade of growth for granted, will the government now conceded that continuing to rely on and prop up a 'dig it up, cut it down, ship it out' economic strategy is 1950s thinking and a huge error?

Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Link to this | Hansard source

The short answer to Senator Milne's question is no. The longer answer, of course, is that it was the Labor-Green government that put in place a tax—the so-called minerals resource rent tax—based on an assumption that the blue sky was going to last forever. The Labor Party and the Greens put in place a tax that hurt one of the most important industries for our economic growth into the future, recklessly and irresponsibly hurting an industry that is generating jobs and generating massive export income, assuming that record terms of trade and record commodity prices would last forever. Of course, the situation ended up where we always said it would end up. It ended up in tears. The Labor Party and the Greens put in place a tax which did not raise any revenue, when the Labor Party and the Greens had already raised all the revenue they thought it would raise—and more. We on this side of the chamber are implementing our economic action strategy to build a stronger, more prosperous economy so that everyone can get ahead. We are building a stronger, more prosperous economy to create jobs, and we are doing it by getting rid of these bad taxes, by reducing red tape costs for business by $1 billion a year by pursuing free trade opportunities. Minister Robb has already been able to sign three free trade agreements with Japan, South Korea and China, which will help us put our economy on a broader foundation, which will help us to diversify our economic base.

We are ensuring that our economy can be more competitive internationally again by removing the lead that the Labor Party and the Greens have been putting in our saddle bag, by bringing down the tax burden, by reducing the cost of doing business and by pursuing better opportunities through trade for us to grow a stronger, more prosperous economy.

Christine Milne (Tasmania, Australian Greens) Share this | Link to this | Hansard source

Mr President, I ask a supplementary question. Does the Minister concede that the government's short-sighted cuts to universities and the CSIRO and its attacks on innovative renewable energy and clean industries in favour of the big polluters will damage the Australian economy not only for years but for generations? And do you concede that no amount of Santa Claus spending can rescue the government's failed budget strategy now and into the future?

Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Link to this | Hansard source

What damages our national interest and damages our prosperity into the future is the Greens' reckless and irresponsible approach to legislation here in the Senate. We have a situation here with the Greens opposing the legislation that they actually support just to ensure that we are not able to get certain measures through the parliament.

We have a situation now where Senator Milne is here fighting for regular reductions in the real value of the excise on fuel. She is here in this chamber fighting—fighting!—to ensure that we can deliver a windfall gain for big oil. Big oil—that is what Senator Milne is fighting for here! Senator Milne is fighting and fighting for less money for public transport. I hear that there is a former leader of the Greens in Tasmania who is already circling your seat, Senator Milne. I hear that there is a former leader of the Greens in Tasmania who is looking forward to being the next leader of the Greens here in the Senate. (Time expired)

Christine Milne (Tasmania, Australian Greens) Share this | Link to this | Hansard source

Mr President, I ask a further supplementary question.

Government Senators:

Government senators interjecting—

Stephen Parry (President) Share this | Link to this | Hansard source

Just a moment, Senator Milne. Order on my right.

Christine Milne (Tasmania, Australian Greens) Share this | Link to this | Hansard source

Hopefully, the minister might be able to answer this question: will the minister now agree to implement alternative revenue proposals, such as applying a levy on the big four banks or clamping down domestically on corporate tax evasion as he told the G20 he was prepared to do?

Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Link to this | Hansard source

The government's agenda to build a stronger more prosperous economy and to repair the budget mess that the Labor Party and the Greens put Australia in is there for all to see in the budget papers. We have already been able to pass 75 per cent of our budget measures through the parliament, despite the obstructionist approach by Labor and the Greens. But there are a series of structural reforms that are yet to get through the Senate.

What I would say is that Senator Milne would have much more credibility in putting forward alternative suggestions if she actually started by supporting the policy positions that the Greens have held for a very long time. As long as Senator Milne is trying to argue in favour of regular cuts in the real value of the excise on fuel and as long as Senator Milne is arguing in favour of letting the revenue from the fuel excise erode by inflation she has no credibility. I think there will be regime change in the Greens sooner rather than later. (Time expired)