Senate debates

Monday, 19 August 2024

Questions without Notice: Take Note of Answers

Intravenous Fluid Products, Infrastructure

3:17 pm

Photo of Paul ScarrPaul Scarr (Queensland, Liberal Party, Shadow Assistant Minister for Multicultural Engagement) Share this | | Hansard source

I move:

That the Senate take note of the answers given by the Minister representing the Minister for Health and Aged Care and the Minister for Finance (Senator Gallagher) to questions without notice asked by Senator Ruston and Senator McKenzie today.

In particular, I rise to speak in relation to the highly disturbing decision of the environment minister to reject planning consent approval for the McPhillamys gold project, proposed by Regis Resources, in New South Wales. It's extremely concerning. This is a $1 billion gold project proposed for regional New South Wales. It would have created approximately 800 jobs and would have generated great wealth for this country. The gold in the ground at that project is worth at least A$7 billion. The local community—as opposed to the minister, who lives in Sydney—wants the project because that project will generate local jobs, support for local businesses and training opportunities for local young people. Yet the minister has come in over the top and refused development of that project.

It is deeply concerning to see that the chief executive officer of the company that proposed the project has come out and said that this underlines the issue of 'sovereign risk' in this country. Just put yourself in the position of the company. They've invested $150 million into that project—it hasn't produced any gold—since 2012, which is over 12 years of work, and the minister comes over the top and rejects the project, notwithstanding it was approved by the New South Wales planning authority; notwithstanding that the minister's own department, the Commonwealth department, actually approved the project; and notwithstanding the fact that local organisations, local community members and the local Aboriginal land corporation had no objection to the project and the locals wanted it built. This is no way to govern our country, and it has great consequences for future developments in this country.

I come from the mining industry. I come from a company that was a great developer of mines in a little country called Laos. We lifted thousands of people out of poverty, and we did it to the highest standards of occupational health and safety, environmental standards, and standards of community sustainability of projects including microfinance et cetera. Whenever we looked at a project in Australia, it always concerned us that we would have these sorts of regulatory issues. Here is a company, and for 12 years they have been trying to progress a project in this country. This is the absolute contempt they are shown by this federal environment minister.

Companies have choices. They do not have to build projects here. They don't have to spend their exploration dollars here; they can spend it offshore. It is decisions like this that will reverberate around boards all over the world. Companies will say: 'I'm not going to spend exploration in Australia; it's too hard, because I might strike Minister Plibersek. I can put 12 years of effort and $150 million into a project, and she will knock it back. I'll go somewhere else because other countries take a different attitude.'

To make it even worse, the minister says: 'Well, you have other options. You can reconfigure your project.' So the minister is giving project development advice to the proponents in relation to the project. This is what the company said to that in their ASX announcement today:

Minister Plibersek has stated that this declaration "will not stop the mine". To the contrary, this decision does impact a critical area of the Project development site and means the Project is not viable. Regis notes that during the Section 10 assessment process, it was made clear to the Minister that the Project would not be viable if the Section 10 declaration was made …

So to the minister I say: instead of giving gratuitous advice which isn't informed by the facts, as is the case here, do your job and make development decisions that are in the best interests of the Australian people and the best interests of local communities, especially in our regional centres that need these jobs and need these opportunities.

3:22 pm

Photo of Glenn SterleGlenn Sterle (WA, Australian Labor Party) Share this | | Hansard source

I too rise to make my contribution. I'm from WA, a mining state, and I'm not antimining by any means. I am a supporter of mining. I also know that mining creates some 300,000 jobs here in Australia. I know my industry, the great road transport industry—we're the first ones there. We're the ones that clear the turf, we're the ones that bring in all the supplies, we're the ones that bring in all of the infrastructure and we're the ones that move in all the people. So I do absolutely get the importance of mining to the Australian economy.

I had not heard of this gold project of Regis Resources until this morning, when I read something in the paper. I listened intently to Minister McAllister's answer, and I also listened intently to my good friend Senator Scarr's contribution and how he read what the company said on the ASX today. From the information I have received today, the minister is very clear. It's about a tailings dam, I think; the minister was concerned about traditional owner sacred site issues around where the tailings dam is. I don't know the full size of the site and all that, but I did hear Minister McAllister say very clearly that they hope the project—this is what I've picked up. I see you shaking your head, my learned friend over there. I get that, but I still have faith that the minister has said that in this chamber, and I see no reason why the minister would make anything up.

I also know proponents of mining projects and others—when something get knocked back, there's a big ballyhoo. You know yourself, Senator Scarr, that your door, my door and every door in this building—except for the fairies at the end of the garden path—gets knocked on by all the lobbyists and companies that come in and tell us what's really going on, or what they hope is going on. What I'm picking up is that there's a bit of ambit here. I hope that something better does come of this. I just wanted to clear that.

I also want to go to the first question that was put, in terms of the IV fluids shortages, which came to light last week—it was raised in this chamber. We know that it's saline—it's salt water. I remember someone saying to me on Friday, 'How hard is it just to get some salt water?' We've got to dig a little bit deeper. We know they're critical hospital medicines and are used in routine and critical care settings. We all know that. We know sponsors of IV fluids have noted global supply issues—'global' is what they're saying, loud and clear—with an unexpected increase in demand and manufacturing constraints that have contributed to shortages. Everyone in this building and everyone out there, even those poor devils in the chamber that have to listen to half the stuff going on—good on you; thanks for coming, but gee whiz I take my hat off to you!—know of global shortages around the nation. I know that from all my conversations since the pandemic, as I ask every decent employer that comes through my door to see me here and in Perth: 'What happened to everyone? Where have all the workers gone? Where has everything gone? What happened since the pandemic?'

In my trucking industry, road transport, we've had skill shortages for years. Mum and Dad don't want their son or daughter to come out of school and go into road transport, which is so sad. It's such a brilliant industry, and you can make a magnificent earning—boy or girl. You can have your hands on the steering wheel of a forklift, or you can be in administration or sales. But for some reason we've really struggled in that. But where have all these workers gone? Let us talk about the global supply chains. This doesn't get mentioned, but when our previous Prime Minister quite rightfully decided to shut down the country and stop all the flights to keep us all safe and when the state premiers acted, we understood why that was done. But we must not forget this: the shipping industry and the Chinese did us no favours. This doesn't come out: they absolutely squeezed the supply chains down.

I know from my great mates in the trucking industry—one of them is a great mate; I introduced him into the industry as a 19 year old back in 1979. He brings in mill balls. He has a contract where he's got about 10 or 15 road trains running throughout the week carting mill balls for the gold mines in the mid-west. I can't quite remember the exact figure, but the cost of getting containers off the Fremantle port before the pandemic was around $1,200. By the time the international shipping companies had finished squeezing the daylights out of us Aussies, it had gone to something like $7,000 per container. When we talk about global supply chain squeezes—anyone tried to buy a Toyota lately? Good luck with that! There is a lot more truth in it that gets put out that doesn't come out in this building in here.

Photo of Andrew McLachlanAndrew McLachlan (SA, Deputy-President) Share this | | Hansard source

Thank you, Senator Sterle. Senator Reynolds?

3:27 pm

Photo of Linda ReynoldsLinda Reynolds (WA, Liberal Party) Share this | | Hansard source

I too rise to take note of the question asked by Senator Duniam today. Listening to the contributions of two of my colleagues, particularly from Senator Sterle, you would think that there is absolutely nothing wrong with how this government is handling the mining and energy sector. Two and a half years ago, when they took government, there was great concern that there would be a sovereign risk in both of these sectors due to a Labor union-dominated government. Those whispers of sovereign risk are now turning into a deafening roar.

Not only is this decision by the minister to completely override all federal and state reports and authorities on Regis at the cost of $150 million and over 1,000 jobs but it actually demonstrates yet again this government's real agenda and approach to the mining and energy sectors. This is not the first time. Senator Sterle might be interested to know that this happened last week in Western Australia with another project. The Bellevue gold mine in Western Australia was the subject of another section 10 objection lodged by a single complainant, a move that AMEC claimed has direct implications for the already approved mining projects across the country. That is absolutely correct. AMEC CEO, Warren Pearce, said:

This is an incredibly disappointing decision that sets a truly terrible precedent for investment risk in Australia …

If any project, no matter how thoroughly consulted, negotiated, supported and assessed—

including by the local Indigenous land council—

… then how can any company—

Australian or overseas—

or investor have confidence to invest in Australia.

This is all coming at a time when the iron ore price is plummeting. China is producing less iron, and that is likely to continue. So, at a time when we need, more than ever, to be mining and extracting more minerals and energy from this country, particular critical minerals and rare earths, this government continues to speak through one side of its mouth to the minerals sector and through the other side to the green movement—and similarly in terms of its actions. This is a time when Australia needs to get rid of excessive red tape, green tape and all other sorts of tape. At the moment, it takes on average 16 years from somebody finding a mineral deposit and going through the process to starting extraction—16 years!

Everybody here knows that the transition to net zero requires new energy technologies, and they require a vast amount of critical minerals and rare earths. Australia could be producing these in an environmentally friendly way, sustainably and slavery free, none of which occurs with the commodities that we are getting processed from China. Those opposites say, 'Oh, yes, we need to do more about this industry,' but they are making it worse. Ultimately, this is going to cost the Australian economy dearly. Having China stockpiling and processing most of these is a significant national security issue. They've got their own stockpiles but tomorrow could turn the tap off for our industry, pretty much grinding it to a halt.

What are those opposite doing? Their nature positive approach. All of the states and territories, and all of the regulatory bodies, say to go ahead on the Regis goldmine, but Tanya Plibersek says she will make a decision and override everybody on the basis of a local Indigenous group who are not the recognised Indigenous landholders. In answer to Senator Sterle's question about why he hasn't heard why this decision was made: the minister's decision ignores the concerns of Orange Local Aboriginal Land Council, which has the legitimate legislative authority to speak for country. That land council said there were no concerns that could not be managed with this goldmine. It's a matter of concern to the Orange Local Aboriginal Land Council that these claims have been made by people and the minister has listened to them and nobody else— (Time expired)

3:32 pm

Photo of Jess WalshJess Walsh (Victoria, Australian Labor Party) Share this | | Hansard source

I note the opposition's focus on the Regis Resources decision in question time today and in taking note of answers to questions. Of course, as the minister said, this is a decision of the kind that has been made by both parties of government. This is a decision that does not, in fact, stop the development of the mine at this particular site. As a government we believe in creating jobs, including in mining, without destroying Aboriginal heritage sites. Our belief is that we can support jobs in mining—we can support the 300,000 people who work in mining, who do that critical work—without destroying Aboriginal cultural heritage sites.

We support those jobs and we support those people who work in the mining sector, but we do not support the destruction of sacred sites. We in the Albanese Labor government will continue to support jobs in mining, just like we support jobs across the economy. At the same time, we'll support proper consultation and the proper protection of sites. The 300,000 Australians who work in the mining industry are a really important part of our economy, and we will always back jobs on our side of the chamber. That's why I am so proud that, as Minister Watt said, 990,000 jobs have been created on our watch. This is the biggest number of jobs created by any first-term government ever. It is the most from any first-term government on record.

As Senator Reynolds said in her contribution, we are looking forward to investing more in our critical minerals sector. We want to add value to our critical minerals. We want to create more jobs by making more of what we need right here in Australia. So I'm really looking forward to Senator Reynolds and those opposite supporting our important legislation to do just that—our Future Made in Australia legislation, which is making its way through the House and making its way to the Senate through the Senate economics committee.

We are extremely proud of our record in supporting Australians to get into jobs. Nine hundred and ninety thousand jobs is an extraordinary achievement by this government, by employers and by all the people who are taking up the opportunity to work in those jobs. And these jobs are better paid than they have been, compared with the record of those opposite. We are now seeing wages moving again in this country. Wages are now moving four per cent year on year, which is a fantastic result to see after 10 years of low wages as a deliberate design feature of the economy under those opposite.

More people are in jobs, more people are earning more and, yes, people are keeping more of what they earn too. That's because we decided to take the Liberals' stage 3 tax cuts that were just for some and make sure that every single Australian taxpayer got a tax cut—an average of over $1,800 a year for Australian taxpayers.

That is what is actually going on in our economy today under the Albanese Labor government. There are 990,000 new jobs—almost a million new jobs. Wages are now moving four per cent year on year. We've had three consecutive quarters of real wages growth because inflation is moderating and wages are moving ahead of inflation. This is real money in real people's pockets. We know that they are also keeping more of it because we decided to make sure that we would deliver a tax cut for every single Australian taxpayer, not just some. We decided that we would back wage rises for minimum wage workers—$140 a week extra for minimum wage workers since we took office. I note the contribution from Senator Gallagher today, saying that Australian women are earning on average $173 a week more because we back jobs for women, we back them earning more and we back them keeping more of what they earn too.

3:37 pm

Photo of Ross CadellRoss Cadell (NSW, National Party) Share this | | Hansard source

It's interesting when you come to take note of answers and you find the other side has nothing to take note of in your questions and what has been said—because what's been said over there is a lot of hope: 'We hope the Regis mine goes ahead. We hope they can find another location. We hope that the 800 jobs can be re-created. We hope the $7 billion income goes ahead.' But there is no hope when the boss of the mine goes to the ASX and says, 'This will end the project.' There is no hope for the 800 people that were hopeful of getting a job to be able to put food on the table, keep roofs over their heads put their kids through school and get over these cost-of-living dramas. There is no hope of that anymore.

I have stood on that site. I have walked around with the people of Blayney and I've seen the hope that they had for a better life from this project. This mine had all the approvals. They had land council approval. They had all of these things ready to go, but 17 unknown people raising an unnamed, undisclosed problem with an area of the site has ruined that. I have gone through IRC Engineering with the owners in Blayney—people out there gearing up for what they hoped could be a new boom area for the town.

When we talk about this site, and they talk about the cultural heritage, let's be clear. When we went on the site, we had to stay on the roads because it has been mined that much in the past in the previous gold explosion—it has been mined out by all the old technology—that there are pits everywhere. We could fall down into existing pits, existing workings and these sorts of things. This isn't cultural heritage. This has been mined or farmed within an inch of its life on the surface, and this was a new chance to go forward.

The answers that we got talked about this happening under us—a similar thing up the road. It was a go-kart track. It was a go-kart track that was knocked back under section 10. To my son and me, that may be almost as important, but, for the people of Blayney and people trying to put something on the table, it is not. We come here, and we say that we hope the project can go ahead. It's on the scoreboard. The company has said it can't, not because of the local land council or even the First Nations elders. Seventeen people came with a complaint or an issue that can't be told or put forward on a site that was being mined and farmed for generations.

This is what we're getting to in this country—the reason we can't do things. If you want to stop something, you have so many more advantages than those who want to go and do something. Regis put up $150 million to make the lives of these people better, and you have stopped it.

Question agreed to.