Senator RUSTON (South Australia) (14:56): My question is to the Minister representing the Prime Minister, Senator Conroy. I refer the minister to Labor's planned review of the carbon tax required to be undertaken in the next term of parliament under Labor's own carbon tax laws. It requires consideration of the effectiveness of the coverage of emissions and potential emissions under the carbon tax. Will the minister rule out a re-elected Labor government ever expanding the coverage of the carbon tax to the agricultural sector or the family car?
Senator CONROY (Victoria—Leader of the Government in the Senate, Minister for Broadband, Communications and the Digital Economy and Minister Assisting the Prime Minister on Digital Productivity) (14:57): The government has made its position on these issues very clear. Agricultural emissions are excluded from the carbon price mechanism and the sector will receive significant assistance to transition to a low-carbon future. Agricultural emissions from livestock and fertiliser use and fuel used by agricultural activities are exempt from the carbon price.
The Carbon Farming Initiative will create new economic opportunities for farmers and other landholders who take action to reduce emissions. The CFI is supported by a $1.5 billion Land Sector Package, which reinvests carbon price revenue in our land sector, including through the Biodiversity Fund and Carbon Farming Futures program. The coalition plans to rip up these programs and cut the essential capacity-building and research which they support through regional Australia. Treasury modelling shows that, with agricultural emissions excluded from a carbon price, gross output in the agricultural sector is projected to be higher with a carbon price than without. The sector is projected to grow by over 130 per cent by 2050, and this modelling does not take into account all of the programs that will assist the sector in the CEF package. For example, the $200 million Clean Technology Food and Foundries Investment Program is providing funding to assist food processors improve their productivity through investments in low-pollution capital equipment, and in the budget the government announced it will bring forward $160 million in Clean Technology Investment Program funding to 2014-15. (Time expired)
Senator RUSTON (South Australia) (14:59): Mr President, I ask a supplementary question. I refer the minister to government plans—and his answers to previous questions here today—to expand the coverage of the carbon tax to heavy on-road vehicles. Given you admit to extending the tax to trucking operators, can you confirm that this will cost the trucking industry over $500 million next year; and why should Australian families have any confidence that the family car will not be next?
Senator CONROY (Victoria—Leader of the Government in the Senate, Minister for Broadband, Communications and the Digital Economy and Minister Assisting the Prime Minister on Digital Productivity) (15:00): I would make the point that some of my colleagues have—that that is almost identical to Senator Williams's question. I repeat: transport is not directly subject to a carbon price under the government's carbon-pricing mechanism.
Senator RUSTON (South Australia) (15:00): Mr President, I ask a further supplementary question. Given the Prime Minister's promise immediately before the last election—
Senator Birmingham interjecting—
Senator Conroy: Senator Birmingham, couldn't you get a question up today?
Honourable senators interjecting—
The PRESIDENT: Order! Order, on my right and my left. Senator Ruston is entitled to be heard in silence—on both sides.
Senator RUSTON: Given the Prime Minister's promise immediately before the last election that there would be no carbon tax under the government that she led—which was broken in spectacular style—coupled with the government's existing plans to extend the carbon tax to the Australian trucking industry, why should Australian farmers or families believe any assurances Labor gives that it will not extend the carbon tax beyond that in the future?
Senator CONROY (Victoria—Leader of the Government in the Senate, Minister for Broadband, Communications and the Digital Economy and Minister Assisting the Prime Minister on Digital Productivity) (15:01): Those opposite continue to try to airbrush out of history their own, Howard government position on this issue. It is just, 'Nothing to talk about over here; move on, move on,' because Mr Howard took, to the 2007 election, a carbon price.
Honourable senators interjecting—
Senator CONROY: I know it's hard!
Honourable senators interjecting—
The PRESIDENT: Order! Order on both sides.
Senator CONROY: Because this is what Mr Abbott said—this is what he said; he just airbrushed it out of history:
The Howard Government proposed an emissions trading scheme because this seemed the best way to obtain the highest emission reduction at the lowest cost.
That was from his own book, on page 171. Then, of course, he said that the politics of this issue have changed. I think the politics of this issue have changed dramatically, because he had already described in very unflattering terms, which I suspect you would make me withdraw if I repeated—
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