House debates

Thursday, 2 June 2011

Bills

Taxation of Alternative Fuels Legislation Amendment Bill 2011; Second Reading

1:21 pm

Photo of Tony SmithTony Smith (Casey, Liberal Party, Deputy Chairman , Coalition Policy Development Committee) Share this | Hansard source

The member opposite did not say to his electors that, if he were elected, he would support a cutback in that rebate, but the Labor Party did that, without notice, in the 2009 budget. Then just at the start of this year, when they were searching for savings, one of the first things they chose was this same scheme, and they chose to cap it. At every point since their election, when given an opportunity they have quickly taken action to damage the LPG industry in Australia.

The other important point that is lost on those opposite is the policy context today. Those opposite are introducing a carbon tax, a carbon tax which—as has been made clear in many forums in this House—they pledged they would not introduce. But they are introducing one, against their word to the electorate. There is talk of how petrol will be treated in that carbon tax. The government has hinted—and Professor Garnaut in recent days has suggested—that in introducing a carbon tax the government would simultaneously cut the excise on petrol. Those opposite will not disagree with that. That has been what Professor Garnaut has said. I imagine that, in introducing their damaging carbon tax, that is what those opposite will argue.

But there is no mention at all of LPG. There is no mention because it is not on their minds, unless they have an opportunity to damage the industry. In this whole context of rising cost of living, of families facing a difficult time paying their bills—as so many previous speakers on this side of the House have indicated—it is important to acknowledge that many of those who have taken up LPG, who have taken up that grant to get their car converted, are low- and middle-income families. Before the grant was cut, many took it up to have their car fitted with an LPG system or to buy, as you can these days, a car with a factory-fitted LPG system.

Those opposite will knowingly in this House vote to put up the price of LPG. They will do so in a way that they know will make life tougher for LPG users. But what about the industry? This is an industry that has dealt with the unexpected cut in the tank rebate that those opposite never mentioned before the 2007 election. Remember the good old days? The member for Griffith was the Leader of the Labor Party in 2007 and they were going to reduce the pressure on cost of living. They were going to have GROCERYchoice and Fuelwatch. Their third promise was not to cut the rebate for the installation of LP gas tanks in cars, but they went ahead and did it anyway and, in doing so, showed their true colours. The combination of these actions by the government and the fact that they have now rushed ahead with this legislation solely as a revenue grab, and off the back of increasing the cost-of-living pressures on the families that use LPG in their vehicles, has been to spread incredible uncertainty within the industry itself.

The Leader of the Nationals talked about the 2½ thousand people who work in the industry, and there is no doubt that those workers in the industry will face a tougher time. Some of those workers will lose their jobs if this government gets its way. The member for Corio, sitting opposite, has workers in his electorate. In the outer eastern suburbs of Melbourne there are significant LPG auto industries. It would be very hard to drive through any electorate if you cross Springvale Road, along those golden miles where the auto industry is so long, and not come across many industries.

The members for Deakin and La Trobe—Labor members who adjoin my electorate of Casey—need to know that in voting for this bill they will be voting directly against the interests of the workers in that industry in their electorates. The consequences that flow from this legislation will be their responsibility. This is a chance for some of those members opposite to show if they care about the working families they spoke about so often before the 2007 election and the last election and if they care about those working in industries like this. This is the chance to show they mean it.

But what we know over here is that, when given a choice between standing up for what is right and toeing the line for what they know in their heart is wrong, they will always choose the latter. The consequences of this legislation at this time, on the back of what the government is doing, for the reasons outlined by the Leader of the Nationals and the shadow minister, will be to put up the price of LPG, to make it harder for families, to put up taxi fares, as we said, but more than that—and I want to focus on this—to put in jeopardy some of those in the industry who are facing uncertain times through a combination of reasons. Some of those, as I have outlined, are the government's incompetence and the government's actions on LPG.

Those opposite will have a lot to say, but if they have any integrity they will stand up and say, 'Yes, we did break our word before the 2007 election, and we did cut back the rebate which we said we wouldn't do, and we fully understand what we are doing today.' But they will not. They can say what they want in this House, but I would ask them to do one thing in their electorates, and that is to visit some of the LP auto gas installers, talk to some of the workers and think about what it is they are doing—think about whether what they are doing on this bill is what they really came here to do.

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