The DEPUTY SPEAKER (Ms AE Burke) took the chair at 09:00, made an acknowledgement of country and read prayers.
…some seem to see the High Court as having just handed Australia a problem. The fact is that the High Court has handed this nation an opportunity.
… … …
… this bill provides for the future—it delivers justice and certainty for Aboriginal and Torres Strait Islander people, industry, and the whole community.
…supported the court's decision; he took the very important step of supporting the enactment of the federal Native Title Act. Without the federal Native Title Act you would not have had a system, a process for orderly handling of Indigenous land claims, and that was absolutely essential.
That so much of standing and sessional orders be suspended as would prevent the member for Stirling speaking in reply to the minister's statement for a period not exceeding 10 minutes.
That notice No. 1, government business, be postponed until a later hour this day.
Fair Work (Registered Organisations) Amendment Bill 2012
That this bill be now read a second time.
Tax Laws Amendment (2012 Measures No. 3) Bill 2012
That this bill be now read a third time.
Social Security Legislation Amendment (Fair Incentives to Work) Bill 2012
That this bill now be read a second time.
Income Tax (Seasonal Labour Mobility Program Withholding Tax) Bill 2012
That this bill be now read a third time.
Tax Laws Amendment (Income Tax Rates) Bill 2012
That this bill be now read a third time.
Shipping Reform (Tax Incentives) Bill 2012
Shipping Registration Amendment (Australian International Shipping Register) Bill 2012
Coastal Trading (Revitalising Australian Shipping) Bill 2012
Coastal Trading (Revitalising Australian Shipping) (Consequential Amendments and Transitional Provisions) Bill 2012
Tax Laws Amendment (Shipping Reform) Bill 2012
In summary Sugar Australia ships about 300kta of raw sugar from North Queensland to its refinery at Yarraville Melbourne. This is carried today in licensed vessels which are internationally flagged. They will be subjected to the transitional arrangements and will end up as General License vessels under the proposed legislation. This will increase the costs of coastal shipping by 10-16% according to a study by Deloittes Access Economics1 and reduce business flexibility. As an internationally traded commodity, it is difficult or not possible in the majority of cases, to pass on any additional business costs. In this case it is likely that the cheapest supply chain option will be pursued which could involve importing raw sugar from Asia to Melbourne and exporting raws from North Queensland.
By way of example the additional cost arising from the application of the Fair Work Act to international container ships (there are no Australian flagged container ships trading east coast to west coast) resulted in a loss of almost 30% of the Perth sugar market to Australian producers that demand being supplied by Malaysian refined sugar.
CSR is concerned by the potential cost increase, loss of flexibility and additional red tape that will occur as a result of this policy.
This adds to recent freight cost increases and the prospect of importing raw material from Asia and substituting that for Australian sourced material. This adds to the burden of other costs being added to Australian manufacturing eg carbon tax, VEET charges in Victoria etc, not faced by international suppliers.
The Minerals Council of Australia is concerned that the ramifications of the final versions of the Bills have not been properly examined.
Removing the flexibility of the coastal trading licencing system to adapt to the shipping requirements of customers engaged in highly competitive markets may be counterproductive.
The Government’s proposed Coastal Trading Bill 2012 should NOT be passed through the Federal Parliament until it has been properly scrutinised as to whether it is an economic and productivity reform as it:
The shipping reform package, in particular the Bill, will increase red tape at a time when Commonwealth and state governments, together with business, are seeking ways to reduce it. The Bill contains clear examples of unnecessary and unproductive regulatory requirements and therefore should be subjected to close scrutiny to remove all regulation not essential to the objects of the Act and the broader national objective of improving business productivity through greater efficiency.
… [WW] Logistics says it will not commit to carrying coastal cargo until new cabotage laws are finalised.
In a statement released this morning, WWL said it was “regrettably announcing” it was unable to commit to the carriage of coastal cargo after July 1.
"The new legislation ‘Coastal Trading Bill 2012’ shows there will be substantial changes to the way foreign carriers apply for and be granted permission to carry coastal cargo around Australia", the company said in a press release.
Based on these proposed changes and new requirements it may become very difficult for WWL to continue participating in the coastal trade, according to the new laws that are set to come into effect from 1 July. However final recommendations from the Senate committee are unlikely to be finished until June 19.
"This will give only 11 days notice before the planned legislation enactment," the company said, "and there are also other aspects of the legislation that are still not known."
What we are doing is creating an economic and regulatory environment that will revitalise and sustain growth and productivity in our shipping industry.
The proposed legislation, as it relates to coastal container shipping, can only exacerbate this situation and will not result in any Australian flagged/registered ships valiantly taking up the challenge of carrying containers on the principal coast route, namely, east coast to west coast.
Ro-ro operator Wallenius Wilhelmsen Logistics says it will not commit to carrying coastal cargo until new cabotage laws are finalised.
Given the range of consideration that the shipping investors and companies may have regard to in assessing where vessels will be registered or entered into service it is not appropriate for the Department to speculate on the number of vessels that may take the opportunities afforded by the new investment platform.
… there will be flow on impacts for the whole of the transport chain and the backlog resulting from the delays to shipping movements which in turn adversely affects the ability of shipping lines to meet schedules in other Australian and international ports. Such disruption will also further erode our international reputation as a reliable supplier.
The final element of the reform package is labour productivity.
We are committed to aligning Australian productivity practices with the best in the world.
To do this, we will need a compact between industry and unions.
This compact must include changes to work practices, a review of safe manning levels and the use of riding gangs on coastal vessels.
This compact is essential to the reform agenda.
Shipping Reform (Tax Incentives) Bill 2012
Shipping Registration Amendment (Australian International Shipping Register) Bill 2012
Coastal Trading (Revitalising Australian Shipping) Bill 2012
Coastal Trading (Revitalising Australian Shipping) (Consequential Amendments and Transitional Provisions) Bill 2012
Tax Laws Amendment (Shipping Reform) Bill 2012
The third reason for tariffs, but you are too young to appreciate this—
is that I will never see my country placed in another war without the ability to build a main battletank.
The House divided. [12:21]
(Deputy Speaker—Ms AE Burke)
(1) Clause 5, page 3 (after line 9), after the definition of constitutional corporation , insert:
excluded vessel has the meaning given by subsections 10(4) and (5).
(2) Clause 10, page 10 (line 6), omit "of a kind set out in subsection (4)", substitute "an excluded vessel".
(3) Clause 10, page 10 (line 19), omit "The excluded kinds of vessels are as follows", substitute "The following are excluded vessels ".
(4) Clause 10, page 10 (line 32), at the end of subclause (4), add:
; (k) vessels of a kind specified under paragraph (5)(a).
(5) Clause 10, page 10 (after line 32), at the end of the clause, add:
(5) The Minister may, by legislative instrument, specify:
(a) kinds of vessels that are to be excluded vessels; and
(b) kinds of vessels that are not to be excluded vessels.
Despite subsection (4), a vessel of a kind specified under paragraph (b) is not an excluded vessel .
That this bill be now read a third time.
Shipping Registration Amendment (Australian International Shipping Register) Bill 2012
(1) Schedule 1, item 25, page 9 (lines 26 to 28), omit paragraphs 15F(2)(b) and (c), substitute:
(b) any information contained in the ship's port state control inspection records in relation to the period prescribed by the regulations; and
(c) the ship's classification society records in relation to the period prescribed by the regulations; and
(2) Schedule 2, item 13, page 28 (line 15), omit the heading to Division 1, substitute:
Division 1—Application of other laws to International Register ships
(3) Schedule 2, item 13, page 28 (line 16), omit the heading to section 61AA, substitute:
61AA Application of other laws to International Register ships
(4) Schedule 2, item 13, page 28 (lines 18 to 22), omit paragraphs 61AA(a) and (b), substitute:
(a) the Fair Work Act 2009 does not apply in relation to when the ship is used to engage in international trading; and
(b) the Seafarers Rehabilitation and Compensation Act 1992 does not apply in relation to the ship at any time; and
(5) Schedule 2, item 13, page 28 (lines 26 and 27), omit "when the ship is used to engage in international trading", substitute "the ship at any time".
(6) Schedule 2, item 13, page 29 (line 30), after "this Division", insert "when the ship is used to engage in international trading".
(7) Schedule 2, item 13, page 35 (lines 8 and 9), omit "when it was engaged in international trading".
(8) Schedule 2, item 13, page 35 (line 17), omit "when it was engaged in international trading".
(9) Schedule 4, item 7, page 56 (lines 5 to 10), omit the definition of owner, substitute:
owner of a ship means one or more of the following:
(a) a person who has a legal or beneficial interest in the ship;
(b) a person with overall general control and management of the ship;
(c) a person who has assumed responsibility for the ship from a person referred to in paragraph (a) or (b).
For the purposes of paragraphs (b) and (c), a person is not taken to have overall general control and management of a ship, or to have assumed responsibility for a ship, merely because he or she is the master or pilot of the ship.
That this bill be now read a third time.
Coastal Trading (Revitalising Australian Shipping) Bill 2012
(1) Clause 6, page 6 (after line 18), after the definition of emergency licence , insert:
energy security situation : see subsection (1A).
(2) Clause 6, page 7 (after line 26), after the definition of licence , insert:
liquid fuel product means any of the following:
(a) biodiesel (within the meaning of paragraph (a) of the definition of that expression in the Energy Grants (Cleaner Fuels) Scheme Act 2004 );
(b) liquid fuel (within the meaning of the Liquid Fuel Emergency Act 1984 );
(c) liquid petrochemical (within the meaning of that Act);
(d) liquid petroleum (within the meaning of that Act);
(e) liquid petroleum product (within the meaning of that Act);
(f) petrochemical (within the meaning of that Act);
(g) petroleum (within the meaning of that Act);
(h) petroleum product (within the meaning of that Act);
(i) refined liquid petroleum product (within the meaning of that Act).
(3) Clause 6, page 8 (lines 5 to 12), omit the definition of owner , substitute:
owner of a vessel means one or more of the following:
(a) a person who has a legal or beneficial interest in the vessel, other than as a mortgagee;
(b) a person with overall general control and management of the vessel;
(c) a person who has assumed responsibility for the vessel from a person referred to in paragraph (a) or (b).
For the purposes of paragraphs (b) and (c), a person is not taken to have overall general control and management of a vessel, or to have assumed responsibility for a vessel, merely because he or she is the master or pilot of the vessel.
(4) Clause 6, page 9 (after line 15), after subclause (1), insert:
(1A) For the purposes of this Act, an energy security situation exists if:
(a) a vessel is used to undertake a voyage authorised by a temporary licence; and
(b) the vessel is carrying a liquid fuel product; and
(c) there are special circumstances, of a kind prescribed by the regulations, requiring the vessel to load or unload a liquid fuel product at a port that is not authorised by the licence.
(5) Clause 28, page 22 (after line 17), after paragraph (2)(e), insert:
(ea) the name of the vessel (if known);
(6) Clause 34, page 25 (after line 21), after paragraph (b), insert:
(ba) if the application relates to cargo and a vessel registered in the Australian International Shipping Register—both:
(i) whether the applicant owns the cargo and the vessel; and
(ii) whether the cargo is to be carried on the vessel;
(7) Clause 34, page 26 (lines 4 and 5), omit "in a timely manner", substitute "on the expected loading dates or within 5 days before or after the relevant date".
(8) Clause 40, page 29 (line 10), before "the holder", insert "subject to paragraph (ca),".
(9) Clause 40, page 29 (after line 11), after paragraph (c), insert:
(ca) if a voyage authorised by the licence is not going to be undertaken—the holder of the licence must notify the Secretary, in writing, of that fact and the reasons why the voyage is not going to be undertaken;
(10) Clause 43, page 30 (line 8), at the end of subclause (1), add "other than a matter authorising a voyage that the Secretary has been notified is not going to be undertaken".
(11) Clause 43, page 30 (after line 14), after paragraph (2)(b), insert:
(ba) if the application relates to an energy security situation—be accompanied by a statutory declaration giving details of the special circumstances; and
(12) Clause 43, page 30 (after line 16), at the end of the clause, add:
(3) An application relating to a voyage authorised by a temporary licence may be made:
(a) in the case of an energy security situation—at any time:
(i) after the notification requirements under section 61 for the voyage have been complied with; and
(ii) before the end of the voyage; and
(b) in any other case—before the notification requirements under section 61 for the voyage have been complied with.
(13) Clause 45, page 30 (line 24), after "section 43", insert "(other than an application relating to an energy security situation)".
(14) Clause 46, page 31 (lines 30 to 32), omit subclause (4), substitute:
(4) The Minister must decide an application for variation of a temporary licence:
(a) in the case of an application relating to an energy security situation—within 24 hours of receiving the application; and
(b) in any other case—within 2 business days after the day the application is made.
(15) Page 32 (after line 4), after clause 47, insert:
47A Application taken to be granted in certain circumstances
If the Minister has not decided an application relating to an energy security situation by the end of the period within which a decision is required under section 46, then, at the end of that period, the Minister is taken to have:
(a) granted the application; and
(b) determined that the matters specified in the application are authorised by the licence.
(16) Clause 61, page 37 (after line 9), after paragraph (b), insert:
(ba) the date of the voyage;
(17) Clause 72, page 44 (after line 5), after paragraph (c), insert:
(ca) the holder of the licence must comply with the notification requirements under section 74A;
(18) Page 44 (after line 26), after clause 74, insert:
Subdivision C—Miscellaneous
74A Voyage notification requirements for emergency licences
The holder of an emergency licence must, at least 2 days before the actual loading date for a voyage to be undertaken under the licence, notify the Minister, in writing, of the following:
(a) the vessel to be used to undertake the voyage;
(b) the date of the voyage;
(c) the number of passengers to be carried during the voyage (if any);
(d) the kind and volume of cargo to be carried during the voyage (if any);
(e) the ports at which the passengers or cargo will be taken on board;
(f) the ports at which the passengers will disembark or the cargo will be unloaded.
Civil penalty:
(a) for an individual—50 penalty units; and
(b) for a body corporate—250 penalty units.
(19) Clause 75, page 45 (line 15), omit "each voyage undertaken under", substitute "the period of".
Shipping Registration Amendment (Australian International Shipping Register) Bill 2012
(1) Clause 3, page 2 (line 11), at the end of subclause 3(1), add:
;and (e) promotes competition in coastal trading; and
(f) ensures efficient movement of passengers and cargo between Australian ports.
(1) The object of this Act is to provide a regulatory framework for coastal trading in Australia that:
(a) promotes a viable shipping industry that contributes to the broader Australian economy; and
(b) facilitates the long term growth of the Australian shipping industry; and
(c) enhances the efficiency and reliability of Australian shipping as part of the national transport system; and
(d) maximises the use of vessels registered in the Australian General Shipping Register in coastal trading.
A broader set of objectives is needed to ensure the subsequent reforms do not lessen the competitiveness of the market, negatively impact the interests of shipping users or result in lower employment and GDP outcomes for the wider Australian community.
(2) Clause 28, page 22 (line 10), after "specify", insert ", to the extent known,".
(3) Clause 28, page 22 (line 11), omit ", which must be 5 or more,".
(4) Clause 51, page 32 (line 25), after "specify", insert ", to the extent known,".
(5) Clause 51, page 32 (line 26), omit ", which must be 5 or more,".
Implementing a minimum voyage requirement on [Temporary Licence] applications is not practical or reasonable. The requirement places unnecessary restrictions on shippers who undertake less than five voyages in a 12 month period and disadvantages these stakeholders whose trade is not likely to encourage investment on the coast due to their variable needs and low demand.
… the minimum of five voyages, which in our view, discriminates against the smaller coastal shipper who may, for example, have two or three voyages per year …
For the small number of operators requiring fewer than five voyages, the new arrangements may require some reconsideration of their operating requirements.
The bioethanol business was recently re-structured to provide only fuel grade ethanol into the Queensland market with industrial markets served by product imported to the Port of Melbourne. Ships for this product also have to meet certain product specific requirements. Under recently changed market conditions, Sucrogen Bioethanol will re-start coastal transfers of ethanol from North Queensland to Melbourne displacing imports.
It might be that from time to time depending on the market situation the business needs to only move one cargo. It may be that it needs to move four and this cannot be predicted over a 12 month period. Thus the business is beholden to this Act .… At present the differentials for moving cargo from North Queensland versus imports from Brazil are marginal.
In the absence of an explanation why the arbitrary figure of five voyages was picked, ALC would recommend the five voyage threshold to eligibility to apply for a temporary licence be removed from the legislation.
… only those voyages where the required information is known (including expected loading dates, loading and discharge ports and cargo type and volumes) …
Overall the Temporary Licence system appears more complicated and burdensome to both the oil industry and the Department than the existing Permit system, and in our opinion, will fail to deliver any of the objectives of the Act in respect to the oil tanker segment of the Australian shipping industry.
The House divided. [13:18]
(The Deputy Speaker–Ms AE Burke)
The House divided. [13:23]
(The Deputy Speaker–Ms AE Burke)
That this bill be now read a third time.
Coastal Trading (Revitalising Australian Shipping) (Consequential Amendments and Transitional Provisions) Bill 2012
(1) Schedule 1, page 6 (after line 2), after item 19, insert:
19A At the end of subsection 19(1)
Add:
Note: This Act does not apply if a prescribed ship is a ship registered in the Australian International Shipping Register, see paragraph 61AA(b) of the Shipping Registration Act 1981 .
(2) Schedule 1, item 20, page 6 (lines 5 to 8), omit subsection 19(1AA).
(3) Schedule 1, item 20, page 6 (line 9), omit "(1AB)", substitute "(1AA)".
(4) Schedule 2, item 3, page 9 (line 2), omit "permit", substitute "licence".
That this bill be now read a third time.
Tax Laws Amendment (Shipping Reform) Bill 2012
(1) Schedule 4, item 1, page 17 (lines 11 and 12), omit "of a kind set out in subsection 10(4) of the Shipping Reform (Tax Incentives) Act 2012", substitute "an excluded vessel (within the meaning of theShipping Reform (Tax Incentives) Act 2012 )".
(1) Schedule 4, page 17 (after line 18), after item 1, insert:
1A Section 128D
Omit "or (jb)", substitute ", (jb) or (m)".
(2) Schedule 4, item 2, page 17 (line 20), omit "amendment made by this Schedule applies", substitute "amendments made by this Schedule apply".
That this bill be now read a third time.
National Health Reform Amendment (Administrator and National Health Funding Body) Bill 2012
That this bill be now read a third time.
Federal Financial Relations Amendment (National Health Reform) Bill 2012
That this bill be now read a second time.
(1) Clause 2, page 2 (table items 2 and 3), omit the table items, substitute:
(2) Schedule 1, item 5, page 3 (line 19), after "13", insert "or 15A".
(3) Schedule 2, item 5, page 4 (lines 28 and 29), omit the item.
That this bill be now read a third time.
That Federation Chamber, private Members’ business, orders of the day No. 11 motion relating to the Family law and child support system, No. 13 the Health Insurance (Dental Services) Bill 2012, No. 17 the Migration Legislation Amendment (The Bali Process) Bill 2012, and No. 24 motion relating to Same-sex marriage be returned to the House for further consideration.
That standing order 43 be suspended for this sitting.
That so much of the standing and sessional orders be suspended as would prevent the following orders of the day, private Members' business, being called on, and considered immediately in the following order:
Motion relating to the Family law and child support system;
Motion relating to Same-sex marriage;
No. 20 – Solar Hot Water Rebate Bill 2012;
Health Insurance (Dental Services) Bill 2012; and
Migration Legislation Amendment (The Bali Process) Bill 2012.
Solar Hot Water Rebate Bill 2012 [No. 2]
The House divided. [13:48]
(The Deputy Speaker—Ms AE Burke)
Health Insurance (Dental Services) Bill 2012
The House divided. [13:55]
(The Deputy Speaker—Hon. AE Burke)
Migration Legislation Amendment (The Bali Process) Bill 2012
The House divided. [13:58]
(The Deputy Speaker—Hon. AE Burke)
That further statements on indulgence on 20th anniversary of the Mabo native title decision be referred to the Federation Chamber.
The members of this Parliament would wish to be associated directly with the general rejoicing throughout the Empire on the occasion …
… all Australians regard with deep affection this charming girl, whose natural dignity, intelligence and nobility of mind so well equip her to become the ruler of the British Commonwealth of Nations.
… no country currently imposes an economy-wide tax on greenhouse gas emissions or has in place an economy-wide ETS.
Once the carbon tax comes into effect … the business will be unviable. It will have to shut. Over 200 workers will lose their jobs and the community will be greatly affected with families leaving the area.
… … …
All I want is a job to go to so I can support my family.
… the use of Question Time for its political impact, the opportunity given to Members to raise topical or urgent issues is invaluable. Ministers accept the fact that they must be informed through a check of press, television or other sources of possible questions that may be asked of them in order that they may provide satisfactory answers.
Under the former government, the Commonwealth put in $ 1.3 billion and the state government put in $2.5 billion for the Pacific Highway.
But it wasn't on the national network then. You—
put it on the national network.
The Pacific Highway from its junction with the New England Highway at Hexham and Pacific Motorway to the intersection with the Gateway Motorway at Eight Mile Plains, Brisbane.
That so much of standing and sessional orders be suspended as would prevent the Selection Committee’s determinations in respect of private Members’ business for the Federation Chamber on Monday, 18 June 2012, from 6.30 p.m. to 9 p.m. as reported to the House today, being adopted and shown on the Notice Paper for Monday, 18 June 2012.
National Health Amendment (Pharmaceutical Benefits Scheme) Bill 2012
That this bill be now read a third time.
Corporations Amendment (Proxy Voting) Bill 2012
That this bill be now read a third time.
The urgent need for consistent economic policy to address Australia’s declining economic competitiveness.
This is a good time to pause and examine how the carbon tax is affecting our economic competitiveness. To that end, we will carry out a comprehensive review, examining the tax's impact—both positive and negative—on every economic sector.
In the comments from corporates, obviously reflecting what is being told to them by international investors, there is absolutely no doubt there has been heightened concern about things such as the carbon tax, the MMRT (minerals resource rent tax), growing industrial dispute activity and sovereign risk generally. That has been going on for 12 months now.
You're taking a previously blue chip jurisdiction for investment (Australia) and we're turning into something where we've got sovereign risk and uncertainty.
My clear message to the Australian Government is: do not create uncertainty.
Instead provide our investors with the confidence in Australia as a stable fiscal and regulatory region—allow us to stay competitive.
The situation now is that the Baillieu government will not provide enough money to meet the costs of all the courses that now exist and is effectively saying to the institutes, 'If you want to run them you will have to make up the differences'.
Premier Baillieu has broken his promise. Frontline TAFE staff will need to be retrenched in significant numbers.
The DEPUTY SPEAKER (Hon. BC Scott) took the chair at 09:30.
Appropriation Bill (No. 1) 2012-2013
It appears there was no competitive tender process, no rigorous evaluation, and a billion dollar decision has been based on a quick desk top audit.
… available at a very good price and option, may I commend the minister for a quick and sound decision. It is a very good capability. The loss of the Caribou was quite a loss in terms of short take-off and landing. The C-27J will add significant capability to our arsenal.
… properly rejected by the Howard government, of which I was a member …
… … …
There is no inherent logic to the proposition that a public sector employment-related superannuation payment should be indexed in exactly the same fashion as a means-tested welfare benefit in this case, the age pension.
National Health Amendment (Pharmaceutical Benefits Scheme) Bill 2012
The Commonwealth undertakes not to implement new policy to generate price-related savings from the PBS during the period of agreement …
Corporations Amendment (Proxy Voting) Bill 2012
That business intervening before committee and delegation reports, order of the day No. 5, be postponed to the next day of sitting.
Since 1 January 2008, has the Minister's department contracted Skills Training Australia Pty Ltd, 92 Copeland Street, Liverpool, NSW, to conduct training; if so, for each type of training, what (a) was the purpose, (b) was the duration, (c) sum was charged per participant, and (d) oversights (if any) occurred on the specified outcome, duration and delivery.
For the period 1 January 2008 to 30 April 2012 Defence (including the Defence Materiel Organisation) has not made any payments to Skills Training Australia either by direct credit, cheque or credit card.
(a) to (d) Not applicable.
Since 1 January 2008, has the Minister's department contracted Skills Training Australia Pty Ltd, 92 Copeland Street, Liverpool, NSW, to conduct training; if so, for each type of training, what (a) was the purpose, (b) was the duration, (c) sum was charged per participant, and (d) oversights (if any) occurred on the specified outcome, duration and delivery.
Since 1 January 2008 the Department of Agriculture, Fisheries and Forestry has not contracted Skills Training Australia Pty Ltd, 92 Copeland Street, Liverpool NSW to conduct training of any type or for any purpose.