Ms MARTIN - 2001-02-21
Prior to the introduction of the GST the differential between the most expensive capital city fuel in Australia – which is Darwin – and the cheapest, Brisbane, was 18 per litre. According to the Australian Automobile Association, by January this year, the differential had blown out to 24 per litre, an increase of 33%. I seek leave to table a copy of that statistic from the Automobile Association.
Leave granted.
Ms MARTIN: I ask the Chief Minister why has that occurred, who is picking up the windfall at the expense of every Territory family and business and, more importantly, what are you going to do about it?
ANSWER
Mr Speaker, we had a debate on this very issue yesterday, and I can only reiterate the comments that I made then, that firstly, all Australians are concerned about the price of fuel. If one looks at the price of fuel in the Northern Territory in comparison with similar sized centres such as Darwin and Alice Springs in various locations around Australia, the differential in the price of fuel in the Northern Territory reflects reasonably with the prices in those other jurisdictions.
For example, Darwin’s average petrol price did increase by 20.8% from 84.9 per litre to 102.6 per litre over the year to December 2000, as the Opposition Leader herself said yesterday – I think she is a bit low actually on the prices where she said it was less than $1 in Darwin at most service stations. It has reflected the volatility of fuel prices in Darwin and throughout the Northern Territory. If we leave aside places like Nguiu and some of the more remote parts of the Northern Territory where particular factors of the margins are supposedly caused by transportation costs, which I believe is an issue in itself, but look at the price comparisons between major centres in say Darwin and Alice Springs compared to similar sized centres around Australia, I believe they are relative.
The Leader of the Opposition says: ‘What is the Northern Territory government going to do about it?’ Well, all I can do are those things that are within the power of the Chief Minister. To suggest otherwise, as the Leader of the Opposition has never put herself forward to do, is simply being mischievous and irresponsible to Territorians. The most that this government can do is lobby the federal government on the issue of rising costs of fuel around Australia and hope that particular argument is heard.
In that regard, it is fair to understand the fact that it has only been a Howard government that has provided on road and off road diesel subsidy costs to the extent of about 24 per litre. During all of the period of the Labor government, not only did they provide no subsidy to road users, but they increased the actual excise. First of all, they introduced the excise and, secondly, over the term of the Paul Keating government, they increased that excise by about 300%, and that is aside from linking the excise to the CPI.
Let’s give credit where credit is due. It is very easy to sit back and take the high moral ground and criticise the Howard government. But it hasn’t been the Howard government since 1996 that has increased excise by 1 per litre. The Howard government, if it can be criticised at all, it is for simply …
Members interjecting.
Mr BURKE: The truth hurts, I know, the truth hurts, but it is a fact. Territorians should understand this argument. This policy that the Labor Party puts out that somehow the Howard government is responsible for fuel prices; somehow the Howard government is responsible for excise on fuel. Excise as a largesse to government was introduced by the Labor Party and over the term of the Hawke/Keating years they increased that excise into consolidated revenue by about 300%. The Howard government stopped that.
The CPI increase, which is reflected revenue to government, undoubtedly, and less than 1 per litre over the last period of these increases, is a reflection of the high cost of fuel as a result of crude oil prices worldwide. Strong and powerful our Prime Minister may be, but he has very little influence on the decisions that are made by the OPEC producing countries. I say that confidently because the President of the United States has as little influence because it is an international issue and all developed countries are trying to argue the instability that is being caused by OPEC decisions in the international forum.
Where the hypocrisy comes from is the Labor Party trying to take the high moral ground, suggesting that they had nothing to do with this sort of situation. What is even worse is this totally irrelevant Leader of the Opposition of the Northern Territory suggesting that, firstly, she might be able to do something about it and, secondly, refusing to say at every opportunity I give her what exactly she would do. Nothing! Silence! All she can do is snipe, criticise, try to undermine. If that is the way you think you will win Territorians’ votes, you go right ahead. Truthfulness and integrity will win out.
Leave granted.
Ms MARTIN: I ask the Chief Minister why has that occurred, who is picking up the windfall at the expense of every Territory family and business and, more importantly, what are you going to do about it?
ANSWER
Mr Speaker, we had a debate on this very issue yesterday, and I can only reiterate the comments that I made then, that firstly, all Australians are concerned about the price of fuel. If one looks at the price of fuel in the Northern Territory in comparison with similar sized centres such as Darwin and Alice Springs in various locations around Australia, the differential in the price of fuel in the Northern Territory reflects reasonably with the prices in those other jurisdictions.
For example, Darwin’s average petrol price did increase by 20.8% from 84.9 per litre to 102.6 per litre over the year to December 2000, as the Opposition Leader herself said yesterday – I think she is a bit low actually on the prices where she said it was less than $1 in Darwin at most service stations. It has reflected the volatility of fuel prices in Darwin and throughout the Northern Territory. If we leave aside places like Nguiu and some of the more remote parts of the Northern Territory where particular factors of the margins are supposedly caused by transportation costs, which I believe is an issue in itself, but look at the price comparisons between major centres in say Darwin and Alice Springs compared to similar sized centres around Australia, I believe they are relative.
The Leader of the Opposition says: ‘What is the Northern Territory government going to do about it?’ Well, all I can do are those things that are within the power of the Chief Minister. To suggest otherwise, as the Leader of the Opposition has never put herself forward to do, is simply being mischievous and irresponsible to Territorians. The most that this government can do is lobby the federal government on the issue of rising costs of fuel around Australia and hope that particular argument is heard.
In that regard, it is fair to understand the fact that it has only been a Howard government that has provided on road and off road diesel subsidy costs to the extent of about 24 per litre. During all of the period of the Labor government, not only did they provide no subsidy to road users, but they increased the actual excise. First of all, they introduced the excise and, secondly, over the term of the Paul Keating government, they increased that excise by about 300%, and that is aside from linking the excise to the CPI.
Let’s give credit where credit is due. It is very easy to sit back and take the high moral ground and criticise the Howard government. But it hasn’t been the Howard government since 1996 that has increased excise by 1 per litre. The Howard government, if it can be criticised at all, it is for simply …
Members interjecting.
Mr BURKE: The truth hurts, I know, the truth hurts, but it is a fact. Territorians should understand this argument. This policy that the Labor Party puts out that somehow the Howard government is responsible for fuel prices; somehow the Howard government is responsible for excise on fuel. Excise as a largesse to government was introduced by the Labor Party and over the term of the Hawke/Keating years they increased that excise into consolidated revenue by about 300%. The Howard government stopped that.
The CPI increase, which is reflected revenue to government, undoubtedly, and less than 1 per litre over the last period of these increases, is a reflection of the high cost of fuel as a result of crude oil prices worldwide. Strong and powerful our Prime Minister may be, but he has very little influence on the decisions that are made by the OPEC producing countries. I say that confidently because the President of the United States has as little influence because it is an international issue and all developed countries are trying to argue the instability that is being caused by OPEC decisions in the international forum.
Where the hypocrisy comes from is the Labor Party trying to take the high moral ground, suggesting that they had nothing to do with this sort of situation. What is even worse is this totally irrelevant Leader of the Opposition of the Northern Territory suggesting that, firstly, she might be able to do something about it and, secondly, refusing to say at every opportunity I give her what exactly she would do. Nothing! Silence! All she can do is snipe, criticise, try to undermine. If that is the way you think you will win Territorians’ votes, you go right ahead. Truthfulness and integrity will win out.
Last updated: 09 Aug 2016