Department of the Legislative Assembly, Northern Territory Government

Ms MARTIN - 2000-06-20

Yesterday, on ABC Radio, concerns about petrol price rises were heightened, when your colleague, Senator Grant Tambling, was unable to confirm whether Darwin will receive the remote fuel subsidy designed to soften the blow of the GST. If Darwin is not part of the scheme, fuel prices here will rise by another 2 to3 per litre on top of the CLP’s action to remove the 1.1 per litre general fuel subsidy. The CLP has never lobbied Canberra over the impact of the GST on Territorians and has failed to stand up for Territorians. This week a decision about whether Darwin is in or out of the remote fuel subsidy scheme is being made in Canberra. What action has the Chief Minister taken in lobbying Treasurer Costello to ensure that Darwin people do not face a further fuel price hike as a result of the GST?

ANSWER

Mr Speaker, it is unfortunate the Leader of the Opposition did not ask that question last Thursday, because I had taken the opportunity that day to ring around Australia to find out what the price of fuel was in a number of capital cities and regional centres around Australia on that particular day. I do not have the results of that with me, but hopefully my staff can get something and I can table it by the end of Question Time. But one thing that did become apparent is that the high price of fuel is a worry to all Australians and there are varying reasons for that. I do have some sympathy for the argument that the Commonwealth approach with tying further excise with the price of the CPI rises, inclusive of GST, is something that does need consideration by the federal government.

The result of that particular survey was interesting in that the price of fuel in metropolitan Melbourne last Thursday was about 8 per litre below 90, I believe from memory it was 83.9 per litre in Melbourne last Thursday. A commentator was remarking that there was a price war in Melbourne during that week; that petrol stations were undercutting each other and that he fully expected by the end of that week the price of fuel in Melbourne would rise to 90 per litre, which was the normal retail price, in his opinion. This is a capital city of Australia with two oil refineries; two oil refineries in the city and the price of fuel in Melbourne was alarmingly high on that day. If one considers the price of fuel in Melbourne in relation to fuel in Darwin, the price differential is certainly not such that you would launch into an inquiry into the price of fuel in the Northern Territory as has been called for by the opposition on occasions. In fact, the price of fuel in Darwin last Thursday compared to many regional centres around Australia, many of whom are very close to oil refineries in capital cities, was very similar.

Now, with regards to the Commonwealth subsidy on – I have just been given those figures and I will take the opportunity to table those figures and they indicate that, for example, Northern Territory in Daly Street, it was 94.9, in Darwin. In Dubbo in New South Wales, it was 94.9, and in Coonabarabran, it was 99.9. In Port Augusta, it was 92.9. In Bunbury in Western Australia, it was 95.6. This was last Thursday, so I table the information for the information of honourable members, because it is an indication that this government does monitor consistently the prices of fuel around Australia as a reflection of our concern about the high price of fuel.

With regards the subsidy - the Northern Territory fuel subsidy - I understand that the Commonwealth is releasing details of their 3-tiered subsidy to replace our subsidy this week, and it will be interesting to see what that subsidy actually transposes to the Northern Territory.

Whilst the opposition will take the opportunity during this period leading up to the introduction of the GST, and what is really more than that, it is a new tax system for Australia, to take advantage of fear in the community, all I can do is hope the days pass quickly so that Australians and Territorians will get a true reflection of the results of this new tax system for Australia over the coming months. A new tax system which would see personal income tax for Australians reduce by $12bn whereby a typical family in Australia will be $40 to $50 per week better off.

Mr STIRLING: A point of order, Mr Speaker! The essence of the question was to ask the Chief Minister what action he has taken in lobbying Treasurer Costello to ensure that we do not face a further fuel price hike and he has so far failed to answer.

Mr SPEAKER: The opposition members are a little bit cute as well because you keep on throwing interjections and that is always going to encourage a minister to go into other matters. So if you want a clear straight answer, please keep quiet.

Mr BURKE: I am not avoiding the question at all. I am simply saying that a responsible approach to responding to allegations on particular items affected by a goods and sales tax and attacking the federal government over a particular item is not the responsible way to go. A responsible way to go is to understand that Australia is going through the greatest tax change probably in recent history. It is a new tax system which is essential for Australia to maintain a competitive position. It is a new tax system that will bring fairness and equity to Australians as promised by the federal government and if they do not deliver on that promise you can be assured that this government will take them daily to task in areas where we believe they are not delivering as they promised.

In fairness, let’s see the new tax system introduced. There will be some prices that will fall, there will be some prices that will remain the same and there will be some prices that will rise. Against that will be reductions in a whole range of taxes and it will be up to Territorians and Australians to judge the federal government at the end of that period when they have seen the new tax system introduced, when they see the initiatives that the federal government puts in place in order to address any inequities that may arise.

That is the responsible approach and that is why I admire our present Prime Minister because he is prepared to take the hard decisions. He is prepared to take Australia into the future and he is prepared to risk his government and his own political future to do the right thing by the Australian people. All we can see in return is the cowardly approach of the Labor Party both federally and in the Northern Territory. They can do nothing to propose an alternative except to firstly swipe at individual items and try and put fear into the hearts of the average person and, secondly, to suggest that somehow if they were in government they will introduce some notion called roll back. Well roll on and tell us about what roll back would be. If you are so sure, if the Leader of the Opposition is so sure that this …

Mr Ah Kit:Sit down.

Mr BURKE: The member for Arnhem is now telling me to sit down, he does not like the truth.

Members interjecting.

Mr SPEAKER: Order!

Mr BURKE: Mr Speaker, if they are so convinced that they have a better proposition, let’s get the details on the table. Let’s see what roll back really means for Territorians and then we might take them seriously.
Last updated: 09 Aug 2016