There have been massive increases in debt in the last 12 months, without the necessary objective data to underpin them. That shows, yet again, poor governance of our country. When you take in government charges, rates, levies and fees as well 68% of someone’s average income is taken in tax. That’s working from Monday to mid-morning Thursday to pay for government.
Transcript
Senator Siewert’s motion is that the Senate notes that the Morrison government’s 2021-22 budget left people on low incomes behind. I would go further. This budget leaves the whole country behind, and that means it leaves everyone behind. There have been massive increases in debt in the last 12 months, without the necessary objective data to underpin them. That shows, yet again, poor governance of our country. In Senate estimates, I discussed with the chief medical officer and the secretary of the health department the seven essential components of a plan for managing a virus. The federal government is addressing one; the state governments are addressing another—that’s it—and they have both been addressed poorly.
I want to discuss the productive capacity because that’s what determines the wealth and the economic security, and, indeed, sometimes the defence security of our nation in the future. The productive capacity of our country has been declining considerably since 1944 and, in fact, since 1923, if we want to get into basics—but that’s for another day. Let’s look at the most important part of productive capacity—the human asset, our people. Look at education, because it’s the future leaders of this country who will determine the future productive capacity, as well as us determining that capacity today. We have declining scores in education. Reading and writing, mathematics and science—declining. By world standards, we are falling well behind in the core aspects of education but we devote plenty of resources, plenty of time, plenty of energy to teaching kids—misleading kids—about gender fluidity, critical race theory, non-gender language and a national curriculum that the government forks out money for yet cannot control. That’s what has been told to us by the federal government.
We need charter schools. We need parents to have more say in the running of their schools, and principals to have more say in the running of their schools; parents to control what values are passed on; and parents to decide whether or not their children will be taught about gender fluidity. I want to compliment Mark Latham in the New South Wales parliament and my colleague Senator Pauline Hanson for the bills they are introducing and evaluating right now to restore values and common sense to education. I note that Singapore, Japan, and Korea have really moved ahead in recent years, as has Taiwan. They all have solid basic education.
What’s happened to apprenticeships in this country? Senator Lines moved a motion today with regard to apprenticeships sadly lacking in WA. Senator Hanson has proudly introduced an apprenticeship scheme that the government has taken and refurbished and expanded, such is the success of her suggestion on apprenticeships. What has happened to universities? They followed our primary schools and high schools in becoming more woke and driven by anything but education. As for university education, it is now just pushing an ideology. Our TAFE systems have fallen into disrepair; our trades qualifications are falling into disrepair.
Let’s move on then to the workplace. The Fair Work Act is an abomination. It is about that thick in pages printed. It destroys the employer-employee relationship, which is essential for productive capacity. It is difficult for anyone, an employee or a small businesses employer who doesn’t have access to lawyers and consultants and HR practitioners to work their way through that. How can they possibly be held accountable for that relationship when they can’t even understand it and never will understand it, not because of lack of intelligence but because of lack of time and surely being overwhelmed? Again, just like education, this is poor governance to get into this state.
Then we go to energy—arguably the most critical in material resources because energy has determined the competitiveness of every country. Under President Trump America reversed the decline in its competitiveness because it reversed its increase of energy prices and it started to decrease its energy prices again. America became more competitive against its competitors and blossomed because of that. President Trump created more jobs than any president in history because of that and because he cut away regulations.
This government and its predecessors have fiddled the Renewable Energy Target, destroying our baseload coal-fired power stations, our grid. The network costs are destroying our grid, making it unaffordable. Retail sectors of electricity are just a fabrication. The national electricity market is now a national electricity racket. It’s not a market at all; it’s a bureaucracy that’s interfered with and manipulated by bureaucrats looking after vested interests. Then we see privatisation. The Queensland Labor government is taking about $1½ billion every year from people who use electricity—businesses, small businesses and families—and that is now a tax. We have taxes on electricity. Why is it that the Chinese can produce electricity and sell it for one-third the cost of electricity sold in this country when they use the same coal as we do? They take it thousands of kilometres, burn it and sell the coal-fired power to their consumers and we sell it for three times as much because of regulations that come out of both sides of this parliament.
Then we look at water. The Murray-Darling Basin has been gutted. Communities have been gutted. Regions have been gutted. And nothing is happening about it. Today we passed an amendment to restore compliance with the law, the Water Act of 2007, with regard to water trading. It was supported by the Labor Party but denied by the Liberals and Nationals. They don’t want to comply with the Murray-Darling Basin Plan. It went down to the lower house and Labor changed and sent it back here, in cahoots with the Liberals and Nationals. That will continue to destroy water allocations in our country because it will continue the corruption and the likely—I’m very confident in saying this—criminal activity going in the Murray-Darling Basin with regard to abuse of water trading.
Then we see property rights, which are fundamental to running a farm or a business. They were capriciously stolen under the Howard-Anderson government in 1996 and then progressively by Labor premiers from Queensland and New South Wales, jumping on the bandwagon to steal farmers’ property rights. Why? To comply with the United Nations Kyoto protocol of 1996—that’s why. Farmers have lost the value of their land. We see that extended in Queensland, for example, by the Queensland state government, relying on bogus claims about the reef to lock up land. We then see the federal government enacting carbon farming, where vast tracks of good farmland are laid waste, abandoned and taken over by feral animals and noxious weeds. There are costs to managing them as they spread around the country and fall on their neighbours’ properties. This is another example of poor governance. There’s a lack of infrastructure in water. The Bradfield scheme is crying out for investment.
Then we go to the most destructive system of all in our country, the Australian taxation system. In 1996 and 2010, Jim Killaly was the deputy commissioner of taxation for large companies and international matters. He said on both occasions—1996 and 2010—that 90 per cent of Australia’s large companies are foreign owned and, since 1953, have paid little or no company tax. They use our resources, people, assets, defence forces, police forces and education system and pay nothing in return and just take. The Japanese, by comparison, have in their large companies 2.5 per cent foreign owned. The American and the British figures are about 12.5 per cent. Who pays for these foreign companies to use our assets and to make money without paying company tax? The people of Australia pay for that through families paying taxes, individuals paying taxes, small businesses paying taxes and some large Australian come companies paying 30 per cent against their multinational competitors who don’t have to pay that. How can we possibly compete? Then we found out in the late 1990s and early 2000s—and I’ve asked the Parliamentary Library to update this figure—that a person on an average income in this country pays 68 per cent of their income to government. Housing is not our largest expenditure in life; government is, through taxes, rates, fees, levies, chargers, supercharges and special charges. Joe Hockey admitted when he was Treasurer that 50 per cent of a person’s income is taken in tax. He said people work from January through to the end of June for government and then they keep what’s left. The actual figure, when you take in government charges, rates, levies and fees as well, is 68 per cent, which means that someone on the average income is working from Monday to mid-morning Thursday to pay for government.
Then they have what’s left, the two-thirds of Thursday and Friday, to pay for their entire life: their retirement, their education, their food, their shelter, their car, their transport, their entertainment. That is not fair, and it shows poor governance. I haven’t got time now to talk about attempts to reform taxation, but both parties, both the tired old parties, have shown a reluctance to invest energy and political will and sheer guts in tackling—and they lack the integrity to tackle—comprehensive tax reform.
I mentioned infrastructure a minute ago. What about projects like the Richmond agricultural project? What about the irrigation project up in Hughenden? What about things like Iron Boomerang, which would transform our country and make it the most cost-effective and largest producer of steel, and give us enormous security for manufacturing and for our defence? Then we have things that tap into that Iron Boomerang—things like an inland rail that’s being destroyed by the Liberal-National government, an inland rail that is sucking up resources and coming up with something that will be far worse than the existing installations, especially when we consider the blowout in the cost. Again, it’s a lack of data, a lack of sound planning. An inland rail and a proper route through to Gladstone would be part, then, of a proper national rail circuit.
Madam Deputy President, I submit to you these points that show and prove that the government here has not only left the poor behind, as Senator Siewert points out; the government has put additional burdens on the poor, the government has put a regressive tax on the poor in terms of energy prices. Energy prices are increasing alarmingly, and the poor have to pay a higher and higher and higher proportion of their income on a fundamental, which is energy. And then the poor pay for it because they lose their jobs when our manufacturing jobs and some of our agricultural and agricultural processing jobs are exported to China, which uses our raw materials—gas and coal—to produce electricity far more cheaply than we sell it for in our own country. So we’re losing out entirely and we lose out in the diminishing of our defence security.
So I certainly agree with Senator Siewert that the Morrison government’s 2021-22 budget has left people on low incomes behind. It has left people right across the country behind. It has left Australia behind.