Mr PITT (Hinkler) (19:59): I would like to thank the member for Leichhardt for his good grace. I rise to speak in support of this bill to fairly index Defence Force retirement and death benefits. This bill will benefit more than 56,000 ex-service men and women across Australia, including 556 in my own electorate of Hinkler. During the 2013 federal election, the Palmer United candidate, Rob Messenger, told Hinkler constituents that the coalition would never deliver on its commitments to fairly index DFRB and DFRDB pensions. But today we are doing exactly what we said we would do. We are addressing the longstanding grievance of the veteran and ex-service community about differing and inequitable indexation arrangements that apply to these pensions—that is, compared with the age and service pensions.

We first announced our policy in June 2010. We have not flip-flopped or made unrealistic promises, like our opponents have. There have already been more than half a dozen inquiries, all of which supported fair indexation. So my message to the veterans of Hinkler is this: the time for inquiries is over. Australia’s veterans and their families are finally getting the fair go that they deserve. Countless constituents in my electorate have been requesting these changes for years. However, I acknowledge that some veterans argue that these changes will not benefit every age group concerned. This has been an ongoing issue for decades and, despite numerous changes in government during that time, little has been achieved. No piece of legislation will ever keep every person happy, but this bill is a hell of a good start.

Under the legislation there will be no change to the way these pensions are indexed for those the under age of 55, until they reach the age of 55. And as part of the DFRB and DFRDB pension that is currently unindexed, it will continue to be unindexed. Members with significant past service, but modest superannuation pensions, will not incur a taxation liability resulting from the changes to indexation. At the end of the day, this bill recognises the unique nature of military service, and it ensures that recipients have their pensions indexed in the same way as the age and service pensions. This means more money in the pockets of people who have proudly served this nation.

Mr PITT (Hinkler) (17:30): I rise to speak on a divisive issue of great concern and of need in my electorate of Hinkler. Since coming to government my office has been inundated with complaints and inquiries about Labor’s National Broadband Network. Some constituents argue that only fibre to the home will suffice and we have an even greater number of residents at the other end of the spectrum who say that doing so will make the cost of connecting simply unaffordable. The median weekly personal income in Bundaberg is just $411 and, when you consider that the median weekly rental is $240, internet is a luxury that few in my electorate can afford. Hinkler also has a older than average population.

Many of our older residents say that they have no desire to connect to the internet at home and they question why their taxes should be used to pay for it. They are also concerned about the costs of switching over their medical aids and their alarm devices. For end users who only have a home phone line with no internet or broadband services there is a government program that may cover some or all of the cost of the necessary wiring changes. There are residents who want NBN and better telephone reception but they do not want telecommunications towers constructed near their homes.

There are whole suburbs without reliable internet connection: Urraween, Pacific Haven, Burnett Heads, Redridge and Buxton. In fact, according to the Australian Bureau of Statistics, 13,000 Hinkler residents have no internet connection whatsoever, 1,600 have dial-up and almost 33,000 have broadband. To give you a simple example, Avoca is a suburb of Bundaberg located less than two kilometres from the Central Queensland University. It is within walking distance of the major shopping centre and several schools. Countless Avoca residents have contacted me. We have tradesmen who spend the majority of their time on the road and they rely on their home internet to download plans, drawings and diagrams. Their clients expect that they are able to access documents electronically. As a former tradesmen and as a currently registered professional electrical engineer, I completely understand their concerns. If you are a small business that works all day on an hourly rate and then you return home to do your night-time billing, your forward planning and your quoting, and with moves towards online quoting systems in particular from government departments, you simply cannot quote on larger jobs if you do not have access to a reasonable connection. You cannot download major drawings, you cannot do online training or assessments, things that you could do outside of your normal working hours.

Apps, updates, Facebook and all those other additional mechanisms are very difficult to manage if you do not have a good connection. Small business is very time poor. This also includes things like their payment systems. You want to be certain that you can pay your wages of a night-time. That certainly will not happen if you keep losing your dial-up connection to whichever banking organisation you may well be working with. So I can really relate to their problems.

Some of those also have students who are nearing the end of their high school studies. As a father of three children, two of whom are still under 10, I can understand the issues around download. Who would have thought 25 gigabytes of data would not be sufficient for a family in this day and age? However, with continuing changes in technology it is clear to me that you will need more and more download and more and more speed in the future. Most of those are around portable devices. So what happens is that these students attending university locally are forced to leave home because they simply cannot do the work they should be able to. Downloading a lecture or submitting an assignment is near impossible in Avoca. Wireless has been costly and dropouts are continuous. Dial-up is simply archaic. The current broadband network is at capacity for the Avoca area. There are no further ports available. Avoca residents are just that little bit too far from the exchange. These residents are caught in the middle of a stalemate. Telecommunications providers will not invest or extend their fixed-line network until they know what NBN Co has planned.

In my maiden speech I said I would do everything possible to provide opportunities to the young people of my electorate, and I mean it. For too long our young talent has been Hinkler’s greatest export. One of the ways we can minimise this exodus would be to fix what has to date been the most wasteful and mismanaged infrastructure project in Australian history.

In December last year, we released the Strategic Review of the National Broadband Network. It found that, if Labor’s policies were left in place, Australian households would pay up to 80 per cent more for broadband, with bills increasing by $43 per month. The rollout is currently two years behind schedule, with final completion due 11 years later than promised by Kevin Rudd. The cost to taxpayers of completing the NBN under Labor’s plan has blown out to $73 billion. That is $29 billion more than we were told.

It is recommended that the project now be completed using a mix of technologies to save the taxpayer $32 billion, keep monthly bills lower and deliver the NBN to all Australians four years sooner than under Labor’s plan. Now nine out of 10 Australians will receive download speeds of 50 megabytes per second or more by 2019. An average broadband bill will cost $72 per month using a mix of technologies, compared to $139 under Labor’s plan. When you consider that fewer than 400 million of the world’s 1.6 billion internet devices are PCs, it is easy to see why using a mix of technologies is ideal. People are simply moving towards portable wireless devices.

NBN Co has commenced community consultation in the Bundaberg and Hervey Bay council regions. This is for the construction of fixed wireless internet towers. The towers will cover many of the rural parts of my electorate where the distances are too vast for fixed-line broadband. Residents from the Welcome Creek and Gooburrum areas are invited to attend a session at St George Hall, at South Kolan, on 1 April between 3 and 6 pm. People living in Buxton, Redridge and North Isis can attend the Isis Cultural Centre, in Childers, on 2 April. Moore Park and Avondale residents, who are in the neighbouring electorate of Flynn, can attend the Moore Park community centre hall on 3 April. Further forums will be announced in coming weeks.

To date we have had a number of discussions with council representatives in regard to co-location of mobile network assets on NBN towers. I support Bundaberg Regional Council’s request for the proposed fixed wireless internet towers at Alloway and Redridge North to be more substantial. Increasing the size of these two towers not only would produce increased fixed wireless internet coverage but would allow other telecommunications infrastructure to be mounted on the same towers. This would provide an opportunity to address mobile telephone black spots along Goodwood Road, which is one of our major arterials.

Bundaberg council have been very vocal about this issue and at one point accused the coalition of excluding Bundaberg from the NBN. During its six years in government, Labor had not delivered on its NBN commitments, and yet, by their own admission, council’s ‘entire digital economic strategy was based and adopted on Labor’s promise’.

In fairness to council, they were not the only ones confused by Labor’s rollout maps. The maps misleadingly described areas as being under construction when in many cases they were, in fact, still in the stakeholder engagement phase, for example. These maps were devised by a Labor government desperate to obscure the slow progress of the rollout. Shortly after coming to government, we amended the maps to more accurately reflect the true progress of the rollout.

Separate to the strategic review, the government instructed the Department of Communications to report on quality of internet access in every single neighbourhood in Australia. The Department of Communications recently launched a website to allow businesses and households to check their broadband speeds and see where they are ranked. I must admit that this did leave me scratching my head and wondering why we would ask people without internet access to access that information online, but those without internet and anyone unable to attend the community consultations can make their views known by telephoning 1800 687626 or contacting my office. The government will use the information it gathers to ensure that underserved areas get the NBN first.

Of course, what is positive news for my electorate is the fact that Bundaberg is a point of interconnection for the NBN. This means that the region is at least one step closer to being able to connect. There is no doubt that the NBN will be of enormous benefit for health, education, business and industry. My wife is a radiographer, which is a fairly high-level area for technology. Pretty much all radiographic images are now transferred by the internet straight to a GP or another doctor, so it is essential in those areas, and they are areas that should be targeted. They are the ones that we should do first, and they are the reason that you should have a cost-benefit analysis.

We will release the new NBN rollout schedule in 2014, along with the revised NBN Co corporate plan, so we are carefully and methodically working through the mess that Labor created. I thank the people of Hinkler for their patience. The National Broadband Network that we deliver will cost internet users less and be more efficient for taxpayers.

Federal Member for Hinkler Keith Pitt today congratulated St Joseph’s Catholic Primary School in Bundaberg on receiving the coveted title of ‘Reef Guardian School’.

Each year five schools receive $1000 from the Great Barrier Reef Marine Park Authority, in recognition of their positive on-ground environmental actions to help protect the Reef and its marine life.

“Reef Guardian School students are the future custodians of the Reef and this program is an important step in supporting their efforts and furthering their interest in caring for the environment,” Mr Pitt said.

“I congratulate the students and teachers at St Joseph’s on the great work they’ve been doing at Mon Repos to assist rangers, monitor rock pools and raise awareness of the importance of appropriate lighting during turtle nesting season.”

Mr Pitt was joined by State Opposition Environment Spokesman, Member for Burnett Stephen Bennett for a tour of the school.

“It was great to meet some of the participating grade 5 & 6 students, and their pet turtle,” Mr Bennett said.

“The Reef is facing challenges and all actions – big or small – are vital to the Reef’s future. Whatever we do today affects the future of our grandchildren, and I congratulate the school for taking positive steps towards a cleaner, better future.

“The former LNP government has a proud track record of protecting our reef and our endangered sea turtles.

“Everyone’s Environment grants provided some $12million to support practical environmental projects, including reducing light pollution on turtles nesting at Mon Repose Beach and improving water quality in the area.”

Catholic Education Assistant Director Schools Southern Region, Stephen Dale said, “The whole St Joseph’s community should be congratulated on their outstanding commitment to the environment.”

“Being an effective steward of the environment is an important aspect of the holistic education provided in our Catholic Schools. It is also important for students to experience practical ways that

they can help make the world a better place and I know they enjoy making a difference,” Mr Dale said.

Mr Pitt said representatives from the Great Barrier Marine Park Authority would visit St Joseph’s in the near future to see their work first hand and to formally present them with the Habitat Heroes Award certificate.

Media contact: Larine Statham 0427 653 814

Mr PITT: My question is to the Minister for Agriculture, and I remind the minister that Hinkler cane farmers have told me that, due to high energy prices, they are on the brink of collapse. What is the government doing to address the high cost of irrigation in Hinkler and elsewhere?

Mr JOYCE (New England—Minister for Agriculture and Deputy Leader of The Nationals) (14:18): I thank the member for Hinkler. We were up in the member for Hinkler’s area not that long ago and had to deal with cane farmers. One of them is spending $135,000 a quarter—over $540,000 a year—on power. One of the major reasons that they are spending that sort of money is because of an issue that is being debated over in the other place at this moment, which is, of course, the carbon tax. It is just like how the member for Blair keeps his people poor. They are trying to keep them poor up in Central Queensland as well. What we are trying to do, obviously, is remove the carbon tax and, by removing the carbon tax, start letting more money go back through the farm gate—back to those families, back to those mums and dads—and put dignity back in these farmers’ lives.

The cane industry is a very important industry. It is one of the major industries in Queensland. Seventy per cent of Australia’s sugar canegrowers rely on irrigation to produce a crop, and so much of the time irrigation relies on power. That is the only way you can do it. But what we have seen here—

Mr Perrett interjecting—

The SPEAKER: Order! The honourable member for Moreton.

Mr JOYCE: Member for Hinkler, those opposite are on a journey, and maybe they are getting there. I will tell you where the journey started. I can remember when Peter Garrett told us that we were going to have six-metre sea rises by 2100. Remember that? I felt like buying a case of beer and going down to Coogee Beach to wait for the show, but it never happened. I read up on Bjorn Lomborg, who said we have had 30 centimetres in the last 150 years, but they are punting on six metres by the end of the century. It is quite spectacular.

But it does not stop there. The member for Isaacs talked about what was ‘routinely called the greatest market failure the world has ever seen’. Treasurer, you would probably be interested in this because, when he was talking about the greatest market failure, I thought—silly me—he was talking about 26 October 1929 when the Great Depression started. I thought he was talking about the Great Depression. But, no—

Mr Perrett interjecting—

The SPEAKER: The member for Moreton will desist or leave; the choice is his.

Mr JOYCE: Was he talking about 1637 and tulip mania? No. Was he talking about 1720 and the South Sea Bubble? No. Was he talking about 2000 and the dot-com crash? No. He was talking about carbon pricing. How did we miss it?

Not to be outdone, the then Prime Minister got in on the act and talked about the ‘greatest moral challenge of our time’. I thought that it might have been Pol Pot on 17 April 1975, but no. I thought it might have been fascism and the Second World War, but no. I thought it might have been Stalin and the communist gulags, but no. Once more it was carbon pricing. How did we miss it? How did we miss these things? But do not worry, we are continuing the fight right now. We are continuing to fight for it. It is over there in the other place, and the moment that you want a wake up to yourselves and reconnect with Australian people, just tell us about it.

Opposition members: More!

The SPEAKER: Order! There will be silence in the House.

Letter submitted to the NewsMail on Wednesday March 19, 2014:  

Dear Editor,

I am writing in response to letters written this week by Jim Carter and Stephen Beiger.

Firstly, I NEVER said “there is no federal money” for war memorials.

What I said was that Council is welcome to fund the memorial themselves; if they are desperate to have it built in time for Anzac Day this year. 

The grant that Council applied for is to commemorate the Centenary of the First World War in 2015, not Anzac 2014.

This was made abundantly clear to Council and every other applicant. Council appears to be the only applicant confused about the purpose of the grant.

The applications, which only closed on January 31, were assessed by an independent local committee and have been submitted to the Minister’s office. 

The Centenary of Anzac Local Grants Program is a very worthwhile initiative and I look forward to announcing the successful Hinkler applications later this year. 

Keith Pitt MP

Federal Member for Hinkler.

Mr PITT (Hinkler) (17:02): I rise to speak on the Export Market Development Grants Amendment Bill 2014. The bill delivers on the coalition’s election commitment to progressively restore funding to the export market development grants program, which was cut by the previous Labor government. The 2013-14 Mid-Year Economic and Fiscal Outlook allocated an additional $50 million over four years to the scheme from which Labor had cut $25 million per year.

The bill also broadens the eligibility requirements to ensure a greater number of small and medium-sized enterprises receive a greater level of assistance to enter new markets. The bill increases the maximum number of grants per applicant from seven to eight, and reduces the required expenditure threshold to qualify for a grant from $20,000 to $15,000. It reduces the current $5,000 deduction from the applicant’s provisional grant amount to $2,500, and about 85 per cent of recipients will receive an extra $2,500 per grant as a result.

What this means is that a new business which has a unique product that only has a market overseas and which is looking for its first sale and is spending just $15,000 on export promotion will now get a $5,000 grant. Previously, they would have received nothing. An experienced exporter who has received seven grants but whose business is suffering due to the high exchange rate will get an extra grant to help try and recover these markets now that the exchange rate is improving. They can receive a grant of up $150,000. Previously, they would have received nothing. This bill will facilitate quicker payment of EMDG in years of low scheme demand or where additional funding is provided. Enhancing the scheme will benefit many small businesses in regional areas like Hinkler. In the last financial year, two businesses in Hervey Bay, which is at the southern end of my electorate, one involving tourism and the other in the fishing industry, received assistance under this program totalling $17,616.

I would encourage more of my local businesses to apply. Expanding into new markets is good not only for the business concerned but for the local economy, and it creates jobs. They only need to look at some of their fellow Hinkler businesses to see the opportunities that exports can create. Hinkler has a proud history of exporting. Last year, Bundaberg Brewed Drinks, the makers of the famous ginger beer, was named Queensland exporter of the year. Regarded as one of Australia’s most diverse food bowls, we export fruit and vegetables, seafood and sugar. As household incomes increase in India and Asia, so too will the demand for reliable, safe and fresh Australian produce. They are all things that we do well in Hinkler—safe, reliable and fresh.

Named after the great aviator Bert Hinkler, the Hinkler electorate is also known for its innovation. From the mechanical cane harvester, to the recreational aircraft built by Jabiru, to beverages like Bundaberg Rum, manufacturing, processing and value-adding is alive and well in Hinkler with the likes of Jakes Candy, Mammino Gourmet Ice Cream and Urangan Fisheries. We also have some large exporters that started out as small local businesses. Bundaberg Walkers Engineering Ltd was established in 1888. Back then it was known as the Bundaberg Foundry.Today, the business is a dynamic organisation servicing the needs of sugar, power generation, mining, marine and general engineering industries in both the domestic and the international market. They export their engineering,technical and design services, and have manufactured equipment to more than 20 countries, including Thailand, Indonesia, Argentina, the US and Sudan.

With recent International Women’s Day celebrations in mind, I note that Bundaberg Walkers Engineering Ltd now has a female general ma nager. Leone Aslett is leading the team of 130 workers in a field that is typically dominated by men. With two daughters of my own, it gives me great comfort to see more women forging careers in the major exporting business. I congratulate Leone. She is a local girl that married a local boy, attended university, raised a family and now has a highly successful career. Hinkler, with its access to quality produce and its proximity to Brisbane, has a manufacturing sector that is facing a period of enormous potential. This bill will ensure that local businesses looking to enter new markets get the marketing support that they need.

We on this side of the House recognise that small businesses are the backbone of regional Australia. They employ about 50 per cent of all Australians working in the private sector. In Queensland, small businesses account for 96 per cent of all businesses in the state. Yet under Labor they were subjected to an ever-growing list of costly and time-consuming red tape, endless rule changes and 43 new or increased taxes. In a period of just three years, the Rudd-Gillard-Rudd government gave us two Prime Ministers, two Treasurers, five Assistant Treasurers and six small-business ministers.

This bill seeks to give businesses certainty so they can begin planning their expansion into new markets. Exporting is a very tough business, and I can give you one example. In my electorate of Hinkler, AustChilli and AvoFresh, which are owned by the local De Paoli family, employ between 80 and 100 people and they inject more than $10 million per annum into the local community through employment, products and services. They supply food ingredients, fresh produce and value added products to supermarkets in Australia and multinational food companies. They are innovative, they are forward thinking and they are continually looking for new markets and product opportunities. At present, exports make up just a small portion of their revenue.

Director Trent De Paoli recently outlined for me some of the challenges they face in exporting from Australia and why their success to date has largely been in domestic growth. The cost of developing and servicing export markets is high. The expense of travelling to your target country is often in excess of $50,000, and that is before you have even started receiving an income from that market. Often with new markets the up-take is slow; it takes years to build viable and financially sustainable returns that reflect the investment made. To be successful in today’s fast-paced world you need to have your own people on the ground to ensure the business trade is accurately supported—again, a high expense that is critical. Import duties can often significantly affect potential success.

Australian goods are very expensive due to the high costs of production, including labour, electricity and water. This impacts our ability to compete globally. However, Mr De Paoli still views the glass as being half full. He says the exchange rate is helping exports. The demand is there. As I stated previously, emerging middle classes globally want high-value products, and Australia is regarded globally as a stable country that produces quality. The export market development grants will help businesses get a foot in the door. They are just one of the things that this government is doing to help small- to medium-sized businesses.

Of particular benefit to my electorate, and as promised, we have also suspended Labor’s flawed marine management plans. We will create a new plan in consultation with stakeholders, one that is based on science. We are providing $6.5 million for 25 research projects to ensure the continued sustainability of Australian fisheries, including expanding the Status of key Australian fish stocks report to include more species. We are producing an agriculture competitiveness white paper to identify ways to grow farm profits and enhance agriculture’s contribution to economic growth, trade, innovation and productivity.

Repealing the carbon tax will begin the process of restoring Australia’s global competitiveness. Even Virgin Australia head John Borghetti has indicated the best assistance the parliament can provide to business is the removal of Labor’s carbon tax, which has cost the aviation industry hundreds of millions of dollars. The carbon tax cost Qantas $106 million in 2012-13. That money would have paid the wages of at least a thousand staff. For my local businesses, the costs of electricity and refrigerant gases, for example, skyrocketed with the introduction of the tax.

We are cutting red and green tape to save businesses time and money. We are dedicating days in parliament to slashing unnecessary red and green tape to lift productivity and boost economic growth. And we recently released full details of the free trade agreement we negotiated with South Korea. The removal of tariffs will benefit a range of Hinkler exporters, including those in the sugar, horticulture and seafood industries. When the agreement is fully implemented, 99.8 per cent of Australian exports will enter Korea duty free, resulting in agricultural exports increasing by 73 per cent by 2030. Korea is Australia’s third largest export market, our fourth largest trading partner and an economy with an above average growth outlook. It is Australia’s largest market for raw sugar. Importantly, this agreement protects our competitive position in the Korean market. With one in five Australian jobs linked to trade, this agreement will provide an important boost to Australia’s economy.

Economic modelling estimates that that agreement will boost our economy by about $653 million after 15 years. And we are working to conclude agreements with other trading partners to boost Australia’s competitiveness in the global economy. This includes the Trans-Pacific Partnership, which involves 12 countries including Australia and represents a staggering 39 per cent of global gross domestic product. Our exports to member countries are worth almost $100 billion a year, accounting for about 34 per cent of our trade overall.

I also welcome the Prime Minister’s announcement that he will visit Japan, Korea and China next month with premiers and chief ministers to strengthen diplomatic and trade ties. He hopes to sign the free trade agreement with Korea while he is there and progress negotiations with China and Japan. The three countries together represent 40 per cent of Australia’s total two-way trade in goods and services, valued at a total of $250 billion. While China is Australia’s largest two-way trading partner, 123 countries around the world are in the same boat. Competition is fierce. A free trade agreement will protect our relationship with China. With that in mind, I note comments made recently by China’s Premier Li that they will seek to accelerate negotiations with Australia. Unfortunately, the negotiations had stalled badly under the previous Labor government. While Labor dithered for eight years, New Zealand beat us to it, reaching an agreement with China four years ago. Since then, New Zealand’s dairy sales to China have increased by $2.2 billion. We have every reason to believe an agreement will be reached with China this year.

This bill ensures the export market development grants program complements the trade agreements and partnerships that we are putting in place, making it easier, not harder, to do business in Australia. This will grow the economy and create jobs for current and future generations—further proof that the coalition is focused on trade, not trade unions.

Mr PITT (Hinkler) (21:03): I rise to speak on an issue of great concern in my electorate of Hinkler. The situation confronting canegrowers is dire. The region has endured two major floods in three years and is now in the midst of the worst drought in more than two decades. The impact of these natural disasters on the local economy is significant. There are 600 cane farms across the region which employ about 800 people and generate $230 million a year for the local economy. This does not include the thousands of people indirectly employed by the sector and those working in sugar mills.

I recently met with Isis canegrowers and local chamber of commerce representatives at Childers who told me that farms and businesses are on the brink of collapse. One grower at the meeting described his predicament as a ‘death spiral’. Growers are actively discouraging their children from pursuing careers in agriculture. Banks are threatening to foreclose, and people in the sugar industry have no money to spend, which means other Childers businesses are also feeling the pinch.

This has been the Isis region’s highest water usage season since 1991. They are currently 100 per cent reliant on irrigation. The cost and the man-hours required to irrigate and keep their crop alive is taking its toll. Remaining viable would require, at the very least, an immediate 33 per cent reduction in electricity and water costs. This year alone, electricity will make up a third of their operational costs.

Growers are operating as efficiently as they possibly can. Previously, they irrigated at night to utilise cheaper tariffs while minimising evaporation. The night tariff has increased to such an extent that it is no longer financially beneficial to irrigate at night. We need to give them an incentive to irrigate at night so that we are maximising the utilisation of our generating assets. Despite using only centre-pivot low-pressure irrigation, which is one of the most efficient methods of irrigation known, one grower said his electricity bill for the last quarter was $135,000, plus $44,000 in water charges. There are not too many canegrowers who make $200,000 in a year, let alone almost $200,000 in a quarter.

Isis growers expect to produce just 840,000 tonnes of cane in the 2014 season, compared to 1.5 million tonnes in 2012. Some have chosen to simply turn the tap off altogether and call it quits. They say they simply cannot afford to absorb the annual prices set by the Queensland Competition Authority and Australian Energy Regulator. If the Newman government accepts the QCA’s recommended 16.3 per cent increase in 2014-15, tariffs 62, 65 and 66 will have increased by 96 per cent since 2009. The Network or N-component, which is set by the AER and passed on by the QCA, represents about half of the current electricity price.

Over the decades we have invested billions of dollars in water infrastructure in a bid to improve industry viability. What was the point if we are now charging growers so much for electricity they cannot afford to use any of it? You should not have to rely on your prayers to be successful in agriculture. What are we doing about it? Repealing the carbon tax will wipe about 10 per cent off their electricity bill. The growers argue that such a reduction will not be nearly enough and they fear the 10 per cent will simply be eaten up by future tariff increases. Unfortunately, Labor in the Senate is standing in the way of the growers getting some relief.

In February, we announced that we would review the Renewable Energy Target to determine its impact on carbon emissions, energy markets, prices, businesses and Australian households. When Labor was in government, its RET of 20 per cent created an excess of solar users across the country without any consideration of need, market conditions or existing generation capacity. What people do not realise is that it is not the government subsidising solar users, it is electricity users. In other words, the people who cannot afford to install solar are subsidising those who can. There is not enough time today to detail all of these factors, but basically electricity users are paying between $30 million and $40 million per productive megawatt plus a further 40c to 65c per kilowatt hour for other people to have solar. My constituents installed this in good faith and we should honour those contracts.

Repealing the carbon tax and reviewing the RET is a good start, but it is not enough. We are working with the Council of Australian Governments for reforms to place downward pressure on energy prices. An energy white paper will look at regulatory reform and set out a coherent and integrated approach to energy policy.

To the cane growers in my electorate, I know you are exhausted. I know you feel your concerns have gone unheard for too long, but, please, make a submission to that white paper, because no Aussie farms means no Aussie food. As a former cane farmer, and a registered professional electrical engineer in Queensland, I am not sure that is an Australia I want to live in.

Mr PITT (Hinkler) (13:53): Earlier this month Oceania Oncology announced it would be opening a second radiotherapy centre in my electorate of Hinkler. From December this year, cancer patients will be able to receive treatment locally in Hervey Bay. The centre will be the first of its kind in Hervey Bay and is expected to treat about 500 patients a year. Oceania Oncology’s presence will significantly reduce the inconvenience and cost for local patients, who previously had to travel hundreds of kilometres to Nambour or Brisbane to receive this treatment. Radiotherapy treatments can take between two and seven weeks, so having these services available locally will ease some of the burden on patients and their loved ones during a challenging time.

About 1,400 people are diagnosed with cancer in the Fraser Coast region every year. The centre will be integrated with Oceania’s existing centre in Bundaberg, which health minister Peter Dutton and I officially opened in late January. The $11.3 million oncology centre in Bundaberg currently treats about 25 patients a day. It has six chemotherapy chairs, two radiotherapy treatment bunkers, CT scanning, ultrasound and digital X-ray services.

During the construction of the new facility in Hervey Bay, at the southern end of my electorate, Oceania will provide complimentary transport to the Bundaberg centre from Hervey Bay and Maryborough. Both centres use state-of-the-art technology to ensure patients receive world-class treatment, and are located in close proximity to other health services and facilities.

I would like to offer Oceania Oncology my sincerest thanks for their commitment to the people of Hinkler, and for their patience while awaiting the necessary approvals. Their dedication and persistence is admirable.

I rise to speak on the Social Security Legislation Amendment (Increased Employment Participation) Bill 2014. I note the member for Scullin’s arguments. The coalition does have a plan, and this bill is part of it. The coalition is committed to helping Australians to find and retain a job. We do not underestimate the size of the challenge, particularly in places with historically high levels of intergenerational unemployment, like those in my electorate of Hinkler. This government is committed to ensuring that any Australian who is capable of working can get a job. We are helping job seekers into work by introducing a Seniors Employment Incentive Payment. This is important in areas that have an older-than-average population, such as Wide Bay-Burnett. A business will receive a payment of up to $3,250 if they hire a job seeker over the age of 50 who has been unemployed for at least six months and is receiving income support. This bill also introduces the job commitment bonus to encourage long-term unemployed young Australians to find a job and remain off welfare. The payment will be available to people aged 18 to 30 who have been unemployed for 12 months or more. They will receive $2,500 when they remain off unemployment for 12 months and a further $4,000 when they have held down a job for two years.

Employment gives people the ability to pay their own way and to provide for their own families. The people of this great nation should be able to depend on their elected representatives for assistance when they need it, but that does not mean that we should be building a nation of dependants.

The coalition has a proven track record of growing the economy, reducing debt and getting people into work and off unemployment benefits. The former Australian Treasurer Peter Costello delivered 10 budget surpluses, cleared all debt, cut taxes and put $60 billion in the Future Fund. In the final year of the Howard government the local unemployment rate was just six per cent in my electorate of Hinkler. Under the Rudd and Gillard governments the unemployment rate increased to 9.6 per cent. That is the fourth highest unemployment rate by electorate in the country.

The coalition made it clear prior to September 7 last year that if elected we would revitalise the Howard government’s Work for the Dole program. Under the Howard government, on average, one in three people who participated in Work for the Dole got a job. The Labor government altered the scheme. Under Labor’s scheme, Work for the Dole was not compulsory. After 12 months on the dole job seekers aged between 18 and 49 are instead asked to undertake work experience activities for six months in every year. The coalition is moving to re-establish an effective scheme that will benefit all stakeholders.

Hardworking constituents often complain to me that under the current system people receiving unemployment benefits are not required to give anything back to the community. Australians who are able to work must be encouraged to work for a living. We are fortunate to live in a country where the government provides a safety net to those who find themselves without employment. People living in other countries are not quite so lucky. Requiring Australians to work for the dole will ensure the obligation is mutual.

Work for the dole programs create opportunities by giving people soft skills like routine, structure, presentation skills and, most importantly, access to potential employers. Unfortunately, in many cases of intergenerational welfare parents have not taught these skills to their children. Punctuality, teamwork and commitment are things a person typically learns at a young age.

The coalition is determined to prevent young people from sliding into long-term welfare dependency by rewarding positive pro-work behaviours. The employers that I have spoken to say they are more than willing to train young people, but they need the basics before they start work. They struggle to find people who dress appropriately, arrive on time and have the right attitude, because enthusiasm trumps experience every time. As I indicated in my maiden speech, I intend to do everything I can to create the hope, opportunity and reward that the young people of my electorate deserve. We know the effects of long-term unemployment on individuals, families and communities can be extremely damaging. Unemployment and financial hardship are often contributing factors in cases of domestic violence, marital breakdown, drug and alcohol abuse, poor nutrition, health problems and declining school attendance. And as we see regularly in my electorate, boredom leads to vandalism, and that leads to general nuisance behaviour. Unemployment affects every sector of our community, including schools and councils, and ties up our valuable emergency resources.

I recently joined state MPs Ted Sorensen and Anne Maddern to meet a local organisation that works to address youth homelessness. They are funded to help 16 people per year in their shelter but actually assist about 50. Anecdotally, they say there has been an increase in youth homelessness in our region, and they attribute that increase in part to a decline in the soft skills I mentioned earlier. While any number of issues contribute to homelessness, they say fewer parents in the region are teaching their children the domestic skills needed to care for themselves as young adults. Fortunately, there are many hardworking organisations trying to address this issue so that the same problem will not beset future generations. My electorate office is regularly contacted by people complaining that Centrelink has failed them—and in some cases, on further investigation, my staff discover the constituent has exhausted their advance payments or their loans from Centrelink, or they have failed to attend a meeting with their job service provider, or have failed to provide the necessary forms. Or, quite frankly—they just do not want to work.

Unfortunately there are many people with a sense of entitlement who ruin the reputation of those who genuinely need support. And for those who want to work, being unemployed for an extended period can erode their skills, confidence and sense of purpose and pride, which can lead to a cycle that makes it even harder to find work. I recognise that one of the major barriers to finding employment in the Hinkler electorate is the number of job vacancies. We on this side of the House understand that governments do not create jobs—businesses do. That is why we are working to attract investment to the region and to give local businesses the confidence they need to employ staff.

Our policies—such as cutting red tape and repealing the carbon tax—will save businesses time and money. The Business Council of Australia, the Australian Chamber of Commerce and Industry, the Australian Industry Group, and the Minerals Council of Australia recently took the unprecedented step of releasing a joint statement. The

Australia’s carbon tax is one of the highest in the world. It is making our key industries less competitive every day it stays in place.

Most businesses have been unable to pass their carbon tax-related costs on to the customer. For small business especially, this has been a major burden that has reduced profitability, supressed employment and added to already difficult conditions.

…

Acting now to repeal the carbon tax would boost business confidence and should be part of a broader national push to reduce higher energy costs.

Delaying the repeal until the new Senate sits would not achieve anything for the environment. It would simply expose business to increasing and damaging uncertainty over the electricity prices they will be obliged to pay from 1 July 2014.

They go on to urge the Senate to repeal the carbon tax as soon as possible, and you would think the Leader of the Opposition, after Labor’s significant defeat at the September 2013 election, would urge his Labor colleagues to respect the will of the Australian people. But I guess that is too much to expect from a party that in a period of just three years gave us two prime ministers, two treasurers, five assistant treasurers and six ministers for small business.

Repealing the carbon tax is a request made by businesses of all shapes and sizes across Australia. But that is not all we are doing to help business. Later this week, the first regulation repeal day will be held in parliament. We will begin slashing unnecessary red and green tape to save businesses time and money. And, of particular interest to my electorate, we are providing $6.5 million for 25 research projects to ensure the continued sustainability of Australian fisheries, including expanding the Status of key Australian fish stocks report to include more species. We have suspended Labor’s flawed marine management plan, and we have created a new plan based on science and consultation with our stakeholders. Last month we announced $4.75 million for Hervey Bay roads. We have also announced funding to finish flood repairs at the Port of Bundaberg to help the sugar industry, because the coalition understands that the delivery of well-planned infrastructure in a timely manner is vital to helping businesses get their product to market. It also facilitates service delivery to regional Australia and provides long-term employment and opportunities for training and development. So, together, over the next 10 years, the Abbott and Newman governments will spend $6.7 billion upgrading the ailing Bruce Highway.

I also look forward to delivering on our commitment to establish a national stronger regions fund. Councils and community groups will be able to apply for grants for capital works that will regenerate the community in areas with high unemployment, like my electorate of Hinkler. But as a former business owner, I understand that infrastructure is not the only hurdle regional businesses have to overcome. Here in Australia regulation is high, input costs are high, labour costs are high and the Australian dollar is high, which of course makes profits low. All of this makes it difficult to expand. Our policies are giving businesses the confidence they need to employ staff. Earlier this year, Assistant Minister for Employment, Luke Hartsuyker, and I met with Impact, a local Job Services Australia provider. During the visit Impact advised us that the majority of their clients have a number of barriers to overcome before they can gain employment. Many are suffering from mental illness, relationship and family breakdown, lack of the soft skills, social isolation, poor communication and low self-esteem.

Bundaberg’s labour market comprises a high proportion of small- to medium-sized businesses, with few large employers. And unfortunately small businesses are not typically in a position to invest the time in training people without those soft skills. Job seekers who do not swim when they are thrown in the deep end are promptly returned to the unemployment queue. To combat this problem, Impact has established five social enterprises to provide entry-level employment opportunities. These include a jam-making business that operates from Apple Tree Creek in Bundaberg; a car detailing business; a fishing lure manufacturer; professional cleaning and home maintenance; and a drive-through laundry. Entry-level employees are mentored and supported for six months so they can gain the necessary skills before transitioning to the open labour market. These enterprises have also provided Impact with another income stream, surplus to that provided by the government funding.

While we were at Impact I met a young job seeker who was highly motivated but financially and socially disadvantaged. Talking to him, I discovered he had an arrangement with the Impact board member—Bundaberg Regional Council Deputy Mayor, David Batt. Councillor Batt promised to buy him a tie when he was successful in his endeavours, and, given the job seeker’s enthusiasm, I pulled the blue striped tie I was wearing from my neck and donated it to the cause. Unfortunately it was only the second time I had worn the tie, but he was very appreciative, and I have every confidence he will put it to good use.

We are currently reviewing every aspect of Job Services Australia—a review of the system to strike the right balance in flexible service delivery with an aim to implement a streamlined, more effective system from 2015. The key goal of the Job Services system is to get more people into work, and there are organisations like IMPACT that are making this goal a reality. Mr Hartsuyker and I also met with members of various local chamber of commerce groups to discuss the coalition’s plan to deliver a stronger economy with more jobs. Unemployment is the single biggest issue in my region, and I am thankful that the minister could take the time to hear from locals and to outline how the government is working to get more people into work. This bill starts that process, and I commend it to the House.

Mr PITT (Hinkler) (11:52): I rise to speak in support of the original motion moved by my colleague the member for Herbert, Mr Ewen Jones. The Bruce Highway is the single most important piece of public infrastructure in Queensland and in my electorate of Hinkler. Sadly, it was also the only Australian highway to be named recently as one of the world’s most dangerous highways. The list of the world’s worst roads was compiled by UK based Driving Experience and includes the likes of the trans-Siberian road in Russia, the Nairobi-Nakuru highway in Kenya and the Federal Highway 1 in Mexico. Also on the list is New Zealand’s Skippers Canyon, and anyone who has been to Queenstown will be familiar with Skippers Canyon. It is single-lane dirt and rubble track that winds its way along some of the sheerest cliffs you will ever see. That is what Queensland’s Bruce Highway has been compared to. Covering a stretch of approximately 1,700 kilometres, the Bruce Highway represents less than eight per cent of Australia’s national highways but accounts for the almost a fifth of the country’s road toll. As reported in the Courier-Mail, the RACQ predicts that up to 400 people will lose their lives on the Bruce Highway over the next decade if action is not taken.

That is why I am proud to be part of a government that is investing in a road that was sorely neglected by both state and federal Labor governments. We have committed $2.6 billion more than was promised by Labor. The coalition’s Bruce Highway plan includes 16 existing projects and 45 new projects, bringing the total investment to $6.7 billion over 10 years. The package represents an 80-20 split between the Commonwealth and Queensland state government, putting an end to the unproductive and politically driven disputes between the various levels of government. This includes major upgrades and realignments, flood immunity improvements and strengthening and widening works. It also includes a range of safety measures to target crash black spots and provide additional overtaking areas and rest areas.

In my electorate, locals will share in about $1.1 billion in funding for safety and black-spot funding including those overtaking lanes. Eight million dollars will be spent to plan and acquire land for a heavy-vehicle bypass near Childers. One hundred and three million dollars for the upgrade at Saltwater Creek near Maryborough will also benefit Hinkler constituents, and just last month I turned the first sod on an $8 million federally funded project to upgrade the Bruce Highway at three intersections just south of Childers. More than 6,500 motorists, including many heavy-vehicle operators, use this section of the highway in my electorate every single day. Expected to be finished by the end of the year, the works will cater for those growing traffic volumes, especially during peak periods, by extending the dedicated right-hand turn lane at the Lucketts Road intersection and installing traffic signals at the Goodwood Road intersection. To cater for these new signals, the Butchers Road intersection will also be moved a short distance to the south to ensure that safety is maintained. The original scope of works involved the removal of a right-turn access at the Lucketts Road intersection in accordance with a 2010 coroner’s recommendation. But, after listening to the community, we came up with an upgrade that will maintain all traffic movements at Lucketts Road while still achieving the desired safety outcome.

The Bruce Highway is the major artery connecting Queensland’s coastal communities and the economic centres between Brisbane and Cairns. The North Queensland Roads Alliance estimates that the Bruce Highway contributes $11.5 billion per annum to the Queensland economy, and the highway is routinely cut off due to flooding at up to 33 sites. The 10-year Bruce Highway Action Plan produced by the Queensland government estimated that on average, every year, nine locations along the Bruce Highway are closed for more than 48 hours and six locations are closed for more than five days due to flooding.

If you are in the fresh food industry, 48 hours is a long time to be cut off from your markets. The two major industries in my electorate are horticulture and seafood. With no container port located nearby, refrigerated trucks are their only method of transport. The poor condition of the road is also damaging to the products themselves. Not only must growers battle high input costs like electricity, weather, pests, weeds and diseases, but also, by the time they get their soft produce—strawberries and blueberries—to market, they have also lost some of their profits due to potholes and wash-outs in the road.

While not physically located directly on the Bruce, the two major towns in my electorate are both dependent on the Bruce Highway for access in and out to the north and to the south. Bundaberg and Hervey Bay and all of the smaller communities in Hinkler rely on the Bruce Highway for medical transportation, particularly during emergencies. Tourists flock to the region each year to watch whales and turtles in their natural environment. The condition of the road is causing unnecessary wear and tear on vehicles and caravans, and the busiest shop in Gin Gin, which is in Flynn, is the tyre repair shop—every single week.

Imagine what could be done to improve the Bruce Highway with the $1.5 million per hour we are spending on interest to service Labor’s debt. Queensland and our nation cannot achieve their full economic potential without a safe, reliable and efficient Bruce Highway, so we are delivering on our commitment to upgrade important sections of the Bruce. With any luck, within a decade the Bruce Highway will no longer be referred to by the Australian Automobile Association as one of the most dangerous roads in Australia.