Save Search

Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
  

Previous Fragment    Next Fragment
Tuesday, 4 February 1997
Page: 33


Mr LIEBERMAN(4.34 p.m.) —The member for Werriwa (Mr Latham) and the member for Lyons (Mr Adams) would want the parliament and the community of Australia to believe that they have the answers for the reform of the petrol industry. They also want to spoil the efforts made by the coalition government in its first year in office to attack the problem and to do something constructive. They are spoilers—that is the best way to describe them—using inaccurate information and using information which is not authenticated. They have failed to make available to the ACCC for assessment and investigation the results of their so-called Labor price watch.

I remember during the last parliament when these people were in government going to see and corresponding with their ministers. I took a deputation to Ms McHugh, who was the minister responsible for consumer affairs. She, as she always did, listened carefully to the plea from country members about the need for some action to be taken in the fuel industry. She said, `I am sorry, but I am not responsible; the Assistant Treasurer, Mr Gear, is.'

I made sure that the submissions were passed on to the Assistant Treasurer and he very courteously replied. I still remember his replies. In effect, they were nothing. There was no action taken on these issues by the then government and by the party that the members for Lyons and Werriwa now belong to for the 13 years that they were in government. Where was the Labor price watch when they were in government? Where was the support and the pressure on their Minister for Consumer Affairs and the Assistant Treasurer to bring in the reforms that the member for Werriwa says will magically solve all the problems? Nothing.

When the pressure got too great and when they were unable to grapple with the problem themselves, what they did do was set up another inquiry. We do know that state and federal governments over more than 40 years have had so many inquiries into the petrol industry that we almost despair. The storage space is probably inadequate now to cope with the number of reports lying around on this issue.

So let us get it into perspective. We have a new reformist government which, in the first nine months of its office, has been dealing with the deficit and the other massive problems it inherited as a result of the mismanagement of the previous government. We have also had the courage and the fortitude and the determination to tackle at the core the reforms that are needed in the fuel industry, and there are many more needed. There will be further action with the oil code, with the code of conduct, and with refining the monitoring system that we have foreshadowed.

Let me just step out the dynamics of the policy. For the first time ever, the federal government has put in place a set of laws that enables access to the terminals and refineries in Australia and does away with the labelling agreement.


Mr Latham —What laws?


Mr LIEBERMAN —That is the infamous agreement set up by the Labor Party between the Transport Workers Union and some oil interests to prevent access to the terminals. We all know that that sent broke honest country distributors—I can tell you, because I know many—who were denied access to the terminals because they did not belong to the club; that is, the organisation that had been set up by the union, the closed shop. We know that, as a result, competition at wholesale level was virtually destroyed. This government has done away with it. The member for Werriwa called out, `How? Where is the legislation?' Of course, the workplace relations legislation does away with those sorts of things. Didn't he know? It is a bit of a surprise to him. I can see the surprise on his face.

The second leg of our reform—and it is revolutionary to have the support and cooperation of so many organisations in Australia—is to set up an effective, authentic and credible monitoring system with the ACCC and the motoring organisations: the AAA, RACV and, I think, NRMA. All of them are under AAA. They will be assisted by many people in the community and by farming organisations. From 1 January there will be a process of monitoring on a proper basis so that any abuses, any collusion, any malpractice and any anti-competitive practices can be reported and investigated, as they must and as they should.

I would remind members listening to this debate that the Trade Practices Act contains penalties of up to $10 million for proven offences. This government is determined to ensure that any credible and substantiated claims that are provided to the ACCC so that they can be investigated will have the full weight of the law if they can be proven.

The member for Werriwa has done a great mischief. He has tried to tell the Australian people that across Australia there have been movements in prices which have been improper.


Mr Latham —You agreed, and so did he.


Mr LIEBERMAN —You misquoted me. Do not keep on misquoting. I do not want to use my valuable time with you on that one. Do not misquote people. Learn a lesson. If you have fervour and you want reform, then lay it out. Do not go around misquoting, because it does you no service at all. The fact is that, if you want movements in prices to be investigated because you believe they are a breach of the Trade Practices Act and the consumer laws, you should substantiate them and take them to the ACCC.


Mr Latham —I have.


Mr LIEBERMAN —You have done it. Good. You did not tell the House that you have done it. What a major omission! He kept that back. He just said that he has done it. There it is. Why didn't you tell the House during your speech on the MPI?


Mr Latham —I had only 15 minutes. Can I go again?


Mr LIEBERMAN —You silly little boy. Sit down! Relax.


Mr DEPUTY SPEAKER (Mr Jenkins) —Order! Ignore the interjections.


Mr LIEBERMAN —The other point I want to make is that as a result of the courageous announcements by the Treasurer (Mr Costello), supported by the Minister for Science and Technology (Mr McGauran) in these reforms, there has been unprecedented support in Australia for these reforms. Where else would you find that the RACV, the motoring organisations, the farming organisations of Australia, the umbrella organisations—AAA—have come out publicly and said, `That is what we have been fighting for.' What this coalition government has done in nine months is put in place the framework of reform for which they have been fighting for many years. What a tragedy it is that the former government did not do it. They could have. They would have had our support had they brought it in when we were in opposition. It could have been through the House within five minutes. They did not do it.

So the point I would like to make is that for years country and city motorists have been complaining about their concern and their lack of confidence in the fuel industry distribution system. Nothing was done by the former government at all, to their everlasting shame. I would have thought that a new government would have been supported by them and they would be saying privately, `Thank God these fellas had the courage to tackle the unions. Thank God they got the IR law through. Thank God the framework is there for reform.' To their credit that is what they should have done. But, no, they go around spoiling; they go around misquoting; they go around trying to undermine the very essence of reforms which are so badly needed in Australia.

Let me also call on the opposition to support the oil industry—the distributors and the retailers—in their discussions to develop an oil code, which is the second phase of our reform and which has to be developed over the next few months. That oil code, if the member for Werriwa will step back and listen, will also be an opportunity for the retailers and the distributors and the wholesalers and the majors to get together and put in place a code of practice with integrity which is fair to all sides. If that is coupled with the reforms we have already introduced, it will be a further dynamic in the fuel industry distribution system in Australia.

Let me make it clear. No-one can guarantee the extent of price movement or price reductions in what I call the hydro-headed monster of the fuel industry. There are too few players, too few refineries, in Australia. We do not have hundreds of people bringing in imported fuel every day. You have to work with the clay you have. You guys know that.


Mr Adams —You've given up then?


Mr LIEBERMAN —No way. What we have done is tackle the reforms at the core. We have had the courage to open up access at the refinery level, at the beginning of the wholesale chain. If you think about it, the best inventions in the world are like a wheel: simple. Our reforms—if you look at them fairly and do not try to spoil and them and do not undermine them—are the beginning of the most logical and sensible reform. They will give transparency, they will give access, they will give supervision and accountability and they will have teeth, because of very substantial penalties under the Trade Practices Act for proven offences. (Time expired)


Mr DEPUTY SPEAKER (Mr Jenkins) —Order! The discussion is concluded.