Mr ALBANESE (Minister for Infrastructure, Transport, Regional Development and Local Government) (9:12 PM) —I move:

A number of amendments have been made to the Road Charges Legislation Repeal and Amendment Bill 2008. They go to a number of issues. One would remove the capacity to index charges by regulation. This was a proposition recommended by the National Transport Commission which would have removed the regular raising of issues in a political way when it came to the road user charge. The second ensures that it will be adjusted by ministerial determination, which would be a disallowable instrument. That will be upon recommendation of the National Transport Commission. The third amendment is to review the $70 million safety package after three years and to report to the parliament and the fourth is for only one determination per financial year.

This legislation will deliver equity in transport charging. It is important to note that the trucking industry itself has argued that it wants to ensure that it pays its way for infrastructure costs. It is important to recognise that the trucking industry does not pay fuel tax. What it gets is a rebate and this legislation will increase the charge from 19c to 21c. That is the result of a determination by the National Transport Commission, which looks at the costs that have been incurred in building roads and the use by trucks and heavy vehicles of those roads—that is, it is a payment by the trucking industry to recoup the money that has been expended by government. It ensures that there is a level playing field when it comes to the trucking industry compared with rail, shipping and other forms of transport.

In conjunction with this bill, we amended Commonwealth legislation earlier in this parliament to allow for funding for rest stops. As a result of the passage of this legislation, the government will provide $70 million for rest stops and productivity measures over the forward estimates. We had to amend Commonwealth legislation because the Commonwealth over the previous 12 years did not provide funding for safety and rest stops. This is a major step forward which the Commonwealth and the Rudd government are prepared to make, even though the amendments to the legislation made by the Senate will result in a significant fall in expected revenue as envisaged by Treasury over the forward estimates. The fact is that this government is one which takes road safety seriously. (Extension of time granted). This is the first time that government at the Commonwealth level has taken such action.

It is significant that the determination of the increase in the road user charge was not made by the current government. I give credit where credit is due for the increase in these charges, because the process was begun and overseen by the former Minister for Transport and Regional Services, Leader of the National Party and member for Lyne, Mark Vaile. The increase in the charge completes the process which was begun under the former government—except for the change in recommendation, which would have depoliticised this issue by allowing for indexation. The government moved amendments in the Senate to make sure that we had an absolutely transparent process.

At the Australian Transport Council ministerial meeting back on 29 February this year we agreed to the determination to essentially adopt the former government’s position with two exceptions. One of those was that we agreed to delay the starting date for the road user charge increase until 1 January 2009, whereas it was envisaged that it would begin on 1 July this year. We were asked for that by the trucking industry and we complied with that. The second request by the trucking industry was for a safety and productivity package. The government listened to the trucking industry and we put in place a commitment in the budget papers for a $70 million road safety and productivity package. The government will still pursue that, in spite of the fact that there will be potentially less revenue as a result of the changes that the Senate has made.

This is important legislation. It is important that the trucking industry pays its way, and the industry acknowledges that. It is also important that we take action on the issue of road safety, particularly for the trucking industry, not just for truck drivers and their families but also for other families who are on our roads. In recent times there have been considerable negotiations over this legislation. When these changes were put up, along with the changes to registration that have now been accepted by the Senate, they were opposed by the other place prior to the 1 July changeover. That meant that all the states would have increased their registration charges but that the Commonwealth through either FIRS, the federal scheme, or the ACT, which is covered by the Commonwealth scheme, would have had a lesser charge. I am pleased that that legislation has been approved because opposition to it was, quite frankly, irresponsible and absurd. But this legislation going through does allow for some progress.

I thank the senators who have participated in discussions. (Extension of time granted) I thank Senator Nick Xenophon from South Australia, a strong advocate for his state. I thank the Greens, who were constructive in their arguments, particularly on the issue of safety. I thank Senator Fielding for the fact that he was prepared to engage in constructive dialogue. I find it extraordinary that the opposition did not engage more constructively, given that this was essentially legislation that originated under their government in 2007. During the break I think the opposition need to have a real think about their role as a responsible political party, because you cannot go out there and argue about fiscal policy whilst you are prepared to tear holes in budgets and vote against proposals even when they have originated from your own side of politics—and that is what we have seen with this.

I believe the amended legislation is a step forward. I am pleased that the House will adopt the legislation with the Senate amendments and that we can then progress these issues, particularly so that we can progress the issue of improving road safety for the trucking industry.