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Wednesday, 15 February 2012
Page: 1391

Carbon Pricing

Mr ABBOTT (Warringah—Leader of the Opposition) (14:00): My question is to the Prime Minister. Given that Alcoa warned the government last year that the carbon tax would impact on its economic viability, given that Alcoa has today shelved a $3 billion investment because of the carbon tax and given that the government's own modelling says that the carbon tax will reduce aluminium production by 61.7 per cent, why is the Prime Minister still in denial about the carbon tax destroying jobs in manufacturing industry?

Ms GILLARD (Lalor—Prime Minister) (14:00): To the Leader of the Opposition's question I say that every assertion he has made in that question is wrong, wrong and wrong. First of all, let us go to the announcement by Alcoa that its Wagerup investment is to be delayed. Let us see what Alcoa says and let us get the facts on the table, rather than the Leader of the Opposition's consistent misrepresentations. Let us be very clear about this. Back in 2008, Alcoa delayed this investment due to the impact of the global financial crisis. Alcoa has said that, since a peak in 2011, aluminium prices have fallen by over 27 per cent worldwide. This morning an Alcoa spokesperson said that the Wagerup expansion would not be back on the agenda until the company secured a long-term competitive gas supply. The statement on the Alcoa website—the words of Alcoa, not the Leader of the Opposition's misrepresentation—says:

Alcoa’s Wagerup Refinery (Wagerup Unit 3) expansion plans are currently on hold because of the challenging economic environment and the need to secure energy supplies.

So the misrepresentation engaged in by the Leader of the Opposition is once again calculated to spread false information to the Australian people. Not only is he content to come into this place and use workers as a football to kick around the chamber in pursuit of the opposition's political interests but now today he is making a misrepresentation to the whole nation about this investment.

On the rest of the Leader of the Opposition's assertions, the question of the modelling I have answered before and no amount of re-asking it will change the Leader of the Opposition's misrepresentations as to the truth. Then there is Alcoa and Point Henry. I have dealt with this before in parliament. Once again, repeating a misrepresentation does not make it true. Alcoa has said very clearly that their current review:

… has not been prompted by a future price on carbon. The present situation is the result of low metal prices, a high Australian dollar, and import costs.

During the course of this week and every day the Leader of the Opposition has come into this place and misrepresented the situation of Alcoa. I say to the Leader of the Opposition that that is a shame. It is a shame he is treating workers with that calculated disrespect and today he is spreading that calculated disrespect to the rest of Australia.