Penny Wong

Answer from Penny Wong

The minister stated that the comments were unacceptable and that the Prime Minister had made this clear. She confirmed that Senator Dowling had taken immediate action regarding the employment. Regarding the ambassadorship, she corrected the record, noting Mr Muldoon had been an ambassador since 2014, not 2024, and that he would not serve in that role again following action by the assistant minister. She reiterated that the Prime Minister found the comments unacceptable.

Answer from Penny Wong

The minister emphasised respect and dignity for all people, citing former Senator Marise Payne's call for sensitivity. She highlighted the government's focus on women's equality, including the National Plan to End Violence against Women and Girls and efforts to address the gender pay gap. She challenged the opposition to condemn comments regarding consent in marriage and to support development assistance for girls' education and rights in developing countries.

Answer from Penny Wong

The minister acknowledged the history of brutality, death, and dispossession faced by First Nations people. She stated that while different people use different words, the government supports truth-telling about this painful history. She argued that better understanding of history would lead to more respect for First Nations people.

Answer from Penny Wong

The minister agreed steelmaking is a critical national capability and stated the government is working with stakeholders to ensure Whyalla's future. She attributed the closure to years of underinvestment and safety failures by the owner, GFG Alliance, rather than government policy. She cited the Tomago Aluminium facility as an example where renewables and gas, not coal, were required to keep the facility open.

Answer from Penny Wong

The minister stated that the government is committed to securing a future for Whyalla through consultation with unions and workers, contrasting this with previous Liberal policies that allegedly encouraged industry departures. She noted that the failure to invest by the previous owner, GFG Alliance, had negative consequences for the community. The minister affirmed that the government would work with industry and unions to find a sustainable path forward for the site.

Answer from Penny Wong

The minister affirmed that securing domestic structural steel capability at Whyalla was essential and that the government was prepared to invest taxpayer funds to support the transition. She attributed the facility's state to underinvestment by the previous owner and criticized the opposition for complaining about government intervention in industries like Tomago. The minister reiterated the government's commitment to working with the South Australian government, unions, and communities to ensure a future for Whyalla.

Answer from Penny Wong

The minister stated that housing affordability issues were fundamentally about supply and demand, noting that investor loans for new builds had increased by 27.5 per cent and construction loans by 20 per cent due to tax incentives. She reported that less than one per cent of mortgage holders were in negative equity, compared to over two per cent when the opposition was in government. The minister argued that increasing supply and removing competitive advantages for investors over first-home buyers were the correct strategies to improve affordability.

Answer from Penny Wong

The minister acknowledged the pressure on households from global shocks, including the pandemic, conflicts in Europe and the Middle East, and energy market disruptions. She highlighted government actions such as free doctor visits, cheaper medicines, support for first-home buyers, and free TAFE. Regarding wages, she noted that annual wage growth had exceeded three per cent for 16 consecutive quarters, unemployment was at a half-century low, and 1.3 million jobs had been created. She emphasized that the national minimum wage had increased by more than $12,000 annually, a rise of over 30 per cent, and that pay rises were delivered for early educators and aged care workers. On housing, she stated the government was implementing tax cuts and ensuring fair conditions for investors and first-home buyers to ensure equity.

Answer from Penny Wong

The minister explained that tech companies would have a legally enforceable duty to prevent harm, protecting children from harmful content and features across all online services. She noted that users would gain choice over their feeds, including the ability to opt out of algorithms. She cited examples of online harms, such as AI-generated nude images of children, chatbots promoting disordered eating, and grooming on platforms like Roblox. She stated that community groups, including Equality Australia and the Executive Council of Australian Jewry, welcomed the duty of care and wanted parliament to go further. She emphasized that the government was consulting on the standards to ensure they were robust and would work with parliament to implement them.

Answer from Penny Wong

The minister acknowledged productivity as a long-standing challenge for governments of both persuasions since the Hawke-Keating era. She noted that productivity had fallen for seven quarters before the pandemic. She stated that the budget included 15 productivity reforms aimed at attracting investment and cutting regulatory costs by $10.2 billion annually. These measures included reducing red tape, building a single national market, modernizing energy markets, and unlocking data and AI opportunities. She confirmed that the long-run assumption for productivity growth was 1.2 per cent, which had been revised down in the first term based on Treasury advice. She did not provide a specific figure for the rate required to make up for lost productivity, instead focusing on the government's reform agenda.

Answer from Penny Wong

The minister stated that AI had enormous potential benefits and risks, requiring agreed guidelines for deployment. She confirmed that the government would legislate Australian standards for AI, ensuring large data centres met minimum requirements for energy, water, and location. She emphasized the need to keep Australians safe while spreading the benefits of the technology. She did not commit to a moratorium or retrospective legislation, instead focusing on the development of standards and guardrails to ensure safe rollout.

Answer from Penny Wong

The minister countered that loan approvals had risen by 8.9 per cent compared with the previous year, reaching their peak since 2021, while commencements grew by 15.2 per cent. She stated that more first-home buyers were entering the market under the government, with over 490,000 accessing it and 260,000 using a five per cent deposit. Regarding rents, she affirmed that Treasury modelling indicated weekly increases of less than $2, noting transitional arrangements for negative gearing. She did not directly answer who benefited from the taxes, instead focusing on the increase in supply and first-home buyer activity.

Answer from Penny Wong

The minister stated she would refer the member to the Prime Minister's answers in the House of Representatives. She defended the grant as the delivery of a transparent election commitment, noting that the Audit Office supports using properly designed grants programs for such purposes. She emphasized that the process followed Commonwealth Grants Rules and Principles. In response to supplementary questions, she highlighted that the grant included environmental works and compared the process to other election commitments delivered by both parties, including a $1.8 million grant for a park in the Groom electorate.

Answer from Penny Wong

The minister confirmed the commitment was raised prior to the list being provided, as it was a public election commitment. She stated that the Prime Minister was not the decision-maker, as the grant was delivered through standard departmental processes and Commonwealth grant guidelines. She argued that the commitments were authorized by the Australian people through the election and that the same process would have been used by the coalition if they had won.

Answer from Penny Wong

The minister rejected the assertion that the government was placating Israel, noting Israeli displeasure with Australian actions. She detailed existing sanctions on extremist settlers and entities responsible for violence, which already prohibit trade with them. She explained that Australian law bans importing goods from sanctioned entities. In response to supplementaries, she affirmed that the government is pursuing further targeted measures to deter illegal settlements while avoiding unintended consequences for Palestinian livelihoods, coordinating with the UK and Canada.

Answer from Penny Wong

The minister acknowledged inflation remains a challenge but noted it is lower than when the government took office. She highlighted economic progress, including low unemployment and wage growth above three per cent for 16 consecutive quarters. She criticized the opposition for opposing tax cuts, wage increases, and cost-of-living measures. She stated the government is focused on relieving inflationary pressures and cost-of-living costs, without committing to specific fiscal policy changes in response to potential rate hikes.

Answer from Penny Wong

The minister cited Commonwealth Bank and Reserve Bank data showing negative equity had dropped to 0.5 per cent, less than half the rate under the previous government. She argued that the opposition was talking down the market and failing to support young Australians entering the housing market. She highlighted government initiatives like the five per cent deposit scheme and a fairer tax system to support homeownership. She criticized the coalition for not wanting more young people in the housing market.

Answer from Penny Wong

The minister stated that the grant was part of a specific program to deliver on public election commitments, following proper processes under the Commonwealth Grants Rules and Principles. She noted that the government had also made $2 billion available through open and competitive funding for community infrastructure. In response to supplementary questions, she reiterated that the Prime Minister was not the decision-maker for the grant and that the commitment was transparently made during the election campaign. She referred the matter to the Minister for Infrastructure, who administers the program.

Answer from Penny Wong

The minister explained that the 'My Feed, My Way' initiative gives users choice over their platforms, requiring social media companies to provide tools for genuine control without penalizing users who opt out. She stated that the digital duty of care legislation imposes safety standards on online services, similar to those for cars or food, to protect children from harmful algorithms. In response to supplementary questions, she cited the story of Wayne Holdsworth to highlight the need for action and criticized opposition parties for aligning with One Nation on free speech arguments, claiming they had abandoned previous commitments to stronger safeguards.

Answer from Penny Wong

The minister confirmed that paid social membership at the club costs $5 for two years and stated the Prime Minister is engaged in his local community. She emphasized that the Prime Minister was not the decision-maker for the grant. Regarding conflict of interest declarations, she noted that registers of members' interests generally do not require disclosure for membership in local community or sporting organizations. She reiterated that the grant was a transparent election commitment delivered according to Commonwealth rules.

Answer from Penny Wong

The minister explained that Australian law already bans trading with sanctioned individuals and entities, with penalties including imprisonment and fines up to $3.64 million for businesses. She stated that the government is pursuing further targeted measures to deter illegal settlements and settler violence, noting that Israel had revoked visas for Australian diplomats in Ramallah in response. Regarding the ambassador's presence in the dining room, she said she was unaware of it and that facility use is a matter for presiding officers. She emphasized that the government disagrees strongly with the Netanyahu government's position on settlements.

Answer from Penny Wong

The minister stated that the changes are part of a consultation process and not the only way to arrange discretionary trusts. She clarified that a 30 per cent minimum levy on payments from such trusts applies from July 2028, with exemptions for farming income, testamentary trusts, and over 90 per cent of small businesses. She argued that the vast majority of Australians will not be affected because they do not use trusts to minimize tax, and the package includes tax cuts for wage-earning Australians.

Answer from Penny Wong

The minister thanked veterans for their service and stated that the government is listening through consultations and meetings with veteran groups. She clarified that the $5,000 threshold does not prevent access to clinically necessary allied health services. She acknowledged that the process might need careful consideration and that the consultation process would address these issues. She affirmed that the Veterans' Minister has secured additional funding to implement royal commission recommendations.

Answer from Penny Wong

The minister stated that the government viewed illicit tobacco as a serious organized crime issue funding other harms. She noted that enforcement activity had increased by $350 million and border interceptions had tripled. She emphasized that cooperation between federal and state governments was essential, noting that states regulate tobacco sales. The minister highlighted that tobacco excise had increased by over 215 per cent under the previous government and by less than 40 per cent under the current administration, arguing the policy had bipartisan support.

Answer from Penny Wong

The minister stated that the government had increased fees for allied health professionals and adjusted thresholds based on royal commission recommendations. She noted that the Prime Minister had met with veterans and that consultations were underway. She clarified that support beyond the $5,000 threshold would continue if there was a clinical need. The minister mentioned that 42,000 veteran compensation claims had been unprocessed under the previous government and that the RSL and other organizations were urging participation in consultations.

Answer from Penny Wong

The minister expressed respect for veterans and noted that Minister Keogh had started talks after publishing a consultation paper. She stated that the $5,000 threshold for health services would not apply to those on special rate disability pension, totally and permanently incapacitated pension, or those determined to be catastrophically injured. The minister highlighted a $169.7 million investment in allied health provider fees, the largest in over a decade, responding to Royal Commission recommendation 71. She also criticized the opposition for not addressing a backlog of 42,000 veteran compensation claims during their time in government.

Answer from Penny Wong

The minister defended the government's focus on increasing supply through a $47 billion Homes for Australia plan. She stated that tax arrangements were changed to favor first-home buyers over investors. The minister cited data showing building approvals were 8.9 per cent higher than the previous year and commencements were 15.2 per cent higher, the highest levels since 2021. She rejected the premise that tax changes were causing a decline in construction, attributing improvements in approvals and commencements to government interventions.

Answer from Penny Wong

The minister acknowledged the seriousness of climate change and the El Nino event. She criticized the Greens for voting with Tony Abbott and others against climate action in the past. The minister stated that 146 renewable energy projects had been approved as of 7 September 2026. Regarding the Saraji mine, she clarified it was not a new mine and was covered by the safeguard mechanism with a baseline declining to zero by 2050. She emphasized the government's commitment to transitioning the economy to lower emissions through thoughtful policy.

Answer from Penny Wong

The minister affirmed that the US alliance contributed to Australian sovereignty and provided access to capabilities Australia would not otherwise have. She stated that all facilities remained under Australian command and that US access occurred in rotation, by mutual agreement, and at Australia's request. The minister rejected the view that the alliance compromised sovereignty, emphasizing that the government's actions were aimed at deterring conflict in the region.

Answer from Penny Wong

The minister acknowledged illicit tobacco as a serious organized crime crisis. She stated the government had allocated over $365 million to improve border detection and joint enforcement activities. The Illicit Tobacco National Disruption Group was established to target criminals. The minister emphasized the need for cooperation between states and the federal government, noting that states regulate tobacco sales. She rejected opposition proposals to reduce excise, citing concerns about increasing smoking rates and the rise in vaping.

Answer from Penny Wong

The minister acknowledged cost-of-living pressures and stated the government was focused on delivering relief through tax cuts and other measures. She noted that five rounds of tax cuts had been implemented, which the Nationals had opposed. The minister criticized the Nationals for chasing One Nation's voter base and advocating for policies such as cutting wages and superannuation. She argued that the Nationals were not capable of managing the economy due to their focus on higher taxes and deficits.

Answer from Penny Wong

The minister stated that the government maintains transparency regarding debt levels and noted that under the previous coalition government, debt would have exceeded $1.2 trillion. She cited Budget Statement 1, which projected gross debt at $1,051.0 billion by 30 June 2027, a figure $18.0 billion lower than the May Economic and Fiscal Outlook and $173.0 billion below the 2022 Pre-Election Economic and Fiscal Outlook. She emphasized that the government has delivered two budget surpluses and that the current debt trajectory is lower than what was inherited. Regarding the specific peak projection, she directed the senator to the budget papers and reiterated that the debt position is better than it would have been under the opposition.

Answer from Penny Wong

The minister affirmed the government's respect for veterans and noted that the Veterans Affairs Minister had acknowledged the error in not holding an initial meeting and has since engaged with the community. She highlighted that the current administration has spent more on veterans affairs than any prior government, including $2 billion in funding following the royal commission. She confirmed that the Prime Minister retains confidence in the minister and stated that no resignation had been requested or offered.

Answer from Penny Wong

The minister described the Israeli decision not to investigate as outrageous and insulting to the victims' families and the Australian public. She confirmed that she had conveyed this view privately to the Israeli ambassador and stated that the government would continue to advocate for answers. She clarified that maintaining diplomatic relations allows Australia to advance its interests and convey its views directly, rather than serving as an endorsement of the Israeli government's actions. She did not agree with assertions that the aid workers were responsible for their own deaths.

Answer from Penny Wong

The minister denied that there would be additional costs, stating that the consultation paper on fuel security and low-carbon liquid fuels was welcomed by the National Farmers' Federation and GrainCorp. She emphasized that the policy aims to diversify supply chains and improve fuel resilience, particularly in light of global disruptions. She clarified that the allowable level of ethanol in petrol is already established under fuel quality standards and that the government does not plan to change or increase these limits. She characterized the opposition's concerns as a scare campaign not supported by industry feedback.

Answer from Penny Wong

The minister confirmed the Prime Minister had confidence in Minister Keogh. She noted that the minister had acknowledged his error in not meeting the veterans initially. She reiterated that veterans with clinical needs would retain access to allied health services above the $5,000 threshold. She highlighted government investments in the Department of Veterans' Affairs to address a backlog of approximately 42,000 compensation claims.

Answer from Penny Wong

The minister stated the Prime Minister retained confidence in the minister, who had acknowledged his errors. She emphasized the government's commitment to implementing royal commission recommendations, noting over $2 billion invested in veterans' wellbeing. She defended the government's record, citing the resolution of a 42,000-claim backlog inherited from the previous administration.

Answer from Penny Wong

The minister guaranteed that the changes were motivated by increasing housing supply and that opposition policies would have reduced supply. She clarified that existing negative gearing arrangements were grandfathered and that incentives remained for new builds. She cited ABS data showing investor lending for new constructions rose by 27 per cent in the June quarter.

Answer from Penny Wong

The minister acknowledged Vietnam Veterans' Day and stated that the Prime Minister regularly engages with veteran groups. She clarified that the $5,000 threshold is not a hard limit if there is a clinical need, ensuring veterans continue to receive necessary care. She noted that the Prime Minister's office has been briefed on the issues raised by the veteran delegation. The minister did not confirm whether the cap would be scrapped, stating only that the government's position would be considered carefully.

Answer from Penny Wong

The minister stated that the specific case has been referred to the department for review. She highlighted two improvements to the assessment system: a rapid review of prioritization and a legislated review process for changing care levels. She noted an additional $3.7 billion investment in aged care in the budget. She did not directly answer whether the specific outcome was correct, instead emphasizing the government's commitment to dignity and the ongoing refinement of the system.

Answer from Penny Wong

The minister noted that John Setka had been expelled from the Australian Labor Party years ago, a process not subject to the five-year rule. She affirmed the government's zero tolerance for corruption, criminality, and violence in the construction industry, stating that the administrator had achieved significant progress in cleaning up the union. The minister indicated that the government would carefully consider any advice from the administrator regarding necessary changes to disciplinary powers, emphasizing that the current administration had taken stronger action than previous governments.

Answer from Penny Wong

The minister rejected the premise that policies were failing, stating the housing package would boost supply by at least 30,000 homes and help 75,000 young people buy homes. She noted that over 660,000 homes had been built since Labor was elected and approvals were up for three consecutive years. The minister highlighted that nearly 75,000 people in New South Wales had bought homes with a five per cent deposit and that 9,400 social and affordable homes were being delivered in the state. She argued that tax changes tilted the scales in favor of first-home buyers, redistributing ownership from investors to owner-occupiers, which she described as leveling the playing field.

Answer from Penny Wong

The minister acknowledged productivity as a longstanding challenge and highlighted the budget's 15 reforms aimed at increasing productivity, including the incentivising investment and innovation package with $312 billion in new measures. She noted that productivity had declined multiple times under the previous Morrison government. The minister argued that the opposition voted against key productivity measures such as EPBC reforms and regulatory reform. She stated that the government was cutting red tape by roughly $10 billion annually and focusing on a multifactor approach to attract investment and lower compliance costs.

Answer from Penny Wong

The minister affirmed the government's support for the Royal Commission's independence and its wide powers. Regarding the visa denial, she stated that the government acts on advice from security agencies and respects the statutory framework, implying that national interest considerations guided the decision. On the gun buyback, she expressed pleasure that New South Wales was cooperating with the Commonwealth and urged all other states to engage with the reform in a similar manner to ensure national consistency.

Answer from Penny Wong

The minister stated that the opposition had opposed energy assistance and tax cuts. She highlighted the Japanese ambassador's statement on personal trust between leaders and accused the opposition of creating a diplomatic issue through media stunts and summoning the ambassador. She emphasized the government's commitment to strengthening the strategic partnership with Japan.

Answer from Penny Wong

The minister confirmed the $2.5 billion investment, shared equally between state and federal governments, would keep the smelter open and support jobs in the Hunter region. She noted the plan enables commercially viable operations after 2028 and increases renewable energy capacity, including almost three gigawatts of new clean energy and stabilisation capacity. She emphasized the importance of domestic aluminium production for economic resilience.

Answer from Penny Wong

The minister criticized the opposition for focusing on press conference awkwardness rather than the announcement of job protections in the Hunter. She stated the Prime Minister was there to announce measures to protect jobs and that the government was proud of this outcome. She reiterated that the focus should be on the economic announcement rather than political point-scoring.

Answer from Penny Wong

The minister reiterated that amendments ensure deductible gifts reduce capital gains subject to minimum tax and that minimum tax does not apply to charitable trusts. She noted that DGR status remains tax deductible for discretionary trusts and that the government is consulting on implementation details, including arrangements for donations. She declined to provide further guarantees beyond the consultation process.

Answer from Penny Wong

The minister affirmed the importance of the relationship with Japan and stated the government was designing the gas reservation policy in consultation with industry and partners. She emphasized objectives of ensuring sufficient domestic gas for jobs and investment certainty. She guaranteed that Australia would remain a reliable long-term supplier while maximizing benefits for the country through domestic manufacturing and energy security.

Answer from Penny Wong

The minister confirmed the government is consulting on implementation details, including arrangements for donations to charities and tax-exempt entities. She stated that the overarching purpose of the tax reforms is to make the system fairer by aligning the treatment of income from work with income from assets. In response to supplementary questions, she clarified that deductible gifts and donations reduce capital gains subject to the minimum tax, and that the minimum tax does not apply to charitable trusts. She noted that donations to deductible gift recipient organisations remain tax-deductible for discretionary trusts, and highlighted government measures to streamline the process for organisations to gain deductible gift recipient status.