Tim Ayres

Answer from Tim Ayres

The minister listed supported facilities including Tomago Aluminium, Boyne smelter, and Whyalla steel. He criticized opposition claims about energy costs as deliberate falsehoods. In response to supplementary questions, he reported a 43 per cent increase in manufacturing exports, $56 billion in additional exports, and a 35 per cent rise in manufacturing investment. He stated there are 7,000 more manufacturing firms than when the government took office and that the manufacturing share of GDP had risen by 22 per cent. He identified the risk as dishonest political campaigns that undermine industrial progress.

Answer from Tim Ayres

The minister stated the plan reserves gas for Australians and industry, strengthening the economy and supporting the energy transition. He argued that opposing gas reservation is incompatible with supporting manufacturing and blue-collar jobs. He confirmed that the policy would increase gas supply and lower electricity and gas prices, noting that Senator Hanson had previously supported this view before changing her position.

Answer from Tim Ayres

The minister acknowledged the disproportionate impact of climate change on women and regional security. He stated the government is developing its approach to climate negotiations in the national interest, focusing on security and competitive advantage in energy. He did not provide specific commitments on finance frameworks or closing the per capita gap, instead highlighting global clean energy investment and the role of renewables in saving industrial jobs like Tomago Aluminium.

Answer from Tim Ayres

The minister described the gas reservation plan as the most significant reform in Australian gas history, designed to ensure sovereign resilience, industrial competitiveness, and lower prices for households and industry. He argued that the reservation would secure sufficient gas for Australian manufacturing and heavy industry, supporting blue-collar jobs. He characterized the gas tax as merely a revenue measure, whereas the reservation was a structural reform to ensure future competitiveness. He stated that the reform placed a heavy obligation on gas producers in the national interest and would be brought to parliament.

Answer from Tim Ayres

The minister announced a domestic gas reservation plan reserving up to 20 per cent of gas exports for domestic use to lower prices and fix supply shortages. He noted that gas prices had fallen from around $60 a gigajoule and highlighted support from manufacturers like BlueScope and Manufacturing Australia. He criticized the previous government's lack of action and contrasted the current plan with the opposition's previous proposals. In response to supplementaries, he warned against policies proposed by One Nation that could threaten the Tomago aluminium smelter and rail investments.

Answer from Tim Ayres

The minister stated that the government supported the aquaculture industry, which contributed over $1.3 billion to the Tasmanian economy. He noted that state governments held constitutional responsibility for managing aquaculture within three nautical miles, limiting federal intervention. He emphasized the government's commitment to both environmental protection and job delivery, stating that the industry must operate responsibly. He did not commit to ending the industry or reducing stocking levels, citing the need for balanced outcomes.

Answer from Tim Ayres

The minister stated that house prices had risen by 400 per cent since 1999 and that the government was setting a target of 1.2 million homes. He highlighted reforms including limiting negative gearing to new builds and expanding the five per cent home deposit scheme. He cited support from organizations like ACOSS and National Shelter, and noted that NAB's chief economist predicted owner-occupiers would benefit.

Answer from Tim Ayres

The minister outlined a $47 billion housing package, including five per cent home deposits and the construction of social and affordable homes. He emphasized that decent housing standards include safety features such as swimming pool barriers, smoke alarms, and protections against bushfires and floods. He criticized the opposition's policy development unit and suggested that their alternative approaches risked lowering standards, referencing international housing disasters. He did not provide specific details on the opposition's proposed policies beyond general criticism.

Answer from Tim Ayres

The minister argued that rent caps hinder new home construction and are ineffective policy measures. He highlighted the government's agenda to deliver 55,000 social and affordable rental homes and 100,000 homes for first-home buyers. He criticized the Greens for blocking the Housing Affordability Future Fund legislation and noted $47 billion in measures for home construction.

Answer from Tim Ayres

The minister stated that the investment secured 6,000 jobs in the Hunter region through renewable energy and storage initiatives. He highlighted that over 35,000 jobs had been secured across regional economies through the Future Made in Australia approach. He noted that 712,000 more manufacturing businesses existed than before the government took office, with over $1.65 billion invested via the National Reconstruction Fund.

Answer from Tim Ayres

The minister stated that all firms investing in Australia must pay their fair share of tax, noting Australia's leadership in OECD multinational tax discussions. He emphasized the government's focus on legislating AI standards for data centres to ensure they support the national electricity grid and economic resilience. He affirmed the goal of capturing as much AI training investment and technology stack development as possible within Australia, from critical minerals to chip manufacturing.

Answer from Tim Ayres

The minister stated the deal provides certainty for the facility through to 2038-39, supporting 1,000 direct employees and 512,000 related jobs. He highlighted the shared approach with the NSW government to build necessary electricity infrastructure. He emphasized that the investment would deliver hundreds of apprenticeships and strengthen Australia's industrial capability and fairness.

Answer from Murray Watt; Tim Ayres

Minister Watt initially deferred to the Treasurer or Climate Change Minister. Minister Ayres then responded, stating the land is classified as Class 5 and 6, not prime agricultural land, and that both agriculture and forestry will continue. He confirmed that Steven Skala recused himself from the Foreign Investment Review Board decision. He noted the project would create around 190 jobs and that the land was previously targeted for forestry by the Liberal government.

Answer from Tim Ayres

The minister stated that 270,000 Australians, mostly young people, had accessed homes through the scheme, and dismissed claims about flipping as hyperbolic. He cited individual success stories of first home buyers. In response to questions about social housing, he noted that over 660,000 homes had been constructed since the government was elected, with more than 7,000 completed with Commonwealth investment. He highlighted a $47 billion program for social and affordable housing and provided another example of a first home buyer in Melbourne who used the scheme to purchase a unit.

Answer from Tim Ayres

The minister accused the previous energy minister of concealing price rises. He stated that the government had provided three free hours of solar power for 455,000 Australians with home batteries, resulting in zero electricity costs for those households. He argued that these benefits primarily aided people in outer suburbs and regions. In supplementary answers, he claimed that One Nation opposed solar electricity and that the previous government had wrecked the electricity system and fuel refineries, causing energy insecurity.

Answer from Tim Ayres

The minister stated that the government was providing over $3.8 billion in fresh initiatives, such as making the $20,000 instant asset write-off and two-year loss carry-back permanent from 1 July. He mentioned tax reductions for 1.5 million sole traders, such as the $250 Working Australians Tax Offset, and $8 billion for mental health and financial wellbeing. The minister pointed out that the National Reconstruction Fund had lent hundreds of millions to small businesses in freight and logistics, and that the government was securing fertiliser and fuel supplies for regional agriculture.

Answer from Tim Ayres

The minister stated that the government assessed research infrastructure requirements as part of normal budget processes. He highlighted an additional $387.4 million for the CSIRO in the budget, on top of existing funding. Regarding the Strategic Examination report, he stated that a substantial part had been dealt with in the budget and that the government was delivering substantial funding rather than just talking. He noted the establishment of the National Resilience and Science Council, which would be legislated to direct research and development efforts.

Answer from Tim Ayres

The minister stated that the government had delivered the biggest pro-manufacturing package in history, with 712,000 more manufacturing firms since 2020 and a 43 per cent increase in exports. He detailed that the Economic Resilience Program had approved over $220 million in zero-interest loans for more than 240 firms, primarily small and medium businesses in freight and logistics. He highlighted support for specific industries, including smelters and steel production, and criticised the opposition for lacking industrial policy.

Answer from Tim Ayres

The minister stated that the Cheaper Home Batteries Program had facilitated 450,000 installations, providing 12 gigawatts of capacity. He noted that 15 new large-scale storage projects were announced, attracting $6 billion in private investment. He argued that renewables secured energy supply against global shocks and criticised the opposition for wrecking electricity investment.

Answer from Tim Ayres

The minister reported that Australia had 44 days' worth of petrol, 39 days' worth of diesel, and 32 days' worth of jet fuel, all increases since the conflict began. He noted that fuel stocks were at their highest level since the minimum stockholding obligation commenced in 2023, with 51 ships en route and 3.9 billion litres contracted for delivery. In response to supplementary questions, he stated that Export Finance Australia had secured an additional 50 million litres of diesel and that a shipment of urea had docked in Brisbane. He confirmed that supplies of diesel totalling 800 million litres, jet fuel amounting to 155 million litres, and 340,000 tonnes of fertiliser had been secured. He also highlighted a $14.8 billion budget package for fuel security, including $3.2 billion for a strategic fuel reserve.

Answer from Tim Ayres

The minister stated that changes to capital gains tax and negative gearing leveled the playing field for young Australians. He noted that over 660,000 homes had been built since the government took office, with housing starts up 26 per cent. The minister highlighted the delivery of 55,000 affordable new homes, with more than 6,000 already completed, and a further $2 billion investment in infrastructure to unlock tens of thousands of additional homes.

Answer from Tim Ayres

The minister denied that voluntary expectations were insufficient, stating they were being operationalized through state planning approvals. He emphasized the need for data centre developers to invest in additional electricity generation and transmission to lower prices. The minister highlighted the government's commitment to securing tech investment in Australia's national interest while ensuring cooperation with states to manage energy impacts.

Answer from Tim Ayres

The minister detailed a $10 billion investment in fuel and fertiliser security, including a $7.5 billion facility for Export Finance Australia to derisk shipments. He announced a $3.2 billion Australian fuel security reserve for long-term diesel and aviation fuel, and an increase in minimum stockholding obligations to 50 days. Regarding gas reservation, he stated it would deliver cheaper gas, shield the economy from shocks, and preserve export relationships. He contrasted this with the previous government's record, citing poor energy infrastructure and high gas prices.

Answer from Tim Ayres

The minister referred to a publicly released report from Jobs and Skills Australia and the National AI Plan, which aimed to spread benefits across regions. He mentioned data centre expectations and commitments from proponents regarding energy additionality. In response to the supplementary questions, he stated he had not heard the specific figure of 600,000 job losses. He emphasized the importance of securing sovereign AI capacity and ensuring Australia remained competitive, rather than focusing on specific tax modelling for tech companies.

Answer from Tim Ayres

The minister explained that enforcement relied on federal support being conditional on alignment with the expectations. He stated that proposals not meeting the expectations would not receive federal support. He noted that state and territory planning approvals would embed these principles, and that the government was working with states to ensure no race to the bottom occurred. He emphasized that the Artificial Intelligence Safety Institute would also play a role in ensuring investments delivered for Australians.

Answer from Tim Ayres

The minister highlighted the halving of the fuel excise and the reduction of heavy vehicle road user charges to zero for three months. He explained that new EFA powers would de-risk additional fertiliser and fuel shipments, keeping markets flexible. He cited the government's intervention to support the Mount Isa copper smelter, which produces domestic fertiliser, as an example of strengthening sovereign capability through the Future Made in Australia agenda and gas reservation strategy.

Answer from Tim Ayres

The minister confirmed that legislation to enable Export Finance Australia to underwrite extra fuel and fertiliser cargoes would be introduced. This measure aimed to de-risk private-sector shipments and address regional shortages without replacing domestic market operations. He also noted the government's intervention to keep the Dyno Nobel Phosphate Hill facility operating as a domestic fertiliser producer.

Answer from Tim Ayres

The minister stated that tax policy announcements would be made in the budget, but the government's focus remained on delivering tax cuts for every taxpayer. He argued that intergenerational equity was addressed through these tax cuts and that the government's housing agenda focused on increasing supply through the Housing Affordability and Future Fund and other measures.

Answer from Tim Ayres

The minister stated that Australia imported more than 65 per cent of its fertiliser-grade urea, but near-term planting demand was largely covered. He noted that the government was exploring contingency sources in South-East Asia. He highlighted that the purchase of Phosphate Hill secured domestic production of MAP and DAP fertilisers. He confirmed that ministers had met with industry representatives, including the National Farmers' Federation, and that the ACCC was working to allow sector coordination. He linked these measures to the Future Made in Australia agenda, citing interventions in steel, critical minerals, and gas reservation as strengthening national resilience.

Answer from Tim Ayres

The minister stated that the government was aware of the powers in the Liquid Fuel Emergency Act but judged that current practical actions were more effective. He highlighted the release of 20 per cent of fuel reserves and new ACCC powers to prevent anti-competitive behaviour. He noted that the government had introduced laws to double penalties for misleading conduct to $100 million and enabled the Fair Work Commission to demand fair pay for truckies during price spikes. He did not commit to cutting the excise or GST, instead focusing on existing regulatory and supply-side measures.

Answer from Tim Ayres

The minister reiterated that the conflict in the Middle East was causing a global energy shock. He listed government actions including doubling penalties for misleading conduct, convening National Cabinet, appointing a taskforce coordinator, releasing 20 per cent of fuel reserves, and changing petrol standards. He stated he could guarantee the government would continue to act in the national interest but did not provide a specific guarantee regarding individual travel plans. He criticised the opposition for a partisan approach rather than joining the government in acting in the national interest.

Answer from Tim Ayres

The minister stated that the government possessed the figures and had been transparent, noting that 164 petrol stations in New South Wales lacked diesel. He explained that 20 per cent of minimum stockholding had been released to assist independent retailers, particularly in regional areas where winter planting was occurring. In response to the supplementary, he reported that nationally, nine per cent of petrol stations had one or more fuel grades unavailable, with specific figures for Tasmania showing 0.4 per cent without diesel and two per cent without unleaded petrol. He clarified that the government provided weekly updates on stockholding levels rather than daily commercial-in-confidence data, urging Australians not to purchase more than required.

Answer from Tim Ayres

The minister updated the figure of petrol stations with unavailable fuel grades from nine per cent to eight per cent. He stated that the Minister for Climate Change and Energy had been in daily contact with fuel companies since the Middle East crisis began, with companies locking in supply until mid-April. He declined to release commercial-in-confidence information daily but confirmed that on Saturday, he discussed cancelled ships with industry representatives. In response to supplements, he provided days of supply figures as of 17 March: 38 days for unleaded petrol, 30 days for jet fuel, and 30 days for diesel. He also announced changes to diesel standards to free up more supply.

Answer from Tim Ayres

The minister attributed fuel challenges to the Iranian government's blockade of the Strait of Hormuz, not government failure. He acknowledged that prices for PVC piping were rising but stated there were no immediate shortages. He highlighted the government's minimum stockholding obligation, which was larger than it had been for 15 years. He rejected the call for a GST exemption and defended the government's energy security approach, noting that Australia had reduced from six to two refineries under the previous government. He dismissed the link between net zero policies and the current supply issues.

Answer from Tim Ayres

The minister characterised Horizon Europe as the world's biggest source of research and innovation money, with a budget of A$155 billion. He stated that association would allow Australian scientists to mount joint research efforts and apply for substantial grants in areas such as agriculture, artificial intelligence, and quantum science. He linked this to broader resilience measures and referenced the 'Ambitious Australia' report, which noted $15 billion being spent on 160 research and development programs this financial year. He affirmed the government's unequivocal support for research institutions and scientists.

Answer from Tim Ayres

The minister noted that Australia imported approximately 65 per cent of its urea-based fertilisers and that local ammonia capacity was important for mining explosives as well as fertiliser. He stated that the government was working with suppliers, importers, and industry bodies like the National Farmers' Federation to coordinate actions. He mentioned that there was no immediate national shortage of fertilisers but that winter planting was commencing. He confirmed that the government was engaging with alternative suppliers in South-East Asia and that the coordinator-general was meeting with state and territory counterparts to ensure sector coordination.

Answer from Tim Ayres

The minister rejected the premise, accusing the opposition of hyperpartisan behaviour. He highlighted government actions including implementing minimum stockholding obligations, empowering the ACCC against price gouging, and appointing a coordinator-general to manage supply.

Answer from Tim Ayres

The minister explained that 519 million litres of new supply were being prioritised for regional demand. He listed specific towns receiving additional fuel, including Hay, Griffith, Gunnedah, Orange, and Dubbo, noting cooperation with state governments to distribute national stockholdings.

Answer from Tim Ayres

The minister reported releasing 762 million litres of petrol and diesel from national stockholdings and temporarily lowering fuel standards to retain 100 million litres monthly. He also highlighted doubled ACCC penalties for price gouging and cartel behaviour.

Answer from Tim Ayres

The minister stated that six out of 81 shipments had been deferred or cancelled, a fact that had only recently become clear. He emphasised that the government was swapping in fuel capacity and maintaining domestic reserves, contrasting this with previous government policies.

Answer from Tim Ayres

The minister did not directly address rationing powers but guaranteed that domestic reserves were being used to address undersupply issues. He contrasted current domestic storage with previous government practices of storing reserves overseas.

Answer from Tim Ayres

The minister stated that the government was ensuring minimum stockholding obligations were exceeded and that updated figures would be released. He announced that fuel standards regarding sulphur levels were temporarily amended for 60 days to allow Ampol to redirect export-bound petrol to the domestic market. He confirmed that the national coordination mechanism had been activated to address supply chain issues and that additional supply was being directed to regional areas via the spot market.

Answer from Tim Ayres

The minister explained that fuel quality standards were temporarily amended to allow higher sulphur levels for 60 days, enabling 100 million litres of additional monthly supply from Ampol. He stated that this supply would be prioritized for regions with shortages and the wholesale spot market. He confirmed that the national coordination mechanism would continue to address supply chain bottlenecks.

Answer from Tim Ayres

The minister stated that the government had directed the ACCC to remove obstacles to fuel companies coordinating supply. He explained that demand spikes affected different regions differently, particularly where retailers accessed the spot market. He confirmed that 100 million litres of additional monthly supply would be available due to changed fuel standards.

Answer from Tim Ayres

The minister stated that national fuel stocks remained stable, with 1.56 billion litres of petrol and 2.97 billion litres of diesel available, unchanged since the Middle East conflict began. He attributed regional shortages to unusual purchasing behaviour and a 40 per cent spike in demand reported by the National Farmers' Federation, rather than a supply deficit. The minister announced that fuel supply data would be released weekly to improve transparency and noted that industry was working to communicate effectively with the community to manage purchasing behaviour.

Answer from Tim Ayres

The minister announced that fines for deceptive practices and anti-competitive agreements would be doubled to a maximum of $100 million per offence. He stated that the ACCC was ramping up fuel monitoring with weekly reports focusing on unusual price spikes and was working with industry to secure authorisation to coordinate supply and remove bottlenecks. Regarding the number of ACCC investigations and the IEA request, the minister declined to provide specific details at that stage, stating he would provide more information later.

Answer from Tim Ayres

The minister reiterated that there was no national supply problem, citing 1.56 billion litres of petrol and 2.97 billion litres of diesel in stock. He attributed regional rationing to a sudden rush in consumer demand, with some customers buying four times their usual amount, rather than a lack of fuel. He stated that the Australian Institute of Petroleum confirmed sufficient supply to meet normal demand and urged political leaders to communicate the truth to avoid spreading misinformation.

Answer from Tim Ayres

The minister stated that the government's approach was outlined in the national artificial intelligence plan, focusing on economic advantage and establishing an AI safety institute with $29.9 million in funding. He argued that existing laws on workplace safety, consumer protection, privacy, and copyright were sufficient for regulation. Regarding meetings with AI companies, he declined to provide specific numbers, stating that his office met regularly with industry and that the implication of undue influence was offensive.

Answer from Tim Ayres

The minister confirmed that the National Oil Supplies Emergency Committee found no shortage of supply, with stocks of 1.56 billion litres of petrol, 802 million litres of jet fuel, and 2.97 billion litres of diesel. He attributed rationing to spikes in consumer purchasing behaviour. Regarding refinery closures, he blamed the previous government for neglecting national interest and cited Geoscience Australia's finding that conventional oil reserves are depleting faster than new discoveries are made.

Answer from Tim Ayres

The minister denied that Australia faced a supply challenge, stating that ships were arriving as predicted and stocks remained high. He attributed the crisis to unprecedented consumer demand and panic buying, citing the National Farmers' Federation's report of a 40 per cent increase in demand. He reiterated that penalties for price gouging were being doubled and accused opposition parties of spreading fear and division rather than addressing the issue transparently.