Night-time politics
Today:
- Malcolm Turnbull and George Brandis appointed high court justice Susan Kiefel as Australia’s first chief justice. Justice James Edelman has been appointed to the high court at 42.
- George Brandis will be the subject of a Senate references inquiry over any agreements between the commonwealth and the WA government regarding the Bell litigation – winding up the Bell Group. At issue is whether there was any agreement between the federal and state Coalition governments to favour the state as a creditor. Labor and the Greens managed to split off One Nation senator Rod Culleton to vote for the inquiry – no fan of Brandis since he was referred to the court of disputed returns. Turnbull has expressed his full confidence in Brandis (as rumours of a reshuffle persist). But then Turnbull had full confidence in former ministers Jamie Briggs and Mal Brough before they were dumped.
- Nick Xenophon has done a deal on water which he says is good for South Australia. It means the first ministers (prime minister and premiers) will talk about the Murray Darling Basin plan at Coag twice a year but it does not guarantee any more water down the river. Labor and the Greens say the deal is a shocker and just an excuse for Xenophon to vote for the ABCC. Which Xen says is more likely now – better than 50-50 chance. He still wants amendments, such as security of payments for subcontractors.
- Labor and the Greens won a marriage equality Senate committee hearing inquiry.
- The passenger movement charge and 15% backpacker tax bills got through the lower house.
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The Australian Building and Construction Commission bill is still being debated in the Senate. Nick Xenophon says he expects another 24 hours before resolution on that one.
Thanks to the brains trust, Paul Karp, Gareth Hutchens and Katharine Murphy. Thanks to Mike Bowers for his pictures. I will leave you with a pic from the Coalition party room meeting this morning, including senator Ian Macdonald, whose phone rang with a Vivaldi ringtone right in the middle of Turnbull’s speech.
Leaker! they yelled and pointed.
Good night.
Updated
The Senate passed a motion to order Barnaby Joyce to produce documents related to moving the Australian Pesticides and Veterinary Medicines Authority (APVMA) to his own electorate.
The vote passed 36 Ayes and 28 Noes.
The order states that the following documents held or prepared by the Department of Agriculture and Water Resources and/or the Australian Pesticides and Veterinary Medicines Authority be tabled no later than 9.30am on Thursday, 1 December 2016 by the minister representing the minister for agriculture and water resources:
- An analysis of supply (and demand) for regulatory scientists
- An analysis of connectivity between APVMA business groups
- Any APVMA recruitment, retention and training strategies
- Any APVMA transition plans.
While it may sound good, the reality is that politicians ignore these things all the time. In the past, oppositions and minor parties have tried to get documents relating to detention centres, trade agreements and other matters. None ever showed up.
Updated
I missed this earlier. (I keep falling off the One Nation mailing list.)
Is this a way for @PaulineHansonOz to get more Twitter followers? #auspol pic.twitter.com/HKKtDtYSHy
— Julia Holman (@JulesHolman) November 29, 2016
Prime minister advances on opposition leader.
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Labor’s Anthony Albanese has moved a suspension of standing orders. He does not want the bill to increase the passenger movement charge by $5 to bind future parliaments. This is the PMC freeze negotiated by Pauline Hanson. The bill was one of the savings measures attached to the backpacker tax.
South Australian senator Penny Wong accuses Nick Xenophon of finding an excuse to vote for the ABCC bill.
I don’t see having a couple of extra estimates rounds will fix this up....anyone looking at this would suggest that Nick was looking for an excuse.
1 nation sen. Rod Culleton votes with Labor & xbench-Pauline Hanson and Brian Burston vote with govt @gabriellechan pic.twitter.com/r62qeVcpwB
— Mikearoo (@mpbowers) November 29, 2016
South Australian senator Sarah Hanson-Young says Xenophon has squibbed it on the water deal with the PM.
Nick Xenophon has just sold South Australia down the river. He’s letting South Australia and the River Murray down, just so he can cosy up to the Coalition and help them to rip rights away from hard working Australians. Senator Xenophon might talk a big game, but time and time again he squibs it in the end. Now he’s doing it all again and selling our home state short.
Nick Xenophon is asked about accusations from the National party.
He urges calm and says no state can walk away from the plan.
The deal puts the Murray Darling Basin plan implementation into the hands of the first ministers – that is the prime minister and the premiers through the Council of Australian Governments (Coag) plan.
I am checking but this would appear to take water out of the hands of state water ministers – and out of Barnaby Joyce’s hands.
Updated
Nick Xenophon says he is not being fobbed off. He believes extra water will flow to South Australia. And he can now turn his attention to the Australian Building and Construction Commission bill.
What it means in relation to a vote on the ABCC, we can now consider the ABCC legislation on its merits and there are issues we are working through in relation with the government.
He says the ABCC bill probably will not be dealt with until Wednesday night or Thursday.
We should see some amendments soon.
Nick Xenophon is holding a press conference now regarding the promises he extracted from government. The major factors of this deal relate to accountability processes.
Someone asks, there is no extra money for South Australia?
Xenophon says there is still $1.78bn on the table for the extra 450GL that is at issue.
The money will not be taken away and the money needs to be spent in an orderly process and that orderly process is listening to the scientists and ensuring that there is political will to drive this forward. The fact that it is now, ahead of COAG, year after year, so the plan can be implemented, is a significant breakthrough.
For and against the George Brandis inquiry
Vote was 36-29 to establish the George Brandis inquiry
Voting for inquiry
- ALP
- Greens
- Rod Culleton (One Nation)
- Nick Xenophon x 3
- Jacqui Lambie
- Derryn Hinch
Against
- LNP
- Hanson x 3
-
David Leyonhjelm.
Updated
Brandis inquiry to examine agreement between commonwealth and the WA government
This is the full terms of the George Brandis inquiry successfully moved by senators Watt and McKim.
To move:
That the following matter be referred to the legal and constitutional affairs references committee for inquiry and report by 21 March 2017:
(1) The nature and scope of any agreement reached by the commonwealth and Western Australian governments in relation to the distribution of proceeds of the liquidation of, and litigation concerning, the Bell Group of companies (the proceeds), with particular reference to:
(a) the priority order for distribution of the proceeds;
(b) the commonwealth’s position in relation to the distribution of, and litigation concerning, the proceeds;
(c) any connection between the above and the settlement of other disputes between the commonwealth and Western Australian governments, including regarding the distribution of GST revenue between the states;
(d) any direction or instruction given by the attorney general to the solicitor general, either directly or through his office or department, in relation to the conduct of litigation concerning the proceeds;
(e) any connection between the above and the issuing of the legal services amendment (solicitor general opinions) direction; and
(f) any other related matter.
(2) That the Senate directs the attorney general (Senator Brandis) and the minister for finance (Senator Cormann) to appear before the committee to answer questions
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Nick Xenophon reaches a deal on water IN WRITING
The full statement from Xenophon:
In the past few days I have been involved in extensive discussions with prime minister Malcolm Turnbull and South Australian premier Jay Weatherill, in respect to the implementation of the Murray-Darling Basin plan and the adherence to the 2013 Intergovernmental Agreement between the Basin States and the Commonwealth.
I have done so in close consultation with my colleagues Senators Griff and Kakoschke-Moore and particularly the member for Mayo, Rebekha Sharkie MP. I also note that there have been extensive discussions between the prime minister and Premier Weatherill.
Today I have been copied in to a letter from the prime minister to the premier and other basin state members.
In light of that letter, and as a result of discussions with Premier Weatherill and with the prime minister today, I consider there is now a much better process in place to ensure implementation of the plan.
Elevating the implementation of the plan to first minister’s Level at Coag twice a year and ensuring, for the first time, a separate and comprehensive cross-portfolio Senate estimates process twice a year, are two significant accountability measures.
Obviously, given the nature of the plan, its longitudinal scope, the funds and projects involved, there is a need for ongoing vigilance and commitment to its implementation.
Together with my Senate colleagues and particularly Rebekha Sharkie MP, I am committed to working constructively with the prime minister and Premier Weatherill and all basin states to ensure the plan is successfully and fairly implemented.
Updated
Senate votes for inquiry into George Brandis and Bell litigation
The motion moved by Labor and the Greens won 36-29. Which means there must be a few people missing...
Labor and the Greens move Brandis inquiry
Labor’s Murray Watt has moved the motion to send the Brandis matter to a senate legal and constitutional affairs references committee for investigation. The senate is voting now.
Marriage equality senate committee in the wind
Labor, the Greens, the Nick Xenophon Team and senator Derryn Hinch announced on Tuesday they will combine to refer the government’s exposure draft for changes to the Marriage Act to legalise same-sex marriage to a Senate select committee.
The draft was released by attorney general George Brandis before the plebiscite bill was voted down and the government has not introduced it to the lower house.
It’s time for us to have a look together as a parliament about what the community is prepared to accept and what we as parliamentarians prepared to look at to find a way forward,” Labor senator Louise Pratt explained.
Greens leader Richard Di Natale, Hinch and NXT’s Skye Kakoschke-Moore all stressed the committee process was a way to keep the issue of marriage equality on the agenda.
Labor and the Greens have both expressed concerns with the exposure draft, particularly about exemptions for civil celebrants and religious organisations (rather than just ministers of religion) to refuse gay weddings.
Asked whether the inquiry might expose the differences between what the Coalition and others will accept rather than heal the rift, Pratt said she would not prejudge the outcome of the inquiry but hoped it would “take the heat out of the issue” to find an acceptable bill.
Labor’s equality spokeswoman Terri Butler stressed the committee would have four government and four non-government members, and was therefore “built for consensus”.
Updated
Labor’s Tony Burke and Penny Wong have held a press conference on the Murray Darling Basin argument between Nick Xenophon and Barnaby Joyce.
At issue is the extra 450GL promised to South Australia under Labor if it has no detrimental effects upstream. Joyce has suggested in a letter to the SA government that the 450GL extra is not possible under the terms of the Murray Darling Basin plan. Joyce essentially confirmed that in parliament again today.
Xenophon has threatened to not deal on other bills until the water is sorted.
Labor is saying the way to implement the extra water is contained in the plan.
The plan tells the government exactly how to do it, says Tony Burke who helped draft the MDB plan as Labor water minister.
Penny Wong warns Nick Xenophon, make sure your actions matches your words.
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Jim Chalmers to Malcolm Turnbull: I refer to the PM’s previous answers and to a new report that he divested his interests in a vulture fund which profited from foreclosing [on] Hurricane Katrina victims. Why has the PM now suddenly decided to avoid investing in funds that exploit vulnerable people and will the PM finally sell his holdings in managed funds which invest in 7-Eleven, a company which is notorious for exploiting workers?
This relates to a Daily Telegraph story by Sharri Markson.
Prime minister Malcolm Turnbull has withdrawn more than $1m from a US hedge fund that exploits hardship by swooping on family homes and businesses when they hit troubled times.
The Daily Telegraph can reveal Mr Turnbull has invested in seven high-return funds, which combined have a minimum buy-in of $20m, some of which back distressed assets and bankrupt businesses.
Others engage in short-selling, where investors profit from the share price of a business falling.
Mr Turnbull, who is worth an estimated $183m, does not directly control his investments. His portfolio is handled by investment adviser, Linden Global Strategies founder Josephine Linden.
Turnbull says he has an investment adviser who decides which managed funds he puts money into.
That’s for obvious reasons, so it is accountable, it’s transparent but it also involves any personal involvement that can create conflicts of the kind that honourable members and the public would be concerned about. As far as 7-Eleven is concerned, it is a part of the Japanese index, and so any fund that has an investment in the Japanese index, as most big managed funds do, will have therefore a derived and very small investment.
He warns the opposition that Australian Super invests in the 7-Eleven holding company and
Cbus, the construction and building superannuation fund, backed by the CFMEU, indeed Cesar Melham was a director of it until 2013, now, according to Cbus’s total private equity holdings as at 30 June last year, Cbus held investments in a number of distressed opportunity funds – Segalla distressed opportunity funds 3 and 2 and those funds are obviously ones which invest in distressed assets. The reality is that all of these big managed funds have a variety of assets and the important thing is that they are accountable.
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Backbench #QT Tony Abbott fills out xmas cards & Kevin Andrews reads " A history of Italian Cycling" @gabriellechan pic.twitter.com/P4haekLppA
— Mikearoo (@mpbowers) November 29, 2016
Plibersek to O’Dwyer: Has the minister or her office received any written correspondence from the attorney general about the WA kickback scandal? And will the minister now undertake to the House to table all documents related to the scandal?
Kelly O’Dwyer says she is responsible for the Australian Tax Office and she has sought advice on the Bell litigation.
[The ATO] have given very clear advice that they needed to ensure that they intervened in the high court proceedings and I supported them fully in that action. Now, when it comes to correspondence I have received from other members of parliament, I’m very happy to check my records and report back to the House.
Updated
Malcolm Turnbull expresses full confidence in George Brandis
Shorten to Turnbull: At exactly this time last year, the PM stood at the dispatch box and expressed full confidence in ministers Briggs, Brough and the member for Fadden. One year on, in the last week of this parliament for this year, will the PM express the same full confidence in the attorney general?
Turnbull:
Of course I do.
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Mark Dreyfus to Malcolm Turnbull: The Bell Group case began in the high court in November 2015. A barrister appeared for the commonwealth in the high court on 8th February in the Bell Group case. How is it possible that the attorney general was not aware of this litigation until March? (which Brandis said in the Senate statement).
Turnbull says the Bell litigation has been going for 20 years, the commonwealth was represented and the tax office was represented.
(Therefore nothing to see here.)
Turnbull:
The reality is that the interests of the commonwealth were always protected. The interests of the ATO were always protected but it has to be said this endless litigation is continuing and the only beneficiaries are the members of the legal profession.
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Labor’s Mark Dreyfus to Malcolm Turnbull: Will the PM on behalf of the commonwealth waive legal privilege in communications with the attorney general about the WA kickbacks scandal so the truth can be revealed?
Turnbull, who is firing up more often these days:
The only kickback scandals that is being investigated today is the one relating to Cesar Melham and the Fair Work Commission. That’s what is being investigated today and it is that type, that type of corruption, that the opposition seeks to protect by its trenchant resistance to the reforms represented by the registered organisations bill, happily passed now by the parliament, and their continued opposition to the restoration of the Australian Building and Construction Commission.
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Shorten to Turnbull: in question time the PM was asked whether the attorney general had given the solicitor general a verbal instruction to run a particular argument in the high court. A question that the PM and the attorney general repeatedly refused to answer. So I ask again: did the attorney give this instruction, yes or no?
Turnbull says George Brandis dealt with the matter in his statement on Monday.
Updated
George Brandis: two people can have a different understanding from same meeting
Labor is asking the attorney general, George Brandis, if there was a deal between the federal government and the Western Australian government to let the state leapfrog the ATO in the list of Bell Group creditors.
No there was not – not in my opinion and not to my knowledge.
Brandis re-explains that the letters between the then federal treasurer, Joe Hockey, and the WA treasurer, Mike Nahan, don’t evidence a deal, in his opinion.
The Labor senator Glenn Sterle asks whether Nahan misled the WA parliament by saying there was a deal.
Brandis replies that two people can come away from the same meeting with a different understanding. He said he believes Nahan is honest and told the parliament that there was a deal in good faith.
I do not have any knowledge of those discussions and the only evidence I have seen does not support that conclusion [that there was a deal].
Updated
Labor’s Kate Ellis to Barnaby Joyce: Can the deputy PM assure the House that there are no documents which confirm that the government considered cutting funding to the Murray-Darling Basin plan?
Joyce says any changes would need legislation so it would be brought into parliament.
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Tony Burke asks Barnaby Joyce: As a result of water entitlement prices doubling in some major catchments of the Murray-Darling Basin, has the deputy PM been trying to secure additional funds to secure 450 gigalitres can be delivered or has the deputy PM been trying to cut government funding to the Murray-Darling Basin?
Joyce said there will a review in 2019, which Burke would know full well as he wrote the act.
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The Greens MP Adam Bandt to the energy and environment minister, Josh Frydenberg: In a Senate committee report tabled yesterday, AGL, which runs coal-fired generators like Loy Yang in Victoria and Bayswater in NSW, called for a clear national plan for the orderly retirement of coal-fired generators. For the first time ever, the companies running coal-fired power stations are joining with affected communities, unions and environment groups in calling for a government-led orderly and just transition to a clean economy. Minister, will you do what the Senate committee report recommended and take a plan to the December meeting of the Coag Energy Council, or for this government is plan still just another four-letter word?
Frydenberg says there is a transition, with eight out of the 12 most emission intensive power stations close. It will be nine when Hazelwood closes next year.
InAustralia, 60% of our power is being generated by coal and we have a transition plan which involves putting energy security at number one ... We will not sacrifice blue-collar jobs in the regions in order to win green votes in the city, which is not just the position of the Greens but unfortunately has been now joined by the Labor party who are in partnership with the Greens – a bit like they were during Julia Gillard and Bob Brown’s time.
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Labor to Joyce: Last week in question time, the deputy PM said the current funding for the promised 450 gigalitres was insufficient, saying, and I quote: “You have not got a hope in Hades of delivering 450 gigs. Not a hope.” One week later, is that still the deputy PM’s position?
Joyce basically confirms this is still the case – not in so many words. He says the problems were caused by the former Labor water minister Tony Burke, who asked the question.
Updated
Joel Fitzgibbon to Barnaby Joyce: Was the president of the National Farmers Federation accurate this morning when she said, “We were absolutely blindsided by an item in the budget that came in, that we weren’t consulted about, that said that they were going to put the backpacker tax up to 32% from 0%”?
Barnaby Joyce again suggests the backpacker tax was a result of Labor’s actions.
This is not correct.
I will keep fact checking this until he stops saying it.
Joe Hockey’s 2015 budget speech signalled the change in that budget. Hockey said:
And anyone on a working holiday in Australia will have to pay tax from their first dollar earned, rather than enjoying a tax-free threshold of nearly $20,000. This will save the budget $540m.
Joyce says:
The dilemma that we were placed in, was we made the promise that we would resolve this issue by the time the rate went back to 32.5%, which was 1st January next year.
IT WAS A PROBLEM CREATED BY THE COALITION GOVERNMENT. IT WAS THEIR DEADLINE. IT WAS THEIR RATE AFTER THEY CHANGED THE RULES.
*argghhh, live blogger runs screaming from the office*
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Shorten to Turnbull: An hour ago the premier of NSW confirmed it is the position of his [government that] negative gearing reform should be considered. Given the premier of the state of the heart of Australia’s housing affordability crisis has put negative gearing on the table, why does the PM continue to rule it out and is getting rich parents still his only policy on housing affordability?
Turnbull suggests Shorten might misrepresent Baird.
Shorten reads the transcript.
I would just like to table the transcript. It was a question from the Financial Review: “Do you and your government have negative gearing, is it a problem?” I think I have an answer to this. ... “My answer is yes, it should be considered.” Here in black and white.
Turnbull starts an attack on Shorten regarding his allies Cesar Melhem and new senator Kimberley Kitching.
It’s so touching to see the way he wants to be the ferocious class warrior. Oh, yes, Bill Shorten, defender of the poor and ...
(various points of order)
Did he ever call up Cesar and say, “Cesar, that was disgraceful.” No, absolutely not.
This was the Cesar Melhem story from the Oz this morning:
The Fair Work Commission has begun an investigation into Cesar Melhem, a key ally of Labor leader Bill Shorten, over Royal Commission into Trade Union Governance and Corruption findings that he orchestrated deals where employers paid employees’ dues.
News of the investigation has broken just as the Turnbull government scrambles to secure the last few votes to pass laws reinstating the construction industry watchdog, the Australian Building and Construction Commission.
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Question time in 3, 2, 1 ...
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Apropos my earlier post, the New South Wales premier, Mike Baird, was asked whether he agreed with his planning minister, Rob Stokes, who suggested that supply issues alone could not solve Sydney’s housing affordability issues. He was also asked what he thought of the pushback from the federal government against the suggestion that tax deductibility (negative gearing) could be part of the problem.
It was a long and winding answer but Baird says Stokes is the most qualified planning minister. (He is a lawyer and academic specialising in environment and planning.)
Baird says:
Why doesn’t everyone come back a minute and say we have a credentialed planning minister making a credible contribution to one of the most complex challenges that we have. Why don’t we take a back seat and say, in terms of what is being presented, is that something we should consider further? That is really my position on it.
He says housing approvals have gone from 25,000 to over 75,000 – a record (supply is not the only problem).
Baird says he knows there will be political push back (from his own side) but he would rather they focus on the issue.
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And congrats to Cathy Wilcox, cartoonist of the year for Behind the Lines 2016.
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Congrats Annika Smethurst and Primrose Riordan. Love your work.
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Lunchtime politics
- The Coalition has appointed justice Susan Kiefel as the first female chief justice of the high court and James Edelman to replace her on the high court bench.
In a delicious irony, Brandis' appointment to the High Court, James Edelman, worked on the Bell litigation #auspol
— Andrew Probyn (@andrewprobyn) November 29, 2016
- The Greens/Labor inquiry into George Brandis’ role in the Bell matter inched closer with the One Nation senator Rod Culleton splitting with his party. One Nation will vote against the Brandis inquiry but Culleton will vote for it.
- The lower house is debating the new 15% backpacker tax bills. The Senate is debating the ABCC bills.
Updated
Rod Culleton splits from One Nation on Brandis inquiry
It’s become clear that Labor and the Greens are very close to having the numbers they need to set up a Senate inquiry into George Brandis and the Bell litigation matter.
A spokesman for Pauline Hanson said One Nation is against the inquiry, but a spokeswoman for Rodney Culleton has confirmed he will vote for the inquiry.
Culleton is no fan of Brandis, who he believes breathed new life into an unviable challenge against his eligibility to sit in the Senate.
That’s not quite right as Brandis had advice from Justin Gleeson that Culleton’s eligibility was questionable - it’s just the form that the original challenge was pleaded in was defective, which is now irrelevant because the Senate referred the case to the court.
In any event, Labor, the Greens, Derryn Hinch and Culleton make 37 votes, leaving them just one short to set up an inquiry the Greens say could take weeks with appearances from Brandis, Mathias Cormann, a whole host of other ministers and even ambassador to the US Joe Hockey.
Arggghhhh.
Liberal MPs say it was the administrative appeals tribunal (AAT) that changed the tax. There were decisions by the AAT relating to residency but this policy stemmed from a Coalition government decision in the 2015 budget.
If you don’t believe Hockey’s budget speech, here is more evidence of the backpacker tax origins from the first few pars of a research paper from the parliamentary library.
Changed rules for working holiday makers
Les Nielson
In the 2015–16 budget the government proposes to change the tax status of temporary working holiday makers from that of resident, to that of non-resident, from 1 July 2016.[1]
Updated
Labor agriculture shadow Joel Fitzgibbon reminds the house of treasurer Joe Hockey’s speech in the 2015 budget relating to the backpacker tax because Barnaby Joyce and others have claimed it was not the Coalition’s idea.
Joe Hockey’s budget speech in May 2015 when the change was announced:
And anyone on a working holiday in Australia will have to pay tax from their first dollar earned, rather than enjoying a tax‑free threshold of nearly $20,000. This will save the budget $540m.
Fitzgibbon said he rang the National Farmers Federation on 2015 budget night to ask if they were concerned.
‘No’ was response … no problem there … Initially we didn’t criticise the backpacker tax, we assumed they had been consulted and agreed with the proposition.
Then like the government when things got hot, [the NFF] had came up with 19%, he says.
He says the Labor party has dragged the Coalition to a lower rate.
Updated
The Greens held their partyroom meeting this morning.
Topics of discussion:
- Attorney-General George Brandis
- The Australian Building and Construction Commission (ABCC) bill
- Revelations that oil and gas companies in Western Australia may have been incorrectly claiming billions of dollars in deductions
- The planned beefing-up of security measures at Parliament House
George Brandis:
They say Brandis has still not addressed the fundamental accusation levelled at him: that he instructed Justice Gleeson not to run a particular argument in the High Court.
They have already tabled a motion, co-sponsored with Labor, to establish an inquiry to get to the bottom of the Brandis affair.
If the inquiry is established, they will be moving for invitations to be sent to Joe Hockey, Mike Nahan, and Michael Mischin, to appear - despite preliminary advice that the senate will not have the power to compel them to appear.
The motion that’s before the senate would compel the attendance of George Brandis and Mathias Cormann.
They will also be inviting members of the House of Representatives to appear: Kelly O’Dwyer and Christian Porter. They will not be compelled to appear.
On the ABCC:
They say they’re concerned about the deal the Turnbull government cut with David Leyonjhelm with respect to the ABC, which forces the ABC and SBS to hold regular meetings in regional Australia.
They think legislation will be needed to amend the ABC Act to put Leyonjhelm’s deal into practice. They won’t be supporting any legislation that amends the ABC Act. Today they’ll be calling on Labor and every other crossbencher to commit to opposing it.
On the ABCC generally, the senate will be debating amendments to the bill from 12.30 today for a couple of hours, and from about 6.30pm to midnight.
The Greens will be moving two sets of amendments: a requirement for local steel to be used on projects covered by the building code, and a requirement for employers to first advertise jobs to Australians before trying to hire a foreign worker.
On oil and gas companies:
The Greens will be moving for a senate inquiry into the existing legislation to see what needs to be tidied up.
They want to know if the legislation actually needs to be changed, or if the problem is simply about inadequate monitoring of deductions.
Parliament House security measures:
They say they’re troubled by reports of a planned increase in security measures at Parliament House.
They’ll be giving notice of a motion today, which will be debated tomorrow, opposing the changes.
Chris Bowen is still speaking on backpackers tax.
The Liberal party are meant to understand business. The National party is supposed to understand regional Australia. This issue shows they don’t understand either.
Bowen suggests Labor supports the 10.5% rate, as if the party always supported this rate.
Labor will continue our consistent approach to this.
Labor has not been consistent on this issue.
For more than 12 months, Labor had no position on the backpacker tax - at least no rate. Labor opposed the backpacker tax in theory but would not nominate a rate from May 2015 until well after the July 2 election in 2016 - even though they booked the savings in their election financials. Then, at the 11th hour, they jumped on board the Jacqui Lambie express.
There is so much manure on both sides of this policy debate. *sniff*
The house has begun and the first bill is the backpacker tax.
Chris Bowen, Labor shadow treasurer, says the 15% bill is:
A humiliating backdown from an incompetent treasurer on the run. He announced it at a press conference which was immature and petulant even for him.
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Sometimes you really have to wonder whether the government is concerned with housing affordability.
NSW planning minister Rob Stokes let the negative gearing genie out of the bottle last week when he said housing supply alone could not fix affordability issues. Perhaps we need to look at tax deductions, he said.
Earlier this year the NSW government was ready, willing and able to have a discussion about tax. Disappointingly our leadership on this issue fell victim to the Canberra culture that promotes opposition over consensus.
Surely the focus of the tax system should be directed towards the type of housing we need. Why should you get a tax deduction on the ownership of a multimillion-dollar holiday home that does nothing to improve supply where it’s needed?
Labor went to the federal election with a serious change to negative gearing. While Scott Morrison originally said negative gearing was a little excessive, the Coalition decided to rule it out on the grounds that it would allow them to beat Labor.
Last Saturday – yes Saturday in between two sitting weeks – Morrison released a change in the foreign buyer rules which had previously only allowed foreign buyers to on sell to Australians. I shall let him explain from his press release.
The Turnbull government will implement changes under the foreign investment framework to allow foreign buyers to purchase an off-the-plan dwelling when another foreign buyer has failed to reach settlement.
This change addresses industry concerns, and means property developers won’t be left in the lurch when a foreign buyer pulls out on an off-the-plan purchase.
This action will ensure that markets will not be impacted negatively by an increased amount of off-the-plan sales, particularly from foreign purchasers, not being completed.
It is common sense that an apartment or house that has just been built, or is still under construction and for which the title has never changed hands, is not considered an established dwelling.
On Monday, the ABC China correspondent Bill Birtles reported:
Thousands of Chinese property investors who bought apartments in Australia are still scrambling to save their investments, six months on from a bank clampdown on foreign lending.
Earlier this year, the big four banks cut off lending to offshore investors in a bid to reduce the amount of risk they took on.
They were spooked by some applications with fraudulent proof of income, and wanted to rein in lending to avoid being too reliant on Chinese borrowers.
And
Property developers in Australia have, in recent months, reported Chinese buyers rescinding their contracts as the squeeze takes hold.
What is one property developer’s negative impact is another (first home) buyer’s good deal.
As the Australia Institute’s Richard Denniss notes in the Fin today:
Just as market forces were about to push the price of housing down in Australia, the treasurer stepped in with some new regulation. Phew. Some first home buyers nearly snatched a good deal but luckily the treasurer was there to protect the property developers from the oversupply their building bonanza created.
Just a little background ahead of NSW premier Mike Baird’s address to the press club.
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On the menu in the lower house today
This is what we are expecting when parliament sits at midday.
In the lower house:
- The backpacker tax bill otherwise known as the income tax rates amendment (working holiday maker reform) [no 2]
- The passenger movement charge amendment bill (no 2) which was voted down in the Senate last week because two One Nation senators including Pauline Hanson failed to show.
- Corporations amendment (life insurance remuneration arrangements)
- Broadcasting legislation amendment (media reform)
- Interactive gambling amendment
- Social services legislation (simplifying student payments)
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This is a snippet from a Senate committee in which a Australian Tax Office official confirmed that he was asked about the Bell litigation case by ministerial staff from either the assistant treasurer or the treasurer’s office.
It goes to the contact between the commonwealth and the WA government. But the question as to whether the attorney general or someone else in government tried to rein in the commonwealth in favour of the WA government remains unanswered.
O'Dwyer won't say if she interfered in Bell litigation, but here's what happened at Estimates when I asked ATO if Ministers contacted them. pic.twitter.com/6SOY9MWjoj
— Murray Watt (@MurrayWatt) November 28, 2016
They had representations by the West Australian government as I recall, says the ATO officer.
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Common sense lives here.
Cory Bernardi, Conservative and author of Common Sense Lives Here blog, is still at the United Nations.
Don’t worry. He will be back shortly as his time is drawing to a close, as he wrote last week.
It’s three degrees and the first tiny flakes of snow are falling in Manhattan. Somehow I find it symbolic, given that my secondment to the United Nations and my stay here is drawing to a close. The end of one season and the beginning of another.
While he is away, assistant minister for industry, Craig Laundy is trolling him from the party room, sitting in his favourite chair which is placed under the prime minister.
Party room meditation.
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Immigration minister Peter Dutton is really polishing up his lines of late. He always does a bit of a comic act in question time – usually involving Bill Shorten and the CFMEU.
This morning, Dutton turned his attention to Labor shadow attorney Mark Dreyfus, who Dutton believes is obsessed with George Brandis. After an interview with the ABC, he said Dreyfus was like the Robin Williams character in One Hour Photo – a creepy film in which Williams plays a stalker.
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A statement from the first female chief justice of the high court
The chief justice designate of the high court of Australia, the Hon Justice Susan Kiefel AC, today said she was deeply honoured to have been appointed and would work to uphold the importance of the High Court as an institution in our society and to maintain its independence.
“The high court remains as relevant today to Australians as it did at federation. The issues that come before the high court affect many aspects of the life of the nation.
“It will be a privilege to walk in the footsteps of the eminent jurists who have been appointed chief justices since the court was established in 1903.”
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NSW premier Mike Baird will be speaking at the National Press Club at lunchtime. Katharine Murphy has previewed the speech and provided the context. For federal Liberals, this is important.
Baird’s appearance in Canberra on Tuesday follows a public intervention last week by Rob Stokes, the NSW planning minister, who urged Malcolm Turnbull and Scott Morrison to rethink their opposition to negative gearing reform.
Stokes argued that boosting supply alone would not solve Sydney’s problem with housing affordability. The tax system needed to be geared towards productive investments.
“Earlier this year the NSW government was ready, willing and able to have a discussion about tax,” the planning minister said. “Disappointingly our leadership on this issue fell victim to the Canberra culture that promotes opposition over consensus.”
This will be a major focus of questions today.
Malcolm Turnbull addressed his party room.
And we said we would make the 45th Parliament work, and we said that we would deliver. And we are delivering. Thanks to you. Thanks to your hard work, thanks to working with the crossbenchers in the house and above all, in the Senate.
Turnbull names:
- the superannuation reforms to limit generous tax concessions
- the tax cuts for “middle income Australians” (people earning over $80,000)
- $20bn of savings for the budget
- an expanded trade deal with Singapore
- the registered organisations bill to subject union officials to the same standards as company directors.
When we wrap up the parliament this week for the summer vacation, for the Christmas vacation, all of us will be able to go back to our electorates and say ‘we came to you in the election with an economic plan’. We laid it out. We sought your support and you returned us to government and we are delivering. We are getting the runs on the board. We are defying the critics. We are delivering the 45th Parliament is working, the government is governing, the government is leading, the government is delivering on its promises.
Bill Shorten says the Coalition is about the “survival of the fittest” and “the law of the economic jungle”.
If you fall behind, you get left behind. We are different. We’ve always been different and we remain strong and proud in our difference to the Liberals. We know that it is our job in this parliament to make economic change work for everybody, to make the economy work in the interests of working class and middle class people.
Shorten reminds everyone of Turnbull’s cabinet reshuffle last year when former minister Jamie Briggs and Mal Brough were dumped just before Christmas.
I don’t think that Malcolm Turnbull has the guts to sack the most accident-prone and incompetent minister in an accident prone and incompetent government whilst parliament sits. But as soon as the Christmas turkey goes in the oven, George Brandis will be cooked. And again, we saw it at this time last year – do you have confidence in Mal Brough and Jamie Briggs? Absolutely. Between Christmas and new year, when no one is watching, out they go with the rest of the Christmas rubbish.
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Bill Shorten is addressing caucus prior to Labor’s party room meeting.
We finish the year as amore determined, more united and bigger Caucus than we started the year. And our contrast with our rivals, I don’t believe, could be any more stark. Over the weekend, we saw a watershed moment where we saw our old friend Tony Abbott make an hour-long job interview on PVO and Kelly, as you do!
He wants to be the minister for defence, but I suspect he wants to go on the attack in the government. And we’ve seen the sorry saga of Satin George continue to wind its way through parliament. Such a long statement. So many words, desperately trying to say as little as possible. But in the end, he did what the Liberals have been doing for the best part of 1,400 days – he blamed Joe Hockey.
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Andrew Probyn of the West Australian asks under what circumstances Brandis will lift his legal waiver on his advice to former solicitor general Justin Gleeson regarding the Bell litigation.
Brandis will not go into it, having made his statement to the Senate (which did not touch on this).
The PM is asked if he is assured that the attorney general did not tell the solicitor general NOT to convey the argument which would have favoured the commonwealth over the state government in the Bell matter.
Turnbull:
The attorney has addressed all of these matters in a statement in the Senate which was lengthy but nonetheless captivating.
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Malcolm Turnbull appoints Susan Kiefel as chief justice, the first woman in the role
On the retirement of Robert French, Turnbull and the attorney general, George Brandis, appoint the first woman to become Australia’s chief justice.
Turnbull:
Susan Kiefel’s story is one that is an inspiration. She left school at 15. She began her working life as a legal secretary. She studied for her completion of high-school qualifications part-time. She studied law part-time through the barristers admission board. She was admitted to the bar in 1975. She went on after practising at the bar to win a master of laws at the University of Cambridge. She took silk in 1987. The first woman in Queensland to do so. In 1993 she became the first woman to be appointed a judge of the supreme court of Queensland. She has been one of Australia’s most outstanding judicial officers.
Brandis said Justice Kiefel had emerged as the “consensus candidate” after extensive consultations with the legal profession.
James Edelman has been appointed to fill Kiefel’s role on the high court. Turnbull describes him as “one of the most outstanding legal minds of his generation”.
He was born on the 9 January 1974 so he is a different generation to most of the other judges of the high court but he was a professor of law at Oxford at the age of 34. Quite precocious. He became a judge in Western Australia in 2011 when he sat on the supreme court of Western Australia and since 2015 he has been a judge of the federal court of Australia. He has established himself by practising at the Western Australian bar and indeed at the London bar. In 2008 he was professor of the law of obligations at the University of Oxford … George and I are delighted, as is the government, to have been able to recommend his appointment to the governor general. So, these are two critically important, historic appointments – as all high court appointments are – to this court which stands at the very apex of our judicial system.
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Labor is to introduce a private member’s bill on political donation reform. Given that the joint standing committee on electoral matters is in the middle of reviewing the last election, political donations and truth in advertising, the government will probably suggest Labor wait until the report.
But Labor want to make the point it is ready with a reform package, which would:
- Reduce the donation disclosure limit from the current level of $13,200 (indexed to inflation) to a fixed $1,000.
- Prohibit the receipt of foreign donations.
- Ban “donation splitting” where donations are spread between different branches of political parties and associated entities – like the Free Enterprise Foundation – to avoid disclosure obligations.
- Ban the receipt of anonymous donations above $50.
- Link public funding to campaign expenditure.
- Introduce new offences and increased penalties for abuses of the political donation disclosure regime.
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Malcolm Turnbull and George Brandis have a press conference at 9.15am.
Hang on to your hats.
Mark Kenny of Fairfax reports that non-elites – ordinary people – may not be allowed to walk over the lawns on top of the parliamentary building.
An imminent tightening of security at Parliament House threatens to deny public access to its signature sloping lawns, as authorities worry about the iconic building’s ongoing vulnerability to a terrorist attack.
The restriction of access to the upper lawns – which has been pushed by security agencies in the past but never eventuated on heritage grounds – could alter the nature of the giant complex, which was designed to allow the people of Australia to walk over the heads of their elected representatives.
While details of the proposed upgrade are being tightly held, Fairfax Media understands a number of changes have already received the support of the major parties in the House of Representatives and will be progressed with senators this week, with a view to works beginning over summer.
The special minister of state, Scott Ryan, has just told Sky that it is a matter for the presiding officers, being the Speaker and president.
Ryan and the Labor frontbencher Matt Thistlethwaite both agreed that the security environment had changed markedly and members of the public, staff and pollies need to be kept safe.
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Penny Wong was also asked on Lateline about Labor’s policy to crackdown on 457 visas which require stronger labour market testing before temporary foreign workers are employed.
Wong said 457 workers have been a part of the Australian labour market for a long time.
The key policy question that I think most Australians want to ensure is that those jobs are available first to Australians who are willing and able to do them.
Emma Alberici: Labor gave 285 foreign workers jobs at McDonald’s in Australia, 74 at Hungry Jack’s and 88 at KFC. Were there no Australians that could do those jobs when Labor was in government?
I’m responding to the direct policy point which is we had an approach which required labour market testing, that is the safeguard.
Alberici: These happened … when you were in government.
I’m not able to tell you what happened in respect of every single one of those workers.
Alberici: Bill Shorten was employment minister at the time.
The reality is there was a safeguard which existed under the Labor government. The government sought to remove that under trade agreements. I and others raised concerns about that because we think it’s legitimate and a fair safeguard. At the time, I recall being criticised, as Labor was, by the government about that fact.
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Penny Wong appeared on Lateline last night – why not, with the Senate sitting until 1am?
She enunciated the line of attack against George Brandis today.
Let’s start with the primary problem. It is this … statements and undertakings given to the Senate today are inconsistent with statements made by the Western Australian treasurer, to the Western Australian parliament. So either George Brandis isn’t telling the truth in this parliament, or Dr Nahan is not telling the truth in the Western Australian parliament. Because both sets of statements in respect of three key facts cannot be true.
And the three key differences are: was there any agreement?
Second, the involvement of Christian Porter.
And thirdly, the involvement of Kelly O’Dwyer.
Completely inconsistent statements made to two parliaments. Who is telling the truth?
I again remind you and all of the fact that Dr Nahan has said, the treasurer of Western Australia has said, very clearly to the Australian parliament they had a deal. “We had a deal.”
That’s inconsistent with what Senator Brandis said today.
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Good morning after the night before,
There is a whole lot of bluff and bluster around this morning and the only way to pick our way through it is to follow the chambers like a good kelpie.
Those chambers don’t sit until midday to allow party-room meetings to occur.
The Senate sat until nearly 1am debating the Australian Building and Construction Commission bill to bring back the Howard industry watchdog. The bill has passed its second reading stage which means it now goes to committee stage, when other senators get to act like journalists and fire off questions at the minister in charge.
The communications minister, Mitch Fifield, told the ABC this morning the government had One Nation support and David Leyonhjelm but discussions were continuing in efforts to win Nick Xenophon’s three votes and Derryn Hinch.
Fifield is asked about the hoary old chestnut, extending the parliamentary sitting past Thursday – being the last sitting day of the year.
Everything is in the hands of the chamber itself … the crossbench has accepted management of Senate is the responsibility of all senators.
The political attention will be heaped on George Brandis today as the Greens and Labor try to get up an inquiry into the Bell Group litigation matter.
The Fin’s Laura Tingle, who broke the original story about the falling out between Justin Gleeson and Brandis, neatly encapsulates the key question left hanging after the attorney general’s statement yesterday.
Did George Brandis prevent, discourage or inhibit attempts to challenge a West Australian bill that would have favoured WA over federal taxpayers to the tune of $300 million?
Paul Karp is beavering away to check the numbers for a Brandis Senate inquiry. We know Greens and Labor will support. Xenophon is a no. One Nation is a no as of yesterday. Hinch said Brandis had better have a good explanation. Leyonhjelm and Lambie are maybes.
Onwards and upwards. Talk to us on the Twits @gabriellechan and @mpbowers or you can talk to me on Facebook or in the thread.
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