Tax fossil fuel exports or risk losing revenue to other nations, says Zali Steggall
The federal government is hosting the event in search of new solutions to overcome Australia's falling productivity, which risks limiting incomes and the overall quality of life for Australians.
Ms Steggall said climate change was already hurting the economy and weighing on the federal budget, pointing to record-breaking floods in NSW and Queensland earlier this year and the ongoing algal bloom in South Australia, killing marine life in the thousands.
"I have been discussing with a number of ministers the need for climate resilience to be at that roundtable, there is no productivity without resilience," Ms Steggall said.
"Let's be really clear, as soon as climate risk hits, productivity is down to zero. You can't really talk about a strong future Australian economy without the resilience piece underpinning everything."
Ms Steggall said a $10 billion climate resilience fund that could invest in infrastructure to mitigate the impact of climate disasters would help to limit local economies from grinding to a halt when disasters struck.
Her pitch follows a visit to parliament by the United Nations' chief climate diplomat, Simon Stiell, who warned climate disasters were already costing Australian home owners $4 billion a year, but that Australia could reap "colossal" rewards by embracing clean energy.
One of the key measures Ms Steggall proposes is for Australia to get the jump on collecting revenue from an emissions price on exported fossil fuel prices, instead of that being collected by a foreign nation.
She said the revenue from that could help to pay for the proposed resilience fund without burdening taxpayers.
Known as 'carbon border adjustment mechanisms', several nations, including the European Union and the United Kingdom, are moving to establish levies at the border on polluting imports, priced based on the emissions intensity of those products.
But those levies only collect where emissions have not been priced in earlier in the supply chain.
While Australia's 'safeguard mechanism' requires the biggest polluting industries to progressively cut their direct emissions over time, and penalises them for each gram of emissions over a set amount, it does not apply to emissions resulting from products exported for consumption overseas, exposing those goods to possible levies imposed by foreign nations.
Ms Steggall said that rather than emissions price revenue being collected overseas, Australia should introduce its own fossil fuel export levy, set at the same effective emissions price as the safeguard mechanism, so that revenue was not lost.
"The EU's is due to come into effect in 2026, other jurisdictions in 2027, so it's not like this is something that's not happening around the world … we don't have the luxury of time," Ms Steggall said.
In exchange, the Sydney MP proposes Australia should also introduce its own levy at the border to level the playing field for domestic industries, so they are not having to unfairly compete with imported products that do not have to pay an emissions price.
Australian National University economist Emma Aisbett, who helped to develop Ms Steggall's pitch, said the mechanisms could help to drive new clean industries.
"The whole point is Australia has a huge opportunity to grow industries that we have struggled with traditionally, like steel, because we can make clean and green steel," Dr Aisbett said.
"Australia, despite being the world's biggest iron ore exporter, actually imports all of its steel … it's really about enabling an environment for growing those clean industries."
A government-commissioned review investigating the feasibility of a carbon border adjustment mechanism, particularly concerning steel and cement, is due to be handed to the government later this year.
Dr Aisbett said, unlike market-distorting tariffs, a carbon border adjustment was designed to make it fair for those already paying a carbon price domestically, with those importing products into the country.
Federal and state governments have committed billions of dollars collectively to incentivise home owners to take up more energy-efficient products, rooftop solar, and batteries — including federal Labor's election promise to establish a $3 billion subsidy to household batteries.
But Ms Steggall said there were opportunities for the government to change rules that were causing roadblocks for renters, landlords, apartment owners, and strata companies who want to adopt renewable and energy-efficient technologies.
As an example, she said exemptions for stratas in the government's battery subsidy scheme were limiting opportunities to make apartments more efficient.
"We need to look at some of the regulatory roadblocks — it's not just about subsidies, it is sometimes that the regulations don't permit," Ms Steggall said.
"It seems counterproductive. There is still a process of picking winners and losers."
She said the National Construction Code should also be updated so that new builds were made energy efficient and resilient to climate change.
Ms Steggall also suggested tax breaks, such as negative gearing, could be limited where rental properties did not meet minimum energy standards — using an already existing subsidy to drive an outcome desired by the government.
Ms Steggall's proposals will be submitted alongside a raft of ideas from industry, unions, community groups, and other politicians to next month's roundtable.
She hoped the government, with its massive majority in parliament, would consider the opportunity it has to do more than just tinker around the edges.
But Ms Steggall also joined several other voices who have expressed skepticism over whether the government was entering the event with a pre-determined plan already in mind.
"I hope this is not a situation where they have got a policy setting they want to go in and they're reverse-engineering a roundtable to suit their purposes," she said.
"I certainly hope the treasurer and the prime minister look at this term of government with their big majority to genuinely be change makers."
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Perth Now
25 minutes ago
- Perth Now
Australia commits to more food, medical aid for Gaza
Australia has pledged an extra $20 million in humanitarian assistance for women and children in war-torn Gaza after more than 100,000 turned out in protest across the country to spotlight suffering in the besieged enclave. The funding will go to organisations able to deliver desperately needed food, medical supplies and other lifesaving support, the federal government said in a statement on Sunday. The new package of support includes $6 million for the United Nations World Food Programme for the provision and distribution of food supplies and $5 million for UNICEF for nutritional support for children at risk of starvation. The International Committee of the Red Cross will also receive $5 million to help those in Gaza meet essential needs, including access to health care. An additional $2 million for relief support with the UK will be donated through an existing partnership arrangement, while $2 million will go to the Jordan Hashemite Charity Organization to provide medical supplies to support the operation of field hospitals in Gaza. Australia has so far committed $130 million in humanitarian assistance to help civilians in Gaza and Lebanon since October 7, 2023. But the Albanese government has been criticised for not doing enough in addressing what the UN has described as worsening famine conditions in Gaza. About 90,000 people turned the Sydney Harbour Bridge into a sea of Palestinian flags on Sunday while tens of thousands more met at similar protests in Melbourne and Adelaide. Foreign Minister Penny Wong said Australia has "consistently been part of the international call on Israel to allow a full and immediate resumption of aid to Gaza". "The suffering and starvation of civilians in Gaza must end," she said. "Australia will continue to work with the international community to call for an immediate and permanent ceasefire, the release of hostages and a two-state solution - the only path to enduring peace and security for the Israeli and Palestinian peoples." Mr Albanese is standing firm against increasing pressure to recognise a Palestinian state after British Prime Minister Keir Starmer said the United Kingdom would do so unless Israel moved to secure a ceasefire and increase humanitarian aid into Gaza. The UK move comes after France became the first G7 country to say it would recognise Palestine ahead of a UN meeting in September. Mr Albanese said while the world was horrified at Hamas' October 7, 2023, attack on Israel, which resulted in thousands of deaths and some 200 people being taken hostage, the subsequent war had cost too many innocent lives. Gaza's health ministry says 60,000 people have been killed during Israel's subsequent counteroffensive. Israel has restricted food and medical supplies from entering Gaza, where it controls all entry points, to put pressure on Hamas. International pressure is mounting on the nation state to let in more humanitarian aid, as deaths attributed to malnutrition rise. Israel denies there is starvation in the besieged strip despite international human rights groups branding Israel's offensive in Gaza a genocide and attributing deaths to starvation.
ABC News
2 hours ago
- ABC News
Do class actions really deliver justice?
Sam Hawley: On average, there's a class action launched in Australia every week. But do they really help bring justice to groups of Australians exposed to wrongdoing? Today, Anne Connolly on her Four Corners investigation into the class action traps leaving victims short-changed and lawyers richer. I'm Sam Hawley on Gadigal land in Sydney. This is ABC News Daily. Sam Hawley: Anne, in Australia, class actions have become pretty common, haven't they? It's a really important way to address injustices in this country. Anne Connolly: Well, yes, that's what class actions are designed to do. And I mean, when there were some really major catastrophes, such as the Victorian bushfires, the Queensland floods, class actions were taken to get some money back for those people. News report: Property owners around Horsham in Victoria have banded together to bring the first class action arising from the Black Saturday bushfires. Anne Connolly: Same with the pelvic mesh issue against Johnson & Johnson. News report: The federal court found Johnson & Johnson had been negligent and driven by commercial interest and ordered them to pay compensation. Anne Connolly: There's many, and they're very varied. Sam Hawley: Yeah, and you found during your Four Corners investigation, this is a billion dollar industry, but it's not always in favour of the individual victims. So to explain this further, why don't we look at a recent case, Anne, a legal fight between more than 8,000 Australian taxi drivers and Uber. Anne Connolly: Well, I mean, I think most people remember when Uber entered the market, obviously the taxi industry was absolutely decimated. They just couldn't compete any longer. One of the taxi owners I spoke to is a man called Stephen Lacaze. He said he had a licence in Queensland, which was at the time valued at about half a million dollars. It went to being virtually worthless once Uber came along. Stephen Lacaze, taxi owner: Oh, it was devastating. People virtually went into shock. Anne Connolly: So when Maurice Blackburn, which is one of the biggest class action firms in Australia, came along and proposed a class action, he was very keen to sign up. Stephen Lacaze, taxi owner: We were friendless. And here comes Maurice Blackburn with their Bradman-like batting averages, and their 'we fight for fair' banner, and we're there with bells on. Sam Hawley: OK, so Stephen was keen to fight this. Maurice Blackburn lawyers take it on, and they get a third party, a litigation funder, to pay the costs. Just explain how that works. Anne Connolly: Yeah, so what happens is Maurice Blackburn doesn't want to go this alone. So what they do is they engage somebody called a litigation funder. And litigation funders, they pay the lawyers' fees, they support them, and if they lose, they pay all of the costs, so there is some risk. But in return for taking that risk, they want a percentage of any payout that they win. So in this case, with Maurice Blackburn, they had a partnership with an offshore firm called Harbour Litigation Funding, which is actually registered in the Cayman Islands. It's a tax haven, and there's quite a few litigation funders in tax havens. Under this deal, they said, we want 30% of the proceeds. And Stephen signed up for that, as did most of the taxi drivers. Stephen said he did that because he thought they were going to get a payout worth billions because that's how much they'd lost. Sam Hawley: So in this case, Maurice Blackburn, the law firm, ends up settling this class action. So just tell me what happens then. Are the taxi drivers elated about this? Anne Connolly: Well, the night before the trial was due to start in March last year, Maurice Blackburn brokered a deal with Uber. That would be that Uber would pay $272 million in compensation. Now, once Harbour took its commission, that came out at $81.5 million. Maurice Blackburn took its legal costs, which came to $39 million. It means that the drivers were left with just over half the payout. Now, we don't know what individual taxi drivers will get. Stephen Lacaze believes he'll get about $20,000 once all of these fees and commissions come out of his payment, which he says is nowhere near what he lost. Sam Hawley: What did Maurice Blackburn have to say about that? Anne Connolly: They said the federal court had approved the settlement as fair and reasonable, and Harbour, the funder, said that the case was long-running and there were significant risks. Sam Hawley: Hmm, OK. So, Anne, that's the case of the taxi drivers against Uber, and we're going to talk about another really concerning case in a moment. But before we do, let's just look at the system more deeply. The worry here is that the whole class action system is set up to make profits for the law firms and the funders, but not deliver the justice to the victims, right? Anne Connolly: Well, there's some people who are concerned about that. I mean, the lawyers and the funders will say, without us, people would get nothing. The problem is that what's happening now is most people think a class action begins with a group of victims, but that's not really the case anymore. Now everything has changed because litigation funders have now entered the Australian market. So what happens is, it's the law firms and the litigation funders getting together and seeing, what are these issues that we could launch a class action on so that they can make money and then they can sign up the group members? So the concern is, are they really seeking justice for people or are they actually just finding a business opportunity so that they can make as much profit as they possibly can? Sam Hawley: Anne, let's now look at another case where the victims are left with, in comparison, petty change. Just tell me about Minnie McDonald. Anne Connolly: So Minnie McDonald is a woman in her 90s. She lives in Alice Springs and she was approached by Shine lawyers to become what's called the lead plaintiff in a class action in the Northern Territory for stolen wages of Indigenous workers who worked on cattle stations and missions for little or no money. Minnie McDonald, lead plaintiff: No shoes, get up in the morning, go to work. Come back afternoon, cold. Anne Connolly: So this case relates to the treatment of people like Minnie who, along with a lot of other... ..thousands of other Aboriginal men, women and children worked for little or no pay between the 1930s and the 1970s. Look, I just think, you know, one of the things I want to say about this is if ever there was a class action needed, perhaps it was in this particular case. I mean, there's questions about why the governments didn't just actually pay people what they deserved instead of being forced to court and forced to pay out compensation. But in any case, what Shine says and what the litigation funder says is we were doing our very best to get right a particular historical injustice. Sam Hawley: So the law firm Shine takes on this class action along with the litigation funder, Litigation Lending Services, and Minnie becomes the lead plaintiff. But the thing is, Anne, we know with legal cases, there's a lot of paperwork and Minnie had to sign a lot of that and she can't read or write. Anne Connolly: That's right, she can't read or write. So Minnie had her granddaughter Elizabeth to help her. However, Elizabeth does say, you know, it was complicated. It was difficult to understand at times. So Minnie did sign one document which said that Shine's costs had increased by $10 million and she signed off on that. I asked her about it and I asked her granddaughter if they remembered it. They didn't. I asked Shine, did they check that Minnie had the capacity to understand the complex legal and financial issues around class actions? They said being unable to read or write is no indication of intelligence and that they had an Indigenous barrister who helped to cross these cultural barriers and explain the process to them. Sam Hawley: So tell me what ended up happening with the case. Anne Connolly: So there were two class actions in WA and the NT and they both settled. So they didn't go to court. In Western Australia, there was a settlement for $180 million. In the Northern Territory, it was $200 million. Which sounds, you know, really positive. But what has to come out of that are the legal costs and the commission for the litigation funder. So they're not going to end up with that much. They'll end up with at least $10,000 and some will end up with more than that. Minnie McDonald, lead plaintiff: So somebody might... get a car and just take me for a picnic somewhere, you know, have a feed. But... I didn't get enough. Anne Connolly: You didn't get enough to buy a car? Minnie McDonald, lead plaintiff: Yeah, yeah. Nothing. Not enough. Anne Connolly: On the other hand, what's happened is Shine Lawyers is going to get about $30 million for its work. And the funder, Litigation Lending Services, they will take a commission of about $57 million. Sam Hawley: And you've had a really good look, haven't you, also, at the amount the law firm Shine was actually charging. Anne Connolly: Well, that's very interesting because Shine was roundly criticised in both WA and Northern Territory courts by the judges there. In one instance, Shine was charging for law clerks, charging them out at $375 an hour, even though many of them were unqualified uni students. They hired at least a dozen barristers that cost almost $3.5 million. One of those barristers charges almost $5,000 an hour. So, you know, the legal costs are the things that's really interesting. Sam Hawley: All right. So, Anne, the law firms and the funds are making a lot of money from these class actions in many cases. They do argue, as you mentioned, that they're actually giving people a chance to have these cases heard. What has Shine told you? Anne Connolly: Well, Shine said we were the only ones who were willing to take this on. We have given Aboriginal workers a chance to tell their stories. They've received compensation and they're being acknowledged for the historical injustices that they've suffered. And they said that these cases require experienced and well-resourced lawyers. And Litigation Lending Services, they said that they're proud of their involvement and that their commission was lower than the standard market rates because they wanted to reflect the social justice nature of these claims. Sam Hawley: And you spoke to the head of the Association of Litigation Funders. So this is a group that represents the firms that financially back these class actions, the funds. Its head is John Walker. So what's he had to say? Anne Connolly: Well, he said, look, you know, this is a market. This is a financial market that they operate in. They're trying to get some justice for people, but at the same time they're trying to make a profit and they don't shy away from that. John Walker, Association of Litigation Funders : We underwrite the project. We'll pay everybody if we lose, but in return, if we win, then we get a share of the recovery. We don't see it as gambling. We see it as investing. It's a market, and I don't step away from that. Anne Connolly: He essentially says, look, what we're doing is we're trying to correct the bad behaviour. Even if these class members are not getting enormous sums, it's sending a message to the big end of town that you can't operate in this way any longer. John Walker, Association of Litigation Funders : I'm absolutely proud of what's happened with class actions in Australia. They're absolutely essential to create accountability in respect of the big companies and governments. Sam Hawley: But, Anne, it does sound like a system that's not really working as it should. That is for the everyday people who need it. Anne Connolly: Well, I think what happens is a lot of people look at a class action sum and they believe that the sum that's been publicised is what people are getting. They don't realise that up to half of it can disappear in fees and commissions. The other point being the only class actions that actually get funded and get run are those that turn a profit. So when you're talking about others that might be very worthy, they won't get up if the bottom line doesn't look good. I think the problem arises when you're talking about people who have really suffered, such as these Aboriginal workers in the stolen wages cases who thought that they were going to get some proper compensation and what they're getting is simply a fraction of what they really deserve. And when they do see litigation funders and lawyers walking away with tens of millions of dollars, it makes it difficult for them to understand and sometimes it can feel like they've been exploited all over again. Sam Hawley: Anne Connolly is an investigative reporter with the ABC. You can see her Four Corners report on ABC TV tonight at 8.30pm or you can catch it on iView. This episode was produced by Sydney Pead. Audio production by Sam Dunn. Our supervising producer is David Coady. I'm Sam Hawley. Thanks for listening.
The Age
2 hours ago
- The Age
100,000 march in Melbourne and Sydney to protest Israel's bombardment of Gaza
As the crowd approached the police line, organiser Mohammad Sharab called on protesters to 'prove to the world that this is not a movement that will clash with police' and told them to stay back or sit down. 'We are sitting here for Palestine … peacefully,' he said. 'We need to calm down, show everybody who we are. We have women, children, vulnerable people. We are responsible people. 'They are holding their guns, their weapons, against people who are protesting peacefully. Shame on Victoria Police, shame.' One woman wearing a keffiyeh approached the police line to say 'keep our children safe' and another protester told the heavily armed officers the police blockade was a 'waste of taxpayer dollars'. Protest marshals formed a line to keep distance between the police and protesters. Demonstrators chanted 'Free Palestine' and 'Not a target'. 'Thank you for blocking the bridge. You did our job for us!' one masked protester shouted at the police. Standing on the bridge a few metres from the police line, Kevin Bracken said he had attended most protests and all had been peaceful. 'It's right over the top, isn't it?' he said. 'It's sending the message, who runs Victoria? They couldn't stop it in NSW, but the politicians here are puppet masters. This is about what's happening in Gaza. This is about starving children.' After the larger protest dispersed about 3pm, a small spin-off group stopped traffic and started burning an Australian flag and spray-painting 'Abolish Australia' on Spencer Street. When asked whether they represented the broader protest movement, one person in a grey hoodie and black mask shook her head and walked away. 'We're just concerned citizens,' said another. 'No group.' They chanted 'Too many coppers, not enough justice' and 'Free Palestine' before police arrived and the crowd of fewer than one dozen people dispersed. Earlier in the day, former Greens candidate for Wills Samantha Ratnam addressed the crowd to roaring applause and clanging pots, a symbol of food shortages in Gaza. She said Labor was feeling pressure amid rising calls for Israeli sanctions and greater scrutiny on contracts for military parts. 'The more they minimise us ... the more and more they're being overwhelmed [by the] community telling them they're on the wrong side of history,' she said. Rally organiser Mohammad Sharab said the protests were about peace and humanity, criticising the media and politicians for calling the protesters 'extremists'. 'We stand for justice ... We are not ashamed of it. For those who call us extremist and antisemitic for standing against genocide, these extreme comments make you the extremist. That's my message to [Premier] Jacinta Allan,' he said. Palestinian activist Basil El Ghattis held up pictures of children aged from six months to 17 years old, suffering severe malnutrition from the aid blockade in Gaza. 'The starvation of Palestinians today is a page out of the colonial playbook,' he said. 'We must hold our government to account.' Earlier, a Victoria Police spokeswoman said the force repeatedly engaged with Melbourne protest organisers to persuade them not to gather on the King Street Bridge, but rally plans had not changed. She said officers would have a visible presence in the city on Sunday, with additional police brought in from outside metropolitan Melbourne. Police confirmed there were no arrests, but they were following up a report that an egg was thrown at a person during the protest Organisers from the Free Palestine Coalition said the police decision to bring in hundreds of additional officers was a waste of resources for a peaceful protest. 'Gaza is suffering from an ongoing forced man-made famine and ongoing bombing of civilians,' the coalition said. 'This is exactly why organisers are holding the protest to King Street Bridge ... to let the good people of the city of Melbourne know that there are atrocities happening in Gaza, and that we as a community have an opportunity to change the status quo, and bring about change.' Loading The Israeli government has denied claims of genocide and starvation in Gaza, claiming the war is an act of self-defence. Premier Jacinta Allan warned protesters there would be consequences for anyone who caused chaos in the CBD. 'There are strong operational arrangements in place for today. Those are in place to support people's safety,' she said at a press conference on Sunday morning before the protest. 'Anyone who breaks the law, anyone who compromises community safety will be dealt with swiftly by Victoria Police.' Opposition Leader Brad Battin said it was vital that rallies had to receive a permit to go-ahead and police were given powers to 'move on' protesters, to avoid circumstances where major roads were closed. '[The state government] hasn't brought the legislation in to ensure we've got registration of protests here in our state … to keep the community moving and keep the community safe,' he said. Last week, Police Chief Commissioner, Mike Bush, ruled out introducing protest permits in Victoria, saying they had not been a game-changer in other states. On Sunday, Battin urged the chief commissioner to reconsider, suggesting a stance against protest permits was the wrong message for Victoria. 'The chief commissioner has been here for a short period of time, not for all 92 of these protests that have happened in the city ... But the reality is, the legislation lies with the government.' The Victorian government last year announced it would criminalise face masks at protests and the use of glue, rope, chains and other devices that cause disruptions, but it is yet to bring the bill to parliament.
