Second Reading Speech
Mr Combet (Minister for Climate Change and Energy Efficiency)I move:
That this bill be now read a second time.
This bill is part of the clean energy legislative package.
It will establish, through the fuel tax system, a 'cent-for-cent' impact on aviation and non-transport compressed natural gas equivalent to the price on the carbon content of the transport fuels they use.
This bill will amend the Excise Tariff Act 1921 and related acts to increase aviation fuel excise by an amount reflecting the price on the carbon emissions of the fuel had aviation fuel emissions been liable emissions under the carbon pricing mechanism.
The amendments will also reduce the excise exemption for non-transport compressed natural gas on a 'cent-for-cent' basis equivalent to the carbon emission price on the fuel had compressed natural gas emissions been liable emissions under the carbon pricing mechanism.
Full details of the Clean Energy (Excise Tariff Legislation Amendment) Bill are contained in the explanatory memorandum. I commend the bill to the House.
Debate adjourned.