June 2014
Billions of dollars in support or zero?> Check the facts
In Mining the age of entitlement: State government assistance to the minerals and fossil fuel sector The Australia Institute has detailed the extent to which Australian states and territories underwrite the profits of private companies in the minerals and fossil fuel sector with public money. The Minerals Council of Australia (MCA) has responded to this
Are Australians buying more cigarettes? > Check the facts
Plain packaging for cigarettes was introduced in Australia in 2012. The Australian newspaper has reported that sales of cigarettes have in fact increased. The ABC program Media Watch has refuted this claim. The program argued that ‘the rise in wholesale cigarette sales figures is almost certainly explained by retailers trying to beat a rise in
How important is coal to the Hunter Valley? > Check the facts
While the Hunter Valley produces and exports large volumes of coal, it is no longer the “bedrock” of the Hunter Valley economy that it once was. The Hunter now has a more diversified, modern economy. Almost 600,000 people live in the Hunter Valley region*, with 343,000 living in the Newcastle and Lake Macquarie urban areas
May 2014
How has having a renewable energy target affected electricity prices? > Check the facts
Electricity prices can be divided into retail and wholesale prices. Retail prices is that paid by consumers and the wholesale electricity price is the price generators receive for electricity produced. The renewable energy target (RET) affects both of these. The RET requires electricity retailers to buy renewable energy certificates (RECs) to ensure they have sourced
Youth unemployment in Australia > Check the facts
The government announced in the budget that people aged under 30 will have to wait up to six months to receive Newstart payments. The Treasurer expects them to have a job despite the fact there has never been 100% employment and youth unemployment is higher than it is for everyone else. The budget papers predict
Equality in retirement? > Check the facts
Following the 2014 federal budget, support provided to older Australians through the age pension will be reduced while superannuation tax concessions will continue to rise. This will further increase the disparity between elderly Australians as well as the cost burden on the federal budget. Prior to the federal budget the cost of superannuation tax concessions
March 2014
Gas industry claims to be a large employer > Check the facts
Claim The gas industry regularly claims that it is a large employer. Facts Because of the industry’s size the Australian Bureau of Statistics (ABS) does not publish separate figures for the gas industry. The latest employment figures for the oil and gas industry (November 2013) show that these two industries combined employed 23,200 people. The
December 2013
Can a government subsidise its way to prosperity? > Check the facts
Who: ‘In the end, no government has ever subsidised its way to prosperity’. Prime Minister, Tony Abbott. The claim: Industry protection through mechanisms such as subsidies, doesn’t foster industry development. The facts: : Most economies, during a strong period of economic development, used direct industry intervention strategies. Britain, provided protection for the East India Company
Are taxes a barrier to prosperity? > Check the facts
Who: ‘One thing is for sure: no country has ever taxed its way to prosperity’. Treasurer Joe Hockey, delivering the Mid-year Economic and Fiscal Outlook. The claim: High taxes are a barrier to increasing national income. The facts: The following graph plots the International Monetary Fund’s measure for GDP per person for various OECD countries
Was the carbon price partly responsible for the closure of the Wilkie Creek coal mine? > Check the facts
Who: “Whilst the carbon tax was not a primary cause of the closure, it represents a substantial burden on an export-driven mine.” A company spokeswoman The claim: That the carbon price is a substantial burden on the coal mine and was partly responsible for the decision to shut the mine. The facts: According to an
Did the Labor party rip $1.2 billion out of education funding? > Check the facts
Who: “Unfortunately for the Leader of the Opposition, he is shattered that we are putting $1.2 billion into school funding that he ripped out of the school funding model before the election.” Minister for Education Christopher Pyne The claim: That Labor took $1.2 billion out of the Gonski education funding reforms. The facts: The previous
November 2013
Is the RET responsible for the decline of Australian manufacturing? > Check the facts
Who: “[The renewable energy target (RET)] has already put up power prices for industry to such an extent that manufacturers are shutting down and moving overseas.” Senator Ron Boswell. The claim: Rising electricity prices due to the RET are an important contributing factor in the decline of manufacturing in Australia. The facts: According to the
Did climate change contribute to the October Blue Mountain bushfires? > Check the facts
Who: “these fires are certainly not a function of climate change, they’re just a function of life in Australia.” Prime Minister Tony Abbott The claim: The Prime Minister is saying that climate change is not a contributing factor to the October bushfires in the Blue Mountains. The facts: Climate change is making Southeast Australia hotter
Would cutting car industry subsidies devastate Melbourne and Adelaide? > Check the facts
Who: “The study by the Allen Consulting group …. argues the economies of Adelaide and Melbourne would be “devastated” by the closure of auto manufacturing.” The claim: That the economies of Adelaide and Melbourne would be devastated by ending taxpayer subsidies to the car industry. The facts: The claim is based on analysis commissioned by
Has government expanded significantly? > Check the facts
Who: The size of the Commonwealth government ‘has expanded significantly’ according to the terms of reference for the National Commission of Audit. The claim: In the preamble to the terms of reference Treasurer Joe Hockey and Finance Minister Mathias Corman said that there had not been a thorough review of the ‘scope, efficiency and functions
October 2013
Should we call asylum seekers ‘illegals’? > Check the facts
Who: Immigration Minister Scott Morrison has instructed staff to publicly refer to asylum seekers as ‘illegal arrivals’. The Claim: The people who arrive on boats seeking asylum are doing so illegally. The Facts: Under the UN Refugee Convention, which Australia has signed, it is not illegal to arrive by boat and seek asylum in Australia. The
Would a 10c cash-for-container scheme cost households more than $300 per year? > Check the facts
Who: “If some politicians get their way a container tax will be introduced…Every family in New South Wales will be slugged more than three hundred dollars every year.” – Full page ad by the Australian Beverages Council, in Sydney Morning Herald, October 15 2013, page 6. The claim: That implementing a cash-for-cans style container deposit
Would a container deposit scheme cost the economy over $1.4 billion? > Check the facts
Who: “The beverage industry, including Coca-Cola and Lion… estimate [a container deposit scheme] would cost the economy between $1.4 billion and $1.76 billion to set up.” Reported in Fairfax media. The claim: Coca-Cola claims that implementing a cash-for-cans style container deposit scheme (CDS) would cost the economy between $1.4 and $1.76 billion. The facts: The
September 2013
Are 2km CSG buffer zones in NSW practical and workable? > Check the facts
Who: “the bottom line is … it needs to be a buffer from major urban population centers not from hamlets, and the gas companies are saying the system in NSW right now is simply not practical or workable”. Federal Resources Minister Ian Macfarlane The claim: The buffer zone in NSW is now not practical or
Is unemployment in the mining industry soaring? > Check the facts
Who: Unemployment in the mining industry is over 10%, causing “considerable pain and disruption within the professional ranks of the minerals sector”. The Australasian Institute of Mining and Metallurgy (AIMM), reported in the Australian Financial Review’s hard copy as ‘Mining jobless rate soars’ (AFR 24/9/2013, p8) The claim: AIMM claims that “many highly skilled minerals
Has red tape cost South Australia 80 years of prosperity? > Check the facts
Who: “We lost 80 years of prosperity for a whole state because of seven years of approvals which were unfinished.” Andrew Robb, South Australia Minister for Trade and Investment, referring to the failure of BHP Billiton’s Olympic Dam expansion project in South Australia. The claim: That approval processes caused the failure of BHP Billiton’s expansion of
Who is right on emissions? > Check the facts
Who: “If Mr Abbott can justify his wild assertion of a 50 per cent reduction in emissions, he needs to tell us what alternative figures he is using, or immediately retract his fanciful claim.” Greens WA spokesperson on Climate Change, Robin Chapple MLC. The claim: The Opposition Leader, Tony Abbott was incorrect in his comments
How does $6 billion equal $16 billion? > Check the facts
Who: “The budget impact of the Coalition’s policies is to improve the budget bottom line by $6 billion and reduce government debt by $16 billion.” Joint media release from Shadow Treasurer Joe Hockey and Shadow Minister for Finance, Deregulation and Debt Reduction, Andrew Robb. The claim: That Coalition policies will reduce the deficit over the
Will the Coalition’s budget cuts push the economy into recession? > Check the facts
Who: “Most of all, I fear an Australian economy which through Mr Abbott’s massive cuts would risk triggering the economy into recession with huge hits on jobs and huge hits on growth,” Prime Minister Kevin Rudd The claim: That the cuts the opposition is proposing could trigger a recession in Australia. The facts: According to
Is Australia unlikely to take in Syrian refugees? > Check the facts
Who: “Almost certainly if people were fleeing the Syrian conflict, they would not be coming to Australia as a country of first asylum. “Any person fleeing Syria landing up in Australia would be in much the same position as the Hazaras and others who are coming by boat.” Opposition Leader, Tony Abbott. The claim: Australia
Do manufacturing jobs really depend on CSG? > Check the facts
Who: “[CSG mining] can secure the more than 15,000 industrial jobs which are dependent on gas supply as a feedstock, and the further of 2.5 million people who are employed by those companies who use natural gas for power. However, it will require putting in place solutions today and not waiting for tomorrow.” James Baulderson; Santos
Have 50,000 asylum seeker arrivals added to traffic congestion in Western Sydney? > Check the facts
Who: “[Asylum seekers are] a hot topic here because our traffic is overcrowded…go sit on the M4, people see 50,000 people come in by boat.” Liberal Candidate for Lindsay, Fiona Scott. The claim: The arrival of asylum seekers is putting pressure on traffic in the electorate of Lindsay. The facts: According to the UNHCR 34,963
Is Australia’s foreign aid really that generous? > Check the facts
Who: “It will be the highest aid budget in Australian history.” Bob Carr. The Claims: The 2013-14 aid budget will be the highest in history. The Facts: In absolute dollar figures the 2013-14 aid budget will be the highest in history. However, this does not take inflation into account. Relative to Australia’s Gross National Income
Has Australia’s emissions intensity fallen by 50% in the last two decades? > Check the facts
Who: “Australia’s emissions intensity has reduced by about 50 per cent over the last two decades” Opposition Leader, Tony Abbott. The claim: That Australia’s emissions intensity has fallen by 50 per cent in two decades. The facts: According to the latest ABS figures Australia’s emissions intensity has fallen by 28 per cent between 1989-90 and
Is the cost of living increasing? > Check the facts
Who: “Today we were with a typical Central Coast family… to talk about the cost of living pressures that they face … for the average family in Australia today costs are going up and up and up.” Opposition Leader, Tony Abbott. The claim: The cost of living in Australia is increasing. The facts: According to
General Enquiries
Emily Bird Office Manager
mail@australiainstitute.org.au
Media Enquiries
David Barnott-Clement Media Advisor
david.barnott-clement@australiainstitute.org.au