ANTHONY ALBANESE, PRIME MINISTER: Good morning. This morning, I convened National Cabinet for an important update on Australia's fuel security. This is the fifth time that National Cabinet has met since the conflict in the Middle East began on February 28. We know, as I've said before, while the conflict is a long way from home, we are not immune to its impacts. And the longer the conflict goes on, the more enduring the impact will be, the economic tail. We are very hopeful that the positive signs of a de-escalation and peace in the region will lead to a conclusion. That is in the global economy's interests, and it is therefore in Australia's interest as well. We're able to report pretty positive news: 43 days of petrol, which is five days more than were there on February 28 when the conflict began. Importantly, 38 days of diesel, which is what there was most concern about, people concerned about their capacity to plant crops, et cetera, was a creating a great deal of concern particularly for the agricultural community, that's six days more than was in place on February 28. And 31 days of jet fuel, which is two days more than was available in Australia on February 28th.
In addition, I reported last week when I was in Perth the arrangements with China for the import of jet fuel. China has placed some restrictions on exports, but after a discussion between myself and Premier Li and after, confirmed by Foreign Minister Wong's visit to China, that we were able to get some 660,000 barrels of jet fuel, is confirmed for Australia. All of that is good news for Australia. We know, though, this is volatile and uncertain times, and I want to make it clear that when the conflict ends, that doesn't mean that the economic tail concludes. There will be a period of time before ships are able to go through the Strait of Hormuz. It's also the case that the ships that are stranded there at the moment have to go offload their fuel or their cargoes that can take up to 30 days, and then go back to collect more cargoes, and then go back to their place of destination. So, there's a tail here as well, but it was a positive meeting. And supply is looking secure into July. And I do want to thank the Australian people for agreeing to do what we ask them to do, which is the hoarding of fuel has stopped. People are taking just what they need. And that means that for those sectors who rely particularly upon diesel, it is making a difference.
CHRIS BOWEN, MINISTER FOR CLIMATE CHANGE & ENERGY: Thank you very much, Prime Minister. Well, the world has certainly thrown a lot at Australia's fuel supply over the last two months, but we can report, as we reported to National Cabinet, that our fuel security is good. As the Prime Minister said, 38 days worth of diesel. That's actually the highest diesel stock holding the country has had since the minimum stock obligation came in in 2023, which, in the face of all that pressure, the largest energy crisis in world history, one of our major refineries catching on fire, is an outcome that Australians can take confidence in. In addition, because of the work the Government and industry have done together, we are seeing continuing strong flows into Australia. 48 ships on the way to Australia as we speak. 3.4 billion litres contracted to be delivered over the next four weeks, including 1.8 billion litres worth of diesel. These are good figures. And of course, while, as the PM said, there remains considerable uncertainty around the world and something I discussed with my international colleagues last week, there remains strong concern by the world's energy ministers about the supply chain. Australia is very well placed, and Ministers around the world have looked at what we've done and have indicated that they think our position in many senses is one that Australia can be pleased with. In addition, the work the government has done through Export Finance Australia, as the Prime Minister said, direct conversations and engagement between the Prime Minister and the Premier of China. Also, the EFA work has now seen 800 million litres ordered for Australia. Two of those cargoes have arrived, the others either on their way or leaving quite soon. And on the weekend, I announced another 50 million litres worth of diesel for Western Australia and another 50 million litres worth of jet fuel to support the East Coast market as a buffer, building that buffer as the international uncertainty continues. And we'll keep going with that work with the EFA. So, it was good to be able to update National Cabinet this morning and update the Australian people on Saturday, as we do every week. And the situation remains, in the face of very difficult circumstances, secure and sound for Australia.
JOURNALIST: Prime Minister, on Budget night, the Government signalled they would look at how some of the tax changes impacted tech startups in particular. Are you of the view that whatever carveout or exemption is limited quite tightly just to tech sector? And if so, why do you think they in particular, rather than other types of startups, need some kind of exemption or carveout?
PRIME MINISTER: With respect, that's not what we said on Budget night. On Budget night, we very specifically said that we'd go out there and consult on the details, including the interaction with the rather complex tax system across the board, that we would do that, that we set forward on Budget night the direction in which we took, and I'm happy to go through for the benefit of people what the processes will be. On Thursday, we will be introducing legislation. It will have four core elements, will be in that legislation. So, the core elements of what we're putting forward are firstly, the tax cuts that we're putting in place. The second is the standard deductions that we're putting in place as well. The $1,000 dollars which will particularly benefit those people who just go about their work. They'll get $1,000 automatically without having to put in receipts, etc. And that will be a big benefit, particularly for many low income earners. The third is the Capital Gains Tax, and the fourth is negative gearing. So, they are the core elements that we'll put forward. Now, we will have a second tranche of legislation which will deal with the implementation, of details. That's the normal way that tax policy has been implemented for a long period of time. Treasury are going about consulting not just in tech, but consulting COSBOA, for example, ACCI, the Tech Council. There'll be a policy position paper for consultation produced as well after the first round of consultations. That was all foreshadowed there on Budget night. And then there'll be a second lot of legislation to deal with those elements as well.
JOURNALIST: On that, two parts – will those measures all be tied together in the same bill? And secondly, there was an inquiry into CGT at the start of this year that The Greens got up, but it didn't look specifically at what was announced in the Budget. It didn't look at the inflation model and application of small business, for example. Are you open to an inquiry between introducing this legislation and getting it through the Senate?
PRIME MINISTER: Well, Phil, in the interest of you being more fully transparent, that wasn't a Greens inquiry, because The Greens don't have 38 or 39 senators –
JOURNALIST: You opposed it, the Liberals and The Greens voted for it –
PRIME MINISTER: Correct, correct.
JOURNALIST: As part of deal for The Greens to vote for the Liberal inquiry into productivity.
PRIME MINISTER: It was a Liberal-National Party-Greens inquiry into Capital Gains Tax. That's correct. Not just The Greens, but the Liberal Party and the National Party at that time. We will have our legislation on Thursday. We will be debating it next week, and then it will go to the Senate in June.
JOURNALIST: Sorry, PM, will the measures be tied, though, in the bill?
PRIME MINISTER: It will be a bill that will contain four elements; tax cuts, the standard deduction, Capital Gains Tax and the Fringe Benefits Tax.
JOURNALIST: If I could also ask on farmers, a cohort also impacted a lot by the Middle East crisis, just on the carveout that you've indicated they'd have from the trusts policy, there is a question on if you mean farmers trusts are fully exempt, or if their income strictly derived from primary production is exempt, it's something that is causing a bit of concern –
PRIME MINISTER: Well, the NFF is – I know that you'd be concerned about any concerns being raised by people, but that's why we have a consultation process. The NFF are a part of that.
JOURNALIST: Prime Minister, did you discuss the proposed changes with the Premiers in National Cabinet, how that might impact their stamp duty arrangements, for example? And was there a broader discussion on income tax in National Cabinet?
PRIME MINISTER: No.
JOURNALIST: Prime Minister, looking at those core four elements you speak of, do you think Australians will pay more tax or less tax moving forward?
PRIME MINISTER: I think this is tax reform, and it's tax reform that's been called for for a long period of time. And what we're doing here is putting forward tax reform with clear objectives. The main objective is not to lock out this and future generations of Australians from ever getting a roof over their head. There will be 75,000 additional young people, first home buyers will be able to get into housing as a direct result. Secondly, what we're aiming at doing is consistent with what we've said about housing supply. So, if you change the tax system to incentivise investing in new supply rather than competing between investors and first home buyers for existing housing, then what you do is incentivise more supply. And I note comments from a range of people, including Harry Triguboff and others, that they're seeing already an increase in inquiries going forward along that line. We know that supply is certainly very much the key. And can I say, when it comes to housing as well, housing approvals – one of the things that we did with the productivity roundtable that was held here was we established a housing strike team that was set up after the Economic Reform Roundtable. It was given the target of assessing 26,000 new homes by July of this year. The figures that we've released today show they've smashed that target and paved the way for the development of more than 35,000 new homes across Australia. So, in the last week, I visited down here at Kingston, young people, a young couple with their pooch that have benefited from the five per cent deposits. I visited people in Melbourne who are in homes developed through the Housing Australia Future Fund. I visited people and did press conferences with all these people in Adelaide who have benefited, one group, one couple from the Housing Australia Future Fund. But in addition to that as well, the shared equity scheme have delivered. And in addition to that, I visited, I think it was 27 stories, right in the centre of Perth with the Premier, Roger Cook, in terms of supply through our Homes for Australia Plan. This is our objective. This is what we want to see. Not sit back and say it's all too hard, because it's been kicked down the road for a long period of time. We are doing this in order to make a difference for Australians, because part of what the Budget theme was about was resilience. So, resilience in fuel security. But resilience also comes about through social cohesion, by giving young people the stake in the economy that they deserve.
JOURNALIST: Prime Minister, can I just make sure I've understood this correctly – so, the legislation we will see on Thursday, that won't have any carveouts for the CGT? The changes will just be brought across the board, those will come down the track? And are those likely to also include other non-tech types of low-capital, high-growth businesses such as in the tourism or education sectors?
PRIME MINISTER: We'll have – the core elements will be in the legislation this Thursday –
JOURNALIST: But not –
PRIME MINISTER: And then, and then what we will have is legislation with the implementation and details. I mean, that is the normal process that occurs with tax policy. That is what we will be doing.
JOURNALIST: Isn't it the normal process, PM, for you to just decide what you were doing and announce it in the Budget rather than tacking this on, bolting it on late?
PRIME MINISTER: No, it's not. If you go back and have a look at tax reform and the way that it's been implemented, this is the normal way. That's why we have things called, you might have noticed over the years, as someone who's been here for a while, like me, the Taxation Legislation Amendment Bill Number X, that happens all the time. That is what happens. And we want to make sure – obviously, when you are doing changes to tax policy that begins on Budget night, what you cannot do is go out there and sit down with people and say, okay, from Budget night, this change is definitely going to occur in detail, because there are implications of that. That's called insider knowledge. And because changes are dated from in Capital Gains and from negative gearing from Budget night, that is why you can't have the level of consultation that you want to see people coming forward in a commonsense way. That is how my government operates. We're a consultative government, we're a Cabinet government. We are doing exactly what we said on Budget night we would do.
JOURNALIST: Australian activist Gemma O'Toole was among those detained by Israel who were on the flotilla. This morning or overnight, as she arrived in Australia, she asked for an audience with you to discuss her treatment. Is that something you're open to? And obviously, the government has also expressed its concerns with the Israel's Ambassador directly, but were those concerns about Itamar Ben-Gvir or also the conduct of the security forces?
PRIME MINISTER: Look, I'm not going to respond without any notice for someone I don't know, I don't know their circumstances. But what I would say very clearly is that the government made our position very clear and it went to the behaviour of Ben-Gvir. I think that people have a look at the way that people were treated isn't consistent with how we want Australians – but I go further than that – how we want anyone treated. How we want anyone treated. People are deserving of a level of respect and decency. And that Minister's behaviour and his rhetoric did not were not consistent with what I would expect. Thanks very much.