Boats and carbon tax to dominate debate

Border protection and the imminent introduction of Labor’s carbon tax are expected to dominate debate when parliament resumes for the final sitting week before the long winter recess.

Labor is using the latest asylum-seeker drownings to try to coerce the coalition into backing its so-called Malaysian solution.

But Opposition Leader Tony Abbott has ruled out doing a deal even though he’s likely to also come under pressure from moderates within his own partyroom to soften his stance.

Mr Abbott is opposed to the government’s plan to send 800 asylum seekers to Malaysia for processing in exchange for Australia accepting 4000 refugees.

Instead he wants a return to the Howard-era policy of processing on Nauru and temporary protection visas.

With both sides refusing to budge, parliament could see an unedifying debate about who is to blame for the deaths of up to 90 Afghan and Pakistani asylum seekers whose boat capsized between Christmas Island and Indonesia on Thursday.

There were 110 survivors, including nine unaccompanied children.

Prime Minister Julia Gillard, back in Australia from the G20 summit in Mexico and a United Nations sustainability conference in Brazil, will also be forced to defend her controversial carbon tax which starts on July 1.

Mr Abbott on Sunday pounced on news governments could be about to bail out Alcoa’s Point Henry smelter near Geelong.

The Liberal leader said it would be the first of many such rescue packages as a consequence of Labor’s pollution price regime.

The government insists the carbon tax has nothing to do with Alcoa’s woes but it’s fighting an uphill battle to convince voters the tax won’t hurt.

The Climate Institute on Sunday released an Ipsos Research poll suggesting 36 per cent of Australians fear their household will be “much worse off” under the carbon tax while 29 per cent think they’ll be “a little worse off”.

To counter such assumptions Treasurer Wayne Swan released a new Treasury analysis suggesting over 98 per cent of families with incomes up to $150,000 will receive carbon tax compensation.

About three-quarters of those will be covered for at least the full average price impact, Mr Swan said in his weekly economic note.

“In fact, just over half of families with incomes up to $150,000 will get a buffer of at least 20 per cent over the expected price impact,” he said.

While much of the focus will be on border protection and the carbon tax, the government will also be wanting to pass important legislation before parliament rises.

On Monday the lower house is scheduled to debate legislation drawn up in response to the Health Services Union (HSU) scandal.

It imposes greater transparency on union officials and speeds up Fair Work Australia (FWA) investigations.

The Senate will continue to churn through bills under a guillotine motion passed by the government last week with the support of the Greens.

Draft laws that will sail through the upper house by Thursday include bills to establish a children’s commissioner and Labor’s $10 billion Clean Energy Finance Corporation.

But it won’t be all work and no play.

The press gallery’s annual Mid-Winter Ball on Wednesday night will see politicians, staffers and journalists come together to drink and make merry – all in the name of charity.

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