PETER VAN ONSELEN: Why Jim Chalmers’ $300 Energy Rebate Is MUCH Worse Than You Think

Treasurer Jim Chalmers has been taking full advantage of his $300 energy rebate, as he should.

The Labor Party says that from July this year “more than 10 million households will receive a full refund of $300”, but some of the country’s richest homeowners, including many politicians, will receive much more than that.

Because the rebate is tied to households, not families, anyone who owns multiple properties, whether vacant or rented with short-term leases, will receive an additional $300 rebate for each and every property they own. , regardless of their financial situation, in addition to what they receive for their habitual residence.

Daily Mail Australia has done the math and more than 4,000 Australians worth an estimated $100 million or more will receive the $300 refund, described by the Albanian government as a “cost of living” measure.

Most of them own multiple properties, which means they will receive multiple refunds. A mega-rich Australian who owns 10 lifestyle properties will receive $3,000, compared to a struggling single-income family who only receives $300.

On Budget night, 7.30 presenter Sarah Ferguson focused on this point during her interview with Chalmers. He responded, “I think these cost of living pressures go up and down the income scale.”

But generosity towards the privileged does not end there. More than two-thirds of politicians own multiple properties, including a second home in Canberra, ensuring they can take advantage of the $300 rebate.

And all these MPs who don’t live in Canberra receive hundreds of dollars a day in benefit payments during their time in the capital to help fund these properties and lifestyles.

That’s in addition to their salaries ranging from $200,000 to more than $600,000 in the case of the Prime Minister.

If the government adopted the cross-proposal that energy rebates be means-tested, none of these politicians would receive the taxpayer subsidy.

Each member of the government’s finance team owns multiple properties, including apartments in Canberra. Albanese, Chalmers and deputy treasurer Stephen Jones all have addresses in Canberra listed on their register of pecuniary interests. Chalmers and Jones receive parliamentary rights to help with the costs associated with their properties.

Canberra-based Finance Minister Katy Gallagher added a “holiday home” in the New South Wales coastal getaway of Tomakin to her property portfolio after winning the 2022 election. Chalmers’ announcement provides an additional $300 energy rebate on top of what you get for your main residence in Canberra.

In addition to each member of the government’s finance team enjoying multiple “cost of living” reimbursements, all members of the government’s leadership team receive a similar blessing.

Deputy Prime Minister Richard Marles has several residential properties listed on his register of pecuniary interests, including a residence in Canberra.

Senate Leader Penny Wong has several properties listed as residential homes, as does Senate Deputy Leader Don Farrell, one of which includes a vineyard.

Tony Burke, director of government affairs in the House of Representatives, owns six properties, including a second home in Canberra, for which he will get a second rebate of $300. But unfortunately for him, it looks like he won’t be able to get the full $1,800 worth of refunds for the six properties because several of them appear to be rented on long-term leases.

People who rent these properties will get the $300 rebate, and it will almost certainly be the only one they receive.

The Prime Minister has a property in Canberra that is still listed as “residential” housing, even though he now lives at The Lodge. He should qualify for the $300 refund. If Albo can remove his complaining tenant from the Dulwich Hill property he plans to sell by July 1, he should also earn another $300 cost-of-living pay for that property.

All politicians and other Australians earning more than $190,000 will already receive a $4,500 income tax cut in July, a benefit the Treasurer has described as the “cornerstone” of his budget.

That’s on top of the $300 “cost of living” rebate, perhaps multiplied by the number of properties they own.

Experts say the way the refund is designed will add to the cycle of high inflation and is a cynical attempt by the Albanian government to briefly stop rising inflation through a one-time impact on the consumer price index. They also say this will not deter the Reserve Bank of Australia from raising interest rates if necessary.

Economics professor Steven Hamilton notes that the refund “leaves behind higher inflation that must be neutralized by higher interest rates.”

The opposition has also weighed in on this point, claiming the move is pure politics, according to shadow finance spokeswoman Jane Hume.

The Albanian government says that granting the refund to everyone is the simplest and easiest way to get assistance to them as quickly as possible.

But one energy supplier told Daily Mail Australia they can offer the rebate to customers no matter how the Government decides to design it, whether it is means-tested or not.

While Opposition Leader Peter Dutton indicated in his budget response speech that the Coalition would not stand in the way of the rebate as announced, Daily Mail Australia understands he would support testing it, or limiting it to a payment of $300 per family , rather than instead of allowing multiple payments to owners of multiple properties, if the government makes such changes.

Welfare groups have also noted that only Australians who have a home to live in receive assistance. Many more people are living in difficult conditions now than in the past due to cost of living pressures and the well-known housing crisis, a fact supported by a Salvation Army survey published today.

And there was no increase in the Newstart subsidy in the Budget, a community cohort that Labor claims to represent, despite the difficulties the cost of living crisis is creating.