THE House of Representatives Standing Committee on Economics will hold its first biannual public hearing of 2025 with the Governor of the Reserve Bank of Australia (RBA), Michele Bullock, and other senior RBA officials on Friday, February 21.

This will be the RBA’s first parliamentary appearance following its much-anticipated February 18 monetary policy decision.

Committee Chair Daniel Mulino MP said the RBA’s Tuesday cash rate call would be closely followed, with many Australian mortgage holders eager for relief.

"We know many Australians with mortgages have been making sacrifices, holding on and hoping for interest rates to ease," Dr Mulino said.

"Whether or not the RBA cuts the cash rate target next Tuesday, the latest inflation data is extremely encouraging. It suggests the end of the road is in sight, and that efforts by both the RBA and the Government to tame inflation without massive job losses are getting the job done."

The latest monthly data shows that the RBA’s preferred measure of underlying or core inflation – annual trimmed mean inflation – dropped to 2.7 percent in December 2024, down from 3.2 percent in November.

Dr Mulino noted that this is the first time trimmed mean inflation has fallen within the RBA’s target band since December 2021.

"The monthly data can be volatile," Dr Mulino said, "but this is still a major milestone – and the quarterly data also shows a sustained downward trend."

He noted that quarterly trimmed mean inflation was at 4 percent in the June 2024 quarter, then dropped to 3.6 percent in the September quarter and 3.2 percent in the December quarter.

Dr Mulino also noted that inflation had been brought down from its December 2022 peak of more than 8 percent (in headline terms) while keeping the unemployment rate "in the very low fours – a historic achievement".

Dr Mulino said the committee looked forward to discussing the RBA Board’s latest monetary policy decision, and the possible trajectory of monetary policy in 2025 under complex and uncertain global conditions.

Dr Mulino said the committee was also interested in the RBA’s Review of Merchant Card Payment Costs and Surcharging, and its progress implementing the Government’s once-in-a-generation reforms to RBA governance arrangements, including the creation of a dedicated Monetary Policy Board.

Public hearing details

Date: Friday, 21 February 2025
Time: 9.30am – 12.30pm
Location: Committee Room 2R1, Parliament House, Canberra

The hearing will be broadcast live at aph.gov.au/live and www.youtube.com/@AUSParliamentLive.

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THE House of Representatives Standing Committee on Economics will hold a public hearing for its ongoing reviews of the Australian Competition and Consumer Commission’s annual reports 2021–2023.

Chair of the Committee, Daniel Mulino MP, said, "The ACCC has a crucial role in promoting competition and fair trading, protecting consumer rights, and ensuring competitive and well-regulated markets. The committee’s regular scrutiny of ACCC annual reports is an important mechanism for holding them accountable for their work, as well as hearing from the regulator on important and emerging issues."

Dr Mulino noted that the Economics Committee released its report into economic dynamism, competition and business formation in March 2024, and that the ACCC was significantly involved throughout that inquiry. Several committee recommendations for the ACCC on merger laws and regulation of financial services have since progressed. Dr Mulino said the committee would be interested in hearing from the ACCC on how these reforms will assist the ACCC in their work.

For example, the ACCC will acquire new powers under merger laws passed in November 2024. Once these new laws come into effect in 2026, all mergers above a certain size will need to be notified to the ACCC, and the ACCC will have increased powers to address ‘serial acquisitions’. Dr Mulino noted that these changes were recommended by the committee in its Better Competition, Better Prices report.

"With an increase in power comes an increase in responsibility," Dr Mulino said. "The committee is interested in hearing from the ACCC how these powers will help them address issues in merger law and continue in their mandate of serving the Australian market and people."

With the high cost of living a concern for so many Australian households, Dr Mulino said the ACCC’s inquiry into supermarket pricing would also be of interest. The ACCC’s last inquiry into competition in the supermarket sector was conducted in 2008, making this a long-awaited undertaking.

Dr Mulino also noted the ACCC’s wide remit, which includes monitoring gas and petrol supply and prices, electricity affordability, cartel conduct and digital platform services.

He said the committee would "continue to scrutinise the ACCC to ensure they remain vigilant in monitoring all industries for behaviour that is harmful to consumers’ interests".

More information about the reviews and upcoming public hearings are available on the committee’s website.

Public hearing details

Date: Friday, 14 February 2025
Time: 9.30am to 12pm
Location: Videoconference

The hearing will be broadcast live at aph.gov.au/live and www.youtube.com/@AUSParliamentLive.

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THE Joint Standing Committee on Treaties has tabled a report recommending the ratification of the Comprehensive Economic Partnership Agreement between Australia and the United Arab Emirates and the Agreement between the United Arab Emirates and Australia on the Promotion and Protection of Investments.

The Comprehensive Economic Partnership Agreement (CEPA) diversifies Australia’s trade network by eliminating tariffs on over 99 percent of Australian goods exports to the United Arab Emirates (UAE). The investment agreement is an accompanying treaty that provides certainty to Australian and UAE investors.

Committee Chair, Lisa Chesters MP, said, "This CEPA is Australia’s first free trade agreement with the Middle East and is set to increase Australian exports by around $678 million per year. In addition to tariff removal, the two treaties provide scope for expanding Australia-UAE investment in sectors such as renewable energy, agribusiness, tourism, health and aged care, and resources.

"CEPA is a modern agreement that includes standalone chapters to promote sustainable agriculture and food systems, and trade and investment economic cooperation with First Nations people – two firsts for Australian free trade agreements.

"Some unions and NGOs have expressed concern about the UAE’s labour laws. However, it is evident the promotion of labour protections was a priority in trade negotiations with the UAE," Ms Chesters said.

"The UAE agreed, for the first time, to a dedicated chapter covering trade and labour that establishes a Dialogue on Labour to advance labour rights, including through stakeholder engagement, and promotes compliance with the International Labour Organisation. This is in addition to chapters that encourage environmental sustainability, women’s economic empowerment, and improved animal welfare standards."

The committee has supported the ratification of both treaties and recommended that binding treaty action be taken.

The report also contains the committee’s consideration of three minor treaty actions:

• 2023 Amendments to Annexes A and B of the Minamata Convention on Mercury;
• 2024 Amendment to Annex I of the International Convention against Doping in Sport;
• Amendment to Appendix III of the Convention on International Trade in Endangered Species of Wild Fauna and Flora.

The report can be found on the Committee website, along with further information on the inquiries. 

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THE Joint Standing Committee on the National Capital and External Territories has tabled its report, Australia’s Antarctic Territory: Report on the Inquiry into the Importance of Antarctica to Australia’s National Interests.

Committee Chair, Alicia Payne MP, said, "This inquiry has highlighted the pivotal role that Antarctica plays in advancing Australia’s scientific, environmental, strategic, and economic priorities. This role is made ever more pressing by the current rate of man-made climate change and the crucial function Antarctica has in regulating our climate systems.

"Science and conservation are the currencies of influence in Antarctica," Ms Payne said. "It is incredibly important that Australia continues to invest in world leading research and support Antarctic science.

The committee has made 13 recommendations relating to Australia’s relationship with the Antarctic Treaty System, supporting conservation and scientific research, and the beneficial position of Hobart as Australia’s Antarctic Gateway.

The report considers the significance of ongoing funding stability for Antarctic research institutions and the need to end the use of terminating measures. The committee has also recommended that the Commonwealth Government prioritise Australia’s icebreaker, the RSV Nuyina, for scientific research, and lease or acquire a second vessel to undertake the core resupply of Australia’s Antarctic stations on an ongoing basis.

The full report of the inquiry can be found on the committee’s inquiry webpage.

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