Senator SMITH (Western Australia) (15:21): That was a very refreshing contribution from Senator Urquhart. Thank you, Senator Urquhart, because it is refreshing not to hear Senator Urquhart constantly complain about the issue of GST distribution and how bad it would be for Tasmania, not recognising of course that GST distribution is not just in Western Australia's interest, but it is in the national interest, and could in fact set free a state like Tasmania. It could allow the new Liberal government in Tasmania to prosper. GST distribution reform is a great thing. It is disappointing that Labor senators from Tasmania are slow to appreciate that point. But that is not what I am here to talk about. I feel sorry for Bob Hawke. Once upon a time the Labor Party in this country had a tradition. It was rich in its economic reformist zeal. It took to the challenge of governing this country and it took to the challenge well. I do not mind admitting that, under Bob Hawke and Paul Keating, Labor led economic reform in this country—and on many issues with the bipartisan support of the coalition we were able to drive ourselves to new reform and to new levels of economic prosperity. Of course, that is now lost. Labor no longer has the will to govern. It no longer has the will to drive economic reform. We have heard a lot from Labor over the last 12 months or so and much of it can be categorised as a scare campaign. Let me give you two powerful examples of that: one of them is current to the debate we are having at the moment, but indulge me while I talk about the first one. The first one is the terrible, terrible idea of a Medicare co-payment in our country. The idea that people might have to pay $7—what a terrible idea it is! But what they do not talk to you about is that it was Labor's idea—it was Bob Hawke's idea, back in 1991. You do not hear them talking about that. Let me quote— Senator Lines interjecting— Senator SMITH: No, I am on a path to talk about indexation. Senator Lines, hold your talk! The DEPUTY PRESIDENT: Senator Smith, direct your comments to the chair and, Senator Lines, please cease interjecting. Senator SMITH: Thank you very much, Mr Deputy President. I will direct my comments through the chair. Let me read briefly from the House of Representatives Hansard of 20 August 1991. I am happy to say I was at school at the time. This is what Brian Howe, the Labor Deputy Prime Minister and health minister, in 1991, said about the need for a Medicare co-payment in our country, 'Reforms to ensure that Medicare remains a sustainable, equitable and efficient universal health insurance system are important.' These are the Labor health minister's words in 1991, under the leadership of Labor Prime Minister Bob Hawke, advocating for a Medicare co-payment in our country. That is a fact. That brings us to the second issue—one that we were debating today. Isn't it terrible that, as a result of the belligerence of Labor and others in this Senate in not allowing the government to work towards delivering a budget surplus, the government had to make changes to that budget? Yesterday we had Labor members and senators—and you heard them a few moments ago in this place—bemoaning the idea that a new tax was being introduced by this government. But what did they conceal? They concealed the fact that this tax, this fuel excise, was in fact brought in by the Hawke Labor government. Interestingly, in Senate debates you know you are hitting the mark when your opponents go quiet. Let me share with you what Mr Abbott said in the House of Representatives yesterday when talking about this alleged new tax. What did Mr Abbott say? This statement sums up the position perfectly—not surprisingly, as he is the leader, he is the Prime Minister—and exposes the Labor opposition. Mr Abbott said, 'It is not a new tax, it is an indexation of an old tax, a tax that was first introduced by the Hawke government.'