A key economic policy adviser to the federal government has said the Trans-Pacific Partnership has provisions of “questionable benefit” – including an investor-state dispute settlement (ISDS) clause allowing foreign corporations to sue the Australian government if they think the government has introduced or changed laws that hurt their commercial interests.
The Productivity Commission made the comment in its annual trade and assistance review, released on Monday. The review quantifies the level of assistance governments give to Australian industry and this year criticises regional adjustment programs that have followed the exit of the carmakers, and also the Turnbull government’s big defence procurement spend rolled out in the countdown to the recent federal election.
On the TPP the commission says it is uncertain whether the US will sign the controversial pact before the presidential election in November 2016. While noting that, the commission says the TPP contains provisions of questionable benefit. “These include term of copyright and the investor state dispute settlement elements.”
