The Labor Government’s carbon tax plan, hatched together with The Greens and Independents will be disastrous for Australia’s trade exposed industries, Nationals’ Senator Ron Boswell said today.
“There is absolutely nothing holding this Government’s carbon price plan together- it’s like thinking you can cook an omelette without any eggs. Yesterday’s announcement merely exposed more holes – no one can tell us the price on carbon, or how much compensation industry, small business and households will receive for increased electricity and fuel prices, and at what level emissions will be capped.
“The Government’s former mantra of ‘everyone else is doing it’ as a justification for Australia to introduce a carbon tax and ETS has quietly disappeared. Its own report cites numerous examples of countries including the US, Japan, India, France and Canada pulling out of commitments to introduce an ETS and carbon abatement policies.
“Now it’s all about Australia leading the charge – or in other words, the canary in the mine shaft while others look on and watch,” Senator Boswell said.
A carbon tax and ETS will send many of our trade exposed industries to their knees. The EU has identified 164 of its industry and agriculture sectors as being trade exposed- ensuring they receive protection from the full effects of their ETS. By comparison only around 35 of our sectors are defined as trade exposed. How is it that the European coal, iron ore, nickel, sugar, wine and dairy sectors will be protected by the EU from an ETS but Australia’s are not?
Under the Government’s own modelling, every business, industry and consumer will end up paying more for electricity and fuel. A carbon tax of $26 will add 6.5 cents per litre to the cost of petrol and around $300 per year in electricity costs – and that’s just for a normal household, let alone the effects it will have on our primary and manufacturing industries.