Manufacturing News

ACCI calls on Labor to allow scrapping of carbon tax

The Australian Chamber of Commerce and Industry (ACCI) has called on the Labor Party to allow the government to repeal the carbon tax.

AAP reports that ACCI’s acting chief economist, Burchell Wilson, told reporters in Canberra that “the government needs to move ahead with its deregulatory agenda and its ambitions to lower taxes.”

Referring to the opposition’s decision to not support the scrapping of the carbon tax unless it is replaced by an Emmissions Trading Scheme, he said, “We need to see the opposition get on board and admit that the carbon tax is orphaned internationally and needs to be repealed.”

Wilson’s comments came in the context of the release of ACCI’s small-business survey for the September quarter.

According to the survey, expectations for the economy’s performance are at its highest level in three years, but actual business conditions remain subdued.

Its small-business conditions index was 42.4 points, which is up from 41.5 points but well below the 50-mark that separates contraction from expansion.

Profit growth remained well below 50 points at 36.2 points, while selling prices fell to a record low of 43.1 points.

According to Dynamic Business, ACCI favours a climate policy to reduce emissions “at lowest cost to the economy and in a way which does not adversely impact on industry competitiveness.”

As the ABC reports, many within the environmental movement do not share this view and want the government to take stronger action on the issue.

On the weekend around 60,000 around Australia took part in The National Day of Climate Action. Rallies were held in capital cities and more than 130 towns and regional centres.

As part of the rallies, many called on the government to keep the carbon tax.

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