Manufacturing News

Nationals Senator does not support Rudd’s CPRS

The Nationals’ Senator Ron Boswell has revealed the CPRS legislation will need to be immediately reviewed after the Copenhagen conference.

The multilateral agreement on climate change which Australia is set to sign, imposes an automatic statutory review of CPRS legislation as soon as practicable.

Further to this, Senator Boswell says the scheme does not address principal issues raised by the Coalition.

“Nine specific issues were laid down on 24 July. The first one is that an Australian Emissions Trading Scheme (ETS) should offer no less protection for jobs, small business and industry than an American ETS. The ‘deal’ does not offer any confidence that this concern has been addressed as the contents of the US scheme are unknown.”

The Coalition also feels Emissions Intensive Trade Exposed Industries (EITEs) should be on a level playing field with the US and other advanced economies and should therefore receive full compensation for higher energy costs until the bulk of their competitors faces a similar carbon cost.

Electricity costs is another sore point with the Coalition.

The design scheme must ensure that general increases in electricity prices are no greater than comparable countries.

“There is no guarantee that this will be the case,” Boswell said.

“In fact, quite the opposite. Senator Wong said that the assistance to electricity generators was to secure security of supply and would not reduce the impact on price.

“Proposed transitional electricity assistance only covers major power users (over 300 megawatt hrs p.a.) in manufacturing, not the smaller ones, service providers such as hospitals, or the retailers. Also, it only covers half the expected price increase in 2012-13 and a quarter maximum in 2013-14. This will not be legislated for but rely on political generosity in future hard times budgets.”

Senator Boswell said that the fallout from the CPRS, deal or otherwise, would put many regional industries, jobs and communities at risk by adding a cost to Australian business that would not be faced by our trade competitors.

“Food processors, farmers, small retailers and all the families who depend on them are not being looked after. It is a ‘deal’ by big government for big business with no thought of the little guy.”

Leave a Reply

Send this to a friend