By celsias
Posted on Oct. 14, 2011. Listed in:
Prime Minister Julia Gillard’s proposal for Australia to adopt a carbon tax narrowly passed through Australia's Lower House. The vote was 74 to 72 and there were protesters heckling before they were ejected.
The bill, which has yet to go through the Upper House, will impose a carbon tax on 500 of the country’s biggest polluters starting in July of next year before transitioning into a market-based trading scheme in 2015
.It is expected that the bill will pass the Senate next month.
“Today is a significant day for Australians and the Australians of the future who want to see a better environment,” the Reuters news agency quoted Ms. Gillard as saying before the vote.For Julia Gillard getting to this point has been a hard fought win
The opposition Liberal Party was quick to criticize passage of the scheme, which sets an initial price of $23.15 per ton of carbon while guaranteeing billions in compensation for businesses and consumers. The opposition leader, Tony Abbott, has fought the bill all the way through and says the plan would prove disastrous for Australia’s economy
“We can repeal the tax, we will repeal the tax, we must repeal the tax. This is a pledge in blood. This tax will go,” Mr. Abbott is quoted as saying to Reuters
Tim Jordan, a senior analyst at Deutsche Bank in Sydney said the opposition was being politically driven and isn't actually about impact on business.
“The impact on most businesses is modest,” Mr. Jordan said . “Businesses that are ready for a world where carbon is priced, such as electricity utilities with renewable generators in their portfolio, will do well. Many high-emitting industries will receive free carbon allowances, giving them time to adjust to a carbon price.”
