PM’s emissions trading move – wedge or winner?

Tuesday, 14 November 2006 21:47

“The PM is a master at appearing to act.  Whether he is continuing to pursue his old policies of delaying action and maximising fossil fuel use will depend on how quick he acts in setting a cap on emissions and an early date for a national emissions trading scheme,” said Jeff Angel, Director of the Centre.

“He also needs to involve environment groups in his new taskforce – after all it is the environment movement that has propelled emissions trading to public acceptance; we understand the mechanics and economic factors very well.  It will also show he is not using distracting and wedge tactics.”

”If the PM is seeking to drive a wedge between leading business and environment groups who have supported emissions trading, then he will fail to convince the community he is genuine.  He is playing catch up but I can assure him the community is so far out in front that it is not going to wait for him to procrastinate and mute the debate on global warming.”

Environment groups have undertaken detailed research into emissions trading over the last two years; have agreed on a set of principles and undertaken detailed economic modelling.  It’s quite clear that a 60% reduction target for 2050 can be achieved without any significant adverse economic impacts and a carbon price through emissions trading is the most efficient tool.