Call for no carbon indemnity

Thursday, 08 March 2007 23:57

“This is the ultimate test for the Parties to prove they’re serious about climate change”, said Jeff Angel, TEC Director. “Back-room promises to protect dirty coal-fired power and industries must be ruled out.  Meddling in the market place undermines the Government’s own climate change policies and the NSW Government led National Emissions Trading Scheme”.

Recently the NSW Government promised to exempt Bluescope Steel’s Port Kembla plant from any future carbon tax for the next 25 years. This will result in 10.7 million tonnes of CO2 going into the atmosphere every year, a staggering 7 percent of NSW’s total greenhouse emissions.

“By protecting polluters, the NSW government is telling dirty industry not to worry about climate change.  It is also damaging the renewable energy industry, which should be taking up the slack as dirty coal-fired power is phased out.”

“Indemnifications and exemptions for polluting industries are in sharp conflict with NSW’s greenhouse reduction targets and an efficient and effective energy market.”

TEC is calling for both Parties to commit to:

•    No indemnifications of any conventional coal-fired power station or other energy intensive projects against future carbon costs

•    No interference with supply contracts between retailers and energy generators

•    Refraining from any other form of indemnification, exemption or interference in the viability of fossil fuel power or energy intensive industries.