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Media Release
Australian Minister for the Environment and Heritage
Senator the Hon. Ian Campbell

16 August 2006

Home power prices to soar in Queensland under Labor's carbon tax

A plan for a national emissions trading scheme released by the Labor states and endorsed by Kim Beazley’s Federal Labor Party today will see home electricity prices soar in Queensland.

In a table contained deep within the 228-page emissions trading paper, it is revealed that if Labor has its way and introduces such a tax, residents in Queensland can expect to pay up to $120 more each year.

Even the best-case scenario under this plan will see homeowners in Queensland paying $41 more for their electricity each year.

The scheme will have a particularly devastating effect in Queensland.

Queensland mines produce some 160 million tonnes of coal each year and employ some 18,500 people. Twenty per cent is used to power Australian power stations.

The Labor emissions trading scheme admits that within 20 years there would be a 28% reduction in coal use in Australia at a cost to the Queensland economy of hundreds of millions of dollars.

The emissions trading scheme effectively taxes traditional power sources such as coal-fired power stations and presumes (rightly) that the cost will be immediately passed onto consumers.

The Labor emissions trading plan is designed to reduce Australia’s greenhouse gas emissions by 60% by 2050.

However Kim Beazley and his colleagues don’t seem to realise that Australia only produces 1.46% of the world’s greenhouse gas emissions and acting alone like this simply exports Australian jobs and does almost nothing to confront the environmental problems we face.

That is why the Australian Government has a long-standing policy of only supporting an emissions trading scheme which is comprehensive and international.

The Labor scheme is so bad that less than an hour after it was released, the Premier of Western Australian, Alan Carpenter, said his state would have nothing to do with it.

“I would also want assurances that any trading scheme would not adversely impact the state’s capacity to rely on energy sources such as coal”.

(Alan Carpenter press release, 16/8/06)

If Kim Beazley was a strong leader he would admit he was wrong as well.

Media contact:
Rob Broadfield 02 6277 7640 or 0409 493 902

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