AUSTRALIA'S CARBON TAX LIKELY TO BECOME LAW

09/26/2011

Australia's Senate voted last week that debate on the federal government's carbon tax will not be extended beyond November 21. "This motion will allow at least 20 hours of debate in each of the two weeks," said Senate leader Joe Ludwig in response to criticism of the end date. "The Senate does need to consider the legislation but it doesn't need to do it in an exhaustive way." The treasury modeling of the impact was released last week, indicating a A$23 per ton starting price, as opposed to the original A$20 per ton models. The treasury also estimated that average income will grow 1.1 percent per year to 2050 with the tax, as opposed to 1.2 percent a year without the tax. The treasury predicted that some industries, including mining, will grow by as much as 77 percent, while textiles, clothing, and car manufacturing will face large declines. For the full story, see http://news.smh.com.au/breaking-news-national/carbon-tax-to-become-law-by-nov-21-govt-20110921-1kk5u.html