Carbon Tax

Opposition Leader Tony Abbott made a frosty mistake in visiting the Adelaide Ice Service factory today, arguing the business was a victim of the carbon tax. At the same time Climate Change Minister Greg Combet and local Labor MP Mark Butler announced a grant of nearly $90,000 to the company from the carbon price funded Clean Technology Food and Foundries Program to install a 87.5 kilowatt photovoltaic solar system at its ice manufacturing plant in Regency Park.

The visit continues Abbott's attempt to beat up the carbon price as a negative, but it shows just how shallow and loose with the truth his own campaign is, especially regarding climate change policy. The carbon price hasn't brought economic ruin. Indeed, there are strong arguments by Environment Victoria that the compensation package to carbon intense energy providers is overly generous. Victoria's brown coal generators are being subsidised to continue polluting to maintain healthy profits.

New research on energy demand in the National Energy Market (NEM) by Pitt and Sherry's carbon emissions Index (CEDEX) shows demand for power for electricity has been falling since late 2010. Power generation from black coal (mainly in NSW) has been falling since the start of 2009, while there has been a fall in generation from (Victorian) brown coal since July 2012.

Almost certainly the Federal Governments Renewable Energy Target (RET) driving construction of wind farms, and now the Carbon Tax increasing the cost of coal fired power, as well as energy efficiency programs and drop in electricity demand from consumers, has been driving these trends.

Delta Electricity this afternoon announced the closure of the 45 year old Munmorah coal fired power station at least partly due to the introduction of the carbon tax. The power station is located on the shores of Lake Munmorah on the central coast of NSW between Sydney and Newcastle.

Reasons for the closure being cited by Delta Energy include the reduction in energy demand in NSW resulting in an excess in electrictiy supply, the aging nature of the infrastructure and the high cost of maintenance, and that "the carbon tax further erodes its viability."

The mainstream press is prosecuting a farce of a carbon tax “debate”. In the one corner opposing the tax you have climate denialists, middle class welfare recipients complaining about their lack of “compensation” and billionaires such as Twiggy Forest and Gerry Harvery masquerading as “ordinary” Australians. In the other corner are the ALP and the Green’s arguing that the carbon tax is a bold step towards solving climate change and anyone who opposes them is a selfish climate denialist.

However there is another kind of debate possible, a debate between informed environmentalists of good faith committed to finding the right solution to tackling climate change. Two of Indymedia’s regular contributors have written articles for and against the carbon tax. Takver has written Carbon pricing policy: a small start to tackling climate change whilst Flowerpower has written The carbon tax con: why the ALP/Green carbon tax is a climate disaster

Indymedia exists to promote a real debate from a progressive or left wing perspective. So read the articles and contribute to the debate by adding a comment. Even better submit your own article on the issue, but please keep your responses considered and respectful, based upon the climate science.