ets will never happen

By Online parliamentary correspondent Emma Rodgers

Updated 8 minutes ago

Rudd confirms ETS delay Changes to the proposed emissions trading scheme have not convinced the Coalition or crossbench senators to allow it through the Senate.

Today Prime Minister Kevin Rudd announced several major changes to the Federal Government's scheme including delaying its start untill 2011 and a carbon price of $10 for the first year.

The Government has also raised its emissions reduction target to up to 25 per cent of 2000 levels by 2020, depending the strength of an international agreement.

The Opposition has been calling for the delay of the scheme by at least a year and leader Malcolm Turnbull has described the changes as a "humiliating backdown".

"Only a few months ago Mr Rudd said that any delay in the start of an emissions trading scheme would be reckless and irresponsible both for the economy and the environment," he said.

"This tinkering that he's announced today on a very flawed scheme can be seen really as just a panicked response."

The Government still wants legislation for the scheme to pass this year despite the 12-month delay.

But Mr Turnbull says today's changes have not convinced the Opposition to support it.

He has called for the scheme to be examined by the Productivity Commission and does not want Parliament to consider any legislation until after international climate change talks are held later this year.

"The most important thing is that we ensure we have a scheme that is environmentally effective and economically responsible, and that requires more work," he said.


'Too low'

Greens Senator Christine Milne says the changes make the scheme even worse and has again slammed the reduction targets as being too low.

"It is the very bottom of the global negotiating range because in order to get a global agreement to get down below 440ppm the developed countries have to take higher targets in order to give space for the developing countries to develop," she said.

"The whole point is to drive the transition to a low carbon and net carbon zero economy as quickly as possible."

However the Government last week indicated it was not willing to negotiate with the Greens, with Climate Change Parliamentary Secretary Greg Combet accusing the Greens of "economic lunacy" over its position.

Independent Senator Nick Xenophon also says he will not support the scheme, regardless of the changes.

"If you give a lame duck a hair-cut, it is still a lame duck," he said.

But Australian Industry Group chief executive Heather Ridout has backed the changes.

"We wanted a delay in the start date, we wanted a phasing in of the start and we wanted more support for trade exposed industries through the permit allocation process," she said.
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The upshot of this is that neither the old or new proposed ets will pass the senate. The government had a good excuse for a double dissolution here but have chosen to delay the scheme so it appears they are not looking to have an early election.
Dave R.