NSW:NSW carbon tax figures slammed

AAP General News (Australia)
08-04-2011
NSW:NSW carbon tax figures slammed

SYDNEY, Aug 4 AAP - The NSW Treasury lacks credibility and its damning modelling on
the impact of a carbon tax can't be believed, says federal Labor frontbencher Anthony
Albanese.

The NSW Treasury study predicts 31,000 jobs will be lost while the state's economy
would suffer a $3.7 billion hit, and household power bills will soar by almost $500.

Speaking in Sydney on Thursday, Mr Albanese pointed to the sacking of its head, Michael
Shur, as evidence of the lack of credibility of NSW Treasury.

"The NSW premier just sacked the head, showing he didn't have any confidence in the
NSW Treasury," he told reporters in Sydney.

"We have confidence in the Australian treasury figures."

Federal Treasury modelling shows the carbon price package would create 1.6 million
jobs, Prime Minister Julia Gillard said earlier in the day.

"What I would say to Premier (Barry) O'Farrell is that he should stop trying to find
a way to blame hikes in state charges on the federal government," she told reporters in
Melbourne.

The NSW Opposition and Greens have accused the premier of waging a scare campaign on
the carbon tax.

"Mr O'Farrell's political campaign against the carbon price package could deny this
state the 73,800 new jobs in renewable energy and energy efficiency predicted by the University
of Newcastle," Greens MP John Kaye said in a statement.

"This state could lose its share of exciting new jobs unless the government uses the
carbon price as a springboard for direct public investment in solar thermal power stations,
wind, energy efficiency and the emerging technologies."

State opposition environment and climate change spokesman Luke Foley said the treasury
review had no credibility.

"His modelling today ignores all of the jobs that will be created in renewable energy
under the federal government scheme, so he is only telling at best only half the story,"

he told reporters.

"Mr O'Farrell used to support a price on carbon, now for the basest of political motives
he's lining up with his federal leader (Tony) Abbott in a massive scare campaign.

"It's action unworthy of the leader of Australia's largest state."

But Mr O'Farrell said the review showed the carbon tax would "tear the heart out of
many industries".

He said the federal government's use of average national figures disguised how families
and businesses in NSW would be worse off than elsewhere.

"It's about time the commonwealth government was honest with states like NSW and (said)
their package based on national averages is going to leave more families and more businesses
in NSW worse off than elsewhere in the country," Mr O'Farrell said.

He was backed by NSW Minerals Council CEO Dr Nikki Williams, who said the treasury
review echoed the industry's own modelling.

"The federal government said we were scaremongering when we flagged our concern for
the 3,000 NSW coal mining jobs that are at risk, but the NSW Treasury modelling now shows
that loss could be replicated tenfold across the state's economy," he said.

"It is becoming increasingly clear that the carbon tax will cripple economic growth
and put thousands of jobs at risk, especially in regional NSW."

AAP saj/ra/tr/jnb

KEYWORD: CLIMATE

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