Australian government pushes for decision on carbon trade

Thursday, 26 November 2009 23:29

CANBERRA - Australia's government stepped up pressure on opponents to pass its sweeping carbon trade plan on Friday, warning an agreement to boost compensation to big polluters could be withdrawn if a vote isn't taken.

The carbon trade plan is Prime Minister Kevin Rudd's key climate change policy and is at the center of Australia's promise to cut emissions by between 5 and 25 percent.

If the proposed laws on carbon trade are defeated in parliament's upper house Senate for a second time this year, Rudd would have the option of calling a snap election in early 2010.

"There's been all sorts of time-wasting tactics pursued in recent days in the Senate. It's time to get on with it," junior Climate Change Minister Greg Combet told reporters, adding the agreed amendments required a vote on Friday.

The laws are stalled in the Senate, where a growing number of opposition lawmakers want to abandon an agreement with the government to pass the laws. The government needs seven opposition votes to pass the plan.

Many conservative politicians oppose carbon trading because they do not believe human activity is responsible for global warming and have rebelled against the deal with the government.

Rudd wants the carbon scheme, due to start in mid 2011 and covering Australia's 1,000 biggest polluters, passed by parliament ahead of December's global climate talks in Copenhagen.

The United States, the world's biggest per capita emitter of greenhouse gases, is eyeing developments in Australia as its lawmakers make slow progress on a climate bill in the U.S. Senate.

On Tuesday, Australia's opposition reach an agreement with the government to pass the laws after winning major concessions, including more compensation for big emitters, coal mines and electricity generators.

But opposition leader Malcolm Turnbull has since faced an open revolt, with up to half of his party opposed to the carbon trade plan.

Opinion polls show Rudd would easily win an election with an increased majority, and Turnbull on Friday warned his party to support the laws or face a crushing electoral defeat.

"The vast majority of Australians want to see action on climate change," Turnbull told Australian radio.

"If this legislation is knocked back, Kevin Rudd will have no choice but to go to a double dissolution election. This is a fundamental plank in his platform."

(Source: Reuters)