Carbon tax is here to stay, says Combet

Labor would never use its votes to help an Abbott government repeal the carbon tax, meaning the Coalition would probably have to go to a double dissolution election to abolish it and the tax would operate well into a first term, the Climate Change Minister, Greg Combet, vowed yesterday.

In an interview with the Herald, Mr Combet said Labor planned to hold Tony Abbott to account for his ”rank” and ”deceitful” fear campaign against the tax, as Labor puts in place a survival strategy that banks on a smooth introduction of the tax and the household compensation package to turn around its dire political position.

He also conceded it was ”quite feasible” his new Climate Change Authority would recommend a higher renewable energy target and a tougher overall greenhouse emission reduction target than the minimum 5 per cent cut by 2020 - which could lead to higher carbon prices.

Mr Abbott is continuing his anti-tax campaign, but as July 1 approaches - the date when the carbon tax takes effect - he is emphasising longer term rather than immediate consequences.

”It’s going to be a python squeeze rather than a cobra strike but it is going to hurt from day one and as time goes by it’s just going to get worse and worse,” he said yesterday at a Gold Coast rubbish tip that will pay the tax, again promising its repeal would be his government’s ”first act”.

But Mr Combet said that from July 1 ”people will also start to see how much Tony Abbott has deceived them … his argument is completely fallacious, false, untrue and deceitful … he’s a … ruthless opportunist who has run around and tried to create fear … and he will be held to account for all the absurd and ludicrous statements he has made”.

He added: ”As all of his prophesies do not come to fruition, I think the Australian people will judge him very harshly.”

Mr Combet said Labor would never vote for the carbon tax package repeal, meaning unless the Coalition won control of the Senate it would need to go to a double dissolution election.

”If he wants to go down this path he is likely to have to win two elections and that’s a pretty big call isn’t it,” Mr Combet said, claiming voters would not react angrily to such an obstruction of the elected government because by that time the carbon debate would have calmed down.

Under Labor’s scheme, the independent Climate Change Authority, chaired by the former Reserve Bank governor Bernie Fraser, will recommend a ”cap” for Australian emissions once the carbon tax becomes a floating price in 2015, which could be designed to achieve bigger emission reductions than the target of 5 per cent by 2020 endorsed by both major parties.

”It’s quite feasible the climate change authority will recommend that,” Mr Combet said.

He conceded the separate renewable energy target of 20 per cent renewable generation by 2020 would be met without the new $10 billion clean energy finance corporation. Nevertheless, he said the government had no plans to increase the target, although the Climate Change Authority ”may make recommendations along those lines” when it reviews the scheme as its first task.

Mr Abbott said the carbon tax on the Gold Coast waste centre would exacerbate cost-of-living pressures.

Mr Combet’s parliamentary secretary, Mark Dreyfus, calculated it would cost each Gold Coast household 30¢ a week, or $15.60 a year.

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