GOULBURN State MP and Shadow Minister for Climate Change, Pru Goward, has echoed the comments of federal Opposition leader Brendan Nelson that introducing a carbon emission-trading scheme would greatly disadvantage the Australian economy if it was not adopted globally.

Professor Ross Garnaut’s report recommending a permit system for carbon emissions, netting a possible $20 billon over the next few decades, has quickly become a political football, despite Professor Garnaut calling for a bi-partisan approach.

NSW Treasurer Michael Costa labelled Professor Garnaut “Chicken Little” on Monday and criticised his recommendations for not compensating the major polluting industries. Mr Costa wants key industries like electricity and coal to get an exemption on 40 per pent of their emissions.

Ms Goward said that unless a better NSW public transport system was implemented, Australians would be hard hit by the increasing costs of private travel.

“In order for any emissions trading scheme to have positive impact on climate change, there must be a contribution made to public transport and alternative energy polices form the revenue raised,” she said.

Professor Garnaut has recommended the system be introduced by 2010 but the Liberals want this delayed until a multi-national agreement has been reached.

Ms Goward said unless China and India were brought to the party, any emissions saved in Australia would be far out eaten up by their booming economies.

Ms Goward wanted to make clear she was not a climate change sceptic and firmly believed in the science but stressed that Australia could pay dearly for leading the charge on climate change.

“We are a small net producer of emissions and the system could result in incredible economic hardship,” she said.

The Goulburn MP said the scheme would have an affect in the Highlands.

“Some people are talking about it eventually costing $200 a tonne and companies like Berrima’s Blue Circle cement works would be hard hit if they receive no compensation,” she said.

The main criticism of the trading scheme was that if other nations don’t follow suit firms would take their carbon emitting business overseas where they don’t have to pay for their pollution.

The neo-classical economic framework, on which all leading economies are based, does include pollution as a cost of business.

Firms are most successful by minimising costs and if pollution becomes a major cost then there will be little incentive to invest in these industries in Australia.

For the full story see the Southern Highland News, Wednesday, July 9

sport.highlandnews@ruralpress.com