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January 28, 2011
So the Gillard Government's one off flood levy to help pay for the $5.6 billion anticipated flood damages is relatively modest, temporary and progressive. The flood levy will fall on those who can pay; people earning less than $50,000, pensioners and those who have received a disaster recovery payment will be exempt. It will raise just $1.8 billion.
Gillard will meet the shortfall by deferring $1 billion worth of infrastructure programs and finding $2.8 billion by scrapping, raiding or "re-profiling" a dozen government programs, including those that were supposed to reduce emissions. How ironic. Cutting from climate programs to fix railways needed for Queensland's coal industry. That says it all.
In fairness, some of the programs abandoned were dogs. Few will mourn the loss of cash-for-clunkers, which would have done next to nothing for the environment. This was to pay $2000 to each motorist who traded in a pre-1995 car for a more fuel efficient one.The Green Start home energy assessment program that replaced Labor's Green Loans program will itself be axed and payments of the solar hot water rebate, solar homes and communities rebate and LPG car conversion grants will be capped.
That's half a billion dollars out of solar. Yet subsidies for fossil-fuel industries remained untouched. There is no shift to feed-in tariffs and loan guarantees. What does that do for the Gillard Government's credibility on climate change? So much for the development of the cleantech industry in Australia--nascent or infant industries need support.
The indications are that a carbon price with real bite – somewhere between $50 and $100 a tonne to generate the technologies that are needed in the future---is just not going to happen under a Gillard Government.
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Could the floods be Julia Gillard's Port Arthur massacre? You know, the national tragedy that allows a PM with a reputation for being rather uninspiring break the shackles and show true leadership qualities?
Apparently not.