American ETS could leave Australia behind

The PM was left angrily defending his ditchedemissions trading scheme last night, but if draft laws make it through the Senate,Australia could find itself trailing even the USA.

carbon_emissions_291009_L_aap_1510383317
Prime Minister Kevin Rudd was left angrily defending his ditched emissions trading scheme last night, but if laws in the US go through, Australia may find its exports subject to carbon tariffs as the US moves towards establishing its own scheme.

Draft US laws to set up an ETS and tackle climate change will be made public on Thursday.

President Barack Obama wants to cut greenhouse gas emissions by 17 per cent by 2020.

Progress towards a US scheme is in contrast to the situation in Australia, where opposition forced the PM to backflip on his pledge to start emissions trading this year.

Mr Rudd, who has previously described climate change as "the great moral challenge of our time", now says laws to set up an ETS will not be considered until 2013.

The prime minister blames the ETS delay on a lack of progress internationally and an obstructionist Senate.

ETS could cover electricity generation, industry and manufacturing.

The US is the biggest historical contributor to greenhouse pollution, and its perceived lack of action on climate change is a major stumbling block to a global climate deal.

It's believed the draft US laws, co-sponsored by Democrat John Kerry, will include an ETS to cover electricity generation and, possibly, industry and manufacturing.

The US scheme may levy so-called carbon tariffs on products imported from countries that don't have a carbon price.

New regulations on greenhouse pollution and a boost to renewable and nuclear energy are expected to be included in the US bills.

A spokesman for Australia's Climate Institute said the US was moving one step closer to an ETS.

"Australia is increasingly falling even further behind in the race to remain competitive in the clean energy economy," he said.

Tony Mohr from the Australian Conservation Foundation said Australia's claims about a lack of progress in other countries were not borne out by the evidence.

"Certainly other countries are acting, and they're leaving Australia behind," he said.

Prime Minister Kevin Rudd stood by the ETS delay on MTR Radio
because "we've got to be mindful of action on the part of the rest
of the world".

He said he was acting on climate change by investing in renewable energy and told Channel 7: "Climate change ain't going away".

Tough time for climate laws in Senate

The US climate laws could be in for a rough ride as they do not appear to have majority support in the Senate. They have passed the lower house.

Meanwhile, laws to amend an Australian scheme to boost renewable energy have been tabled in parliament.

The laws would guarantee support for larger-scale renewable energy projects, such as wind farms, from the Renewable Energy
Target scheme.

The scheme has so far been swamped by demand for funding of small-scale renewable energy measures such as household solar panels.

The government has also announced a short list of eight companies vying to build solar power plants under a $1.5 billion scheme.





Share

3 min read

Published

Updated

Source: AAP


Share this with family and friends


Get SBS News daily and direct to your Inbox

Sign up now for the latest news from Australia and around the world direct to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Download our apps
SBS News
SBS Audio
SBS On Demand

Listen to our podcasts
An overview of the day's top stories from SBS News
Interviews and feature reports from SBS News
Your daily ten minute finance and business news wrap with SBS Finance Editor Ricardo Gonçalves.
A daily five minute news wrap for English learners and people with disability
Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS
SBS World News

SBS World News

Take a global view with Australia's most comprehensive world news service
Watch the latest news videos from Australia and across the world