Saturday, April 30, 2011

Rio Tinto, says no need to rush the emissions of tax (AFP)

SYDNEY (AFP) - mining giant Rio Tinto weighed in the debate on the proposed tax on carbon emissions of Australia Saturday urging Canberra not step to rush a decision while major polluters such as China and selected United States.

Prime Minister Julia Gillard wants free polluters of July 2012 under a system of fixed prices which can move to a complete model Cap-trade linked to global carbon markets in five years.

But it faces strong opposition from his political rivals and the business community with the powerful coal industry warning the plan will be driving offshore investment and damage the economy powered by the Australia mining.

Rio Tinto has expressed its objections, Saturday, warning Australia not to jump the gun on emissions, when some major polluters were taking similar measures.

"The question is how and when Australia move in light of the disappointment of the Copenhagen Conference (climate change) and in the light of the fact there are very few signs Gorilla big - the United States and China - are really going to move"President of Rio Jan du Plessis""told the Australian newspaper.

The Australia is the world polluter worst per capita, in large part because it relies heavily on coal power.

It also export millions of tons of fuel annually to steel makers and companies Asian power and is home of the world largest coal export port, with deliveries total worth Aus 43 billion ($46 billion) last year.

Gillard proposal would see a fixed levy placed on emissions for the first three to five years before moving to a full cap and trade regime, which would be to see that the Government has established a national limit on pollution and sell permits to companies.

Companies which have exceeded their cap would have to purchase additional licenses to other issuers which had more than what they needed, and the price should be linked to international carbon markets.

The labour party failed twice in an attempt to introduce a scheme, emissions trading stimulate a collapse in the polls which saw former Chief Kevin Rudd ousted by Gillard, and then his assistant and damaged the credibility of party.

Du Plessis said that there is a "clear link" between carbon emissions and climate change and the courage of the Gillard praised for taking a position, but he wondered if it was the right time for a carbon tax.

"If the Australian Government, with the best intentions in the world, will move too quickly and finally simply damaging energy exposed to trade in the business at a cost in Australia as a country while China and America will not move"I don't know who is smart "stated the President of Rio."

He called for Canberra to "give assurances that, while the Government has a passion for dealing with climate change, which I admire, not what to do in a way which damages Australian businesses at a time when the world is not ready to move."

Gillard visited major trading partners of the Australia, a stopover North Asia Tour last week, insisting on the fact that the request insatiable in the area of energy buoy the nation through the transition to a carbon tax.

BHP Billiton, the world largest mining company, last year urged the Australia leads the dance by taxing carbon emissions blamed for global warming, instead of waiting for international concerted action through the Organization of the United Nations.

But the Gillard fragile coalition Government holds power by single-seat and the debate of carbon may be a steep challenge, with opposition condemning its new royalty of pollution as a "great big tax".

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