Until a better analogy springs to mind, and I am open to suggestions, I intend to keep the image of Cooked Frogs up front!
I know just from a cursory look at today’s press, that a high percentage of Australians are disgusted (disenchanted) with Bob Brown and Julia Gillard – Wayne Swan and the entire ‘coalition of tax-em-up’s in Canberra.
They promised us No Carbon Tax, then they promised us a Carbon Tax, then they presented us with a mis-match of income tax reforms tied up in a self destructive green ribbon!
I know many readers will be sick and tired of hearing about how, this will (a) not truly reduce carbon emissions and (b) is only a scheme to bring more money into Bob and Julia’s vanishing (depleted) coffer’s in Canberra. Both of these statements are true!
For now I will simply repost a letter which covers it all moderately succinctly. (Any comments from me are in BOLD Italic text)
“Today we’ve been handed the thin edge of the wedge, but the ripple effects emanating from the carbon tax being dropped on Australia – regardless of its starting price – will grow to engulf every business and household as the costs magnify and the tax ratchets up,” Leader of The Nationals and Shadow Minister for Infrastructure and Transport Warren Truss announced in response to the Australian Carbon Tax.
“Those reverberations will be most severe in regional areas, where families, businesses and entire communities will carry a disproportionately higher tax load. Most of the lost jobs will be in regional Australia but Labor, the Greens and Independents don’t seem to care.
Mr Truss described the impact of a carbon tax on several key areas:
“The tax will add 10 per cent to the electricity costs of running public trains and trams in the first year alone of a carbon tax. These cost increases can only mean reduced and more expensive public transport services in the cities. It is ironic in the extreme that, under Labor’s tax, there is more incentive to drive to work in untaxed petrol cars than take public transport.
Rail and marine
“The end of the exemption from fuel tax credits for the rail and marine operators will mean from 1 July 2012 they will cop a new 6.21 cent per litre tax, which will have a dramatic impact on national transport costs and efficiency.
“It will not just be an impost on products going out of regional Australia – which generates two-thirds of Australia’s export base, but also on the price of goods being freighted into regional towns. That’s another whack for regional businesses and families at the same time as making our exports less competitive.
(Tasmania, as an Island state will be particularly hit hard in my estimation. A vast majority of things, food, clothing, furniture, building materials, medical supplies – to name but a few, are brought here by either air or sea, both of which will incur the new tax slug from the Brown Gillard tax reformulation.) I seriously doubt this was calculated in Wayne Swan’s spiel when he spouted off that non of us really would be worse off.)
“As for shipping, under the new 6.21 cent per litre slug on coastal shipping – from Perth to Sydney, from Melbourne to Cairns – everything will be more expensive, but if you want to ship those same goods in from overseas they won’t incur this tax.
“The reduction in fuel tax credits for heavy vehicles, again by almost seven cents per litre from July 2014, will cost the industry and its customers $510 million in 2014-15 alone, massively compounding the cost of all road freight transport for regional Australians and flowing through to the costs of everything we buy – and because of the greater distances across regional areas, those costs will balloon even further.
“The Transport Workers Union estimates the tax will cost truck drivers up to $200 a week more in fuel costs. These additional transport costs will inevitably be passed on to consumers. Many trucking operators based in regional areas are already struggling under increased registration charges and general price increases since Labor came to power.
(Living in rural Tasmania we regularly see large farm equipment and truck, transporting freshly picked vegetables to markets and factories. This will certainly increase the base costs to those markets, before it is again ‘hiked up’ for us consumers. Again Wayne did not calculate that into his ‘it will not be very much more expensive’ statements!)
“Again, this new tax will hit public transport with buses becoming more expensive and, ironically, encourage people to opt for the car.
“The near doubling of excise on aviation fuels from 1 July 2012 will inevitably lead to the end of many regional air services, which generally operate on lower margins. This will make it exponentially more expensive to travel within Australia, ironically making travel further afield to other countries cheaper while incurring a higher carbon footprint.
“This new tax will make domestic and international tourism in Australia less attractive. Australians holidaying in Bali won’t pay the tax, but those travelling to north Queensland will. It’s another kick in the guts for our struggling tourism industry, which is already experiencing hard times.
“The Prime Minister’s modelling of grocery price increases does not include the extra transport costs. Anyone who goes to a supermarket knows prices just keep going up and Woolworth’s and Coles are among the companies that will pay the most carbon tax.
“Every consumer knows prices are rarely consistent across the board and they don’t stay the same for long. Regional people already pay a premium for goods, so their starting point for price hikes will be higher.
“On groceries, bureaucrats in Canberra predict small price increases, but they add up fast in the real world. And when the companies who manufacture food say prices will go up around five per cent, we know it’s them, not bureaucrats, that build in the costs that we ultimately pay at the checkout.
“Electricity prices will go up 10 per cent in just one year thanks to the government’s carbon tax, but it’s simply a reality that regional Australians already pay more for electricity. In regional NSW its 25 per cent higher than Sydney, in regional Victoria 30 per cent higher than Melbourne, regional Queensland six per cent higher than Brisbane, regional South Australia 10 per cent higher than Adelaide, regional WA 30 per cent more than Perth and regional Tasmania 16 per cent higher than Hobart.
“Regional businesses and households can expect significantly higher electricity bills.
(I don’t remember hearing suggested alternative for the rural Australian’s when it comes to reducing their electricity costs. Perhaps Canberra is planning on mailing out vast numbers of hot water bottles so that everyone can keep warm. O Dear – guess we need electricity to heat the water – nope that won’t work!)
“It’s impossible to manage the family budget when the jobs forecast to be lost as a result of the carbon tax will predominantly be in regional areas, because that is where the mining, manufacturing and electricity generation jobs are.
“Access Economics predicted 28,000 jobs would be lost in regional Australia – but that is only the beginning.
“Today the Prime Minister announced an increase in the tax-free threshold from $6,000 to $18,000. What she didn’t trumpet is that she is also increasing the tax rate applying to lower-income levels from 15 to 19 cents, and from 30 to 33 cents, which will clawback much of the assistance families can expect.
“This increase in income tax is another example of a shifty government, giving compensation for its tax impost, then using a tricky slight-of-hand to take it back again.
This income tax deal is the shiftiest of them all… quite apart from the fact this was supposed to be Carbon Tax Sunday – not income tax Sunday. This is simply another example of a Government you cannot trust. They are attempting to blackmail the nation, and IF you believe what they are promising, then I feel sorry for you – I really do, because they give with one hand and take back with the other, while at the same time promising this will reduce our Carbon Footprint – lies!!!!!
It is important to understand if you are a pensioner, hanging out in hope for this handout from the Government – that you get nothing for nothing. Someone else will foot the bill. Probably your children and your grandchildren.
“The tax will also add greatly to road building costs. Labor will now need to find an additional $400 million just to maintain its existing road program or it will need to cut back on its promised road projects. The federal government says it will spend more than $8.6 billion on roads between 2011-12 and 2014-15, but it will now deliver less bitumen.
“Local councils will need an additional $17.5 million per year to maintain the Roads to Recovery program just to achieve the same results (currently a $350 million per year program).
Costs and impact on environment
“At $23 per tonne, this carbon tax will raise about $9 billion per year making it the toughest carbon tax in the world.
“The Productivity Commission has highlighted that no other country has imposed an economy-wide carbon tax or emissions trading scheme. To put this in perspective, Europe’s emissions trading scheme, covering 18 countries, raises $500 million per year (or around $1 per person). Labor’s carbon tax will raise around $400 per person.
“And, ultimately, it’s all for minimal environmental gain. The Prime Minister says Australia will reduce carbon emissions by 160 million tonnes.
“But according to the government’s own modelling our carbon dioxide output will actually increase and, of the reductions achieved, two-thirds will be purchased from overseas.”
JustME Says: Please learn all you can about this scheme, being perpetrated by a sleazy pack of slugs in Canberra. I will post as it becomes available, information which may help you educate, not only yourselves, but friends, family members and neighbours. Knowledge is power, and members of parliament can be voted out.