The carbon tax bills, which passed the federal House of Representatives yesterday, will impose a fixed carbon price of $A23 a tonne from July 1 next year.
New South Wales Minerals Council chief executive officer Nikki Williams said the carbon tax would hit NSW the hardest, through loss of jobs and investment.
“I am unaware of any government in the history of the world that has willingly and deliberately torpedoed current and future economic growth,” Williams said.
“When it appears we are on the verge of a global recession, it seems incredible that our leaders have chosen to deliver to our competitors Australian jobs and investment on a platter … all for zero environmental gain.”
Williams said the passing of the carbon tax bill was a huge blow for the Australian coal industry.
“No wonder our coal producer competitors in South Africa, Canada, Mongolia and Indonesia are cheering: we will now export our emissions, investment and jobs to them rather than our coal,” she said.
The Queensland Resources Council said the move was only a win for Australia’s export competitors.
“The last time Australia made our competitors so happy was when the hugely discredited resource super profits tax was unveiled,” QRC chief executive Michael Roche said.
“What the House of Representatives has delivered is the world’s biggest carbon tax on Australia’s resource sector industries while none of our global competitors is even contemplating one.”
Roche said Australian MP’s had inadvertently handed over a majority of the Australian resource sector’s future growth, along with thousands of jobs.
The Association of Mining and Exploration Companies also expressed its concerns over loss of jobs following the passing of the proposed carbon tax.
“The simple fact is that jobs will be lost as a direct result of a carbon price; it will definitely stop future jobs from being created,” AMEC chief executive officer Simon Bennison said.
The Chamber of Minerals and Energy of Western Australia chief executive Reg Howard-Smith said Australia was shooting itself in the foot by introducing a tax.
“Australia’s natural resource endowment is impressive but certainly not unique ... in the face of global economic uncertainty, the government should be doing everything it can to increase investment and protect our resources sector,” Howard-Smith said.
“Instead, it commits to a carbon tax that our competitors don’t have to worry about.
“Any thought that these countries will follow suit by introducing a price on carbon is laughable.”
Australian Coal Association chairman John Pegler said the coal industry would continue to fight against its implementation.
“The coal industry will continue to argue that there is a better way to introduce a price on carbon,” Pegler said.
“In the case of coal mining the carbon tax should be phased in at the same time as our international competitors, ensuring that we don’t harm Australia’s long term economic interests,” Pegler said.
According to the Minerals Council of Australia, Australian businesses will pay a carbon tax 50% higher than Europe during its first three years, which is ten times higher than the US regional scheme.
By 2020, the scheme will cost Australian businesses and households more than $105 billion while reducing Australia’s emissions by only 53 million tonnes from current levels.
The MCA said the carbon tax should be withdrawn and be replaced by a genuine, open and transparent review of all policy options.
It said it would also continue to advocate for an alternative to the tax.