Pollution

Carbon Tax Adding Profits to Coal Energy Companies?

Carbon Emitting Coal Energy Plants
Coal Stacks adding to Climate Change Challenges and Corporate Carbon Tax Profits

Carbon Tax is a real thing in Australia. 

Carbon Tax was introduced by the current labor government under the Prime Minister Julie Gillard in 2012. It hits every business and every one individually with increased prices where carbon emissions or waste is being taxed. An independent report by Environment Victoria alleges that brown coal energy companies in Victoria appear to be passing 100% or more of carbon “tax” expenses to consumers while pocketing Government rebates.  This will result in a windfall for brown coal energy companies in Australia, a recent report by an not-for-profit group Environment Victoria.

The report released yesterday suggests that some coal generators are passing on over 100% and some households might be paying twice for carbon emissions. Brown coal generator companies in Victoria look set to reap in profits of between between $2.3 billion and $5.4 billion profit from the compensation package.

While the findings in the report have already been rejected by the Federal Government as having major flaws, Federal opposition spokesman for environment Greg Hunt, agrees with the report’s conclusion and in a media interview stated  “This isn’t a tax which robs the rich to give to the poor. This is a tax which robs the poor to give to the rich.

Carbon Tax – a Personal Quip

Our power bill in Queensland has certainly increased considerably over the past five years as have other utility bills, such as council rates and charges. Prior to last years State Election, under the Liberal National Party a promise was made by the now Premier Campbell Newman that the portion of the power bill for Carbon Tax was to be revealed on power bills from 1st July 2012.  The Courier Mail in Queensland is reporting that Queenslanders pay about the same at present as Victorian residents for power. This won’t be for long as the Australian Competition Authority has agreed to a double digit rise in electricity for Queenslanders in 2013/2014.  They are recommending a 21.4% increase and while they stipulate the rise is due to costs associated with infrastructure and solar power subsidies, this double digit increase seems extraordinary since the cost of producing electricity has not changed.  I foresee Queensland power companies reaping in big profits for their shareholders in the future.

The Federal Government last year introduced a carbon tax family relief payment scheme to assist families with increased prices from carbon tax.  One hundred dollars per child though, will not go a long way to easing the pain of any power bill increase.  In the past I have voluntarily paid for “green” energy on our power bill.  Though this may have added twenty to thirty dollars to our power bill, it provided me with the the false impression and self satisfaction that some of our energy was generated through other means like solar.  Obviously this in itself could be considered a “levy” for alternative power generation which, like carbon tax may have just been a fancy scheme to further add profits to the energy supplier.

 

Learn More about Carbon Tax News

You can read more on this news story and download the official report by Environment Victoria at ABC Australia News or read today’s online news at The Courier Mail.

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