AIG fears cost to business in carbon repeal

TALKS will continue between Clive Palmer and the government on an amendment to ensure carbon tax savings are passed to consumers.

TALKS will continue between Clive Palmer and the government on an amendment to ensure carbon tax savings are passed to consumers amid growing business fears the measure will ensnare caravan parks and shopping centres.

While both the Palmer United Party and the government argued yesterday that the amendment was designed to apply only to electricity and gas retailers, the Australian Industry Group expressed fears it would impose a carbon tax savings-reporting requirements on other businesses.

“Caravan parks and shopping centres would have to report — they often buy electricity and sell it on to their tenants,’’ AiGroup chief executive Innes Willox said.

“Anyone selling equipment that includes synthetic greenhouse gases would be covered. That appears to include car dealers and importers, wholesalers, retailers and after-market sellers of fridges, freezers and air-­conditioners.’’

“Equipment suppliers to mining and the electricity sector may also be caught up.

“We would assume that in working on the amendment the government would take industry concerns on board to make it far less onerous on the business ­community.’’

Mr Willox said he hoped there would not be any further “left field” amendments next week that could create unnecessary confusion and uncertainty and prevent the rapid repeal of the carbon tax.

The government has declared it will support the amendments, which will be introduced into the House of Representatives on Monday and then move to the Senate for a repeal vote before parliament rises for five weeks on Thursday.

A PUP spokesman said the party did not want to create extra red tape for business with the amendment but wanted to ensure the full savings from the carbon tax repeal were passed on to ­consumers.

Tony Abbott was disappointed that the carbon tax was not repealed on Thursday over a dispute about the amendment which was not circulated after it was ruled to be unconstitutional. “We will work patiently and carefully and methodically over the weekend and we’re confident that we can make suitable changes in the house on Monday which avoid the constitutional issue which came up yesterday,’’ the Prime Minister said.

“And let’s try to ensure that the parliament deals with this next week and the carbon tax is gone once and for all,’’ Mr Abbott said.

He said it was too early to start talking about a double dissolution because the Senate had been in place for only a week.

“If we had had six months or 12 months of difficulty ... well then maybe it would be time to start thinking along those lines.’’

Mr Abbott said he remained confident the government would be able to get the vast majority of its measures through “in some reasonable shape or form’’.

Bill Shorten said the government had promised it would be strong and stable.

“And they are showing that they’re too arrogant to be able to negotiate with other senators who don’t immediately agree with what Tony Abbott wants,’’ the Opposition Leader said.