BHP CEO says talks on end of carbon tax 'constructive'

BHP told investors it had talked with the government about scrapping the carbon tax but the "conversations have a long way to run".

BHP Billiton told investors it has had constructive talks with the federal government about scrapping the carbon tax.

Chief executive Andrew Mackenzie said the mining giant had started conversations with the Abbott government but that the dialogue had a long way to run.

“We're looking very keenly with them as to what we can do with their direct action measure that will protect the competitiveness of trade-exposed industries across Australia, not just ours,'' Mr Mackenzie told BHP's annual general meeting in Perth today.

He said the company was keen to understand how it could achieve emissions reductions, but such measures needed to be replicated across the world.

“There's no point in giving up Co2 in Australia only to find Co2 is going to be emitted less efficiently elsewhere,” he said.

“So far I'm finding these discussions very constructive and we have a number of ideas and over time they'll be shared. The conversations have a long way to run.”