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Australia votes to repeal carbon tax | Australia votes to repeal carbon tax |
(about 1 hour later) | |
Australia's Senate has voted to repeal the carbon tax, a levy on the biggest polluters passed by the previous Labor government. | |
Prime Minister Tony Abbott, whose Liberal-National coalition beat Labor in an election last year, had made the repeal a central aim of his government. | Prime Minister Tony Abbott, whose Liberal-National coalition beat Labor in an election last year, had made the repeal a central aim of his government. |
Politicians have been locked in a fierce row about the tax for years. | Politicians have been locked in a fierce row about the tax for years. |
Labor says it helps to combat climate change, but the Liberals claim it penalises legitimate businesses. | Labor says it helps to combat climate change, but the Liberals claim it penalises legitimate businesses. |
The Australian Senate voted by 39 to 32 votes to repeal the tax. | The Australian Senate voted by 39 to 32 votes to repeal the tax. |
Introduced in July 2012, it charges the 348 highest polluters A$23 (£13; $22.60) for every tonne of greenhouse gases they produce. | |
'Bereft of policy' | 'Bereft of policy' |
Australia is the developed world's worst polluter per head of population. But critics, including Mr Abbott, said that the tax cost jobs and forced energy prices up. | Australia is the developed world's worst polluter per head of population. But critics, including Mr Abbott, said that the tax cost jobs and forced energy prices up. |
There were widespread protests against the introduction of the tax in Australia and its repeal formed a major part of Mr Abbot's election manifesto. | There were widespread protests against the introduction of the tax in Australia and its repeal formed a major part of Mr Abbot's election manifesto. |
He says he plans to replace it with a A$2.55bn taxpayer-funded plan under which industries will be paid to reduce emissions and use cleaner energy. | He says he plans to replace it with a A$2.55bn taxpayer-funded plan under which industries will be paid to reduce emissions and use cleaner energy. |
His coalition does not hold a majority in the Senate but the repeal went through with the support of senators from mining tycoon Clive Palmer's Palmer United Party. | His coalition does not hold a majority in the Senate but the repeal went through with the support of senators from mining tycoon Clive Palmer's Palmer United Party. |
"Scrapping the carbon tax is a foundation of the government's economic action strategy," said Mr Abbott, calling the move "great news for Australian families". | "Scrapping the carbon tax is a foundation of the government's economic action strategy," said Mr Abbott, calling the move "great news for Australian families". |
"We are honouring our commitments to you and building a strong and prosperous economy for a safe and secure Australia." | "We are honouring our commitments to you and building a strong and prosperous economy for a safe and secure Australia." |
Labor and the Greens voted against the repeal, with Greens leader Christine Milne describing the vote as an "appalling day for Australia". | Labor and the Greens voted against the repeal, with Greens leader Christine Milne describing the vote as an "appalling day for Australia". |
Labor accused Mr Abbott of "taking Australia backwards while the rest of the world is moving forward". | Labor accused Mr Abbott of "taking Australia backwards while the rest of the world is moving forward". |
"All of Australia's major trading partners are taking serious action on climate change, including in our own region," opposition leader Bill Shorten said in a statement. | "All of Australia's major trading partners are taking serious action on climate change, including in our own region," opposition leader Bill Shorten said in a statement. |
He says his party will include a policy to introduce an emissions trading scheme in its campaign for the 2016 election. | |
The Climate Institute think-tank said in a statement that the move left Australia "bereft of credible climate policy". | |
"What we are left with as potential replacement policy rests on three wobbly legs - a government fund subject to an annual budgetary arm wrestle, uncertain non-binding limits on some company emissions, and a renewable energy target under assault," it said. | "What we are left with as potential replacement policy rests on three wobbly legs - a government fund subject to an annual budgetary arm wrestle, uncertain non-binding limits on some company emissions, and a renewable energy target under assault," it said. |
Australia has promised to reduce its emissions levels by 5% on 2000 levels by 2020. | |
A target of obtaining 20% of electricity from renewable sources by 2020 also remains in place, and Mr Palmer has said he will not support its repeal. |