Direct Action policy is flawed


"Direct Action" headwinds

In an AAP report (24 April 2013) …  "Power companies say the coalition's alternative "Direct Action" policy will be more difficult to run than Labor's carbon pricing mechanism, which Mr Abbott has vowed to repeal if elected prime minister. 

The Energy Supply Association of Australian supports an emissions trading scheme (ETS), and says falling electricity demand will force the coalition to review its climate change policy if elected, The Australian Financial Review reports."


What is the "Direct Action" policy?

Here it is. More on this in a future post. 

The Business Council of Australia (BCA) has distanced itself from the Coalition's carbon emissions plan.

The BCA also calls for a lowering of the carbon tax price of $23 per tonne to "the level of the international carbon price, which is closer to $5 (per tonne)".

Read more here ...

And for another viewpoint, here's what Crikey says in a revealing article.

These are the four reasons why the Australian business community wants a carbon price.

1. The carbon price won’t actually cost business that much money

2. Direct Action is an unknown quantity

3. Direct Action will struggle to last, and who knows what might replace it/supplement it

4. Direct Action fails to resolve long-term investment uncertainty"


Read the full article to put everything into context.

When the business community talks openly about problems with Coalition policy, then it looks like there's going to be some headwind for the Opposition.

What are your thoughts? Have your say.

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