Press Release

Australian farmers will not be able to offset their costs until 2015, when the Rudd Labor Government intends to involve agriculture in its new climate change legislation, Pastoralists and Graziers Association Economics Policy Director Sheldon Mumby said today.

“However farmers will immediately feel the impact of today’s 5% emissions target announcement because input and operating costs will rise due to new cost burdens on their suppliers and providers of services and products.”
 
“The Government intends to cut fuel taxes to offset fuel increases, however this would have a relatively minor impact on costs and does nothing to address the major issues facing farmers today – namely drought and salinity.”

In the meantime, the agriculture industry is keen to know where the billions of dollars in compensation to individuals and industry would be sourced from and who would receive the free ‘permits to pollute’.

“The Government is projecting that it will obtain over $11billion from the sale of permits in the first year, while our largest polluters will obtain permits at no charge.”

“The development of the $2.15billion “Climate Change Action Fund’ will need to be watched closely by everyone to ensure that it does not become a ‘reward for polluters,” he said.