[Greens-Media] Are we headed for coal's biggest ever budget bonanza?

[Hollo, Tim (Sen C. Milne)]

Are we headed for coal's biggest ever budget bonanza?

Canberra, Friday 11 April 2008  Australian Greens climate change
spokesperson, Senator Christine Milne, today called on the Rudd
Government to focus its Budget priorities on existing climate solutions
such as energy efficiency and renewable energy, not offer up even
greater subsidies to the hugely profitable coal sector.

Senator Milne said "Prime Minister Rudd's visit to a coal fired power
plant in China instead of one of their world-leading solar or wind sites
is yet another ominous indicator that his Government intends to protect
the coal sector from real, competitive climate solutions.

"The coal sector's hype of 'clean' coal has been badly tarnished in
recent years and months, with little or no progress in research and
development, while renewable energy technologies have been moving in
leaps and bounds, increasing their efficiency, reducing costs and
developing improved energy storage technologies.

"Even John Boshier, head of the National Generators Forum and one of
Australian coal's loudest advocates, has said that early confidence in
the techno-fix is fading amid growing concerns over cost and timeline
blowouts, and the realisation of the mammoth scale of the problem -
burying some 300 million tonnes of CO2 every year in Australia alone.

"Coal is simply being out-competed, and its desperation is evident in
the increasingly strident calls for government hand-outs to one of the
world's most profitable sectors.

"The Rudd Government's first Budget must deliver a level playing field
for energy technologies that puts a price on climate pollution. When
that happens, those technologies that are ready to deliver substantial
emissions reductions now, like energy efficiency, solar thermal power
and wind energy, will out-compete 'clean' coal.

"Instead of delivering a level playing field, Rudd looks set to continue
the Howard Government policies of 'picking losers' with increased
support for the coal sector.

"The coal sector is old, polluting and well entrenched. Even if climate
change were not an issue, it would be outrageous that our governments
add billions every year to the coffers of the rich multinational
corporations that run the sector. When you add climate change
considerations to the mix, ongoing fossil fuel subsidies become one of
the most perverse and destructive government decisions imaginable. The
polluter pays principle tells us that the companies that have profited
from polluting for so long should be the ones to shoulder the burden of
cleaning up their act, not the taxpayer.

"The Greens have proposed that a portion of the billions that would be
saved by cutting fossil fuel subsidies should be channelled towards
further research, development and commercialisation of renewable energy
and energy efficiency technologies through a Sun Fund, and to pay for
the early stages of a systematic and systemic retrofit of Australia's
housing stock for energy efficiency set out in our EASI policy.

"I will be watching the Government's first Budget carefully to see if
its priorities follow Martin Ferguson's industry-fuelled hype, or a
sensible, realistic path to clean energy."


Tim Hollo
Media and Communications Adviser
Senator Christine Milne
+61 (0)2 6277 3063
+61 (0) 437 587 562
www.christinemilne.org.au

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