Howard aide to head advisers on renewable energy projects | Business | The Australian

Industry has slammed calls for a carbon tax, writes Nigel Wilson
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April 11, 2006
ONE-TIME senior private secretary to John Howard, Paul McClintock, has been chosen to head a team of business heavyweights advising the federal Government on how to spend $500 million encouraging the development of renewable and low emission-technology projects.

The funding is a big part of the federal Government's effort to produce substantial reductions in greenhouse gas emissions using new technologies, rather than setting mandatory targets as demanded by the Kyoto climate change protocol.

The team - which also includes former senior executives John Ralph (Rio Tinto), Nobby Clark (NAB) and Ziggy Switkowsi (Telstra) - was announced as the aluminium industry slammed a business roundtable recommendation for Australia to impose a carbon tax.

The aluminium industry is one of Australia's biggest export earners, and one of the heaviest electricity users.

Ron Knapp, head of the Australian Aluminium Council, said the call for a carbon tax was out of step with international policy developments.

The newly formed Asia-Pacific Partnership on Clean Development (known as AP6) - including Australia, China, India, Japan, South Korea and the US - was focusing on technology development rather than carbon penalties.

Mr Knapp said the carbon tax recommendation ignored the fact that "the two largest developing countries, China and India, along with the rest of the developing world, have clearly stated on numerous occasions they will not constrain their legitimate economic aspirations by introducing a carbon price signal".

The federal Government set up the $500 million Low Emissions Technology Demonstration Fund as part of its backing for AP6.

Yesterday it announced applications had been received from 30 projects, ranging from large-scale solar concentrators to solar photovoltaics, domestic energy generation using vegetable matter, burying carbon dioxide underground and brown coal degasification.

"Industry recognises that the role it will play in demonstrating new low-emission technologies to reduce Australia's greenhouse gas emissions in the coming decades is critical to economic prosperity and environmental health," federal Environment Minister Ian Campbell said.

Mr McClintock, who is now a director of Macquarie Infrastructure Group which operates toll roads in Sydney and Melbourne as well as overseas, and his team have been picked for their capacity to bring industrial and commercial muscle to projects chosen for government support. Projects judged suitable for funding will be announced early next financial year.