Hard a Stern with Ross

Federal Opposition Leader Kevin Rudd says he has commissioned a report into the economic effects of climate change because the nation cannot wait for the Howard Government to act.

Former ambassador to China and Hawke government adviser Ross Garnaut will head the review.

Professor Garnaut is expected to hand down his interim report by mid-next year.

The review will be similar to the UK's Stern review and will examine the cost of inaction and the impact of climate change on the Australian economy.

Mr Rudd says climate change poses a real threat to the economy.

"Climate change represents a threat to jobs unless we act on it," he said.

"Mr Howard, having buried his head in the sand for more than a decade now, doesn't want to commission any report which tells us what the economy impact from climate change will be because he finds that uncomfortable."