Mr Albanese has signalled transport must be included. But there are reports today that the Rudd Government is also considering measures to protect motorists from more petrol pain with the introduction of a price on carbon under any ETS.
Mr Swan told Parliament today that the Government would make its own decisions on the final details of any ETS.
“We don’t necessarily have to agree with every recommendation that is put forward by Professor Garnaut,†Mr Swan said. “We will take our decision in the national interest.â€
Queensland’s The Courier Mail newspaper reported today Labor sources had confirmed that ahead of an options paper due mid-July, cabinet had met on the issue to examine various schemes and commission work on a number of alternatives.
Under one option being considered, the ETS would operate with a low start-up price for carbon and not include fuel transport until at least 2012.
Mr Albanese told Parliament the transport sector, which includes fuel, could not be left out of the scheme and Climate Change Minister Penny Wong also said the broader the scheme the better.
Invited to confirm the newspaper reports today in Parliament, Mr Albanese said he had no intention of discussing cabinet deliberations.
“What I won’t do is discuss cabinet meetings. But my position on climate change is very clear … we will take action as we did when the first action of the Rudd government was to ratify the Kyoto protocol. We will do this to address the 12 years of inaction and denial of those opposite,†he said.
The Australian reported today that Coalition frontbenchers are pushing for a delay in the introduction of emissions trading in a move that threatens bipartisan support for the main mechanism to cut greenhouse gases and tackle climate change.
Kevin Rudd seized on doubts about the Opposition’s commitment yesterday to accuse it of reneging on its pre-election promise to support an emissions trading system.
Under an emissions trading system, polluters such as coal-fired power stations that cannot meet greenhouse gas reduction targets will be forced to buy carbon credits on an open market. This is expected to force the cost of services such as electricity and transport higher as companies adapt to the new environment.
Yesterday, opposition treasury spokesman Malcolm Turnbull raised the option of cutting fuel excise to compensate motorists for the introduction of any emissions trading scheme to ensure it was revenue neutral.
He hinted he would support the inclusion of petrol however in any broadbased scheme.
Mr Swan also quoted from international and domestic reports that the cost of not acting on climate change would be higher than the cost of taking action.