Big polluters lobby politicians over jobs

Sydney Morning Herald
Monday 9/3/2009 Page: 4

THE campaign to overhaul the Federal Government's climate change policy will escalate this week as big greenhouse polluting companies and their lobbyists target politicians representing voters in coal-mining, steel and aluminium towns. MPs and senators will be warned of job losses, risks to regional economies and a fall in investment unless the scheme gives more help to industry.

Lobbyists and MPs said Labor and Coalition backbenchers would be targeted by companies including Rio Tinto, BHP Billiton-Billiton and Xstrata when the Minister for Climate Change, Penny Wong, makes public the new draft laws for the carbon pollution reduction scheme tomorrow.

The Australian Coal Association will take a slide-show campaign to backbenchers pressing its case for compensation under the scheme. The head of the Association, Ralph Hillman, said coal companies had been unfairly treated under the scheme because of the political sensitivity of giving compensation to the industry. We want the same rules that apply to the rest of industry to apply to coal," his presentation argues.

The executives of many companies will take part in the campaign, but a search of the Federal Government's new lobbying register reveals that nearly all the key players have also engaged some of Canberra's leading lobby firms. Listed on the register are Gavin Anderson and Company, representing BHP Billiton-Billiton and BlueScope Steel, and Business certainty representing Woodside Petroleum Energy.

John Daley, of Business certainty, is Canberra's most experienced lobbyist on the carbon emissions trading scheme and previously worked closely with the Howard government on drafting a scheme that was more generous to industry. Woodside Petroleum has already been successful in getting a better deal for the liquid natural gas business from the Rudd Government but wants more changes to the new scheme.

Environmental groups have harshly criticised the Government's scheme, saying it gives away too many free permits to pollute to industry and too much compensation. In the ABC TV program Four Corners tonight the Government's former climate change adviser Ross Garnaut says there has been "a huge investment in seeking to influence the political process" over the scheme.

That lobbying has intensified with the global economic crisis and the sharp fall in profits of the big polluting companies. Senator Wong said she would refer the scheme to a senate committee this week and wanted it to report by the middle of next month. However, as the scheme faces heavy criticism from both business and environmentalists, the Coalition and the Greens will meet today to set up a new senate inquiry.

The Opposition spokesman on the environment, Greg Hunt, and a Greens senator, Christine Milne, said yesterday that they hoped the talks would result in a senate inquiry that would cover a broad range of issues, from the impact of the scheme to the Government's targets.

Polling published yesterday by the Climate Institute Australia indicates that while Labor is still seen as stronger among all voters on handling climate change, 56% of swinging voters are undecided about the Government's performance.