Sunday, August 26, 2012

Abbott to retract carbon tax calls

Abbott to retract carbon tax calls- Swan

Updated: 12:19, Sunday August 26, 2012

Abbott to retract carbon tax calls- Swan

Federal Labor MPs have seized on comments by Opposition Leader Tony Abbott that the impact of carbon tax has not been catastrophic.

Mr Abbott admitted at the Tasmanian state council of the Liberal party on Saturday the immediate effect of the tax had been less than that of a 'wrecking ball'.

'Yes, the initial impact of the carbon tax may not be absolutely catastrophic,' he told the council conference.

But Mr Abbott was still blaming the tax for BHP Billiton's decision to shelve its Olympic Dam mine, despite the company refusing to blame taxes.

Trade Minister Craig Emerson said the lived experience of the carbon price was vastly different to the 'terrible prophecies of Mr Abbott'.

'This is the guy who said that it was going to be a wrecking ball through the economy,' Dr Emerson told ABC Television.

'Then a handbrake, he backed down yesterday.

'The next thing you know it'll be like saying it's a Chinese burn from a boy scout.'

In reality the carbon price wasn't having anything like the effect Mr Abbott had claimed, the minister said.

'He's been exposed for that and he can't get out of this groove of destructive negativity...'

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