While we are facing the carbon tax in July, we often forget about the alternative. While still preferable to the carbon tax, the Coalition’s direct action policy promises to be a colossal waste of money and an exercise in picking winners. There are lessons from the US with Obama’s crony capitalism running rampant.
Earlier this week, Stimulus beneficiary Evergreen Energy bit the dust. Then, Ener1, a manufacturer of batteries for electric vehicles and recipient of Stimulus largesse, filed for bankruptcy. And today, the Las Vegas Sun reports that Amonix, Inc., a manufacturer of solar panels that received $5.9 million from the Porkulus, will cut two-thirds of its workforce, about 200 employees, only seven months after opening a factory in Nevada.
Is this what “green jobs” means? Ones created by government assistance before being lost because their employer is doomed to fail. Not to mention the waste of taxpayers dollars.
Given the current debt and Swan’s promised surplus we are unlikely to see by 2012/13, the Coalition will not be in a good position to implement their direct action policy, assuming they win the next election. Furthermore, the lack of urgency around the world to curb carbon dioxide emissions, which Liberal MPs use to argue against the Gillard/Brown plan, makes such action unwise. And on top of this, the need to even do something continues to be thrown into even more doubt, most recently with 16 eminent scientists highlighting the uncertainty in the science.