THE Federal Government's proposed emissions trading scheme (ETS) will whack Anglo's Callide and Dawson mines with $25 million in permits each year.
Speaking at the Banana Shire Industry Summit on Tuesday, Dawson Mine general manager Rick Fairhurst said an ETS would force the company to shell out $118million annually in permits for its Queensland operations, based on Anglo's nationwide 2008 emissions footprint of 4.7 million tonnes of carbon dioxide.
Mr Fairhurst said Callide and Dawson mines had an estimated carbon footprint of one million tonnes between them, and with an estimated carbon price of $25 a tonne, the cost would be one quarter of Anglo's expected carbon tax cost.
“We want clarity on carbon pricing - we are uncertain of the impact (of the ETS).
“It will have a massive impact for a company that did not make any money in 2007 and has been through the global financial crisis this year,” Mr Fairhurst said.
The mine boss's alarming figures gave more evidences to back Nationals senator Ron Boswell's claims the ETS would offer little help to mining and agriculture in the Callide and Dawson valleys.
Speaking in Biloela at the weekend, Senator Boswell said the European Commission's recently stated position on carbon leakage would cause serious damage to Australian jobs and industry, especially in Central Queensland.
“While Kevin Rudd and Penny Wong play their political games, Europe is quietly stabbing us in the back with their sham ETS, effectively handing out up to 100% free permits across 164 industrial sectors,” Senator Boswell said.
The veteran senator said the European ETS gave 10% permits to coal mining, cement, aluminium and steel.
Senator Boswell said that he worried about coal towns like Biloela and Moura, especially with the dire predictions this week by the Australian Coal Association that 16 coal mines would close and more than 9000 direct and indirect jobs lost in the first nine years.
Member for Flynn Chris Trevor said Senator Boswell was running a fear and smear campaign on the ETS.
“The truth is the coal industry will continue to grow under the ETS and thousands of new jobs will be created,” Mr Trevor said.
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