Don Voelte, CEO of Woodside plans to insist on free carbon permits for the LNG industry when he meets senior ministers next week. Although the Rudd government has given hints they would give financial assistance to the industry, Mr. Voelte wants to ensure they get free carbon permits instead. He suggests that the government make some favorable adjustment in free permit qualification criterion i.e., lowering the amount of emissions an industry releases per $1 million revenue.
The LNG industry currently generates around 1200 tonnes of CO2 pr $1 of revenue realized, whereas industries generating at least 1500 tonnes per $1 million revenue qualify for free permits under the current scheme.
Shadow Treasurer Malcolm Turnbull, who previously advocated implementation of the emissions scheme by 2012 regardless of other countries policies, now seems to be changing his mind.