Kevin Rudd under pressure over delay to carbon trading scheme A

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PRIME Minister Kevin Rudd is under pressure to explain whether he plans to delay for about 18 months his greenhouse emissions trading scheme.

Only days before the Government releases its draft legislation on its ETS model, Mr Rudd told a radio station that the cap-and-trade scheme would not start until the end of 2010.

It sparked immediate speculation the Government was preparing to delay a key plank of its carbon cutting measures because its planned time table, announced last year, was July 1, 2010.

It left staff from Mr Rudd’s office struggling to explain the change. His most senior press secretary said Mr Rudd was talking about the end of the financial year when he told Fairfax Radio that: “Our scheme is not proposed to be introduced until the end of 2010″.

The lack of a detailed explanation from Mr Rudd and his office prompted a flood of criticisms from the Opposition, which said business expected certainty when planning for the biggest shake-up to the economy since the GST.

Queenslander and Nationals leader Warren Truss called on Mr Rudd to personally clarify his ETS starting date.

“Quite simply, the introduction of an emissions trading scheme is one of the biggest political, economic, social and environmental decisions that the Parliament and the Australian people will have to consider in coming months and years,” Mr Truss said.

“If Mr Rudd really fluffed his lines, he should be man enough to go out there and say so. Leaving the clean-up to a minion is yet another sign of his political cowardice.”

Opposition climate change spokesman Greg Hunt said Mr Rudd was caught in the middle between senior ministers, who wanted the scheme delayed because of the global economic crisis, and Climate Change Minister Penny Wong and Environment Minister Peter Garrett, who were advocating for an ETS start in 16 months time.

“We are seeing backflips and confusion on the part of Mr Rudd over his emissions trading scheme (because) on Wednesday night on the 7.30 Report the PM repeatedly avoided answering questions on his promised start date,” Mr Hunt said.

There has been growing confusion about the Government’s stand on the ETS since it announced an inquiry into the lowest cost of an ETS, only to dismantle it a few days later.

Senator Wong has repeatedly said the Government was committed to an ETS and delaying the model was not an option.

The draft legislation, due out last month, will now be released on Tuesday.