Though critics have long believed the emissions trading scheme would squeeze out capital and jobs from the Australian market, current figures show an opposite trend. The revealed a 5.7% increase in capital spending in the last quarter. Even the , and forecasts for the next year are even higher. In addition, the Australian Bureau expects other sectors to grow too in terms of their investments.
“Current investment in projects together with forecast expenditure shows that, with full knowledge of an emissions trading system to start in Australia by 2010, there is still strong investment in the opportunities in Australia,” claimed Dr Ray Wills of . “Claims that an emissions trading system will damage Australia’s economic development simply do not add up in dollar terms, and growth in investment is a clear indication an ETS will not stop growth. Businesses concerned about an ETS would not be continuing their investments now, but continuing growth shows if there are concerns, these must be minor and obviously not influencing investment,” says Dr Wills.
But the point to ponder upon here is: Can this investor confidence be due to high expectations of getting most of the permits for free?
{ 0 comments… add one now }
Leave a Comment