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Xstrata shows Oz Govt. the real cost of ETS

  •  17 March 2009
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Xstrata shows Oz Govt. the real cost of ETS

XSTRATA has released figures to the government and the opposition on the amount of workers which will be sacked should the government’s proposed emissions trading scheme take effect.

The coal miner says it would be forced to cut 5,000 jobs from its Australian workforce as the system would cost the company $7b.

In response to the miner’s revelations, Prime Minister Kevin Rudd says the cost of inaction is far greater than the cost of action.

The government set a target in December to cut greenhouse gas emissions by between 5 percent and 15 percent by 2020. The plan would trim economic growth by 0.1 percentage point a year between 2010 and 2050, assuming an initial price of $25 a metric ton of carbon when trading starts in 2010.

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