Carbon Tax: truth or scare time?

Carbon Tax: truth or scare time?

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Just two more sleeps, then Julia Gillard will reveal to all, her Top Secret Carbon Tax. So intricate and delicate is this most Secretive Weapon of Mass Taxation (SWMT) announcement, it demanded complete denial during the 2010 federal election. The complexities of this SWMT are so mentally demanding, that a collaboration of the finest minds was necessary to make this decision for and on our behalf: namely, the Multi–Party Climate Change Committee. An elite membership of minds requiring just the one common denominator, i.e.  absolutely no business experience.

Fading public support spells doom for carbon tax where it would be fair to suggest that the vast majority of Australians don’t like the manner in which the tax was introduced which then opens the debate on whether the government can be trusted.  If the polls are an indication, the answer is a clear ‘no’. Liberal states band together for carbon tax showdown with Julia Gillard by questioning warnings of heavy job losses and unprecedented power price rises. Throw in an industry push to wipe out carbon price where some of Australia’s biggest industry organisations plan to spend millions of dollars (of their own money) to fight the tax. The Gillard government will go toe-to-toe with its advertising campaign and will be using taxpayer monies.

Ita Buttrose blasts Prime Minister Julia Gillard when she ripped into Julia Gillard’s leadership (or lack thereof) – unleashing a harsh critique of the PM’s time in office and challenging her to call an election. Next a political bombshell! Rangas dump fellow redhead Julia Gillard when the Red And Nearly Ginger Association (RANGA), who claim to represent the nation’s redheads, said it was withdrawing its support because she is giving gingers a bad name. The RANGA group cited disloyalty, dishonesty and incompetence as the three contributing factors.

BUY PRINT

No rivers of gold in Canberra’s Gold Creek – which today resembles Fort Fumbles budget deficit. Get those rivers of gold flowing again so bring in a carbon tax we’ll call it Gillard’s Gold – The Eureka of Taxes.

Little wonder nervous Labor MPs quiz Julia Gillard in caucus over key issues given the SWMT has their political careers on life support. As Labor support plummets in Queensland: Newspoll where even Australia’s greatest ever Treasurer Wayne Swan could be voted out – ah it’s that SWMT again. So Professor Gillard reverted back to scientific debate renewing climate change warnings with doomsday – like comparisons although we all know that Australia’s SWMT reductions will play next to no role in global reductions. Alas! Constituents battle this mentally taxing issue: albeit without consultation and participation.

What a wonderful democratic society we now find ourselves in where the kryptonite for constituents to rely on is otherwise known as polls – Julia Gillard’s Fort Fumble has rapidly morphed itself into Kristina Keneally’s Fort Crumble Mk II. Can the carbon tax refloat the beached ALP ship? Graham Richardson has made up his mind. Labor is shot to bits and there is no way back for Julia Gillard or the party she leads. Put down the glasses and wait for 2013 to deliver the first Abbott administration.

The Australian – Order Bill Leak’s Print

Carbon scheme to hit state dividends the chief of NSW state-owned power provider Macquarie Generation, Russel Skelton said he expected additional costs of up to $700 million per year, which would lead to the elimination of all dividends his company would have paid to the state, The Australian reports. Just what NSW needs when Treasurer Mike Baird warns of NSW budget cuts with the state’s finances “utterly out of control” given the inherited $5.2 billion black hole, care of the previous Keneally government. NSW is broke, with the budget in complete disarray to the extent that the state is not funding its operating costs from current revenue models.

Reserve Bank of Australia holds interest rates as growth stalls given the RBA’s forecast of 4.25 per cent economic expansion in 2011 – 12 can’t be met (Treasury predicted 4.00 per cent). If you are in the mining industry you are doing brilliantly. For those not in mining, the future is looking bleak. The good news is that interest rates will not be rising this year given the RBA revised down growth predictions from 4.25 per cent to 2.5 per cent which sends a very strong indication that the Australian economy is going backwards. Unless of course you are in mining!

The Mosman, Cremorne and Neutral Bay property markets appear to be enjoying the annual winter hibernation given the unprecedented low levels of available properties. I’ve been writing Virtual Realty News for eleven years and can’t ever remember such low stock levels especially in house volumes.  No panic selling – more a sign of battening down the hatches.

MOSMAN – 2088

  • Number of houses on the market last week – 87
  • Number of houses on the market this week – 83
  • Number of apartments on the market last week – 97
  • Number of apartments on the market this week – 99

CREMORNE – 2090

  • Number of houses on the market last week – 15
  • Number of houses on the market this week –  16
  • Number of apartments on the market last week – 33
  • Number of apartments on the market this week – 34

NEUTRAL BAY – 2089

  • Number of houses on the market last week – 9
  • Number of houses on the market this week – 7
  • Number of apartments on the market last week – 67
  • Number of apartments on the market this week – 62

For this week’s sales in Mosman real estate, Beauty Point real estate, Clifton Gardens real estate, Balmoral real estate, Cremorne real estate, Cremorne Point real estate, Neutral Bay real estate, Cammeray real estate Click Here

By sheer definition, a tax means that either directly, or indirectly, somebody must pay. Recently I wrote Nothing new about for NSW for Property Observer a carbon tax is the last thing the NSW Liberal government needs, considering that the previous NSW Labor government has all but bankrupted the state.

The prime minister keeps telling us that Australia is in a very strong economic position – obviously economics is not her strong point. Next Tuesday, the latest Newspoll will be released and her popularity will, in all probability, remain in freefall.

The O’Farrell NSW government is concentrating on infrastructure. It would appease Australians if the Gillard government followed suit. Construction shrinks for 13th month the Australian Industry Group/ Housing Industry Association performance of construction index fell by 3.8 points to 35.8 in June. The benchmark is 50 – anything above represents expansion and below, identifies contraction.

“Building a better Australia” – Ms Julia Gillard.

It’s not just the carbon tax causing truth or scare for  Australians!

Cheers ^__^

6 Responses to “Carbon Tax: truth or scare time?”

  • Ryan O'Grady says:

    Great post Robert, must say I like the Gold Creek analogy!

  • Gordon says:

    Be fair, Robert.

    There were actually four criteria for membership of the Multi-Party (sic) Climate Change Committee:

    Absolutely no business experience;
    No common sense;
    Dense belief in and willingness to spout climate change dogma;
    Ability to see personal publicity/financial benefits from participation.

    It seems that their oleaginous unanimity in fulfilling these objectives speaks volumes.

  • Touche Gordon – Touche! Another brilliant analysis indeed.

    Ryan – I thought we may be a bit different this week and try playing with words 🙂

  • Ann says:

    I see the Greens are out today announcing what they have in the Carbon Tax or aptly Secretive Weapon of Mass Taxation (SWMT).

    and an ALP unionists is suggesting that ALP and Coalition swap preferences and stave the Greens, like they do with One Nation.

  • Ann says:

    I wonder of Carbon Tax introduction will be better than this fiasco

    http://www.theaustralian.com.au/national-affairs/ber-waste-tops-15b/story-fn59niix-1226090622303

    MORE than $1.5 billion has been wasted in the eastern states under the federal Government’s Building the Education Revolution schools stimulus program, with the nation’s two biggest states failing to provide value for money under the program.

    The third and final report into the BER, conducted by former investment banker Brad Orgill, has found Victorian and NSW, have not delivered value for money for public schools under the program with public schools charged an average of up to 60 per cent more for school buildings, despite no differences in quality.

    NSW public schools were charged on average $3448 per square metre for all classrooms, halls and libraries delivered, compared to $2707sqm for NSW Catholic schools – a 27 per cent premium.

    Buildings delivered to NSW public schools cost on average, 60 per cent more than buildings delivered to NSW independent schools, which cost $2156sqm.

    Victorian public schools were charged $3075sqm for buildings compared to $2406 for Victorian Catholic schools and $1975 for Victorian independent schools – 56 per cent more than public schools.

    Start of sidebar. Skip to end of sidebar.

    End of sidebar. Return to start of sidebar.

    Comparing the rates charged to public schools in the eastern states which each delivered the program using expensive project managers to the rates paid by Catholic schools shows $1.53 billion has been wasted in NSW, Victoria and Queensland under the program.

    When compared to independent school the figure balloons further.

    “The NSW and Victorian governments were responsible for delivering 37 per cent of the program,” the taskforce said.

    ”We believe their poorer performance on both cost and observed quality has been influenced by the hollowing out of public works capacity over the last 20 years, which has limited the ability to effectively manage an outsourced delivery model.

    “Their school communities were also disenfranchised. It was a mistake not to embrace school communities more effectively in decision making.

    “A proportion of schools could have worked directly with a managing architect to self-manage their projects. Quality would likely have been higher and complaints lower.”

  • Very interesting read. I’m not sure where I fall on the Carbon Tax issue – but the more info the better.

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