Labor Waste

The hidden costs of the carbon tax: 

A carbon price will add about $60 million to the cost of the Federal Government’s operations, and agencies are unlikely to be compensated for it.

The Canberra Times analysed emissions from the bureaucracy and the military to estimate the budget hit they will face in 2012-13, when the price and its related fuel tax increases take effect.

The Government, which is Australia’s biggest energy user, has not yet prepared its own calculations.

The cost will grow each year as the carbon price rises and as fuel tax credits fall, unless government agencies cut their energy use significantly.

The Climate Change Department confirmed the military and the public service would ”incur a financial effect as a result of the changes”, but neither it nor Treasury could say what that effect would be.

Opposition environment spokesman Greg Hunt said yesterday the $60million estimate showed the ”real cost” of the carbon price remained hidden.

”Either the Government provides more taxpayer money to cover the carbon tax cost of these departments, or services will have to be cut. Or we see another budget blow-out as the Government fails to think through the consequences of the carbon tax on its own departments,” he said.

Read the rest here: Govt’s $60m carbon hit – National News – National – General – The Canberra Times.

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