19 March 2007

Election policy costings fail climate change test

Greens MP Lee Rhiannon said today that the costings of election promises made by Labor and the Opposition are flawed and next to useless as neither takes into account the financial impact of global warming on the NSW budget.

"The Stern report issued by the British government at the end of last year detailed how global warming could shrink the global economy by 20 percent," Ms Rhiannon said.

"Premier Iemma and Mr Debnam need to factor in climate change so any economic projections take into account the cost of increasing greenhouse gas emissions.

"Premier Iemma has stated this is a climate change election but that statement is not translating into policy.

"Promises made by Labor and Liberal will come with a much higher price tag than today's figures suggest. On the table at this election we have an energy-hungry desalination plant and plans for improving roads at the expense of public transport.

"Premier Iemma and Mr Debnam have refused to rule out the proposed Anvil Hill coal mine which according to costings in the Stern report will cause up to $58 billion worth of climate change damage in less than one generation.

"It is ridiculous to prepare a budget analysis without considering the impact climate change will have and factor in the state's planned response.

"The fact that the Premier has failed to incorporate the impact of dealing with climate change in this budget analysis throws into doubt if he understands how serious the threat is and how meaningful his government's stated responses are.

"The Stern report identified the global market for renewable energy at more than $38billion. If Premier Iemma was not so wedded to the coal industry he would be working to ensure that NSW benefits from this developing market.

"Today's budget announcement shows that the Premier has failed to understand that there is an economic benefit in having a proactive position to deal with climate change.

"The Stern Review on the Economics of Climate Change said action now would save about $US2.5 trillion ($A3.25 trillion) compared with doing nothing, and would help avert catastrophe.

"Today the priorities of economic stability, jobs growth and environmental care cannot be separated. That is what the next NSW Premier has to recognise and act on," Ms Rhiannon said.