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Rudd under pressure as Garnaut kicks off tour -

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The Prime Minister is facing pressure from all sides as he pushes Australia towards an emissions
trading scheme. Professor Ross Garnaut has embarked on a national tour talking about his report on
the issue, but the unease over the Government's plan is much closer to home for Federal Labor.

TONY JONES, PRESENTER: The Prime Minister is facing pressure from all sides as he pushes Australia
towards an emissions trading scheme. Professor Ross Garnaut has embarked on a national tour talking
about his report on the issue. But unease over the Government's plan is getting very close to home
for Federal Labor.

Some states and parts of the union movement are now urging caution and compensation for vulnerable
coal-fired power generators. The opposition just wants a delay until other world powers move first.

From Canberra, Hayden Cooper reports.

HAYDEN COOPER, REPORTER: The climate change handouts have commenced, even for those who'll be
exempt from emissions trading.

TONY BURKE, AGRICULTURE MINISTER: $46.2 million to make sure that we can help our farmers deal with
these challenges into the future.

HAYDEN COOPER: But as the Garnaut Green crusade goes national, it's the Labor Party's own who are
getting edgy, especially those representing metal workers.

PAUL HOWES, AUSTRALIAN WORKERS UNION: Too many people in our community at the moment view climate
change through the prism of making themselves feel better, through short term domestic feel good
politics.

HAYDEN COOPER: Paul Howes believes the 2010 start date is too soon. Others share the anxiety, but
are far more blunt. The New South Wales Treasurer says the Garnaut report wrongly suggests the sky
is about to fall in.

MICHAEL COSTA, NSW TREASURER (excerpt, The World Today): We don't need Chicken Little, we need
detail and we need to make sure that we get this right.

HAYDEN COOPER: But in these times he who questions climate change is usually labelled a heretic in
desperate need of conversion.

ROSS GARNAUT, GOVERNMENT ADVISER ON CLIMATE CHANGE: The New South Wales Treasurer is a well known
denier of the science. I'd be very happy to have further discussions with him in Sydney on
Thursday.

BOB BROWN, GREENS LEADER: I think he's a rooster which is crowing in the wrong direction, and he is
a very foolish man.

HAYDEN COOPER: But Michael Costa's very appeal, to compensate the power industry, may yet win
Federal support.

TONY BURKE: You're going very directly to what's currently within a cabinet process and I'm not at
liberty to go any further on that.

HAYDEN COOPER: As Cabinet grapples with the tough decisions, the commencement date of emissions
trading has also come down to semantics. Is 2010 a deadline, or an ambition?

TONY BURKE: There was an election commitment made with respect to 2010 and it's our intention to
keep to that.

HAYDEN COOPER: If scepticism is emerging in Labor ranks it's exploding on the other side of
politics. As each day passes, the Opposition only amplifies its cries about the impact of all this
on petrol and electricity. But at the same time, its own policy is changing.

BRENDAN NELSON, OPPOSITION LEADER: We alone cannot solve the problems of climate change, but we can
do enormous damage to our environment and our economic future if we get this wrong.

HAYDEN COOPER: Having promised last year to lead the world, the Coalition is now urging a wait and
see approach.

BRENDAN NELSON: We should not start an emissions trading scheme in Australia until we are
absolutely confident that it is ready to commence and also that the rest of the world has a start
date for dealing with climate change itself.

HAYDEN COOPER: And that could take a while. Hayden Cooper, Lateline.