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Ethanol: massive pork-barrelling confirmed.

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Senator Kim Carr

Labor Senator for Victoria Shadow Minister for Innovation and Industry Shadow Minister for Science and Research


Ethanol: massive pork-barrelling confirmed

At a time when the Government intends to slash assistance to the TCF industry at a cost of thousands of jobs across regional Australia, reports claim that it is still looking for further ways to help its mates in the ethanol industry.

A CSIRO report obtained by The Australian newspaper has reinforced what had been widely suspected: “The costs of implementing a policy of assisting the Australian biofuels industry to meet a 350 million litre biofuels target (by 2010) are estimated to exceed the benefits.”

According to the report, jointly prepared by CSIRO, ABARE and the Bureau of Transport and Regional Economics, John Anderson’s pet plan to ramp up ethanol production to 350 million litres by 2010 will create barely 200 jobs involving “a net loss to the economy of up to $504,000 for every job created.”

Such a strategy is in marked contrast to the government’s treatment of other industries and inevitably raises the question of just who will benefit from such an irrational decision.

Labor believes that industry policy is about creating real jobs, and a thriving economy, not favouring mates. The Australian people expect and deserve value for money - they are not getting it under the Howard Government.

Further information: Kim Carr 0419 563 922, Andrew Reeves 0419 892 159. Electorate Office: 62 Lygon St CARLTON SOUTH 3053 Ph: 03 9639 2798 Fax: 03 9639 3109

Canberra Office: Parliament house CANBERRA ACT 2600 Ph: 02 6277 3730 Fax: 02 6277 5911 Email: Toll Free Number: 1800 673 169