news20091201reut7

[Top News] from [REUTERS]

[Green Business]
Australia opposition dumps head, carbon laws in doubt
Mon Nov 30, 2009 6:46pm EST
By James Grubel

CANBERRA (Reuters) - Australia's embattled carbon-trade laws are set for almost certain defeat in a hostile Senate after the country's opposition on Tuesday elected a new leader opposed to the government's emissions trading scheme.

Prime Minister Kevin Rudd has struggled to have his carbon-trade laws passed by the Senate, expected to vote on the legislation this week.

If the upper house rejects the carbon scheme for a second time, Rudd will have a trigger to call an early 2010 election on climate change, with polls suggesting his government would be returned with an increased majority.

If Rudd wins a special double dissolution election of both house of parliament, he can then push his laws through a special joint sitting of the houses.

The main opposition Liberal Party elected conservative lawmaker Tony Abbott, who has said he opposes the ETS, as its new leader after disgruntled opposition lawmakers forced a challenge to Malcolm Turnbull.

"The party room has voted following Mr Abbott's accession to the leadership," desposed leader Turnbull told reporters.

"The party room has voted to defer the legislation to a Senate committee and if that is not successful then to vote it down this week."

Rudd, who is campaigning for a strong global agreement at next week's Copenhagen climate summit, wants emissions trading to start in Australia in July 2011, covering 75 percent of emissions in the developed world's bigger per capita emitter. The planned carbon-trade scheme would be the biggest outside Europe.

The United States is closely watching Australia's debate and a political agreement on carbon trading in Australia would help garner support for action from other countries.

Debate on the carbon trade laws resumed in the Senate on Tuesday, where the government needs seven opposition Senators to support the laws to secure passage.

The government's only hope of passing its scheme now rests with disaffected opposition lawmakers, who may defy the new leader and vote with the government. However, Abbott's victory in a leadership ballot makes that less likely.

An opposition source told Sky television the opposition had decided to vote against the carbon trade scheme in the Senate if the government puts the laws to a vote.

Defeat of the ETS laws would be a severe blow to Rudd, who met U.S. President Barack Obama in Washington on Monday to discuss climate change.

Rudd has repeatedly said he does not want an early poll and would prefer elections to be held on time in late 2010. But some analysts said Rudd's now has no option but to call an early election if he wants to pass his carbon trade laws.

(Editing by Michael Perry and Ron Popeski)


[Green Business]
U.S. falling behind in clean-energy race: Chu
Mon Nov 30, 2009 8:16pm EST
By Harriet McLeod

GREENVILLE, South Carolina (Reuters) - The United States is falling behind in the race for clean, renewable energy and risks losing its prominence in high-tech manufacturing, U.S. Energy Secretary Steven Chu said on Monday.

"America has the opportunity to lead the world in a new industrial revolution," Chu told business leaders, political leaders and engineers at a Clemson University symposium.

But, he said, "The world is passing us by. We are falling behind in the clean energy race. ... China is spending $9 billion a month on clean energy ... China has now passed the United States and Europe in high-tech manufacturing. There is no reason the United States should cede high-tech manufacturing to anyone."

Last week the U.S. Energy Department awarded a $45 million grant to Clemson's Restoration Institute to test the drive trains for the next generation of large-scale wind turbines.

The grant, plus $53 million in matching funds from public and private sources, will be used to build and operate a large-scale wind turbine drive train testing facility at a former Navy base in Charleston, South Carolina.

The facility will perform highly-accelerated testing of advanced drive train systems for wind turbines in the 5 megawatt to 15 megawatt range, the latter of which could power 6,000 homes.

"This is going to be a very competitive business and we want to help the United States get a leadership position in wind generation technology," Chu said.

"This is high-tech manufacturing. This means quality jobs for Americans, this means better exports and balance of trade, it means better consumption at home, it further drives down the price of wind, it betters our exports, it creates jobs in America. We see all good things."

Chu said the nation must decrease its dependence on foreign oil and mitigate against global warming by decreasing carbon emissions by 80 percent by 2050.

Talks at the Copenhagen summit on climate change in December will focus on a framework for moving forward, he said.

"Many people think once you've got an agreement, the work is done. No, the work is just beginning. You've got to deliver the goods," Chu said.

(Editing by Jane Sutton)


[Green Business]
"Mad Monk" Australia opposition head to fight CO2 laws
Mon Nov 30, 2009 8:45pm EST
By Rob Taylor

CANBERRA (Reuters) - Australia's new conservative opposition leader, Tony Abbott, is nicknamed the "Mad Monk" and once flirted with the priesthood, but his crusade against the government's emissions trade plan has been anything but madcap.

A pugnacious and socially conservative Catholic who has fought everything from attempts to make Australia a republic to embryonic stem cell research and same-sex marriages, Abbott was elected opposition leader on Tuesday in a surprise win.

His election over former investment banker and party moderate Malcolm Turnbull means the conservatives have reversed support for Prime Minister Kevin Rudd's emissions scheme and have likely ensured its defeat in an obstructive upper house later this week.

"This is a A$120 billion ($110 billion) tax on the Australian public. We can't just waive that through the parliament. It would be grossly irresponsible of us," Abbott told journalists after his victory on Tuesday. Elections are due in late 2010.

However, Abbott has now changed his position on the carbon trade scheme three times in recent months. He says he is not a climate skeptic and believes humans have contributed to global warming.

The London-born Abbott, 53, has never been shy of a parliamentary battle and once represented Oxford University at boxing while studying there as an Australian Rhodes Scholar.

A keen surfer and fitness fanatic, he appeared this week in swimming trunks while training for beach lifesaving duty, further adding to his reputation as a publicity savvy operator.

Abbott had aspired to joining the Catholic church and studied at a seminary before changing career paths and publicly saying he was too interested in attractive women to become a priest.

But he has made his name in politics, being a leading party intellectual and marshalling opposition to emissions trading among conservative forces.

Abbott has often been criticized for his lack of diplomacy and blunt language, including beliefs that Australia's disadvantaged Aborigines have a history under national government that is "not all bad," despite a 17 year life expectancy gap.

As a former health minister, he also showed up 30 minutes late for a nationally televised debate with his opposition counterpart, calling her complaints "bullshit."

Abbott has been in parliament for 15 years, after serving as a senior adviser to a former opposition Liberal Party leader.

($1=1.089 Australian Dollar)

(Editing by Bill Tarrant )