While the recently announced fuel taxes offset scheme will allow some breathing space for the freight industry to transition to the carbon economy, the scheme should be kept simple and consistent, the Australian Logistics Council (ALC) said.
The Federal Government’s carbon green paper promises a reduction in fuel taxes for heavy vehicles on a cent-for-cent basis as part of the impending carbon pollution adjustment scheme.
“The transitional arrangement of a cent-for-cent offset of the initial price impact will allow our vital freight industry to adjust to the coming emissions trading regime,” said ALC chief executive officer Hal Morris.
“However, it is very concerning that the offset for heavy vehicles will be reviewed by government after one year, while the other users, including agriculture and forestry, will not be reviewed for up to three years.
“The system must be simple and understandable – Keep it simple.”
Mr Morris said inconsistencies will cast uncertainty over supply chains as it is unclear whether rail and sea transport’s use of fuel is to be included in the scheme.
“Australia’s freight industry is heavily reliant on diesel, with around two thirds of our freight transport reliant on diesel to deliver our nation’s goods,” he said.
“The Government must address these concerns urgently before our nation sees the start of this scheme.”
Addressing this and other issues, the inaugural National T&L Energy and Environment Summit will be hosted by the ALC in Melbourne on 23 July. The summit will deliberate on key studies, including a paper from Access Economics, CSIRO and industry case studies of action in this area.
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