Thursday, 12 April 2012

Early Skirmish: Newman Enlists Allies in War on Green Tape


Questions are being raised about the Queensland State Government’s environmental agenda in the days leading up to Premier Campbell Newman’s first Council of Australian Governments meeting tomorrow in Canberra.

Mr Newman has criticised the findings of the COAG Business Advisory Forum, saying that the recommendations of the forum do not adequately support new business growth and that he hopes to help cut regulations and so-called “green tape” to assist in economic growth.

“We’re going to cut 18000 pages of regulation and legislation in the next six years… The current COAG agenda, and the way it’s been working, positively discourages you from doing that,” said Mr Newman today.

The COAG Business Advisory Forum, chaired by Prime Minister Gillard and attended by government and business leaders from across Australia, met in Canberra today to discuss possible business reforms and their impact on economic growth. As such, this put the ever-controversial mining tax squarely on the grid, with Campbell Newman slogging headlong into the debate in his first weeks in office.

While no decision is likely to be reached this week in Canberra, Mr Newman’s office has announced his intention to dispute the carbon tax initiative as “unconstitutional”, and is seeking allies for a challenge in the High Court. Mr Newman already claims to have spoken to another unnamed state premier about joining together for a High Court challenge, although this punter’s best guess would be that the unnamed premier is Western Australian Premier Colin Barnett, who has been an outspoken critic of the carbon tax and continues to fight it in the WA parliament.

Also up for discussion this week is the federal mining tax, due to come into effect in July this year. Mr Newman has invited Prime Minister Gillard to discuss the matter with him during the COAG meeting. Mr Newman has criticised the proposed super profits scheme related to the tax, saying that profits made by taxing mining industry in the state should stay within the state.

“If there’s a mining project in Queensland that’s paying this tax and a dollar of tax is paid, a dollar has got to come back to Queensland,” said Premier Newman today.

The Council of Australian Governments meeting is due to begin tomorrow, and findings of the meeting will begin to emerge as the meeting progresses, so more developments are sure to come. So far, what is interesting, is the unconventional narrative surrounding the new Queensland premier’s first weeks in office, which paint a picture of a man with economics and infrastructure squarely in his sights, and a refreshing lack of regard for old-world protocols that has the potential to create a sleek new paradigm for new government heads, or to create a level of engrained corruption the likes of which our state has never seen. And we’ve seen some shit already.

Unfortunately, we are yet to see the endgame; to see where these reforms will actually lead us as a state. Deregulation of environmental impact procedures, along with cutting financial disincentives for polluting, will make mining and exploration easier and more lucrative, but there is obvious and tangible environmental risk. Accordingly, there is growing concern about the LNP state government’s environmental agenda in favour of business reform, despite claims that the government will create a department dedicated to environmental protection (further reading here). The opposing argument that deregulation will aid business growth and cut unemployment, thereby leading the state into an economic golden-age, has also been met with derision in some quarters. The immediate question becomes: Who will these reforms actually benefit?

Karl Anderson

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