Australian Senate delays carbon tax repeal; Palmer withdraws support

After unexpectedly losing a vote to scrap the carbon tax on Thursday, the Australian Federal Government is pressing ahead with its repeal bid by bringing it back to Parliament on Monday. Palmer United Party (PUP), which holds the balance in the Senate, withdrew support because its leader Clive Palmer claimed it had been “double-crossed” by the Coalition. Two weeks ago, the colourful mining magnate announced that he would back the repeal bills if key conditions were met, including guaranteeing savings would be passed onto consumers.

We’re very clear: we support the removal of the carbon tax, but we don’t support the removal of the carbon tax if it means it won’t flow on to normal people.

Clive Palmer, leader of the Palmer United Party (PUP)

Australia has among the world’s highest carbon emissions per capita due mainly to its reliance on coal-fired power stations. Conservative Prime Minister Tony Abbott, once a climate-change sceptic, made the abolition of the carbon tax a centrepiece of his 2013 election, arguing it financially burdened industry and consumers and did little to cut emissions.

Asia-Pacific