OneSteel Gets $64m Ahead of CarbonTax

MANUFACTURER OneSteel will receive $64 million to help it prepare for the introduction of the Federal Government's carbon tax in July. 
 
Climate Change Minister Greg Combet announced today that the advance payment had been finalised under the government's $300 million Steel Transformation Plan (STP).
OneSteel expects to receive the payment within 30 days and it will be recorded as income in the company's financial statements for fiscal 2012.

Labor finalised a similar $100 million advance to BlueScope Steel in December.
"The assistance provided to the Australian steel manufacturers will help OneSteel and BlueScope to adapt and modify their business models to ensure their long-term sustainability in a low carbon economy," Mr Combet said in a statement.

OneSteel chief executive Geoff Plummer told the stock exchange the company was "pleased with the government's interest in steel manufacturing in Australia" and welcomed the funds.

The STP, announced in July 2011, was intended to help steel makers adjust to the government's carbon tax, which will start with a fixed pollution price of $23 a tonne.

But the advance payments will also help OneSteel and BlueScope deal with the high Australian dollar, weak domestic demand and excess supply in international steel markers, Mr Combet said.

Labor's $300 million STP was passed by the Parliament in November alongside the 18 carbon tax bills.

.Controversial climate sceptic Lord Monckton Set to Speak at National Press Club

CLIMATE sceptic Christopher Monckton has been offered a prime speaking slot at the National Press Club in Canberra on July 19, despite a spate of cancelled public appearances.

Lord Monckton - who recently accused Julia Gillard's climate adviser Ross Garnaut of “fascist” views - is set to debate the Australia's Institute's executive director, economist Richard Denniss.

The Australian Online understands Lord Monckton was offered the spot in response to a request from his tour organisers.

The engagement is yet to be finalised as he has a speaking engagement in Melbourne which he is trying to shift.

It's understood the press club board approved the offer to Lord Monckton on Friday, while Dr Denniss has accepted the invitation.

National Press Club senior vice president Steve Lewis said the role of the club was to “provide a civilised forum for an important debate”.

“That's why we have extended the invitation to Lord Monckton and Dr Denniss to have this debate,” he said.

Dr Denniss has worked as a strategic adviser to Greens leader Bob Brown and worked as chief-of-staff to former Democrats leader Natasha Stott Despoja.

Lord Monckton has had speaking appearances cancelled at clubs in Melbourne, Adelaide and Perth since arriving in Australia, after his comments about Professor Garnaut were revealed. Lord Monckton later said he had apologised to Professor Garnaut.

Engagements at the Brisbane Broncos Leagues Club and Port Adelaide Football Club have also been cancelled.

Lord Monckton's tour organisers have subsequently arranged for him to speak at the Bardon Conference Venue in Queensland and the South Adelaide Football Club in South Australia.

Lord Monckton has also spoken at a mining conference in Perth, and at the city's Notre Dame University, during his current visit.

But he today hit out at those responsible for cancelling his appearances, saying it was evidence the climate change movement was faltering.

“I see this simply as a mark of naked fear on the part of people who had arrogantly decided to politicise science and have now discovered that the truth is the truth, whether they like it or not,” Lord Monckton said.

“What we're seeing here is the last gasp of quite an unpleasant international political movement which had decided to try to politicise science itself and which has now failed.”

“If they were confident of their own scientific and economic position, they would not be frightened to allow the other side of the case to be heard.”

Organisers of Lord Monckton's national tour were told his booking of a Port Adelaide Footbal Club function room was “unsuitable”.

Port Adelaide's media manager Andrew Rutter said the booking was made by a staff member but cancelled after management became aware of it.

“Port Adelaide is a sporting club and that is what we are about,” Mr Rutter said.

“The club respects everyone's right to an opinion, but does not see itself or its facilities as a platform for any political viewpoint.”http://www.blogger.com/img/blank.gif

Lord Monckton said the club did not understand what freedom of speech meant.

“In Australia it always used to be that you got a fair go and clearly that is no longer the case,” he said.

“Before I came here I had a look at the international reputation of Australia and a number of the websites that monitored human rights for instance are beginning to talk of Australia as no longer a free country because access to information is so controlled.”

TheAge.com.au

Carbon Credits Market at Point of Collapse

THE international market in carbon credits has suffered an almost total collapse, with only $US1.5 billion of them traded last year - the lowest since the system opened in 2005, says a report from the World Bank.

A fledgling market in greenhouse gas emissions in the United States also declined, and only the European Union's internal market in carbon remained healthy, worth $US120 billion. However, leaked documents appear to show that even the EU's system is in danger.

The international market in carbon credits was brought about under the Kyoto Protocol, as a way of injecting investment in low-carbon technology in the developing world.

Under the system, known as the clean development mechanism, projects such as wind farms or solar panels in developing countries are awarded credits for every tonne of carbon avoided. These credits are bought by rich countries to count towards their emissions reduction targets.

From 2005, when the Kyoto Protocol came into force, to 2009 the system generated a total of $25 billion for developing countries. But last year's $1.5 billion was even less than the amount paid for credits in the first year of operation.

''This bodes very badly for the countries we are trying to help,'' said the World Bank's envoy for climate change, Andrew Steer. ''The [carbon] market is failing us.''

If the poor performance continued, it would mean increasing greenhouse gas emissions, he said. Part of the problem is uncertainty over the future of the Kyoto Protocol. The provisions of the 1997 treaty, which took years to come into force, are due to expire in 2012 and there is no agreement yet on a continuation.

The US refuses to take part in the treaty, and Russia, Japan and Canada said at the recent Group of Eight meeting they would not continue under the Kyoto Protocol. The United Nations is trying to ensure that the trade in credits continues even if the protocol is not renewed.

Carbon credits: a hard thing to hang on to?

The thing about carbon trading is that you are dealing in something you can't see, feel or touch. Carbon credits are a mathematical calculation of something that doesn't exist. I mean, how do you stock a warehouse with credits for tonnes of carbon dioxide that someone hasn't produced and want to sell?

Does this make carbon credits more vulnerable to electronic theft? That is a question that comes up with news that the European Union has halted transfers of carbon credits because hackers have broken into the registries of five mostly unnamed countries and stolen two-million tonnes worth of the credits potentially worth millions of euros. We have a wire story on that case here.

The Czech Republic's registry is one that is known. The New York Times is reporting comments from a trading firm that the Czechs lost 470,000 tonnes worth of the credits worth almost seven-million euros.

On the surface, one might argue that this doesn't necessarily say anything about the carbon market, and if it impugns carbon trading it tarnishes all financial markets since they all operate via vast, lighting-quick electronic networks with transactions trading theoretical bits and bytes of the things from copper futures to international currency. I mean, if one bank transfers $100 million to another bank, no one is sending a truck full of cash between the two.

However, copper futures are tied to physical metal, and if you use your computer to transfer your paycheque from one bank to your credit union, you can walk up to an ATM and withdraw cash.

"This is not good for the credibility of the market," explained Kjersti Ulset, head market analyst for Point Carbon, a Norway-based firm that closely follows the trading and was quoted by the Times. "But at the same time, it should be possible to find measures that will make it possible to avoid this in the future."
That about sums it up. In the meantime, the EU has said 14 of its 27 member countries need to boost their online security.

New Zealand Online Auction with member Selling Carbon Credits - Carbon Trading Scheme ETS CAP N TRADE

New Zealand has already implemented an ETS, now owners of forestry are selling carbon credits such as on this New Zealand Online Auction Site Trademe where one trader is offering Carbon Credits (750 NZUs) Starting at $15,000 New Zealand Dollars.

Currently the auction seems to be more questions about the specifics of the ETS as the world struggles to come to grips with its complexities.

View this trademe.co.nz Carbon Credits auction.