Carbon tax polarises town



Thursday 14 July 2011

Carbon tax polarises town

by Mat Churchill

Tourism bodies have reacted negatively to the Government's announcement of a Carbon Tax, claiming that the already struggling industry will be further damaged by the reform.

An email from Tourism Port Douglas and Daintree and Daintree members sent yesterday highlighted the fears of our local tourism body. The email stated:

  • The average carbon tax increase as costed by Qantas will be $3.50 per person per flight sector. This will add a minimum of $14 million annually in travel costs for visitors to the Tropical North.
  • The cost of doing business for tourism operators in the Tropical North will increase as the majority of raw materials are transported into the region.  These costs will be passed on to visitors and will add to the price of this destination eroding competitiveness.  Those costs will be multiplied through the community, because of our well established economic reliance on tourism and air travel.
  • Another example of added costs to business is the suggested removal of part of the marine fuel rebate which will add further costs to many local businesses.
  • This tax will hit us harder than most destinations putting us at a greater competitive disadvantage than others, given our major competition for Australian holiday-makers are tropical destinations overseas.  The carbon tax will effectively discourage domestic air travel while encouraging Australians to holiday overseas.  The major casualty among Australia's tourism destinations will be the Tropical North. It is disappointing that the tourism industry has been discriminated against, considering the inequitable exclusion from the compensation afforded other industries.


However the email was not well received by all TPDD members with Coral Sea Villas manager, Toni Bennett, saying the message only contributes to the "scare campaign" Carbon Tax opponents are perpetuating.

"I am watching this debate with interest. I actually support the carbon tax, global warming I believe is more of a threat to the tourism industry in FNQ than the $3.50 per flight sector levied on travelers," she said.   

"I do not support a scare campaign or a call for compensation at this stage without knowing the impact of this tax.  

"I would ask that TTNQ (Tourism Tropical North Queensland) and TPDD stop putting out statements like 'This will add a minimum of $14 million annually in travel costs for visitors to the Tropical North.'  

"This does not contribute to this important debate but is meant only to fuel fear. We do not yet know what impact this will have, let us have a responsible discussion and action.  

"I am so tired of people putting their hand out for Government assistance for everything. We are creating this problem of carbon pollution and global warming so every person needs to take responsibility for it."

Meanwhile Port Douglas Chamber of Commerce president, Ken Dobbs, said there will be both positive and negative effects of the introduction of a carbon tax.

"From the Chamber point of view we saw that there is two sides to this story and one is about the environment and (our) future and the necessity to preserve things like the reef.

"We agreed that we would not come out to support the CCIQ position, but on the other hand we don't want to come and go the opposite way either."

Mr Dobbs added that his personal view, as opposed to that of the Chamber, was to support the carbon tax.

"The carbon tax is going to hurt me more than it hurts the average man because I'm a self-funded retiree and I'm not going to get any compensation by the look of it.

"I don't care because I think it's the right thing for the future and in fact the economists generally think it's the right thing for the future as well.

"I think it's just very greedy to say we don't want to pay any price now for something that might be of value to our children and grand children."

What do you think of the Government's Carbon Tax? Are you for it, against it, or is it too early to tell?