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Opposition says keep farmers out of the CPRS.

- Sunday, October 18, 2009

The long-awaited Opposition response to the Government's proposed CPRS has been released. Of most interest to farmers is that the response proposes the permanent exclusion of agricultural emissions from coverage under the CPRS.

The Coalition announcement also includes a proposal that processors of primary agricultural products (such as meat and dairy processors) should also be able to access EITE assistance, and therefore only be required to purchase a small proportion of the total emission permits they would otherwise require. If adopted, this would be an indirect cost reduction for farmers, as processors would otherwise pass back the cost of emission permits to farmer/suppliers.

The Government has responded by saying that it will negotiate in good faith with the Coalition. Exactly which of the proposed Coalition amendments might be acceptable to the government, and which the Opposition might be prepared to trade off will be revealed as developments unfold in the coming weeks.  
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