Media release
Wednesday 21st December 2005
Chamber of Commerce Southland welcomed today’s statement from Central Government that they will not proceed with the introduction of the 2007 Carbon tax.
“The carbon tax was never going to work” said Chamber Southland C.E.O Richard Hay “This was never going to have any significant effect on lowering greenhouse emissions it was only ever going to be another compliance cost” he said
“This tax would only add to increased cost at all levels of the economy, creating inflation, higher domestic consumer prices and making New Zealand even less competitive in export markets”
He added that with the economy entering a slowdown and some suggesting a ‘bumpy landing’ in 2007 the last thing that business, the consumer and the country needs is another absorbent tax burden.
“This news is a bit of a Christmas present not only for business but for all New Zealanders, we are hearted that Central Government has see the error of their ways but we caution that the alternative to the unilateral carbon tax is not a targeted tax as suggested and great care and consultation needs to be done with business in this regarded”
“The best thing is for Government to incentivise rather than apply a tax which will hurt the whole community: