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Because the Government will provide compensation for higher fuel bills, there is little incentive to use less electricity. While the Government is to be commended for its attempt to use carbon pricing to redistribute wealth, it is likely the poor will share the greater part of the burden of carbon pricing.
The Government has crafted a historic package of reforms: driving long-run reductions in carbon pollution, simplifying personal tax and making it fairer, and reducing poverty traps and barriers to work. It's exactly the kind of smart and gutsy approach we want to see from this Government.
There is nothing radical about fixing a carbon price. While our politicians and pundits quibble, the rest of the world is already implementing its commitments. Gillard's greatest challenge in selling her carbon scheme is in normalising it in the public mind.
The media are not indulging in fantasies, but feeding off rumours around Parliament House and gossip from within Labor. The message is that Gillard has until Christmas to improve the party's standing. But the party has bigger problems than an unpopular leader.
Our lives will change forever as we face the creative challenge posed by the carbon tax. We will pay the real cost of producing food, and cheap and frequent overseas trips will slow. But we must not let a grasping spirit hold us from imagining an economy and lifestyle that can thrive on alternative energy.
Actors specialise in image making, an imitation of life rather than life itself. While the carbon tax being spruiked by Cate Blanchett and other celebrities is ostensibly designed to target polluters, in truth the Gillard Government is simply finding another avenue for raising revenue.
You ... are a man of steel with an impotent nation in your care: talk peace; but make strong allies everywhere.
Political alliances can be strategically useful, but leaders must be careful not to appear too close to extreme groups. Tony Abbott and the NSW Greens have experienced 'guilt by association' in recent times, but the concept has a long history in Australian politics.
Risk reduction sat at the heart of the first Gillard campaign and, until recently, it seemed it would also sit at the heart of the second. By announcing a carbon tax Gillard proved that her thinking about her role as prime minister has come a long way.
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