The government has been urged to drop a plan that would have given free carbon credits to major industrial polluters by the climate company RepuTex, on which Labor based its policies. RepuTex has warned that doing so might cause Australia to miss its targets for reducing emissions. The safeguard system has not been effective in practise since businesses have been permitted to raise pollution without facing the consequences, and industrial emissions have continued to climb. However, Labor has pledged to maintain and improve it.
Major polluting facilities covered by this safeguard mechanism include:
- Gas production sites
- Aluminium smelters
- Steel plants
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