Conservatives Ruining State Economies

October 18, 2011 in Rants & Raves, Thoughts
Tags: Australia, carbon price, Clean Energy Future, climate change, conservatives, Liberals, politics, renewable energy, state government

Better economic managers?

All around the countryside there are conservative politicians refusing to protect their state’s economies. It’s a remarkable turn of events from the side of politics that loves to remind everyone how great they are at protecting and expanding economies.  But what am I talking about I hear some of you saying.

I’m talking about the conservatives in charge of New South Wales, Victoria and Western Australia.

Amazingly the leadership of these states have taken upon themselves to wholly signing up to the political strategy espoused by the federal Liberal leader. Instead of looking at how their own states can ensure they are well placed to take advantage of the coming renewable energy boom, they’re withdrawing investment and looking to continue with fossil fuels.

Rather than look for the comparative and competitive advantages in shaping the state’s future base for jobs, the theory seems to be business-as-usual.

It’s also remarkable given that these leaders aren’t particularly stupid people.

However, it suggests that much more is going on. That indeed there is some kind of collaboration and coordination between these states and the federal wing of the Liberal Party. Clearly, the federal wing is unhappy that they’ve been unable to stop the passage of the Clean Energy Future legislation, but another way of blunting the positive elements of the package is to have state governments shut down and close off investment in renewable energy production and distribution, and associated industries.

And with three states with conservative governments, the federal Liberal Party is arguably putting the pressure on their state counterparts to do what they can. Apparently, Barnett, Baillieu and O’Farrell have heard the clarion call to action.

Yet the Liberal Party is playing a dangerous economic game and one that could have some serious ramifications for the people in Western Australia, Victoria and New South Wales. By disinvesting in renewable energy and strengthening associated industries, these states are signalling a withdrawal from the clean energy future. They’re signalling to voters that they don’t believe in the jobs that will be created without having plans for growing jobs.

And they’re signalling to investors that they don’t want, or apparently need, fresh sources of investment to keep growing their respective economies.

I live in Victoria and it’s frustrating that our government has chosen to follow a future that denies our participation in the emerging benefits of the clean energy future legislation and the future emissions trading scheme. It also seems to be a slap in the face of their own principles as a political party, chiefly among them is their support for the free market. And more disappointingly, it strongly suggests that Ted Baillieu has bowed to the hardline elements in his party and has turned his back on what scientists are saying about climate change.

The conservatives are ruining the state economies of Western Australia, Victoria and New South Wales.

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