By XAVIER SMERDON
A LAVERTON North company’s claim that they may cancel a $1 billion expansion because of the carbon tax has turned into a mudslinging match between the government and the company’s managers.
Chairman of Coogee Chemicals in Laverton North, Gordon Martin, told Star that the company was looking at spending $1 billion on building a new methanol plant in Australia, but the carbon tax had made the project unviable.
Mr Martin said the project, which would have been funded by Chinese investors and could have created more than 150 long term jobs, was also more environmentally friendly than other options.
“When compared to the way they do the same thing in China, our process creates a minimum of four times less the amount of carbon dioxide,” Mr Martin said.
“The carbon tax gives us absolutely no certainty that we will continue to receive support after five years.
“We’ve spoken to the Prime Minister, all the ministers and the advisors and we’ve just found that there is an absolute lack of interest.”
But Prime Minister Julia Gillard told Star that the company could not realistically blame the carbon tax.
“If they were to build the kind of facility they are talking about, a very modern facility, then they would get assistance under the carbon pricing package,” Ms Gillard said.
“They basically wouldn’t have to face any effective carbon price, they’d get more than 100 per cent assistance. It really isn’t carbon pricing that can make the difference to that decision.”
Adding a fresh twist are claims that Mr Martin is a Liberal Party member and has made significant financial contributions to the party.
But Mr Martin said that had nothing to do with this particular issue.
