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AUSTRALIA

Cold showers for unprincipled Labor

  • 06 March 2012

Given the events of the past few weeks, most people could forgive Julia Gillard for wanting to stay out of hot water entirely. But instead the Government has been roundly criticised for its announcement last week that its solar hot water rebate scheme would come to an end — effective immediately.

Australia's solar hot water system manufacturers expressed shock and dismay at the abrupt decision, while the Opposition and the Greens were united in their criticisms of the Government's handling of the scheme. Greens Senator Christine Milne lamented: 'It is not good governance. It is ad hoc. It's poor planning. And it's undermining the jobs of the future.'

She was echoed by Shadow Minister for Climate Change Greg Hunt: 'Nobody could prepare. That's not responsible management. They did it with home insulation. They did it with Green Loans. They did it with Green Start. They did it with solar panels. And now they've done it to the solar hot water sector.'

To be fair, if it were up to the current Opposition (Malcolm Turnbull and Direct Action Plans notwithstanding) the solar hot water rebate scheme might never have started; and if it were up to the Greens, it might never have finished.

Even so, the criticisms from both parties ring true: lest we forget the mistakes of the past, Labor's fresh start had, within a day, been tarnished by a move guaranteed to upset everyone involved, in the name of nothing more than an arbitrary budget surplus deadline.

For those whose primary concern is the environmental benefit of schemes like the solar hot water rebate, the abrupt ending of the scheme in aid of a budget surplus can only imply that Labor's commitment to renewable energy is flexible at best.

For those most worried about economic management, the closure of the rebate scheme without warning to consumers, manufacturers and installers likewise suggests the Government cares more about the appearance of economic rectitude than the reality of sound management skills belied by this clumsy move.

The worst part is that the Government must surely have anticipated the strong negative response to the announcement, yet chose to go ahead anyway. Does this suggest steely determination, aloof arrogance, or sheer desperation?

Only time will tell whether the money gained from the early closure of the scheme will be worth the public disappointment, mistrust, and perceived mismanagement in this minor debacle.

If the Government had made its decision for the sake of some