Opposition again slams carbon tax

OPPOSITION senators are railing against the carbon tax and rising electricity prices in debate on legislation that dumps a $15 floor price.

The upper house is considering a package of bills tying Australia's carbon pricing mechanism to the European Union emissions trading scheme.

As well as linking the schemes, the legislation dumps a $15 floor price that would have applied once the carbon price moved to a floating market-based mechanism in 2015.

Nationals senator Ron Boswell said renewable energy targets and the carbon price were driving up electricity prices.

"Australia is in an expensive energy hole right now because ... of the carbon tax, and it is time we stop digging," Senator Boswell told the Senate.

Labor senator Lisa Singh said carbon pricing was one of the most significant changes to the Australian economy.

"It will have an important and enduring effect on the way business calculate the environmental cost of their activities," she said.

Senator Singh said Australia wasn't going alone and, from next year, 850 million people would live in places where emitters paid.

"Emissions trading is the preferred method of carbon reduction across most of the world because it is easiest for business and the most efficient and effective policy lever," she said.

Independent senator Nick Xenophon said he would not support the bills because they "make a bad situation worse".

"I believe it's a bad policy. I believe what the government is doing is building on an already shaky foundation," he said, adding that he had supported an alternative pricing scheme.

NSW Nationals senator John Williams said the electorate had not voted for a carbon tax.

Senator Williams said four out of 150 MPs did not have a mandate to introduce such a tax.

"They were just complicit in this government betraying the Australian people," he told the chamber on Monday.

"The Greens, Mr Wilkie, of course Mr Windsor and Mr Oakeshott.

"People will be able to square the ledger at the next election in those seats."

The NSW senator said the carbon tax would go under an elected coalition government.

"It is a $1 trillion tax, a huge amount of money, there is a $1 trillion tax on our economy while the rest of the world are doing very, very little," Senator Williams said.

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