EXCLUSIVE: Thousands are expected to lose their jobs in Latrobe Valley ahead of the carbon tax next month, and the city is asking state and federal governments to absorb some of the economic pain.

With the carbon tax due to start next month, Latrobe Valley expects thousands to lose their jobs.

A Victoria University study found the valley will be one of the areas worst affected by the carbon tax since it generates most of the state's electricity.

The Mayor of Latrobe City Ed Vermeulen expects around 2,000 job losses and is asking state and federal governments to absorb some of the economic pain.

“Our approach is to economically diversify the area here and we're working hard on that for instance we have the only aeroplane factory in Australia in Latrobe city,” he said.

But despite the best intentions, job losses are likely, and strikes that could cripple Victoria's electricity generation could follow.

Green groups, however, argue that the carbon tax will not have a signficant impact on the local economy.

“What we're seeing is Latrobe Valley generators are getting very large amounts of compensation in the early years of the scheme,” Mark Wakeham from Environment Victoria said.

As part of its carbon plan, the government is negotiating the closure of the worst polluting power stations. It will buy around 2,000 megawatts of capacity and then shut them down.

The Nationals' federal member for Gippsland, Darren Chester says the closure program is only making things worse.

“We're talking about hundreds of jobs hundreds of well-paid jobs being taken out of the local economy,” he said, “and that's all adding to this crisis of confidence in the local community.”

But some believe the carbon tax will actually help the valley.

The Gippsland Trades and Labour Council’s John Parker says the scheme brings certainty, and more jobs would be lost without the tax.

“Over the last ten years we haven't had that certainty,” said Mr Parker, “there's been no investment in the Latrobe Valley.”

So far, three Latrobe Valley power stations have been shortlisted.

EXTENDED INTERVIEW

SBS’s Richard Davis travelled to the valley and spoke to power station worker, Angelo Gaudiano, who reveals the personal cost of pricing carbon.

Angelo Gaudiano expects to lose his job after the carbon tax begins and is deeply frustrated that the valley is carrying much of the burden of reducing greenhouse gas emissions.

How many new jobs have already been created in carbon free industries and how many more to come?
Old jobs go and new ones are created..its the way its always been
Burning coal to create electricity is an old and dirty technology and should have been scrapped decades ago

Jobs gone, for such a pointless tax that won't change the weather one bit.  :(  :(

It is a shame and a blot on successive Victorian governments over the last 30 years have allowed this grand pollution machine to exist, to continue and not to have brought down successively restrictive regulations so that today's electricity generation would be breathaable with only modest carbon emissions and reduced levels of cancer and respiratory disorders. Without a carbon tax, the ownership will certainly not make any clean up investment.

Interesting question. How many green jobs have been created in the latrobe valley? Somehow I think these workers will be living off the dole for a while in wait for those 'green' jobs.

adelcrow wrote on Jun 24^th, 2012 at 7:57pm:

How many new jobs have already been created in carbon free industries and how many more to come? Old jobs go and new ones are created..its the way its always been Buring coal to create electricity is an old and dirty technology and should have been scrapped decaades ago

Yes please tell us, how many jobs? I'm keen to know.

Agree with your second point, we should have embraced nuclear energy years ago.

Shane B wrote on Jun 24^th, 2012 at 7:58pm:

Jobs gone, for such a pointless tax that won't change the weather one bit.  :(  :(

We should never have had indoor plumbing and sewerage treatment plants because it put thousands of night cart workers out if a job in this country.
We should never had stopped whaling because it put thousands of whalers out of work n this country.
We should never have invented the electric light bulb because it put thousands of candle makers out of work in this country.
We should never have invented PC's because they put millions of office workers of work.
The list goes on forever

Shane B wrote on Jun 24^th, 2012 at 8:00pm:

adelcrow wrote on Jun 24th, 2012 at 7:57pm: How many new jobs have already been created in carbon free industries and how many more to come? Old jobs go and new ones are created..its the way its always been Buring coal to create electricity is an old and dirty technology and should have been scrapped decaades ago Yes please tell us, how many jobs? I'm keen to know. Agree with your second point, we should have embraced nuclear energy years ago.

Unfortunately Abbott is too gutless to lead the hard right on nuclear.

Awesome wrote on Jun 24^th, 2012 at 7:54pm:

EXCLUSIVE: Thousands are expected to lose their jobs in Latrobe Valley ahead of the carbon tax next month, and the city is asking state and federal governments to absorb some of the economic pain. [...]

Don't you worry about a thing. The cost to households of the carbon tax is just .7%! It's less than the price of a flat white once a week.

That won't matter much if you dont have a job.

salad in wrote on Jun 24^th, 2012 at 8:09pm:

Awesome wrote on Jun 24th, 2012 at 7:54pm: EXCLUSIVE: Thousands are expected to lose their jobs in Latrobe Valley ahead of the carbon tax next month, and the city is asking state and federal governments to absorb some of the economic pain. [...] Don't you worry about a thing. The cost to households of the carbon tax is just .7%! It's less than the price of a flat white once a week.

I'm more worried about Whyalla being wiped off the map on July 1st 2012.

If the impact of the tax on households, according to some here, supposed to be quite low, then why is the Government desperately shovelling money out the door to 'compensate' people?

This carbon tax is just a trojan horse for
Statism.

Awesome wrote on Jun 24^th, 2012 at 8:12pm:

That won't matter much if you dont have a job.

But you will have time to drink that flat white without the need to slam it down fast. And while you are drinking the coffee you can think of Julia Gillard and how she will control the earth's temperature. Good Gawd! Aren't we lucky to be living in this period of time.

salad in wrote on Jun 24^th, 2012 at 8:15pm:

Awesome wrote on Jun 24th, 2012 at 8:12pm: That won't matter much if you dont have a job. But you will have time to drink that flat white without the need to slam it down fast. And while you are drinking the coffee you can think of Julia Gillard and how she will control the earth's temperature. Good Gawd! Aren't we lucky to be living in this period of time.

Since the hard right have the same goal, how much will 'direct action' lower world temps?

Go ask the hard right.

Awesome wrote on Jun 24^th, 2012 at 7:54pm:

EXCLUSIVE: Thousands are expected to lose their jobs in Latrobe Valley ahead of the carbon tax next month, and the city is asking state and federal governments to absorb some of the economic pain. [...]

Remember this: if you drive a bus that is powered by natural gas that is considered a green job; if you work in a bicycle shop you are considered to have a green job. See how it works. I saw all that lunacy on one of the other blogs. I'll try to find it if I can.

salad in wrote on Jun 24^th, 2012 at 8:23pm:

Go ask the hard right.

They run when they get asked.

i.e Abbott hiding from interviewers.

adelcrow wrote on Jun 24^th, 2012 at 8:03pm:

Shane B wrote on Jun 24th, 2012 at 7:58pm: Jobs gone, for such a pointless tax that won't change the weather one bit.  :(  :( We should never have had indoor plumbing and sewerage treatment plants because it put thousands of night cart workers out if a job in this country. We should never had stopped whaling because it put thousands of whalers out of work n this country. We should never have invented the electric light bulb because it put thousands of candle makers out of work in this country. We should never have invented PC's because they put millions of office workers of work. The list goes on forever

Any idea how many ice carters and ice workers were put out of work by the refrigerator?

A few million blocks of ice a few times a week.

Yes but they weren't taxed out of existence, they were replaced by technology.

I'll tell you by how much direct action will
lower the world's temperature, zero. I
don't support any action for what is a scientific hoax.

No surprise to see greens voters celebrating people losing their jobs.