No carbon tax for water factory

GIPPSLAND Water is confident that the greenhouse gas emission reductions achieved through the full commissioning of the Gippsland Water Factory will enable it to avoid a liability for carbon tax under the Clean Energy Act.

Responding to the news that Gippsland Water has appeared on the Liable Entities Public Information Database produced by the Clean Energy Regulator, managing director David Mawer said the regulator had produced the list based upon data from the 2010-2011 financial year of organisations it believed could be liable for carbon tax.

But he said an organisation’s liability for carbon tax was based upon their greenhouse gas emissions for the year, not being on the database.

“Reduction of emissions coming from raw sewerage was a key driver for the water factory project,” Mr Mawer said.

“The regulator has drawn upon data that is based on only five months operation of the new wastewater treatment facilities operating at the water factory,” he added.

“It remains our view that the impact of the full commissioning of the Gippsland Water Factory has reduced greenhouse gas emissions below the liability threshold of 25,000 tonnes of CO2, equivalent emissions the regulator has put in place.”

Mr Mawer said Gippsland Water was currently working with the regulator to advise it of this change of circumstance and was confident that when the Clean Energy Regulator updated the database Gippsland Water would not be on it.