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Now it’s time to sell the carbon tax to the public

The controversial carbon tax will set the scene for the remainder of Julia Gillard's term as Prime Minister, and determine how long she remains in power, says Matthew Dixon.

Finally the day arrived that everyone in Australia had been hearing about for so long, the day of the official announcement of details of the proposed carbon tax.

The infamous carbon tax has been at the frontline of public debate for months now. However it was on Sunday that we learned about what the government actually had in mind.  A fancy new website explains Australia’s clean energy future in a move that not only defines Australia environmental impact but also the future of Julia Gillard’s Labor government.

The crux of the tax is that 500 of Australia’s largest companies will be charged $23 per tonne of carbon.  For the expected rise in the cost of living the Labor government will introduce tax cuts and pension rises to those who are classified as low and middle income earners.

The idea of a tax cut is set to help those who most need it, however there is no doubt that high income earners well bear the brunt of costs from the tax. Shortly after the tax was announced, Qantas said they expected it would cost the airline $115 million annually, even after the price of flights are raised to try and compensate.

This is likely to be the biggest political issue for Gillard this year. The government’s capacity to sell it to the public over the next month will determine just how long she remains in power.

It has been hard to avoid the debate in the media, with even the idea of plebiscite being thrown around (to very little avail). We have also seen both parties switch their opinion in terms of supporting or being against a price on carbon.

What seems to be the more important fact for many people is that Gillard promised the Australia public that there would never be a tax. The tax itself has often been overlooked for this key reason, and with Gillard’s popularity at all time lows the reception of the tax will be critical.

Many in the media see the tax as the last chance to try and save her leadership, including political editor of The Australian Denis Shanahan.

‘Sunday’s announcement has to get people to re-engage with Gillard as Prime Minister, reconsider the carbon tax as a total issue and not just one of rising costs, and then to change their minds,’ Shanahan wrote.

The biggest problem is that many Australians have made up their mind. The public never wanted such a tax and when they voted for Gillard.

Unfortunately Gillard now has to try  to convince the majority of voters that what she said she originally didn’t want is now what’s best for the country, and that’s no easy task.

In circumstances that echo the lead up to the 1998 ‘GST election’, Gillard will have to work extremely hard to sell the tax. The then proposed GST resulted in John Howard changing public opinion and securing the reelection of his government.

While we still have a year until the carbon tax is implemented, it will be the next few months that will be the most important.  So expect to be bombarded by expensive advertising campaigns, seeing Gillard on TV more than ever, and increasing coverage of the carbon tax.  Because it’s not just about a tax any more. It’s about who will be the future leader of our country.

Matthew Dixon is a final-year Bachelor of Journalism student at La Trobe University and is part of upstart’s incoming editorial team. You can follow him on Twitter: @matthewdixon23.

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