The final report of the Garnaut Climate Change Review correctly warns that the introduction of a climate change scheme should not be rushed and must be approached with caution.

The State's peak business group, the Chamber of Commerce and Industry of Western Australia, welcomes the release of Professor Ross Garnaut's final report and his warning that Australia can't single-handedly reduce the world's carbon emissions.

The introduction of an emissions trading scheme presents the most significant challenge faced by Australian business and industry in many decades. For that reason, it's essential that the Federal Government not rush its introduction and risk damaging the State’s and the Nation’s economies.

CCI supports the introduction of a Carbon Pollution Reduction Scheme, but remains concerned that the proposed timeline for its introduction is too short, leaving business insufficient time to prepare for its arrival.

The long term success of the scheme requires careful planning, and for reduction targets to be set at achievable and realistic levels.

CCI agrees with Professor Garnaut's assessment that a global approach is needed if the world's carbon emissions are to be successfully reduced.

Emissions reductions of the order contemplated from 5%, if Australia goes it alone, and up to 25% of 2000 levels, if the rest of the world takes part alongside Australia, will have a significant impact on Australia.

For WA, the potential impacts of the CPRS are significant, given that fossil fuels, such as coal, oil, and natural gas will continue to meet the greatest share of the State's energy needs for the foreseeable future. It is likely to be a long time until renewable energy becomes a more cost effective alternative.

Business needs assurance that an emissions trading scheme will not harm the State's economy or the international competitiveness of WA firms.

The proposed introduction of a Carbon Pollution Reduction Scheme in just over 12 months presents significant risks to business and industry.

Any scheme that undermines business confidence and competitiveness is not in the national interest.

Statement by CCI Executive Director, Industry Policy, Trevor Lovelle