And to think if Labor had stayed in Gov’t we’d still have a tax on the domestic use of carbon dioxide based energy.
Via the UK Telegraph
Australia is to become a global gas superpower by the middle of the decade and eliminate its current account deficit for the first time in almost 40 years, according to Morgan Stanley.
“Liquefied natural gas (LNG) exports from Australia could be the next big thing,” said the bank in a new report.
It predicted a “huge ramp-up” in LNG output that could transform the country’s economy, claiming that Australia could overtake Qatar by to become the world’s biggest exporter of LNG as soon as 2017 rather that 2030 as widely assumed.
By then Australia would be a major force in global energy production, with LNG and coal exports together matching the country’s vast iron ore shipments.
Two-thirds of the world’s entire increase in traded LNG capacity is currently from Australia.
…If Morgan Stanley is right, the export share of Australia’s economy will rise from 20pc to 22pc of GDP by 2016. Energy would jump from 10pc to 18pc of total shipments. The return to surplus would be a remarkable shift for a country that has run a current account deficit averaging 4pc of GDP for the last three decades, and is currently near 5pc.
Australia is one of the world’s last surviving AAA states, yet its position is precarious. It has built up external liabilities of $855bn US dollars and has a net international investment position (NIIP) of minus 64pc of GDP, the world’s most-stretched after Europe’s Club Med bloc. The International Monetary Fund usually regards minus 30pc as a warning signal.
This welcome news, considering Treasurer Joe Hockey will today confirm that spending thanks to the previous Rudd/Gillard/Rugg gov’ts was completely out of control.
If we’re going to get a grip on the mounting gov’t debt and get our house back into order, we’ll need a few more success stories like the LNP export boom otherwise expect the base of the GST to be broadened to include all food and education (no point including health as over 70% of health is already spent by gov’t) to raise more revenue along with (much needed) deep cuts to state sponsored welfare.
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