EDMONTON: The Canadian Taxpayers Federation today blasted Ottawa's negotiating position on greenhouse gases, calling it a gun aimed at Canada's energy industry - specifically Alberta.

On the subject of pollution permits - allowing one industry to buy 'credits' from another - which Ottawa touts as an alternative to increased taxes, Milke said it's a tax under another name. "To reduce emissions 3% below 1990 levels - after emissions levels have already jumped 13% - requires a drastic change in behaviour. Ottawa needs pollution permits to kill off industries it deems undesirable by making it expensive for them to operate. To do that, you have to make one form of energy much more expensive than another, otherwise why would the behaviour that produces emissions change That means Ottawa must force industries such as coal (which produce a greater share of emissions) to buy credits from cleaner industries - thus astronomically jacking up coal industry costs."

As for gas taxes, Milke said the same logic applies. "You won't change driving habits with a one, two or even ten cent a litre hike in gas taxes. To change behaviour, Ottawa must make the costs prohibitive. You can try and hand the bill to industry first, but such costs must still be passed to the consumer. In the end - it will quack like a tax and waddle like a tax because it is a tax."

Mr. Milke added that the theory on global warming is still just that - a theory. "Ottawa has chosen to ignore the debate within the scientific community on global warming." As for the argument that it is better to proceed with targets 'just in case,' Milke noted that Ottawa had five years since Rio to formulate policy and did not consider the matter 'critical' until two months ago. "And a hell of lot can be justified under 'what if' scenarios," he added.

Mr. Milke pointed out that in the 1970s Canada did not rush to implement strategies to deal with 'global cooling' theories, but chose to wait for more evidence, evidence which never arrived.

"Ottawa's position is driven by assuming worst-case chicken-little scenarios and a simplistic foreign policy initiative based on beating American targets for the sake of beating American targets. It's a dumb way to design environmental, never mind foreign policy," said CTF provincial director Mark Milke.

The estimated job loss within the coal industry alone if emissions are reversed to 1990 levels is 12,000. "Now add in oil and gas, add in electricity, add in direct and indirect job losses from all those industries and you have the makings of a made-in Canada recession courtesy of Jean Chretien and federal Environment Minister Christine Stewart." said Milke. "Because the ripple effect would be so devastating, it only makes sense to wait until the evidence for global warming theories is more solid one way or the other. Meanwhile, Ottawa should drop its gun."