Assistance will "significantly reduce" effects of carbon tax on industry

Companies that fall under the government's proposed carbon pricing scheme will most likely see the negative effects on costs and earnings "significantly reduced" by the planned assistance package, according to research from MSCI. Emissions Intensive Trade Exposed (EITE) industries such as steel will feel a "negligible" effect, while aluminium smelters and refiners could see reductions in earnings before interest, tax and amortisation (EBITA) reduced by up to 1% in 2012-2013, MSCI concluded based on an analysis of recent output, emissions and earnings levels.