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One PM's climate change reform is another's economic wrecking ball. Lukas Coch When the word "reform" comes to simply mean "policy that I agree with", it's easy to see how the Government justifies scrapping the carbon price, writes Greg Jericho.

The impending end of the carbon price highlights not only how political motives can trump good policy, but also how the word "reform" has evolved in meaning over the past decade or so.

Where once it meant changes done to improve something, "reform" now simply means "policy that I agree with". Taxation reform turns into "taxation policy that I agree with".

It's simple and works for every area of economics and politics, including, and perhaps especially, to "climate change reform". Political commentators and politicians love reform, because political commentators including myself and politicians love talking about things they agree with.

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For many though, reform, as Yes Minister said it so perfectly many years ago, is just a government doing something: But the best type of reform is that which is "bipartisan". And for many gratis-heavy, sombre op-ed writers the best bipartisan reform happened during the Hawke-Keating era.

Yes in the s and '90s both sides did support some reforms i. But it's easy to be bipartisan when you already agree with the policy being put forward. It's why Prime Minister Tony Abbott was able to state in his recent speech to the Economic and Social Outlook Conference dinner that "the only time reform has looked easy was under Bob Hawke and Paul Keating, because the only real opposition they had was internal".

This is only true if you realise that Abbott is using reform to mean "policies that I agreed with". Sure the Liberal party supported those policies, but what about the those it didn't agree with?

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Were not those also reforms? I guess Medicare wasn't a real reform because the LNP opposed its introduction and campaigned against it afterwards. Unless John Howard saying in his election speech that "Medicare has become a complete disaster" was just him being bipartisan. The petroleum resources rent tax as well could not have been a real reform because the LNP campaigned loudly against it.

The Mabo High Court decision? Sorry, clearly can't have been reforms either, given John Hewson in suggested the Native Title Bill would "prove to be a disaster for Australia". But surely the Hawke-Keating tax reforms were an example of these "easy" reforms Abbott talked of?

I guess not because the LNP viciously opposed the introduction of capital gains tax and fringe benefits tax. Ahhh, historical bipartisanship, smell the truthiness. Moreover bipartisan support is no great sign of a reform's worth. There really has only been one bipartisan reform in the past 30 years or longer that actually involved the ALP and the Liberal Party working together to produce a policy both could have owned, rather than one side just agreeing to agree.

And it was a pig's breakfast, coming as it did from the reform school of "if we must do something a symbolic something is better than an actual something". The CPRS contained so much assistance to businesses that there was negligible incentive to actually cut emissions.

The Grattan Institute found the assistance was so great that it went from alleviating impact to being tantamount to protectionism. Had it been brought into place we would have had a price on carbon that did nothing to change behaviour but would have had "bipartisan support".

The carbon price introduced under the Gillard government was better than the CPRS - perhaps because this time the ALP negotiated with a party that actually wanted to reduce carbon emissions. But this "reform" did not get bipartisan support, because for those in the LNP, a carbon price had changed from being a reform a policy they agree with to something that would wreck our economy.

And then, funny thing. It didn't wreck it. It's often forgotten that while the economy under Howard did indeed grow fast, so too was pretty much every advanced nation's economy.

Going back over the past 20 years, it's clear that against our peers, Australia's economy with a carbon tax has performed exceedingly well: Australia's GDP ranking among selected OECD nations Now clearly GDP growth is not everything, but given the dire warnings about how our economy would perform with a carbon tax, it's quite obvious such doom has come to nought.

While it has not wrecked our economy, it did do its job cutting emissions.

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Greenhouse gas emissions from the electricity sector have fallen by more than 7 per cent since the carbon tax was introduced. Quarterly electricity greenhouse gas emissions Mt CO2-e Electricity emissions have been falling since due to a range of factors including a massive jump in power prices due to gold plating of poles and wires, policies such as the Renewable Energy Target and environmental factors such as the end of the drought, which has allowed more hydro power.THANK YOU for all your years of hard work and dedication to the Village of Rockford!!

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