20 Oct 2009

Talks on ETS agreement in Australia

3:28 pm on 20 October 2009

The Australian Government and the opposition have begun the process of negotiating an emissions trading scheme.

After months of hositility, climate minister Penny Wong has met opposition leader Malcolm Turnbull and the opposition's emissions trading spokesperson Ian McFarlane.

Mr McFarlane says electricity prices will rise up to 40% by 2020, and the opposition wants amendments to the government's proposed compensation which he describes as inadequate.

Mr McFarlane says he will do his best to negotiate in good faith.

Ms Wong wants detailed costings for the proposed changes.

She says she wants to know how the opposition can propose greater compensation without adding to the overall costs.