EU threatens $15 billion trade deal if Australia quits Paris climate change agreement (video)

2014 - the gov celebrates in parliament the repeal of the carbon tax

Last weeks Liberal party chaos has not gone unnoticed in the European Union. With Australia in negotiations for a free trade agreement with the EU worth $15 billion to Australia, the EU now has a policy that any trade deals with the EU must have the country involved signed up to the Paris climate change agreement. This is now a fundamental position for the EU.

It's no wonder then that questions are being raised in Europe about Australia's commitment not only to the Paris agreement, but also to actually accomplishing the goals. Which as we all know are now in taters after the Abbott/Turnbull/Morrison gov repealed the emissions trading scheme in 2014. Which was working well in reducing carbon emissions. Carbon emissions have since then increased for 4 years in a row.

With the new energy policy by the Abbott/Turnbull/Morrison gov now putting climate change on the back burner and instead focusing on fossil fuels to supposedly bring down power prices, the EU is having serious concerns about the $15 billion free trade agreement with Australia. Especially with Abbott openly advocating for the gov to ditch the Paris agreement.

Australia and the EU will in November enter a second round of negotiations over the deal that would end restrictions on Australian exports and collectively add $15 billion to both economies.

 In a video of this week's proceedings, Ms König told the committee that “it’s the [European] Commission’s position ... that we are talking about respect and full implementation of the Paris agreement [as part of the trade deal]”.

 “No doubt we will see what comes out in the text [of the deal agreement] but that I expect to be the minimum in the text, for sure.”

 Her assertion is a clear signal that any failure by Australia to meet its international climate obligations would have serious economic consequences.

 Ms König fired off the warning after a question by Klaus Buchner, a German Greens member of the Parliament who said “the intention of the new Australian regime to withdraw from the Paris Agreement unsettles not only Australians”.

 “Australia is by far the biggest exporter of coal in the world ... what will the commission do when Australia does indeed withdraw from the Paris agreement? Is this a red line for us in these discussions or do we just accept it?

 “I believe as the largest trading block in the world we have a responsibility to go beyond pure profits.” The Age