Black Liquor

Black liquor is the refined waste from pulp and paper manufacturing, it is in fact a fuel. A bio-fuel recovered from the waste of production and it is used to produce power for the manufacturing process as well as excess power sold to the national grid.

So that’s good… isn’t it?

Well, it was until the government levied a $26bn tax on it.

“As a result of this foolishness every kilowatt of electricity sold into the grid by the paper makers just got more expensive. Every piece of paper you use just got more expensive. And every consumer product you buy, from cereal to light bulbs to laundry detergent, if it is packaged in paper or cardboard, it just go more expensive. Your children’s school supplies just got more expensive. Every administrative function in government and in business that requires a piece of paper just – got – more – expensive.”

Source: Running ‘Cause I Can’t Fly Read the rest, it explains it better than I can. I can just see the error of their ways. Now you decide.

Update

Having been categorised as an ‘idiot’ by the one commenter who omitted to leave a link to verify what he said, I decided to look further.

Vaguely he is right. Check here: http://www.millwatch.ca/home/22-news/109-paper-industry-pushed-further-into-the-black-by-black-liquor-tax-credits

(Sorry, WP isn’t allowing links at the moment.)

But then that’s not the whole story either. Check here: http://www.bnet.com/blog/clean-energy/paying-for-healthcare-how-democrats-closed-an-energy-tax-loophole-that-doesnt-exist/1431

Like all matters corporate and politic, it’s a mess. But it doesn’t stop the flow-on effect of prices rises in the offing for all paper products and some power production, which was more my concern than the ‘health & welfare’ of a greedy industry.

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  1. #1 by Pop on September 17, 2011 - 9:46 pm

    This was a government handout that raised the deficit and they were never meant to qualify for,it was an accidental loophole they discovered. That’s not raising taxes you idiots, that’s stopping wasteful govt spending and you should be for it. Get your facts straight.

  2. #2 by argentumvulgaris on September 18, 2011 - 7:46 am

    @Pop, thanks for the reply. I would have appreciated a link to verify what you say instead of lambasting ‘me’ as an idiot. As you didn’t comment on the linked source, I can only assume you didn’t bother to read further; which was the intention. My facts are as straight as I can make them by recognising the sources. In the absence of a referring link, I will however search for my own edification and report anything contrary to the story as I have it. Look forward to your further participation.

    AV

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