One major fault in governments, is the fact that they make thier descisions based on what has happened (data)' rather than on what is happening, and this is their major flaw.

When running a business, what happened last week, last month, or even last year, is history, and it is what the future brings that is the driver of the descisions made.

A classic example of this is now coming to light, as we have had the likes of Wayne Swan, out there tell all who cared to listen that all was well, and we were in great shape.

Now, once the data has surfaced, he has changed his tact and advised that we had best brace ourselves for a rocky road ahead.

If only he had run a business, perhaps these poor soles that have been sucked in by this guy would be better prepared for what lies ahead.

WARNING.
The introduction of the carbon tax, combined with the abolition of the 19c per litre diesel subsidy will cripple the transport industry.

19c /Lt adds approx 50c to the cost of every kilometer traveled by a semi trailer.

This impost simply can not be passed on, and the collapse of 1st fleet is just the tip of the iceberg.

Don't agree, well that's fine, but don't say I didn't warn you.

The first fleet blamed the supermarket price wars, it stands to reason that supermarkets wont take any loss.
The mining sector is overheating and causing problems, by poaching workers and leaving industry short of staff.
That being the case some shifting has to occur to reflect the times that we live in.

That's funny 579, just recently you said trucking companies would simply pass the additional costs on.

Easy said, but just try doing it.

Meanwhile, we just sit back and let these retail giants take over, dictating terms along the way.

As for mining, the mining tax won't make employing non miners any easier, so it won't address the problem.

Cartage for Coles and Woolworths would be contract at their terms.
I am sure the miners don't need any help for their hiring. If they did they could take it out of their employees pay.
Mining is going to be paying a whole lot more tax before to long.
Where is the thousands of employees for the gas project in WA going to come from.

Diesel $ 1.50/lt - .15043 cents rebate. = $1.34
24 ton truck 2.10 k / lt
= $0.63 c / km + operating margin = 37 c / km
= $1.01 c / km
1,000 kms = $ 1,010

24 ton truck 2.10 k / lt
= $0.71 c / km without rebate + operating margin. = 38 c /. km
= $1.09 c / km
1,000 kms = $ 1,090

579, sorry to inform you, but a 24 ton truck is only a large delivery truck, not an interstate semi/B-double, which is how most bulk freight is moved.

It is the larger trucks that are going to be worst effected and they move most of our freight.