The winners from the tax repeal are those groups that bore the incidence of that tax, Jeremy Bendeich, CIO, Avoca Investment Management

The winners from the tax repeal are those groups that bore the incidence of that tax, Jeremy Bendeich, CIO, Avoca Investment Management. Will repealing the carbon tax impact or change investor sentiment? The repeal of the carbon tax will not alter general investor perceptions. The key policy objective of the carbon tax was to put a price on carbon dioxide pollution. The winners from the tax repeal are those groups that bore the incidence of that tax. In the case of electricity, those winners will be consumers whose electricity bills will be reduced around $500 per year. This may lead to marginally higher retail spending. The companies that lose are those that invested in renewable energy projects whose received energy prices will now fall, AGL's recent downgrade served to highlight this impact.