Australia carbon vote delay raises poll prospect

By James Grubel

CANBERRA (Reuters) - Australia's parliament delayed a final vote on a government carbon trade plan on Friday, missing a key deadline, throwing Prime Minister Kevin Rudd's climate change policy into doubt and raising the possibility of a snap election.

Rudd wanted the carbon scheme, central to his promise to cut emissions by between 5 and 25 percent, passed by Friday and ahead of December's global climate talks in Copenhagen, where he will play a key negotiating role.

But the upper house Senate failed to take a vote by the close of business on Friday, and will now return on Monday to continue debate on the package of 11 bills, with the government determined to push the bills through parliament.

"We are committed to this scheme. I believe the Australian public are very strongly committed to action on climate change," Acting Prime Minister Julia Gillard told reporters.

If the proposed laws are defeated again in the Senate, after a first defeat in August, Rudd would have the option of calling a snap election in early 2010 and opinion polls suggest he would win with an increased majority.

The United States, the world's second largest greenhouse gas emitter, is eying developments in Australia as its lawmakers make slow progress on their own climate bill in the U.S. Senate.

Rudd had a deal with the opposition to pass the bills and needs seven opposition votes to pass the bills in the Senate.

But an open revolt by climate sceptics within the opposition has thrown the deal into doubt and on Friday prompted a leadership challenge as early as Monday against leader Malcolm Turnbull, who already survived one challenge on Wednesday.