is organised by Expogroup, which has been organizing some of the largest international trade exhibitions in Africa.
EITE companies warn that LNG export demand creates new challenges and risks for domestic consumers.
However, for EITE industries, a large subset of the manufacturing sector, energy--as a fuel or feedstock--can represent 20-85% of operating costs.
EITE industries do not want a repeat of the 2000-2008 escalation of natural gas prices that peaked in 2008 at $9.
The package provides compensation to high EITE
industries, such as aluminium and steel producers, by providing free permits for 94.
In EITE industries such as alumina refining and metallurgic coal, prices do fluctuate and to some extent are demand-determined.
This analysis suggests that while prices in EITE industries may fluctuate according to demand, they fluctuate around a long-term average which reflects the costs of the best-practice or marginal firms, depending on the market.
In the case of alumina refining, Daly and Edis (2010a: 14), in their comprehensive study of the impact of carbon pricing on the EITE industries, indicate that Australia's alumina refineries are some of the lowest cost in the world' due to their proximity to extensive domestic deposits of high quality bauxite.
Over the short run, USDA said, the effects on the farm sector are largely negligible due to the EITE
provisions of the bill which would shield producers from the effects of higher natural gas prices on fertilizer prices.