"Australia's Carbon Tax Repeal Set for Final Showdown"

"Australia's lower house of parliament on Monday voted to scrap the country's controversial carbon tax, setting up a final showdown in the Senate as early as Tuesday to decide the scheme's fate.

Abolition of the carbon tax was a centerpiece policy of Prime Minister Tony Abbott's 2013 election, but he has struggled to repeal the tax as his government does not control the Senate.

Last week the Senate rejected the repeal legislation after lawmakers from mining magnate Clive Palmer's Palmer United Party (PUP), which holds the balance of power in the upper house, withdrew support at the last minute.

On Monday, Abbott's Liberal-National coalition, which has a majority in the lower house, passed new legislation with amendments demanded by Palmer ensuring savings would be passed directly to consumers. The carbon tax repeal legislation will now be sent back to the Senate for a fresh vote this week."

Matt Siegel reports for Reuters July 15, 2014.