LABOR'S former industry minister Kim Carr says the Federal Government could save Holden for an extra $150 million per year, and secure the entire Australian automotive industry by spending an extra $300 million per year.
Senior Government ministers have told the ABC they believe Holden is on the verge of announcing it will cease production in Australia as early as 2016, but Industry Minister Ian MacFarlane says no decision has been made.
On Friday Prime Minister Tony Abbott declared there would be no more money for the car company, and called on it to come clean about what it had planned for its Australian operations.
But Senator Carr has told Newsradio the Government has known for some time that preserving Holden's Australian operations would cost around $150 million extra per year.
"For $300 million a year, Holden, Toyota and 160 component manufacturing companies plus all the suppliers that flow from there can be preserved but the Government does not want to face up to its responsibilities," he said.
Read more at ABC news online.
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