Business has almost universally welcomed the repeal of the carbon tax, hoping it will lower costs and boost confidence.

Legislation to repeal the previous Labor government's carbon pricing scheme was finally passed by 39 votes to 32 in the Senate, after two previous failed attempts to unwind the laws and delays to this latest attempt due to negotiations with the Palmer United Party (PUP).

However, the Australian Industry Group's chief executive Innes Willox says the latest wait was worthwhile as the original amendments proposed by PUP could have been disastrous for his members.

He says thousands of businesses, from caravan parks and shopping centres to car dealers and whitegoods suppliers could have been forced to produce carbon tax repeal substantiation statements at a large cost of both staff time and money.

"Based on the revised amendments, the Minister's second reading speech, and conversations with members and other stakeholders, we do not expect that the reporting and substantiation provisions passed today will apply to any businesses other than genuine electricity and gas retailers, electricity producers large enough to sell directly to the wholesale market, and bulk importers of synthetic greenhouse gases," Mr Willox said.

Repeal creates its own red tape

However, accounting and consultancy firm Deloitte warns that the repeal of the tax will not mean the end of costly emissions-related paperwork.

"While many companies might breathe an immediate sigh of relief, the bottom line is that this issue is not going away," warned Deloitte's lead partner for sustainability Paul Dobson.

He says businesses affected by the carbon tax will still have reporting requirements until October and final payments due in February, as well as ensuring that any contractual arrangements, supply chains and pricing policies are adjusted appropriately to reflect the repeal.

The Australian Competition and Consumer Commission (ACCC) has also reiterated a warning that all businesses supplying regulated goods - electricity, gas, refrigerant gases, refrigerators and air conditioners - must pass through all cost savings attributable to the carbon tax repeal.

"If they fail to do so, the ACCC will take enforcement action against them and seek serious penalties from the courts," said the regulator's chairman Rod Sims.

Confidence boost for business, consumers hoped for

However, the chief executive of the Australian Chamber of Commerce and Industry Kate Carnell is still relieved that the repeal has passed, saying the carbon tax has been a dead weight on the economy.

"The carbon tax was one of the highest taxes in the world. It made it very difficult for many Australian businesses to be competitive," she said.

"What the repeal will mean is it will give confidence to Australian businesses to grow and get on with employing and business."

The consumer watchdog is warning businesses they will face big penalties if they fail to pass on the cost savings due to the repeal of the carbon tax.

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Retailers have also been pleased with the tax repeal.

Supermarket owners say they faced large costs under the tax, with the Master Grocers lobby group saying its independent supermarket members with save around $70 million per year.

"Energy consumption and refrigerant gas replenishment is the second biggest cost behind wages for independent supermarket owners to do business," he said.

"On average a small independent supermarket of around 500 square metres in size will save approximately $17,500 per annum and a large store of around 2,000 square metres will save $51,000."

Russell Zimmerman from the Australian Retailers Association says the carbon tax has also reduced the disposable income of consumers, and been a psychological barrier to spending.

"I think that we'll see some better spending in the retail industry long term, and it might take a little while for that to come through, but certainly retailers will looking forward to this very, very much and the majority of our members told us that they wanted the carbon tax removed," he said.

Planning for direct action

Deloitte's Paul Dobson advises businesses to start preparing their paperwork to take advantage of the Federal Government's planned new emission reduction schemes, such as the centre piece of its direct action policy the Emission Reduction Fund (ERF).

"Organisations should start reviewing their activities and consider potential projects and determine how to best take advantage of the ERF and the potential funding on offer," said Mr Dobson.

"Planning should start now so that organisations can be in position to have registered projects for participation in the first round of auctions, in the second half of this year."