A Port Kembla union leader has blasted Member for Throsby Stephen Jones for saying the steel industry should not be given a complete exemption from the carbon tax.On Thursday, Mr Jones, whose electorate covers Port Kembla, said it was appropriate for steel manufacturers to have 95 per cent of their pollution permits paid for by the Government under the carbon pricing arrangement.The Australian Workers Union (AWU) and former member for Throsby Jennie George had said steel should be given 100 per cent exemption, at least to begin with.Mr Jones said to give steelmakers 100 per cent exemption would "open the floodgates" for other industries to make the same demand, and would remove the incentive for emissions-heavy industries to reduce pollution.Yesterday, AWU branch secretary Andy Gillespie, whose union represents steelworkers, said he was furious at the comments and would meet Mr Jones and tell him so."He should be remembering his constituents, and a lot of them work in the steel industry," Mr Gillespie said."He should be out there supporting the AWU and other unions over the exemption to the carbon tax, to make sure no-one loses their job in the steel industry."That is absolutely stupid, he doesn't understand the industry."Mr Jones said he respected Mr Gillespie."Andy Gillespie has a job to do in looking after the interests of his members - he does a good job of it and I respect him for it," he said."I'm trying to get the best deal possible for my electorate and the manufacturing industry."This must include near full exemption - no less than where we got to on the [Rudd-era] Carbon Pollution Reduction Scheme - but in addition the region and the manufacturing industry more broadly need additional assistance."Largely the need for this has nothing to do with the carbon price, but the high Australian dollar, high input costs for coal and iron ore, and anti-competitive dumping."Mr Jones said his specific regional assistance included funding for infrastructure projects such as the Maldon-Dombarton rail line, more research funding, and greater enforcement of laws against foreign companies dumping below-cost goods on the Australian market.Yesterday, Labor stalwart and former member for Kiama Bob Harrison weighed into the debate, saying he supported the call from Ms George and credited her with staying loyal to the Australian working class."Simply exempting BlueScope from paying carbon tax will not of itself be enough to save the steel industry, since BlueScope would still be required to meet the extra cost of carbon tax when purchasing and transporting coal and iron ore, as well as being burdened by an ever-increasing cost of electricity and gas."