The federal government's plan for a public interest media advocate to oversee media mergers and press standards is on the brink of collapse after independent MP Andrew Wilkie ruled out backing Labor legislation.

Oil and gas industry groups say the federal government's move to impose tougher environmental checks on coal seam gas and large coal mines is unnecessary, unwelcome and could contribute to rising energy costs.

Labor slumps as campaign starts - The Aus; Buswell rejects changes to mining tax - The Fin; Minister bows to green protests against oil giants - The Aus; Cowan accuses Grylls of sell-out - The West; Unions up ante on FLNG Browse proposal - The West

Prime Minister Julia Gillard says she wasn't willing to hand environmental approval powers to the states for fear it would create a "dalmatian dog" of legal risk and uncertainty for business.

The federal government is planning to raise an extra $10 billion from the business sector through new tax measures announced today in response to a sharp deterioration in its budget outlook.