Supporters of a proposed tax on sugary soft drinks are pointing to a new study that forecasts healthcare savings as well as preventing 1,600 Australian deaths related to diabetes, heart disease, stroke, and related maladies over 25 years - all by slapping a 20 percent tax on bubbly soda.

Such a tax, claims the Obesity Policy Coalition, would raise $200 Million in extra tax revenue per year that would be applied to anti-obesity programs.  At the same time, soft drink consumption is predicted to drop by about 12.6 percent - enough people would be discouraged from ingesting the sugary scourge that Australia would reduce its annual health care costs by about $29 Million annually.

The Obesity Policy Coalition's Jane Martin is coauthor of the study which appears in the journal PLOS One; she says the time has come for action on the largest source of sugar in the diets of Australian children.

"With one-in-four children and 67 percent of adults now overweight or obese, we need decisive action by government to address the growing health burden of overweight and obesity in this country," Ms. Martin told the ABC.  Breaking the teenage soft drink habit "can be very impactful because that can take them through the rest of their life and change habits early," because "even a small change in consumption can have a big impact over time; a small change in body mass index and weight can have a big impact on someone's health outcomes," she added.

The Australian Beverages Council disagrees with the report, and claims consumers would merely seek sugar and fat from other sources. 

"People who consume more kilojoules than what they burn throughout the course of the day are going to put on weight regardless of where those kilojoules come from," said council CEO Geoff Parker.

Ms. Martin says two-thirds of Australians approve of a 20 percent tax on soft drinks.  The UK approved a similar plan last month; Mexico, France, Hungary, and Finland already have soft drink taxes; South Africa, the Philippines, Indonesia, and India are considering making it so.