Climate Change

No relief from carbon cost king-hit

The proposed change to the Australian carbon pricing scheme to start from 2015 is an empty gesture. It is tinkering at the edges, not the fundamental redesign for proper global alignment that is critical for an efficient and effective response to climate change. The announcement does nothing to alleviate the high cost burden of the Australian carbon tax for the next three years.


At a time of global economic uncertainty, the mining and carbon taxes erode the minerals industry’s international competitiveness. Australia should be seeking to maximise the benefits of the boom, not putting new hurdles in the way of growth in investment, exports and jobs. Australia’s carbon tax starts generating $77.3 million per week from today. New figures from the Centre for International Economics show that Europe’s emissions trading scheme - which covers 30 nations - has generated $23 million per week so far in 2012.