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Australian Carbon Price set for July 1st 2012 - Will it Finally Happen?

In Australia you could be forgiven to think that the climate debate and that a price on carbon is all talk and very little action.  After all we have seen a change in leadership over the issue and a number of failed government environment programs not to mention that this policy has already been defeated in parliament before.

 

So what is different this time around when Prime Minister Julia Gillard announced her framework for pricing carbon, which is set to begin on July 1, 2012?  Under the plan, the carbon price will initially be a fixed price set by the Government, before moving to a market-based cap-and-trade scheme.  Some are saying that the initial fixed price is pretty much a "Carbon Tax" something that PM Gillard said would never happen under her leadership.

 

So I would be interested to know your thoughts on what is different this time around?  If the public backlash starts to hit the PM's popularity rating will we again see our politicians buckle at the knees and cave in?

 

Do you think there will in fact be a price on carbon in 2012?   

 

Views: 30

Tags: Cap-and-trade, Carbon Tax, PM Julia Gillard, Price on Carbon

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Comment by Lothar Hinsche on March 2, 2011 at 12:41pm

i am often quite puzzled if taxing or 'punishing' is the right and only way to do it long term.

and i would actually like to see lots more activities and actions - less talk - in areas such as innovation.

all i am saying we can tax how harsh we ever like - if the oil and coal is not burnt here - it will be somewhere else on the planet * until it is gone * . not saying that this is good - but it will happen like that. now just lets take a small step back - how quickly the world some centuries ago actually picked up something those years 'brand new' called electricity - it took 15-20 years. now if we would focus on innovating also instead of punishing classic usage only - we could have a chance of finding a way out of the dilemma...
 and more than that....


substantial research - new sources of energy - fusion technology - fundamental stuff that the LHC does

and the like ... cross-thinking - connect Universities closer with Industries and Startups - create a better ecosystem, less red tape.

 

taxing just deals and manages with what is left - if we would find different and better ways - maybe what is left is or could be no longer that important ?

...as new horizons with new ideas and technologies open ...

Just a thought: go back to 1720 and talk to people in that time about how we today use electricity, or just go back to 1950 and talk to people how we use mobile and smartphones these days in 2011 - they could hardly imagine what you are talking about.

 

now lets do same way forward thinking - go to the future and imagine and dream 50 years ahead and talk to someone then about that brand new technology that was invented in Australia 2015 revolutionizing the way we from then on consumed energy globally...

now innovating could create sustainable solutions and long term hope ...

just a thought.

Comment by Carolyn King on March 1, 2011 at 4:48pm

I think it will be a hard sell. If Kevin couldn't get the ETS legislation through when he was in his prime (ministership) with a Labor majority and a Coalition leader who actually believed Climate Change was real, what chance has Julia got with a carbon price (aka tax) and a hung parliament? Especially as it seems she is backtracking, so the Coalition (quite rightly) have had a go at her for not keeping promises (what's new for politicians?).

Despite the politicking, most people want something to be done about C02, and industry wants to know where it stands so it can plan for the future. As Robert says, if the Coalition says it will reverse the decision if elected, where will the certainty be then?

Surely the pollies could look at other countries where ETS or Carbon Taxes have been introduced, and learn from them - see what works and what doesn't, without endless consultation.

Comment by Richard Milroy on March 1, 2011 at 9:46am

seems like there is a determination on the part of the government - showing the nerve to try again so soon, which is great

but its a big task to get this through politically for sure and, if this was with the bookies (is it?), I daresay that having a fixed carbon price by July 1st 2012 would be long odds.... there are just too many likely roadblocks.

Comment by Robert Swinton on March 1, 2011 at 8:18am

I think that the only certainty here is that there definitely uncertainty surrounding any mandated price on carbon any time soon.

It seems that Labor only introduced this to buy Greens support to avoid a hung parliament.  The coalition have strengthened their anti carbon price stance to the point of making the next election issue, an election that will be fought at about the time the proposed tax was scheduled to become effective.  That equals bad political timing.

I am sure that Labor will look for any way out of their "shotgun wedding" with a price on carbon where the

Greens are holding the shotgun .  Even if the Greens can force them to the alter by 2012, there seems little will to consummate the marriage after that.

 

With the coalition's promise to reverse it if re-elected, anything is possible.

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