The Government's recent announcement to bring forward the
carbon credit trading scheme, to begin from 1 July 2014, has a
number of ramifications for households and businesses alike.
Although specific details of the proposal have not yet been
released (and by all accounts, legislation with respect to these
changes may be some way off yet), it appears as though the effect
will be as follows:
According to the Government, households will be slightly better
off, although the opposition's modelling suggests
The cost of carbon will fall from $24 per tonne to
approximately $6 per tonne, in line with the current cost of
European carbon credits. This is good news for the large industrial
companies and miners however there is conjecture between the
Government and the opposition regarding where the price of carbon
will end up over the next few years. The opposition suggests that
the price will climb, by deliberate design, back up to and beyond
the current $24 per tonne, hurting business in the longer run.
Perhaps most importantly is how the Government proposes to plug
the revenue gap to be created as a result of the reduction in the
carbon tax price. Not a lot has been reported on the topic thus
far, however it appears, as the Prime Minister stated in his
announcement, that a number of green related measures and
initiatives will be either severely cut back or axed. These
The Biodiversity Fund - $213 million;
The Carbon Farming Initiative - $143 million; and
The Clean Technology Program - $362 million.
Businesses saw these initiatives as the "opportunity"
side of the carbon tax, intended to promote alternative, clean
energy ideas. Farmers were considering how to get involved with the
carbon farming initiative, for example. Although a number of
businesses and projects did benefit, the fear is that the cuts to
these green initiatives will result in a severe reduction in
activity in the clean energy space.
This review has abstracts of recent developments relating to pollution and contaminated land in Australian jurisdictions.
Some comments from our readers… “The articles are extremely timely and highly applicable” “I often find critical information not available elsewhere” “As in-house counsel, Mondaq’s service is of great value”
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).