Download: Fast, Fun, Awesome
study in australia
student information in australia
Australian University graduate information
professional networking for australian university students
employment links for australian university students
University quizzes for australian students

Changes to carbon scheme “good economic sense”

A Charles Sturt University (CSU) expert on the carbon tax has hailed the federal government decision to join the European carbon trading scheme in 2015 as “just good economic sense”.

Professor Kevin Parton with CSU’s Faculty of Business believes an emission trading scheme, where permits can be traded on the market like shares in a stock exchange with a fluctuating price, is better than a carbon tax with a fixed price, as businesses producing carbon have the appropriate incentive to limit their production of carbon.
“The carbon tax is less efficient or more costly than an emissions trading scheme (ETS), and the free-market ETS is more efficient and less costly than an ETS with a floor price, which was the original proposal by the federal government that was due to start in 2015,” Professor Parton said.
“The floor price, or minimum price set by the government, was an unnecessary encumbrance to a scheme that could have led to gross inefficiencies. The abolition of the floor price will get us more quickly to where we should be by setting a price incentive to reduce greenhouse gas emissions for the least cost.
“The current fixed price of $23 per tonne comes from what was the average European price at the planning stage for the carbon tax policy. Prices for carbon move up and down. The EU price is currently around $10 per tonne. It could be higher or lower when the Australian ETS commences in 2015. Whatever it is, the inclusion of a fixed price floor would have led to inefficiencies, and unnecessary bureaucracy,” he said.
Professor Parton also asserts that there are long-term benefits for Australia.

“It makes no sense for the Australian carbon price to be different from the established international price. Now that we are fully engaged in the long-run international carbon market, industry is encouraged to develop new carbon-efficient technologies with the appropriate carbon pricing in place,” Professor Parton said.

Leave a reply

Feature Research
Controlling fear by modifying DNA

For many people, fear of flying or of spiders skittering across the lounge room floor is more than just a [more]

Kidney disease gene controls cancer highway

University of Queensland researchers have discovered that a gene that causes kidney disease also controls growth of the lymphatic system, [more]

Queensland fraud is a billion dollar business

Queensland businesses could be losing over $12 billion per annum as a result of company fraud according to a recent study [more]

Inside the mind of a burglar

Burglars are opportunistic, generally choose their targets at random and know all the tricks householders try to use as deterrents, [more]

Flight experiment goes boldly forth to advance new technology

A hypersonic flight experiment at eight times the speed of sound, led by a University of Queensland PhD student, has [more]

Pre-drinking alcohol before hitting the nightclubs likely to lead to violence

The increasingly common practice of drinking at home before hitting the nightclubs is the major predictor of people experiencing harm [more]

Research reveals women are more interested in a man’s earning capacity than the size of his wallet

Despite ABBA’s insistence that women long for “money, money, money”, research has found that The Beatles were on the [more]

Challenges still face women seeking seniority in business

Research conducted by the UTS Centre for Corporate Governance underpinning the 2012 Australian Census of Women in Leadership reveals a decade [more]

Swiss Army Knife teeth secret to seal’s success

Biologists have shown how an advanced set of teeth give Antarctic leopard seals the biological tools to feast on prey [more]

Beautiful physics: Tying knots in light

New research published today seeks to push the discovery that light can be tied in knots to the next level. [more]