Australia Announces a new Tax on Carbon Dioxide Emissions

No one likes to pay tax and everyone can think of many reasons why any particular tax is bad. New taxes are particularly unpopular and take time to get used to. A new tax has to become acceptable for reasons that people can understand.

There is no clearer case for taxation that taxes that help prevent environmental damage or at least provide some compensation for the activities of those who damage the environment. A tax on carbon dioxide emission by larger polluters is such a tax, which in Australia they are calling a carbon tax. Miss Gillard, the Australian prime Minister is introducing such a tax, which will start from July 2012 and will affect 500 businesses that will have to pay about £15 a tonne on carbon dioxide emissions.

Those against this proposal say that thousands of Aussies will lose their jobs, the cost of living will soar and the economy will be wrecked. I doubt that the tax will cost a single job or that the tax will wreck the economy.

The tax however will help curb greenhouse gas emissions. There is no penalty in Australia for emitting as much carbon dioxide as you want, and as Australia derives its energy from that highly polluting fuel, coal, the Aussies are one of the worst polluters per capita in the world. Their cheap energy from coal enables them to enjoy higher standards of living than they deserve, because the effects or their pollution are felt not only in Australia, which has suffered from many extreme weather vents (probably related to climate change) in recent years, but also in the whole world.

If the tax reduces emissions significantly it will be worth every cent collected.

4 Responses

  1. The tax will do absolutely NOTHING for the environment, our emissions or the climate, Julia Gillard is hated here because she specifically promised NOT to introduce this tax and yet she is now imposing thsi vile tax.
    The only thing that this Tax will achieve is a huge money churn and the enrichment of spivs and shysters

    Its a BAD Tax from a very BAD government

    • I do not know whether the government is good or bad, but if you start from the premise that governments should try to do the least worst thing, then taxing carbon dioxide emissions is a fair and reasonable way of controlling some pollution. How governments spend the money is another thing, but I cannot see the world falling down in Australia because of a carbon dioxide tax. Surely Aussies are not so weak that a measure like this spells ruin?

    • I think the tax in principle is a good thing but all governments waste money that they collect in taxation. Further the idea of hypothecating an environmental tax to any measure except further environmental protection is not logical.

      Robert

  2. Believe me it is a very bad Government, but surely the “least worst thing” requires something that will achieve its aim in an effective manner and the, The Carbon tax will not make the slightest bit of difference to the climate (I’ve see suggestions that MAY bring about a change of one four thousandth part of a degree which can not be measured) The worst thing about the Tax is that it is not really about the climate at all , its all about the redistribution of wealth and it will create a huge money churn with majority of its revenue being paid out to people as “compensation”. Its not about our country’s ability to pay, its about us wanting and needing an efficient economy unburdened by useless taxes.

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