Thursday, March 03, 2011

Hidden carbon price: We already pay $170 a tonne

Every since Gillard's unsurprising statement a week ago that there will be a carbon price set by the end of next financial year (in preparation for an ETS in a few years) there has been Federal mayhem. Death-threats, comparisons of Gillard to Gaddafi, and shrieks of outrage as Tony Abbott marshals his "People's Revolt" via angry, right-wing shock-jockery and his Liberal troops hyperbolate the morning's talking point all over the MSM.

From all this noise, one fact stands out at me. It's why the Coalition's 'government-picked-winner' approach must be never be put into practice:

Australians are paying a hidden carbon price of about $170 a tonne through a range of inefficient renewable energy programs. Wouldn't it be more sensible for the community to pay an explicit one that creates the conditions to lower greenhouse gas emissions through a market-based scheme?

Set a carbon price to prepare the economy for an ETS that will let the market do all the hard work of pricing. Why is it that Labor/Greens are pushing a market approach to reduce emissions, while the Liberals are still planning to smuggle in their command-controlled model should they stymie the Government's plans? To quote Barnaby Joyce this week:

"Every day just gets weirder and weirder,"

It sure does.

8 comments:

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Anonymous said...

There is nothing energy that trully can change or challange petrol...if can, it will make petrol price maybe little bit drop..
why is global warming happening

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