The Australian Carbon Tax is Back

Essay by Eric Worrall

Carbon tax round 2 ? After claiming in 2020 a carbon tax is no longer needed, Australia?s Prime Minister Albanese has decided to offer top emitters an ?opportunity? to pay a $75 / ton carbon price, with the aim of bringing down emissions 5% every year, to achieve the government?s 43% reduction by 2030 target.

Carbon price capped at $75, but will rise with inflation

John Kehoe Economics editor

UpdatedJan 10, 2023 ? 3.40pm,first published at2.07pmSaveShare

Big industrial emitters have been offered a carbon price cap starting at $75 a tonne that will rise with inflation to give business certainty about the maximum compliance costs of the Albanese government?s decarbonisation plan.

More than 200 of the country?s biggest industrial emitters will need to cut emissions by an average of almost 5 per cent each year to 2030, to help the government meet its 43 per cent…