Username:
Password:
Forgot Password?

Overview: moving towards an emissions trading scheme
Print this Article Print this Article
Email this Article

On Wednesday, 16 July 2008 Senator the Hon Penny Wong released the governments carbon emissions trading green paper. The green paper outlines the proposed design guidelines and framework for the scheme, officially known as the Carbon Pollution Reduction Scheme (Scheme), which is intended to commence in 2010. 
 
Following consultation with industry, business and independent bodies, including the Garnaut Review (released Friday, 4 July 2008), the Scheme will form the basis of the government’s solution to reducing Australia’s greenhouse gas (GHG) emissions as required under the International Kyoto Protocol. 
 
The Scheme is one of the government’s three pillars in its climate change policy:

  • Reduce GHG emissions – to below 60 per cent of 2000 levels by 2050 through a cap and trade scheme
  • Help Australia prepare for and adapt to climate change, as some impact is unavoidable
  • Help shape a global solution to mitigate climate change and position Australia to influence post-2012 Kyoto outcomes.
Who will be covered? 
The Scheme is expected to cover approximately 1000 organisations, with emissions exceeding 25,000 tonnes of carbon dioxide equivalent (CO2-e) per annum. The proposed covered industries are stationary energy (ie. electricity generation), transport, fugitive emissions (oil and gas extraction and processing), industrial processes and waste. Forestry would be on an opt-in basis and agriculture is to be included in 2015 at the earliest. 
 
Consultation 
The government has called for submissions by Wednesday, 10 September 2008. Members are encouraged to put forward their views on the Scheme to the Institute and the government. Members are also advised that the government is in the process of holding public information sessions across the country. Details of these information sessions and the green paper itself can be downloaded from the Department of Climate Change website. 
 
The Institute will continue to work with the government during the consultation period, putting forward its position on the importance of a consistent international reporting standard, a global assurance framework and tax incentives, ahead of the release of the government’s white paper and draft legislation in late 2008. 
 
Relevant links:
  • Department of Climate Change: website
  • Minister for Climate Change and Water Penny Wong: website
  • Institute: website
 
 
Last updated: Thursday, 31 July 2008