News Desk


The Australian Climate Dividend & carbon pricing in the media

July 8, 2021
  • Mike Foley

The corporate community is racing ahead of Australian climate policy, creating a de-facto price for greenhouse gas emissions despite the federal government’s insistence that a carbon price is a damaging tax on business. Corporate commitments to reach net zero emissions is driving Australia’s carbon market up to 20$ a tonne and could rise to 50$ by 2030.

June 16, 2021
  • Nick O'Malley

Within the coming weeks the EU is set to reveal details of its planned ‘Carbon Border Adjustment Mechanism’ designed to make sure its local industry is not undercut by un-carbon constrained offshore competition - in other words, a border tariff.

Even before the G7 made its weekend statement the United States, Japan and South Korea had made it clear they were considering similar measures.

China is in the process of developing a carbon price, and hardly appears likely to cut Australia any trade slack.

But it won’t come as any surprise to anyone who has been watching the growing global consensus that carbon must be priced.

May 25, 2021
  • Peter Hannam

The Lowy Institute’s 2021 climate poll reveals that 64 per cent of Australians said they would back either a carbon tax or emissions trading scheme. Among respondents aged 18-44 per cent, the support for a carbon price was 71 per cent, while 57 per cent of those over 45 backed such a policy.

May 8, 2021
  • John Durie
  • John Connor, Carbon Market Institute Chief executive

Australia has already the bases needed to establish a carbon price through the Emission Reduction Fund. The policy is currently limited by a weak safeguard mechanism and is relying on federal funding. With the proper reinforcement of its policy, Australia can enable a market driven carbon price that provide a clear pathway to decarbonise the economy and drive investments

May 9, 2021
  • Jessica Sier

Government-enacted carbon pricing schemes are widely accepted as the most efficient methods to decarbonise an economy.

May 8, 2021
  • John Durie

According to carbon project developer James Schultz The best way to solve the most complex issues like the environment is to put them on a balance sheet If we want to change behaviour we need to put a price on it.

Apr 25, 2021
  • Rod Taylor

The Australian Climate Dividend (ACD) would create an incentive for businesses to reduce costs while also lowering emissions. Research from UNSW, indicate that at $50 per tonne, the average household income would financially be $600 better off, and the bottom 20 per cent of households would be over $1200 better off per year. More of the reason to enable a climate fee and dividend.

Apr 20, 2021
  • Andy Park and Alex McDonald

Former chair of the Australia Coal Association, Ian Dunlop, claims that regulations will have greater value than the market alone. In his words, “... you don't let sewage flow down the street. You price that, you stop people doing it, you regulate against it. We haven't done that with carbon which we should have done.”

Apr 11, 2021

Price signals, such as a revenue-neutral carbon price, are needed to encourage investment in low or zero emissions technologies efficiently. It will provide businesses certainty they need.

Apr 6, 2021
  • Alan Kohler

Without having anything remotely similar to carbon pricing, it would set the country back further in reaching net zero emissions.

Mar 31, 2021
  • Jessica Irvine, Senior economics writer

From an economist point of view, a carbon price is needed to offset the negative externalities of carbon emissions that are done onto the environment. Australia may have stopped trying to set a carbon price on emissions, but other countries did not, and they are now beginning to impose carbon tariffs on countries who do not have similar policies or committing to net zero emissions by 2050. The pressure for Australia to incorporate a carbon price may soon be inevitable.

Mar 22, 2021
  • Alan Shwartz

The Technology Investment Roadmap provides little incentives for businesses to decrease their carbon emissions. The determination to invest in low-carbon innovations is diminished when emitting carbon is free. A price on carbon would encourage investment in low carbon innovations and technologies that will bring Australia closer to reaching net zero emissions.

Mar 11, 2021
  • Richard Holden, Professor of Economics, UNSW

Australia needs an orderly and predictable energy transition, from coal-fired power stations to renewables, and that will require a carbon price.

It will also create a fair dynamic playing field for “green” energy compared to fossil fuels and reflect the social cost of greenhouse gases emissions.

Dec 2, 2020
  • Rebecca Gredley

Carbon pricing is expected to be the key policy proposed by China in order to achieve its 2060 net zero emission target. Laura Cozzi, Chief energy modeller of the International Energy Agency, and her team has had meetings with Chinese ministers to establish the government emission reduction plan.

Nov 26, 2020
  • Poppy Johnston

Carbon pricing has successfully pushed coal out of the energy mix in the EU and will be able to kick start the switch to green hydrogen if increased. European success and drive in reducing emissions has started by establishing clear targets. The Climate Change Bill proposed by independent MP Zali Steggall with its economy-wide 2050 net zero target if established will help follow European achievements.

Nov 16, 2020
  • Dr Rohan Best, Lecturer in the Department of Economics at Macquarie Business School

The NSW electricity infrastructure roadmap has been delivered. It aims to drive up private investment in clean energy by developing three Renewable Energy Zones (REZ) in regional areas. The plan is good in the short term to provide the certainty the market need. To increase investments further in the long term, national policy such as a carbon price will a more efficient and effective way.

Nov 15, 2020
  • Richard Holden, Professor of Economics, UNSW

An Australian Dividend Plan, proposed by law professor Rosalind Dixon and Richard Holden, puts a fee on emissions that will be redistributed equally to each voting-age citizen. This would provide a substantial number of Australians being financially wealthier. This would also provide a transition to deliver low-emissions technology to promote cleaner energy and stimulate our economy.

Nov 13, 2020
  • Richard Holden, professor of economics at UNSW Sydney

A carbon border tax is coming our way with the European Union having already announced it is considering a carbon border adjustment. It is also part of the US Climate Leadership Council’s proposal for a “carbon dividend”.

There is a better way: enact our own carbon dividend plan. It would also give the Australian government’s Technology Investment Roadmap (to accelerate the use of low-emissions technology) a chance of working.

Oct 22, 2020
  • Gilbert E. Metcalf, John DiBiaggio Professor of Citizenship and Public Service and a Professor of Economics at Tufts University, Research Associate at the National Bureau of Economic Research and a University Fellow at Resources For The Future
  • James Stock, Harold Hitchings Burbank Professor of Political Economy, Faculty of Arts and Sciences, and member of the faculty at the Harvard Kennedy School.

Deductive analysis of a carbon tax indicate there is no contrary effects on GDP growth and employment. This was taken from a statistical analysis of carbon tax practices around the globe that have been implemented in the early 90s. Furthermore, the potential of a 6.5 percent decline in emissions is eminent with a carbon tax of $40 on accruing carbon dioxide emissions.

Sep 26, 2020
  • Frank Jotzo, contributor & professor at the Australian National University's Crawford School of Public Policy

What is needed is government policy to drive private sector investment. Putting a price on emissions is and will remain the best way, especially in industry. If uptake of carbon capture and storage (CCS) were an important goal, then strong price signals or direct regulation would be needed. CCS cannot become “competitive” without policy, because it is an additional process with extra cost purely for the sake of reducing emissions.

Sep 24, 2020
  • John Hewson, columnist and former Liberal opposition leader

A genuine, independent, market-based, emissions trading scheme that puts a market value on these carbon credits would give the technology roadmap the substance that it lacks. It would do much to define the transition pathways to the imperative of a low-carbon Australia by mid-century.

Sep 24, 2020
  • John Hewson, columnist and former Liberal opposition leader

Solar and wind are already "mature" technologies, are significantly cheaper and offer lower or negligible emissions. A carbon price would not only accelerate the closure of existing, ageing coal and gas generators but would also make it indefensible to contemplate building new ones if government wants to ensure "cheap power".

Sep 24, 2020
  • Llewelyn Hughes, Associate Professor of Public Policy, Crawford School of Public Policy, Australian National University
  • Jorrit Gosens, Research Fellow, Australian National University

The International Monetary Fund estimates Australia provides tens of billions of dollars in subsidies annually to support fossil fuels. The government’s economic recovery plan from the COVID-19 downturn involves subsidies for the gas industry. And the absence of a carbon price in Australia – which would force CO₂ producers to pay for their pollution – is effectively another fossil fuel subsidy.

Sep 4, 2020
  • Frank Jotzo, Director, Australian National University
  • Paul Burke, Crawford School of Public Policy, Australian National University

The message to governments is that carbon pricing almost certainly works, and typically to great effect. While a well-designed approach to reducing emissions would include other complementary policies such as regulations in some sectors and support for low-carbon research and development, carbon pricing should ideally be the centrepiece of the effort.

It should be remembered that Australia’s two-year experiment with carbon pricing delivered emissions reductions as the economy grew. It was working as designed.

Sep 2, 2020
  • Sue Richardson at the Academy of the Social Sciences in Australia

Putting a price on carbon is a proven and efficient way to reduce emissions and would complement the technology push by allowing the market to find, and pay for, the best value solutions. At the most basic level, paying a price for the release of greenhouse gases is really no different from paying for other waste removal from our homes and factories, which we already do.

Sep 1, 2020
  • Paul Burke, Associate Professor, Australian National University’s Crawford School of Public Policy
  • Frank Jotzo, Director, Australian National University's Center for Climate and Energy Policy
  • Rohan Best, Economist, Macquarie University

From an economic theory, placing a price on carbon emissions would result in a reduction in emissions. At least that’s been the case when analysing 43 countries over a span of twenty years that had some form of a carbon price. These countries had a trend of around two percentage points lower than counties without having a price on carbon. Economic organisation from around the world, counting the International Monetary Fund, the World Bank and the Organization for Economic Co-operation and Development, support the use of carbon pricing.

Aug 13, 2020
  • Paul Burke, Associate Professor at the Australian National University’s Crawford School of Public Policy
  • Frank Jotzo, Director at the Australian National University's Center for Climate and Energy Policy
  • Rohan Best, Economist at Macquarie University

A collective analysed two decades worth of data from 142 countries, and out of the 43 countries had a form of a carbon price. Countries with a carbon price resulted in a 2 percent decrease on carbon dioxide emissions per year between 2007-2017. Whereas the other countries without a carbon price, had a 3 percent increase per year in carbon dioxide emissions.

Jul 15, 2020
  • Mike Foley, climate and energy correspondent for The Age and The Sydney Morning Herald

From a study that observed 30 countries with a carbon price between 2007-2017, resulted in a 2 percent decrease on carbon dioxide emissions per year. That is a 20 percent decrease within a decade, and at the same rate it can result in a 45 percent decrease by 2050.

Jul 15, 2020
  • Blake Matich, writer and journalist with international experience covering politics, culture, the arts and most recently the solar PV industry

Australian Energy Council Chief Executive, Sarah McNamara claims the first step to meet carbon emissions reduction, is to have a long-term target. Setting a target would construct the specific policies and mechanism needed to get there, but carbon pricing should be considered the focus on reducing emission level on a market economy. As researchers from Australian National University and Macquarie University have suggested carbon pricing does reduce emissions.

Jul 14, 2020
  • Paul Burke, Associate Professor, Crawford School of Public Policy, Australian National University
  • Frank Jotzo, Director, Centre for Climate and Energy Policy, Australian National University
  • Rohan Best, Lecturer in Economics, Macquarie University

Carbon pricing policy is regarded popular in other governments, such as Britain and Germany. Dr Rohan Best of Macquarie University, Associate Professor Paul Burke, and Professor Jotzo of Australian National University paper indicates carbon pricing is efficient to reduce emissions. Australia’s experiment with carbon pricing for two years had an emission reduction while growing its economy.

July 14, 2020
  • Andrew Tillett, Political correspondent

Pricing carbon emissions drives bigger falls in greenhouse gas emissions than in economies that have not embraced a similar policy approach, according to a comparison of 142 countries.

Researchers are urging policymakers to re-evaluate their decision to dump carbon pricing, finding carbon dioxide emissions fell on average by 2 per cent per year in countries with some form of a carbon price.

Updated Jul 14, 2020
  • Biwa Kwan

The constant tug-o-war on climate policy has stalled Australia from placing a proper carbon price. A study of 142 nations shows that countries with a carbon price have observed a reduction of their emissions. The countries that didn't adopt have seen emissions increased.

With a proper political narrative and community buy in, a carbon price could be reinstated in Australia.

May 18, 2020
  • Adam Morton, environment editor

Martin Parkinson, a former secretary of Treasury and the now defunct climate change department, said it was incorrect to categorise carbon pricing as being “about taxing people”. “The carbon price is actually about creating the right sort of incentives to develop the technology and then use it,” he said.

May 2, 2020
  • Max Opray

For Shahana McKenzie, the chief executive of Bioenergy Australia, we can increase progress on developing bioenergy by implementing the right economic incentives such as a carbon price.

Feb 26, 2020
  • Tony Wood, Program Director at Energy, Grattan Institute

Opposition leader Anthony Albanese sought to claim the climate policy high ground last week with his commitment to a net-zero emissions target by 2050.

But figures on Australia’s emissions from the Department of the Environment and Energy help frame the political debate, and put the policies of both Labor and the Coalition in context.

Feb 3, 2020
  • Rosalind Dixon, professor of law at UNSW and director of the Gilbert & Tobin Centre of Public Law
  • Richard Holden, professor of economics at UNSW Sydney

The Australian Carbon Dividend Plan is not just an economically and environmentally viable response to the challenge of climate change. The evidence suggests that it is a politically viable solution.

Jul 26, 2019
  • John Kehoe, Senior Writer

Dr. Martin Parkinson, had originally been head of the Department of Climate Change, was Secretary of the Department of the Treasury, is a renowned economist states that putting a price a carbon would have been a cheaper way to reduce energy prices.

Jul 18, 2019

An interview with NAB Chair Ken Henry, believes this generation of business leaders will drive the market to 100% renewable energy in the near future, and shareholders would back business leaders based on what is best for the community. In due time, with enough support, the debate on carbon pricing would be brought up as policy remediation without heated discussion. Emissions will go down with cleaner energy, but it would better with a carbon a price.

Jul 10, 2019
  • James Fernyhough, Reporter

Westpac’s head of sustainability, Micheal Chen who is a also notable to the Australian Sustainable Finance Initiative (ASFI), states the necessity of the federal government for imposing a carbon price in order to mitigate the threat of a financial frisk from climate change. This also supported by other global Central banks and regulators indicating climate change is a financial risk. A secured stable economic system with an environmental agenda needs the federal government’s involvement.

May 30, 2019
  • Mark Ludlow, Queensland bureau chief
  • Angela Macdonald-Smith, Senior resources writer

Business leaders affirmed they had a duty to prepare for the financial risks associated with climate change and the need for carbon policy certainty.

ExxonMobil Australia chairman Nathan Fay said carbon pricing is the simplest and easiest way to reach our Paris climate commitments.

May 22, 2019
  • Linda Mottram, Reporter

Reintroducing the carbon tax is inevitable, according to ANU's Professor at the Crawford School of Public Policy, Warwick McKibbin, and in doing so it would drive innovation and incentives growth.

May 20, 2019
  • Eleanor Hall, Interviewer

Chief executive of the Committee for Economic Development of Australia (CEDA), Melinda Cilento, says that business leaders are speaking out to the federal government on the benefits of setting a carbon price. Having the conversation open about a carbon price is key into getting what is best for Australia.

Apr 11, 2019
  • RMIT ABC Fact Check

The carbon tax introduced in 2012 has produced a sharp declined of emissions. After its repeal of the in 2014, emission levels had increased again. By 2018, Australia had emitted 534 million tonnes of carbon dioxide. It was estimated that by 2020 Australia could emit 540 million tonnes. For Australia to meet its second Kyoto target, emissions would have to 524 million tonnes in 2020.

Feb 27, 2019
  • Peter Milne, Business Reporter

The chair of Shell Australia, Zoe Yujnovich, has affirmed that Australia needs to set a price on carbon as soon as possible. Government has the role of encouraging and implementing a carbon price.

Dec 16, 2018
  • Rod Taylor

A carbon fee and dividend is simple and provides fairness. Achieving a high carbon price is doable with a dividend. By placing a higher carbon price overtime, the dividend will provide a larger compensation in return for lower-income households that use less carbon emitting goods and services. This provides an incentive to lower carbon intensive products.

Nov 23, 2018
  • Ross Gittins, Economics Editor

The point of “putting a price on carbon” is to “internalise the externality”. To get it into the prices charged and paid by private sellers and buyers. Why? To give them a monetary incentive to find ways to reduce the social cost their polluting activity is imposing on us.

In the absence of a carbon price, polluting coal-fired electricity has an undesirable price advantage over non-polluting renewables electricity. This is the economic justification for government subsidy schemes for renewables electricity and household solar power systems.

If we introduced their Robin Hood carbon tax, those subsidies would no longer be needed, saving governments (and often, other power users) about $2.5 billion a year.

Nov 21, 2018
  • UNSW Media

Economics Professor Richard Holden and Law Professor Rosalind Dixon from UNSW released a developed profound policy tackling climate change. The Australian Climate Dividend Plan (ACDP) sets to tax carbon emissions, then returning the revenue to Australians citizens that are of voting age. Australian citizens have the potential of seeing a tax-free payment of roughly $1,300 par year.

Nov 21, 2018
  • Rosalind Dixon, professor of law at UNSW and director of the Gilbert & Tobin Centre of Public Law
  • Richard Holden, professor of economics at UNSW Sydney

Today, as part of the UNSW Grand Challenge on Inequality, a study entitled A Climate Dividend for Australians was released that offers a practical solution to the twin problems of climate change and energy affordability.

It’s a serious, market-based approach to address climate change through a carbon tax, but it would also leave around three-quarters of Australians financially better off.

It is the sort of policy that politicians who believe in both the realities of climate change as well as the power and benefits of markets ought to support.

Nov 14, 2018
  • David Twomey, Editor of EcoNews

Woodside’s chief executive, Peter Coleman, calls for Australia to present carbon pricing. Coleman further expresses that its about time for Woodside to step up and for industry to do the same. BHP shared a report that a “market-based carbon price could minimise the costs of a low carbon transition by making clear the marginal cost of reducing emissions across all sources”. Rio Tinto boss Jean Sebastien Jacques, confirmed his stance to support carbon pricing.

Nov 7, 2018
  • Nadia Daly

Co-founder of software company Atlassian, Mike Cannon-Brookes, has created a movement to push forward policy suggestions around renewable energy. The first one would be to is to put in place a carbon price.

Feb 26, 2018
  • Ian A. MacKenzie, Senior Lecturer in Economics, The University of Queensland

Australia's main climate policy, the Emission Reduction Fund (ERF) efficiency is under scrutiny. The fund has failed to deliver the promised emissions reduction at great expense of taxpayers’ money.With the ERF fund almost empty, it is time to embrace a new policy that incentivizes cleaner technologies in a transparent in a cost-effective way.

A simple, economy-wide carbon tax would be more transparent than the current mechanism, under which individual firms can plead for leniency. If we want to reduce pollution in a cost-effective way that actually works, then we must (re-)establish a carbon price.

Oct 22, 2018
  • Nick Tuscano, Business reporter for The Age and Sydney Morning Herald.

BHP’s head of sustainability and climate change, Fiona Wild, describes Australia and the world being accountable for climate change, and calls for a price on carbon to drive the development of low-cost emissions technologies. BHP, one of the largest miners in the world, has been supportive of setting a price on carbon for several years. Stronger actions and policies are needed to limit global warming temperatures to 1.5 degree, as warned by the IPCC.

Updated Feb 22, 2018
  • James Elton-Pym

Australia setting a carbon tax would promote lowering emissions and energy prices. The CEO of BHP Billiton, Andrew McKenzie, calls for Australia to adopt a carbon tax. This signifies as an example onto other industries to call on a policy that would lower the level of emissions.

Apr 10, 2017
  • Heath Aston, environment, energy and corporate correspondent for the Sydney Morning Herald and The Age

Younger Nationals have rejected federal leadership decision to not support a carbon trading scheme. Young Nationals are concerned about the impacts on renewable energy investments needed to ensure energy security and affordability.

Jul 8, 2014
  • Australian Economists

A group open letter coming from a range of economists consider putting a price on carbon that would be economically efficient and able to reduce carbon emissions. Providing evidence that many of Australia’s trading partners are adopting climate change measures, only makes sense that it is time for Australia to do the same.