The Australians have come a long way since 2007 when climate change was a big factor in the change of government from Tory to Labor. A few years later, in part because the new Labor PM, Kevin Rudd, wasn’t effecting legislation fast enough to put a price on carbon, he was replaced in his party and as PM by Julia Gillard. Not moving fast enough! The Australians get it.
So now, Julia Gillard has produced what Australians wanted: a price on carbon. It is a brilliant, critically important breakthrough. A very important economy – and one that is not in Europe where almost all the leadership has been – has done what virtually all environmental economists agree is necessary to reduce our greenhouse gases: put a price on carbon. The Australians will impose a carbon tax. The average Australian will not feel the pinch, largely because of help from the government in offsetting price rises. You can see Gillard at her website describing the new initiative.
This is much more like the Regional Greenhouse Gas Initiative in the Northeast US than it is the European economy-wide cap-and-trade system, but it’s an extremely effective down payment on much more. The Australians have a plan that goes beyond the price on carbon: renewables, energy efficiency, and land use improvements to maximize the biosequestration potential of the earth. It shows leadership from a key actor on the world stage.
See also this video that describes the process in simple terms:
