The CPRS–Where to from here?

by Richard Denniss

The CPRS has fundamental flaws that need to be addressed. A mechanism to ensure that the efforts of individuals and state governments to reduce emissions result in lower emissions, not extra permits for other polluters, needs to be introduced. Similarly, the decision to insulate the petrol price from the introduction of a carbon price needs to be revisited. The decision was made at a time of record oil prices and ensures that the proposed scheme cannot deliver least cost abatement.

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