Who are the (un)intended losers from emissions trading?

23 Sep 2008

The Introduction of an Emissions Trading Scheme has the potential to significantly reduce Australia's greenhouse gas emissions, but the issue of which groups should be compensated, and by how much, is yet to be addressed. In this paper the Institute makes the case for providing substantial compensation to community groups, state and local governments, and even Commonwealth Departments. It argues that the increased cost of electricity, combined with the increase in prices more generally, will result in an increase in the cost of providing government and community services. Rather than providing greater compensation to the big polluters, this paper spell out the need to instead provide compensation to those organisations that provide essential services to some of the most vulnerable groups in the community.

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