This paper canvasses options and preferred approaches on issues, such as which industry sectors will be covered and how emission caps will be set. It also includes ways to address the impacts on Australian households, emissions-intensive trade-exposed industries and other strongly affected sectors.

Emission trading will begin in Australia from 2010. While the design features of the scheme are yet to be finalised, whatever scheme is introduced will lead to higher energy prices. This paper assesses the likely impact of higher energy prices on a range of different household types over time. It finds that while introducing emission...

Many governments see energy efficiency improvements as a low-cost means of reducing emissions of greenhouse gases. However, the scope for achieving environmental gains through increasing the uptake of only those energy efficiency improvements that are privately cost effective appears to be modest at current and expected energy prices.