Carbon Dioxide Emissions in Australia and Climate Change

The world economy is a very complex system; in the system harmful externalities disrupt capital flows and determine economic productivity. Most notable of these externalities is inadvertent global warming. Spending towards research and regulation of climate change at both the national and international level are very important in determining current and future business trends. Economists and scientists worldwide continuously debate the pros and cons of emissions reduction and what consequences can quickly follow. Though many have different views on the issue, all can agree that the immediate and long term effects of climate change have become an economic matter of paramount importance. The sweeping impact from climate change will have important fiscal, financial, and macroeconomic ramifications that influence global commerce standards.

Since the beginning of International Relations and foreign policy, especially in the United States, environmental issues have not been its top priority. this problem has gained much momentum sense the environmental movements of the sixties and the passing of landmark pieces of policy. From domestic policy decisions of the Clean Air and Water Acts to the international ban on CFC’s, environmental policy has showed a degree of promise and precedence. Many critics of past and current mitigation efforts have pointed out that our current efforts are much too slow and International Protocols and not lived up to their projections. In order for climate policy to be successful it must appertain to three distinct criteria; It must be adopted broadly, have the ability to stay in place indefinitely, and it needs to have incentives to reduce emissions that make it beneficial for firms and the public sector to invest (McKibbin 2006, 9). According to some it will be motivation, not feasibility as to the deciding factor of whether or not we are successful in mitigating and adapting to climate change (Jamieson 2013, 466).

The argument about man’s role in climate change and the role of government, the role of industry and the role of citizens is a significant challenge that crosses all levels of government, crosses all geopolitical boundaries and crosses all sectors of business. National governments across the globe are dealing with the issue in different ways, but one overarching aspect of control and mitigation can be seen in the oversight and regulation of the electric energy industry. One significant challenge facing each nation is the cost to lower carbon emissions and the question of who will pay the additional cost for compliance. Though the cost issue is significant, a much more difficult question is whether any decision on lowering emissions can make

Emissions of CO2 was estimated around 130 million tonnes per year. The amount of emissions is account for around 25 percent of the total emissions in Australia. Environmentalists suggested that emissions from burning of coal and coalmine processing are substantially contributes to increase green house gas in the atmosphere that results in global warning. Importantly, the effect of climate change will have a great significance on Great Barrier Reef.

In 2010, Australia produced around 20 tonnes of carbon dioxide per person, more per capita than the United States and almost any other country, in large part because of the quantities of cheap coal available for electricity. In 2012, Australia enacted a tax on carbon emissions, starting at AU$23 per tonne and moving up to AU$25 per tonne in 2013. Two years after it was implemented, and before it developed into the next planned stage of an emissions trading program, Tony Abbott was elected and the senate voted to repeal it. I believe that a carbon tax like the one in Australia is an effective policy, but it must have the support of the people in order to reach its full potential for aiding in climate change-stopping or whatever. This essay

The issue of carbon emissions is an important one not only from an environmental perspective but also an economic one. While reducing carbon emissions is an important one for the health of human beings as well as that of the environment, the larger question is what type of policy strategy is best for both reducing such emissions which might have an impact on efforts to mitigate the effects of pollution on climate change. While ther are options to consider which does not rely on economics-- technological or output standards achieved by command and control regulations--they are often fraught with political resistance by industry because they do not allow industry to make any choices or play a role in solving the problem of

I have researched about climate change in Australia and take this as an example for the same situation of other countries. Australia is a unique and diverse country in every way – in culture, populations, climate, geography, and history. It is home to more than one million species of plants and animals, many of which are found nowhere else in the world, and less than half have been described scientifically. However, Australia is an exceptionally large polluter. It is the highest per person greenhouse gas polluter among all developed countries, the 15th highest overall polluter and our emissions are still rising. Most of Australia’s greenhouse gas emissions come from the burning of fossil fuels for energy about 72%. When oil, gas or coal burns,

Cap-and-trade is environmentally and economically approach to capping and controlling greenhouse gas emissions which is the primary cause of global warming. It is a policy move aimed at controlling large amounts of gas emissions from a cluster of sources. This approach sets an overall cap which is the maximum amount of gas emissions per a stipulated compliance period, for all the sources under that particular program.

Countries around the world have agreed that to avoid potentially dangerous climate change, global warming stay below 2 degrees C. This means that every country, including Australia will need to significantly increase their efforts to reduce emissions. Currently, Australia’s per capita emissions are among the highest in the world, however, there has been recent progress in decarbonising its economy. For example, greenhouse gas emissions have remained stable while economy size has almost doubled. (Pathways to deep carbonisation).

Cap-and-trade is a program which uses a market-based mechanism to control greenhouse gas emissions, the primary driver of global warming. The “cap” sets a limit on emissions, which is lowered over time to reduce the amount of pollutants released into the atmosphere. It limits emissions in electric power generation, natural gas, transportation, and large manufacturers. The “trade” creates a market for carbon allowances, leading to more cost-effective pollution cuts, and incentive to invest in cleaner technology. The less they emit, the less they pay, so it is in their economic incentive to pollute less. Each allowance (typically equivalent to one metric ton of carbon dioxide) are auctioned or allocated to regulated emitters on a regular basis.

First we should understand how the carbon cap and trade system came about. The system of carbon cap trade used to be known as ‘emissions trading’, the alliance of free-market republicans and renegade environmentalists got the system adopted as national law in 1990 as a part of the Clean Air Act, to control the power-plant pollutants that cause acid rain, which is triggered by vast clouds of sulfur dioxide

In Australia, there is an emerging consensus that the government should take further actions to help mitigate and combat climate change. The current most accepted policy by government is the introduction of a carbon tax followed by an ETS in 2015. However we are focusing on the carbon tax in this essay and not the ETS. Here is a brief explanation of the dynamics of a carbon tax. A carbon tax is a tax on energy sources, which emit carbon dioxide (Co2). Therefore, carbon taxes address the problem of negative externality. Externalities are the subsequent effects when individual production or consumption of a particular good or service imposes costs or benefits on others. Therefore negative externalities are effects, which pose harm to others without their direct interaction (Basic Economics 2011). However, usual market practices and transactions do not reflect these cost and benefits in the prices involved in the transaction, or take into account in their transaction decision. Therefore this is a form of market failure. By imposing a cost on these negative externalities, the hidden cost can be addressed. Ultimately the purpose of a carbon tax is to reduce emissions of carbon dioxide and therefore reduce

For decades now, world leaders have set aside negotiations concerning climate change because the issue was not convenient to deal with. This approach has benefited some, who bear the cost of fixing the environment, and has harmed future generations of humans who now have to deal with the mess that climate change has left behind. A glimmer of hope in reaction to the deal of Chinese and American fossil fuel reduction is matched by a stock market that has favored green technology is a starting point for restoring the human right of a clean environment.

It is reported that nearly three quarters of green house gases are a result of humans burning fossil fuels from nonrenewable energy, cars, and electricity (LaMeaux, 2014). The effects of carbon emission on climate change are having devastating and many irreversible

Pollution, specifically global warming, is of growing concern to people and governments. It is a controversial issue whose validity is still being debated by scientists. The Kyoto Protocol is an international attempt to address global warming through emissions controls. Traditional neoclassical economic models do not incorporate pollution in rudimentary theories of supply, demand, or pricing, as a result, firms do not consider pollution as a cost of production, which leaves government regulation as the primary method for controlling these externalities. The goal of emissions trading is to allow one business, which can make greenhouse gas emission reductions for a relatively low cost, to sell