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CLIMATE CHANGE
I am not a climate change sceptic. I believe that global warming is real and that the overwhelming scientific evidence is that it is caused by human activity. So, we must take responsibility for finding a way to reverse this dangerous trend.
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As a nation, we should live up to our international obligations and set a good example for the rest of the world.
A properly designed emissions trading scheme will be an important part of reducing Australia's carbon emissions.
And I believe a model can be created that does not impose an undue burden on the economy.
But I believe any ETS should be rolled out in conjunction with a variety of other measures to reduce energy use and carbon emissions.
This should include a renewed focus on renewable energy sources, as well as a focus on more efficiency in business, in farming, in our homes and in our cars.
I am really worried about the government's proposed Carbon Pollution Reduction Scheme.
To me, it seems like all stick and no carrot.
If the goal is to encourage consumers away from so-called 'dirty' industries and towards 'cleaner, greener' industries, why would you heavily tax the clean industries too? But that is what I believe the government's plan does.
I support a 'carrot and stick' approach where the 'cleaner, greener' technologies are rewarded and only the 'dirty' industries are taxed.
This would send the right market signals and it would also stop the problem of massive revenue 'churn'. This is where the government collects billions of dollars a year in taxes and then has to find a way to give this money back to industry and consumers to make its flawed system viable.
I am also concerned the government's emissions targets are inadequate. The advice I have received from economists is that we can actually make deeper cuts to carbon emissions if we put our energies into designing a better scheme.
I am determined to continue working with all parties on this issue, because I believe addressing climate change is amongst the greatest challenges facing the planet.
If you have any ideas or comments of tackling this ‘diabolical problem’, please send me an email or letter.
Below is a copy of the Executive Summary from the modelling done by Frontier Economics into the Carbon Pollution Reduction Scheme at the request of the Leader of the Opposition and myself. If you would like to see the full report, please visit http://www.frontier-economics.com/australia/au.
Supporting documentation
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