The Business Council of Australia has provided a submission to the Department of Climate Change and Energy Efficiency addressing issues of concern in the draft legislation to give effect to the removal of the floor price and provide for linkage to the European Union emissions trading scheme.
The BCA supports the removal of the floor price and a surrender charge. Both these elements of the legislation distorted the market that is intended by the legislation and would have brought additional costs to the economy and consumers at a time when all efforts should be directed at maintaining a strong and growing economy.
The BCA remains of the view that there should not be any restrictions placed on businesses’ use of international permits to meet their full liabilities under the Clean Energy Act, including numbers of international permits and types of permits (subject to them complying with international standards).
More broadly, as the BCA has stated in earlier submissions, it remains essential that Australia’s contribution to the reduction in global greenhouse gas emissions be done in a manner that does not adversely impact the competitiveness of Australia’s trade exposed industries, reflects the actual carbon price being paid by our competitors and is in line with demonstrable international action.
Submission to the Department of Climate Change and Energy Efficiency regarding the Draft Clean Energy Legislation Amendment (International Emissions Trading and Other Measures) Bill 2012 and Related Bills