Australia is about to be hit by a carbon tax whether the prime minister likes it or not, except the proceeds will go overseas

Ten years ago, in the lead-up to Australia’s short-lived carbon price or “carbon tax” (either description is valid), the deepest fear on the part of businesses was that they would lose out to untaxed firms overseas. Instead of buying Australian carbon-taxed products, Australian and export customers would buy untaxed (possibly dirtier) products from somewhere else. It would give late-movers (countries that hadn’t yet adopted a carbon tax) a “free kick” in industries from coal and steel to aluminium to liquefied natural gas to cement, to wine, to meat and dairy products, even to copy paper. It’s why the Gillard government handed out free permits to so-called trade-exposed industries, so they wouldn’t face unfair competition.

Source: Australia is about to be hit by a carbon tax whether the prime minister likes it or not, except the proceeds will go overseas

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