by clicking the arrows at the side of the page, or by using the toolbar.
by clicking anywhere on the page.
by dragging the page around when zoomed in.
by clicking anywhere on the page when zoomed in.
web sites or send emails by clicking on hyperlinks.
Email this page to a friend
Search this issue
Index - jump to page or section
Archive - view past issues
Trading Carbon : December - January 2011
News Australia's Senate on November 8 passed legislation that will put a A$23 (US$23.80) tax on carbon dioxide (CO2) emissions for the country's biggest emitters from July 1, 2012 and introduce the world's biggest carbon trading scheme outside of Europe from 2015. The r uling Labor party and the Greens saw the 18- bill legislative package through the upper house of the parliament with a 36--32 majority, effectively making the carbon pricing scheme Australian law. The vote put an end to a nine-month long intense and often tr uculent debate on how Australia is to meet its target of cutting greenhouse gas emissions 5 percent below 2000 levels by 2020. However, some uncertainty remains, as opposition leader Tony Abbott has pledged to repeal the scheme if he becomes prime minister after the 2013 election, although an increasing number of observers think this will be unfeasible. From financial year 2012--2013, some 500 companies across most of the sectors of the economy will have to pay A$23 a tonne of CO2 they emit, although up to 5 percent of their emissions may be covered by offsets from the Carbon Farming Initiative (CFI -- see pages 34--35). In the three-year fixed period of the scheme, there will be no cap on the carbon emitted by participating companies. When Australia moves to an ETS with a floating price in mid-2015, scheme participants will be allowed to use credits from UN-regulated schemes, such as the Clean Development Mechanism (CDM), while access to CFI credits will be unlimited. Australia's Treasury has estimated that by 2020, Australian firms will use just over 90 million CDM credits to be in line with their target. The Australian legislation puts the same qualitative restrictions on the use of CDM credits as the EU scheme, meaning offsets from the destruction of HFC 23 and nitrous oxide from adipic acid projects will not be eligible for use. Australia passes emissions trading laws 06 Dec 2011/Jan 2012 www.pointcarbon.com China's carbon dioxide (CO2) emissions could be 3 billion tonnes more than expected over the next five years, if the country fails to rein in provincial government plans to boost their economies, a report said on November 9. Beijing is finalising plans to c urb energy use and carbon emissions nationally, but difficulties in controlling local government economic policies remain the biggest obstacle to meeting any targets, according to researchers at Tsinghua University. "Local governments' expected annual growth of GDP for the 12th (five-year plan) is far greater than the central government's expected target of 7 percent," said the report, referring to a national target set by Beijing to promote sustainable growth in the world's top emitter. Spiralling GDP growth would make it diffic ult to meet an overall energy consumption target, which will be set at just over 4.1 billion tonnes of standard coal equivalent in 2015. Under the target, China's energy- related CO2 emissions would be 8.46 billion tonnes, 50 percent more than expected US emissions. But all of China's provinces are aiming above Beijing's GDP target and, according to their five-year plans, are targeting growth between 8 and 13 percent. If these growth targets are met, energy consumption would increase to 4.33 billion tonnes of coal equivalent per year -- up from 3.2 billion tonnes in 2010 and some 500 million tonnes over Beijing's target. The result would be an additional 3 billion tonnes of CO2 emitted over the five-year period, according to the report, a figure that compares with Australia's annual greenhouse gas emissions. GDP growth in the first nine months of 2011 reached 9.1 percent on an annualised basis, according to the National Bureau of Statistics. GDP growth threat to China CO2 targets: report Tony Abbott, opposition leader: Pledged to repeal carbon price MICK TSIKAS/REUTERS