Interim Report - The Carbon Tax: Economic pain for no environmental gain

Interim Report - The Carbon Tax: Economic pain for no environmental gain

7 October 2011

© Commonwealth of Australia 2011
ISBN 978-1-74229-528-2

View the report as a single document - (PDF 5693KB)

View the report as separate downloadable parts:

Membership of the committee (PDF 13KB)
Executive Summary (PDF 49KB)

The government's lack of mandate for a carbon tax
Shifting emissions overseas
The inefficiency of the government's carbon tax
The carbon tax has the potential to undermine wider reforms
The overall impact on the economy – $40,000 from every Australian
The need for a credible international agreement
Flaws in the government's approach
The cost of acting now
Uncertainty in the global economy
Treasury modelling

Chapter 1 - Inquiry into a carbon tax (PDF 21KB)

Terms of reference
Conduct of the inquiry to date
Structure of the report

Chapter 2 - The Australian responses to climate change (PDF 1275KB)

Australia's emissions in context
Australia and international agreements on climate change policy
No harmonised global climate change mitigation action scheme
Pessimism over future prospects for a binding international agreement
The evolution of Australia's recent climate change policy
The architecture of the carbon tax
The carbon tax legislation
Fallout from the carbon tax policy development process
A need for Australians to have their say
Committee comment

Chapter 3 -  The carbon tax the Prime Minister promised we wouldn’t have (PDF 522KB)

The carbon tax is announced
Features of the carbon tax
Committee Comment
Revenue and outlays under the carbon tax
Committee comment

Chapter 4 - Australia's future prosperity exposed (PDF 295KB)

Carbon leakage
Specific industries
The need for a global agreement – the need for a level playing filed
Committee comment

Chapter 5 - The energy sector under the carbon tax (PDF 208KB)

The energy sector in Australia
Carbon pollution and the energy sector
Government assistance package
Regional employment and small business
Committee comment

Chapter 6 - Regional Australia (PDF 138KB)

Previous government regional modelling exercises
Committee comment
Third-party modelling of the impact of the carbon tax on regional areas
Evidence from local regional communities
Regional New South Wales
Regional Queensland
Regional Victoria

Chapter 7 - Picking up the cost – the carbon tax on households (PDF 250KB)

The impact of a carbon price on households
Committee comment
Australian Households under a carbon tax
Reaction to the compensation package
Committee comment

Chapter 8 - The carbon tax and the economy (PDF 192KB)

The government's climate change plan and the Commonwealth Budget
Additional government measures not included in the climate change plan budget
Combined outlays and revenues under the carbon tax
Clean Energy Finance Corporation
Contracts for closure program and the use of contingency reserve
Effect of the carbon tax plan on the return of the Commonwealth Budget to surplus
Effect of the carbon tax plan on state government budgets
Council of Australian Governments
Delay in the implementation of the carbon tax
The economic impact of higher electricity prices
Is the impact of the carbon tax modest?
The potential for a carbon tax to undermine wider reforms
The overall impact on the economy
Committee comment

Chapter 9 - The transport industry and the carbon tax (PDF 64KB)

The road transport industry
Committee comment
The air transport industry
Committee comment

Chapter 10 - The carbon tax modelling: deficiencies (PDF 132KB)

The carbon tax modelling
Process issues and the development of the carbon tax
Concerns about the Treasury modelling
Committee comment

Government Senators' Dissenting Report -   (PDF 260KB)

Summary of findings:

Additional Comments by Senator Nick Xenophon (PDF 12KB)
APPENDIX 1 - Submissions and Additional Information received by the Committee (PDF 23KB)

Additional Information and Tabled Documents
Answers to Questions on Notice

APPENDIX 2 - Public Hearings and Witnesses (PDF 17KB)

Public Hearings and Witnesses

APPENDIX 3 - Terms of reference: Multi-Party Climate Change Committee (PDF 15KB)

For further information, contact:

Committee Secretary
Select Committee on the Scrutiny of New Taxes
PO Box 6100
Parliament House
Canberra ACT 2600

Phone: +61 2 6277 3555
Fax: +61 2 6277 3899