On 15 October 2013, the recently elected Federal Government
released a Consultation Paper and exposure draft legislation to
repeal the carbon pricing mechanism, otherwise known as the Carbon
Tax.
The Government announced that the Carbon Tax will be repealed
effective from 1 July 2014 even if the carbon tax repeal
legislation is passed after that date. As the repeal legislation
needs to be passed by both the House of Representatives and Senate,
the Government will need the support of other parties as the
Government does not currently have a majority in the Senate. Recent
developments have indicated that this may be achievable before 1
July 2014.
Further details of the Direct Action Plan, which is the
Government's preferred method to reduce pollution, will be
developed through the release of a white paper and subsequent
consultation process.
