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ARTICLE · 08 DECEMBER 2009

Sustainability and Climate Change Update: The Carbon Pollution Reduction Scheme

The proposed CPRS establishes a ‘cap and trade’ scheme. This scheme involves the imposition of a cap on Australia’s greenhouse gas emissions. The cap is established through the issuance of a set number of Australian Emission Units (AEU s). Under the scheme, significant emitters of greenhouse gases must acquire and surrender an AEU permit for every tonne of gas emitted in a particular year.

AustraliaEnvironment
Maddocks Sustainability & Climate Change Team
Maddocks Sustainability & Climate Change Team

The status of the Carbon Pollution Reduction Scheme

After much speculation and political wrangling, the proposed Carbon Pollution Reduction Scheme (CPRS ) has been rejected by the Senate for a second time.

The latest set-back followed an extraordinary series of events, which culminated in the replacement of the former Opposition Leader, Malcolm Turnbull, who had supported the revised CPRS, with a climate change sceptic and staunch opponent of the CPRS, Tony Abbott.

The new Opposition Leader has ruled out supporting any form of emissions trading scheme, unless it forms part of a global system, including involvement of the United States. He has emphasised the need to consider nuclear power as an alternative to an emissions trading scheme or carbon tax.

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