Category: Carbon Pricing

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Australia Carbon Pricing

April 26, 1992 – Ros Kelly abjures a carbon tax

Thirty two years ago, on this day, April 26th, 1992 the entirely sensible idea of a carbon tax was killed off (for now), with the Australian Federal Environment Minister running up the white flag again.

A spokesman for Environment Minister Ros Kelly said the Government was not considering a “carbon tax”, which would hit fossil fuels such as petrol and coal. Instead – at least as a first step – it favoured “no-regret” options. These were measures to increase energy efficiency, which will have overall economic benefits even if dire greenhouse scenarios don’t eventuate. The spokesman said: “This Government would be delinquent if it did not take a precautionary rather than a cavalier approach to the greenhouse effect. The worst-case scenarios are terrifying.”

BCA spokesman Mark Emerson said Australia should not support the EC proposal for a commitment by developed countries to stabilise greenhouse gas emissions by the year 2000. “Business is concerned that, against the background of the enormous scientific uncertainties, inappropriate policy responses might be applied which would have devastating economic and social effects without any discernible environmental benefits,” he said. “None of Australia’s regional trading partners or competitors – except New Zealand – will agree to the EC option.”

Skinner, S. 1992. Greenhouse: Aust yet to set its policy. Sun Herald, 26 April, p. 13.

The amount of carbon dioxide in the air was roughly 356.5ppm. As of 2024 it is 425ppm, but check here for daily measures. 

The context was that the idea of a carbon tax had been raised within the Ecologically Sustainable Development groups. Entirely sensible idea. And it had sent business or elements of business into a total meltdown. And now, under the new Keating government, it was off the table. But of course, Kelly would be going to the Rio Earth Summit in a couple of months. And the headbangers didn’t want her trying to sneak things in via the back door. 

What we learn is that simple straightforward ideas that would have helped were defeated by powerful greedy actors who had only their own short-term power and comfort in mind. And politicians went along for the ride. 

What happened next, Rio happened. There was another attempt to get a carbon tax through in 94/95, after Ross Kelly was forced to resign over sports routes. And it failed. And we as a species failed 

What do you think? Does this pass the ‘so what?’ threshold? Have I got facts wrong? Interpretation wrong? Please do comment on this post, unless you are a denialist, obvs.

Also on this day: 

April 26, 1998 – New York Times front page expose on anti-climate action by industry

April 26, 1998 – “Industrial Group Plans to Battle Climate Treaty”

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Australia Carbon Pricing

March 14, 2007 – Australian Treasury eyeroll about politicians on #climate, (scoop by Laura Tingle).

Seventeen years ago, on this day, March 14th, 2007, civil servants get caught out despairing of their political “masters.”

The country’s most senior economic bureaucrat has delivered a scathing assessment of the federal government’s water and climate-change policies and warned his department to be vigilant against the “greater than usual risk of the development of policy proposals that are, frankly, bad” in the lead-up to the federal election.

In a speech to an internal Treasury forum, obtained by The Australian Financial Review, Treasury Secretary Ken Henry confirmed his department had little influence in the development of the government’s recent $10 billion water package, and expressed his regret that its advice both on water and climate change had not been followed in recent years.

The revelations came as the government was on the defensive yesterday about its failure to address climate change in its latest intergenerational report.

Dr Henry’s speech, in which he reviewed Treasury’s achievements and challenges, was given to an internal biannual departmental forum at Canberra’s Hyatt Hotel on March 14.

He noted that the department had “worked hard to develop frameworks for the consideration of water reform and climate-change policy”.

“All of us would wish that we had been listened to more attentively over the past several years in both of these areas. There is no doubt that policy outcomes would have been far superior had our views been more influential,” he said.

2007 Tingle, L. 2007. Revealed: Treasury chief’s blast at government policy. The Australian Financial Review, 4 April, p.1.

The amount of carbon dioxide in the air was roughly 384.8ppm. As of 2024 it is 425ppm, but check here for daily measures. 

The context was that Treasury officials had been having to sit politely for a decade while various “economically efficient” emissions trading schemes were proposed. Two had been put before cabinet in 2000 and 2003, only to be shut down. In the first case by Nick Minchin the second by John Howard alone. And of course, the Shergold report process was underway at this point, because Howard had done a save-my-skin U-turn. Also, Kevin Rudd was banging the drum. And it looked like the state-based Emissions Trading might come back, who knew for sure. And so hardly surprising that top mandarin,  who actually knew one end of a spreadsheet from another, might have a little private exasperation. 

What we can learn is that civil servants often have to just grit their teeth as really stupid. elected members run the place – which is of course how it should be. On  tap not on top and all that crap. 

What happened next? The Shergold report was released in May 2007, but convinced no one. Aong came Keivin Rudd who then completely fucked up the introduction of the emissions trading schemes. He got toppled by Julia Gillard and, well, alright you know the rest. 

What do you think? Does this pass the ‘so what?’ threshold? Have I got facts wrong? Interpretation wrong? Please do comment on this post, unless you are a denialist, obvs.

Also on this day: 

March 14, 1997 – Australian senator predicts climate issue will be gone in ten years…

 March 14, 2007 – Top Australian bureaucrat admits “frankly bad” #climate and water policies

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Australia Carbon Pricing

March 9, 2009 – Carbon price being weakened by lobbying…

Fifteen years ago, on this day, March 9th, 2009, the ABC revealed just how much lobbying was going on.

The ALP government’s intransigence is no surprise. The ABC’s Four Corners on March 9 2009 provided detailed confirmation that the CPRS is the product of immense pressure and lobbying from the corporate interests that profit most from Australia’s heavy reliance on fossil fuels.

http://www.abc.net.au/4corners/content/2008/s2511380.htm

The amount of carbon dioxide in the air was roughly 389ppm. As of 2024 it is 425ppm, but check here for daily measures. 

The context was that Kevin Rudd had become prime minister, in part by using climate change as a stick to beat Liberal John Howard with. Once in office, though, he just subcontracted this out – largely ignored the issue except for the occasional set piece speech. He was more interested in the global financial crisis and running around saving capitalism and strutting and fretting his error upon the stage. In December of 2008, the carbon pollution reduction scheme white paper had been released. There were protests when Rudd did a speech at the National Press Club. And economist Ross Garnaut who had been Rudd’s pet economist for a little while, but proved to be too honest called that process “Oiling the squeaks”, saying that never in the field of human of Australian lobbying has so much been given to so many so few but so many. 

Anyway. 2009 was the year that Rudd’s lot were supposed to turn the White Paper into actual legislation. And business knew that if it kept kicking and screaming it would keep being given more and more of what it wanted because Rudd is basically a spineless technocrat. And this is a good example of it. 

What I think we can learn from this is that vested interests will never be satisfied with what you give them. (This is the accusation levelled at climate activists, but I think there’s some projection going on).

What happened next

Rudd introduced the legislation. It fell the first time which was fine by him because it gave him more chances to beat up on opposition leader Malcolm Turnbull (who admittedly had been a bit of a douche. Gordon Gretch etc). Then in late 2009, Turnbull ran up the white flag and wanted to get the climate issue off the table. He sent feelers to Rudd who batted him away, convinced he would get the legislation through, defeat the Liberals and go to Copenhagen for victory lap. And then along came Tony Abbott. And you know, the rest. 

What do you think? Does this pass the ‘so what?’ threshold? Have I got facts wrong? Interpretation wrong? Please do comment on this post, unless you are a denialist, obvs.

Also on this day: 

 March 9, 2005- Albanese says “ecological decline is accelerating and many of the world’s ecosystems are reaching dangerous thresholds.” #auspol

March 9, 2009 – Scientist tries to separate fact from denialist fiction

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Carbon Pricing Uncategorized

March 5, 2007 – Nick Minchin versus reality, again

Seventeen years ago, on this day, March 5th, 2007, an Australia politician who had already scuppered a national Emissions Trading Scheme in 2000 came out and said what he was “thinking.”

A SENIOR Federal Government minister has expressed serious doubts global warming has been caused by humans, relying on non-scientific material and discredited sources to back his claim.

One month after a United Nations scientific panel delivered its strongest warning yet that humans were causing global warming, the Finance Minister, Nick Minchin, has questioned the link between fossil fuels and greenhouse gas pollution.

In a letter he wrote on March 5 to Clean Up Australia’s founder, Ian Kiernan, Senator Minchin took issue with Mr Kiernan’s criticism of the minister’s scepticism.

Frew, W. 2007. Minchin denies climate change man-made. Sydney Morning Herald, 15 March.

The amount of carbon dioxide in the air was roughly 384.8ppm. As of 2024 it is 425ppm, but check here for daily measures. 

The context was Minchin, who was only from a very small and frankly not very bright state, South Australia, had been a knuckle-dragger and knuckle bruiser on climate for some time. He had successfully defeated the first effort to get an emissions trading scheme through Howard’s cabinet in August of 2000. Climate change had in about September of 2006, exploded onto the Australian public’s consciousness, for want of a better word, and Minchin was fighting the culture war. 

What I think we can learn from this is that the idiotic beliefs of idiotic people can have enormous consequences if those people can call themselves senators and so forth, and sit around the table where the decisions are being made. And so it was. 

What happened next

An Emissions Trading Scheme was eventually passed in 2012 and then abolished less than two years later.  Thanks Tony Abbott and Rupert Murdoch and all the crumb maidens…

What do you think? Does this pass the ‘so what?’ threshold? Have I got facts wrong? Interpretation wrong? Please do comment on this post, unless you are a denialist, obvs.

Also on this day: 

March 5, 1950 – first computer simulation of the weather…

March 5, 2011 – Australian “wingnuts are coming out of the woodwork”

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Australia Carbon Pricing

March 2, 1994 – A green budget needed in Australia…

Thirty years ago, on this day, March 2nd, 1994, environmentalists were doing what they could to push for a carbon tax.

Canberra — The Australian Conservation Foundation has urged the Prime Minister, Mr Keating, to consider green-based Budget measures, including a radical tax on carbon.

The foundation’s president, Professor David Yencken, and its executive director, Ms Tricia Caswell, met Mr Keating yesterday. They sought support for a complex Budget submission and asked for a swift replacement for the former Environment Minister, Mrs Kelly.

Middleton, K. 1994. Conservationists Urge PM To Go For A Green Budget. The Age, 3 March p.7.

And

The Australian Conservation Foundation has proposed sweeping changes to the Federal Government’s taxation and spending practices to safeguard Australia’s future environmental and economic interests.

In its first detailed Budget submission, released yesterday, the ACF proposed measures it said would save the Government between $ 1.4 billion and $1.9 billion next financial year at the same time as promoting more environmentally responsible practices and creating jobs. The measures include a jobs levy, carbon tax, woodchip export levy, more money for public transport, and taxation incentives for nature conservation and the use of green technologies

AAP, 1994. Alter taxation, spending to aid environment: ACF. Canberra Times, 3 March, p.4.

The amount of carbon dioxide in the air was roughly 360.1ppm. As of 2024 it is 425ppm, but check here for daily measures. 

The context was that people wanting to see action on what we then called “the greenhouse effect” had been suggesting a tax on carbon dioxide usage since the “Ecologically Sustainable Development process of 91-92. And there wasn’t really any coherent ideological or economic argument against this other than squeals of pain from the people who would have to pay it, who were doing the polluting.

Australia was a signatory to the UN Framework Convention, which was going to become law. And there was going to be the first “COP” meeting quite soon. And so in order to demonstrate credibility, so the argument went, the Australian Government could introduce a low tax, which would fund some energy efficiency, some renewables and the sky would not fall. And so that was the bid – entirely sensible, but unable to overcome, as we have seen, the power of the fossil fuel lobby in Australia. 

What I think we can learn from this is that politics is a blood sport. And everybody knows the war is over. Everybody knows the good guys lost. 

What happened next: The conservation lobby got their wish. There was a proposal for a carbon tax. And it was withdrawn because the opposition to, from within Paul Keating’s cabinet, egged on by the usual suspects beyond, was so successful that it was never going to get through cabinet. And the emissions kept climbing 

What do you think? Does this pass the ‘so what?’ threshold? Have I got facts wrong? Interpretation wrong? Please do comment on this post, unless you are a denialist, obvs.

Also on this day: 

March 2nd, 1997- RIP Judi Bari

March 2, 2009 –  Washington DC coal plant gets blockaded

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Australia Carbon Pricing

February 10, 1995 – Faulkner folds on carbon tax – doesn’t have the numbers in Cabinet

Twenty nine years ago, on this day, February 10th, 1995, the Australian Environment Minister John Faulkner conceded that he didn’t have the numbers to get a carbon tax proposal through cabinet.

THE Minister for the Environment, Senator Faulkner, has abandoned proposals for the introduction of a carbon tax …. His decision was made on Friday [10th February] after two days of talks with environmental and business groups

Ellis, S. and Gill, P. 1995. Faulkner calls off plans to impose carbon tax. The Australian Financial Review, 14 February, p.3.

The amount of carbon dioxide in the air was roughly 361ppm. As of 2024 it is 422ppm, but check here for daily measures. 

The context was that there had been an entirely sensible idea put forward by the greenies at the Australian Conservation Foundation, among others, to have a small carbon tax that would fund energy efficiency and solar. This had finally been put forward by the environment minister, John Faulkner in 1994. It had led to a vehement coordinated attack on the proposal. The opponents had played their cards very well. The proponents not always so well. And on Friday 10th of February Faulkner had realised he didn’t have the numbers because the crucial role in politics is “learn to count.” 

What we learn is that everybody knows the war is over. Everybody knows the good guys lost and this is one of the times that the good guys lost. What we also learn is that proposals for sanity get made all the time and usually get defeated. 

What happened next?  Faulkner went to COP1 in Berlin and announced himself happy. There was the announcement of the entirely voluntary greenhouse challenge, bullshit that achieved nothing other than to confuse people. Its purpose was to make BHP and its chums look like ”responsible” corporate citizens. 

Also on this day: 

Feb 10, 2010 – Dutch scientists try to plug denialists’ holes in the dike

February 10, 2011 – Australia gets a “Climate Commission”

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Australia Carbon Pricing

February 7, 1995 – Business Council of Australia vs a carbon tax. Of course

Twenty-nine years ago, on this day, February 7th, 1995, the lobby group for big business successfully fought off a carbon tax.

Canberra — The Business Council of Australia yesterday attacked the Federal Government’s proposed carbon tax, saying that it could jeopardise more than 47,000 jobs and $43 billion in production in the nation’s export energy industries.

Drawing on a report released by the Australian Bureau of Agriculture and Resource Economics yesterday, the council said a carbon tax, at any level, would result in lost jobs, production and exports.

The executive director of the council, Mr Paul Barratt, said any carbon tax would have a serious impact on Australia’s oil and gas, coal, metal products, petrochemicals, pulp and paper and cement industries.

Thomas, C. 1995. Business Council Hits Plan For Carbon Tax. The Age, 7 February, p.50.

The amount of carbon dioxide in the air was roughly 361ppm. As of 2024 it is 422ppm, but check here for daily measures. 

The context was that there was a fierce battle going on over a proposal for a carbon tax at federal level in Australia, and the Business Council of Australia and the Australian Mining Industry Council, (who made the tie-in official as the AIGN later) were at the forefront of a campaign to stop it. And one of the ways – not the only one,  but one of the ways – was to say that the “sky would fall” economically speaking.  

And what you do is you get some economic modelling by so-called independent experts who set their parameters in such a way that the sky will fall, you then turn that into a report, write a press release. You give it to some tame journalists, who then get it put up on the front page of a newspaper. Then get questions asked in Parliament. It gets picked up on television and the “common sense” that action on climate change will cost a fortune is just that little bit further embedded. 

And they have been playing this game for a very long time. They’re very good at it and the reason they keep playing it is it’s usually a winning tactic for them. 

What happened next. The carbon tax was defeated in February of 1995 before the BCA and its chums had to pull up the really big guns. Policy advocate interest shifted to emissions trading schemes. One was finally introduced in 2012, only to be abolished two years later. Australia deserves everything it gets.

What do you think? Does this pass the ‘so what?’ threshold? Have I got facts wrong? Interpretation wrong? Please do comment on this post, unless you are a denialist, obvs.

Also on this day: 

 Feb 7, 1861- 161 years ago, a scientist identifies carbon dioxide as a greenhouse gas

February 7, 1979 – Met Office boss bullshits about his carbon dioxide stance

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Australia Carbon Pricing

February 6, 2007 – Rudd taunts Howard on 2003 ETS decision

On this day, February 6 2007 new Labor leade Kevin Rudd had asked Prime Minister John Howard if a submission proposing an emission trading scheme had gone before cabinet in August 2003 and if that proposal was rejected.

Rudd – and frankly everyone else – knew the answer was “yes”. It had been extensively reported, since at least 2004. In August 2003, Howard had met with some business mates and killed off the Cabinet proposal (which the entire Cabinet, including Joe Hockey, Peter Costello etc were behind). See here – August 7, 2003 – John Howard meets with business buddies to kill climate action

Rudd was just trying to embarrass Howard, who had a couple of months before performed a screeching U-turn and appointed Peter Shergold (civil servant) and some business cronies to look at an an ETS.

What we learn – it was all theatre

What happened next. Howard’s U-turn made him look weak rather than caring, and he was swept from power. Kevin Rudd then saved the day (subs, please check).

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Australia Carbon Pricing

February 1, 1990 – Australian Financial Review ponders carbon tax… (via FT)

Thirty four years ago, on this day, February 1st, 1990, an article about possible carbon taxes from the Financial Times (London) was syndicated in the Australian Financial Review (aka “The Fin”).

“Drastic measures to combat global atmospheric pollution caused by burning carbon fuels were urged yesterday by the International Energy Agency.”

Anon. 1990. Carbon Fuel Tax May Limit Pollution Levels. Australian Financial Review, 2 February.

The amount of carbon dioxide in the air was roughly 355.1ppm. As of 2024 it is 422.3ppm, but check here for daily measures. 

The context was that at Nordwijk in November of 1989, nations had agreed to keep talking about talking about negotiating a climate treaty. There were other meetings coming up. And the International Energy Agency was sticking its oar in with the suggestion of carbon taxes and pricing mechanisms. Also there was a federal election pending in Australia, the climate issue was very salient. 

What we learn is that debates about carbon pricing have been shaped by prestigious powerful – or prestigious, at least – outfits like the IEA in ways that I didn’t fully understand for my PhD thesis, but here we are. 

What happened next, Bob Hawke narrowly won the March 1993 election with small g. green votes, and was therefore obliged to follow through with this idea of ecologically sustainable development. 

What do you think? Does this pass the ‘so what?’ threshold? Have I got facts wrong? Interpretation wrong? Please do comment on this post, unless you are a denialist, obvs.

Also on this day: 

Feb 1, 2007- Jeremy Grantham slams Bush on #climate

February 1, 1978 – US TV show MacNeill Lehrer hosts discussion about climate change

Feb 1 2023 – Interview with Russell Porter, Australian documentary maker

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Australia Carbon Pricing

January 13, 2004 – Bob Carr rallies states for emissions trading

Twenty years ago, on this day, January 13th, 2004, NSW was trying to get an Australia-wide emissions trading scheme going, since John Howard wouldn’t…

NSW is keen to enlist the support of the other states for a national greenhouse emissions trading scheme, but analysts are divided on whether it would work. The Premier, Bob Carr, yesterday labelled as scandalous the Federal Government’s decision to abandon carbon trading as one way of reducing Australia’s carbon dioxide emissions. Mr Carr, who is in favour of Australia ratifying the Kyoto protocol on climate change, wants the states to establish an alternative emissions trading scheme. 

New South Wales Premier Bob Carr says the Federal Government is “in denial” about the effects of greenhouse gas emissions. The Federal Government has decided to stop work on a greenhouse gas emissions trading scheme, saying it offers little incentive for business. The scheme is linked to the Kyoto protocol, which the Australian Government has not signed. But Mr Carr says the Federal Government’s move has potentially cost jobs for Australians involved in the emissions trading industry. “We’ve got an opportunity to benefit – Australia can benefit from emissions trading and the Federal Government is pulling out of this,” Mr Carr said. “Whether they sign up to Kyoto or they don’t, there’s a case for emissions trading and Australia can only benefit from being part of an emissions trading system.”

Peatling, S. and Pearlman, J. 2004. Carr rallies states for onslaught on emissions. Sydney Morning Herald, 13 January. http://www.smh.com.au/articles/2004/01/12/1073877762902.html

The amount of carbon dioxide in the air was roughly 377ppm. As of 2024 it is 422ppm, but check here for daily measures. 

The context was that personally Bob Carr had been aware of the climate issue since 1971. And as premier of New South Wales since 1995 he’d been trying to turn New South Wales into a carbon trader or place where the Japanese could buy some trees to offset their emissions. More broadly, he’d been campaigning for emissions trading schemes. There had been two attempts to get a national federal Emissions Trading Scheme through John Howard’s cabinet. One had been defeated in August of 2000. And another had been defeated in August 2003, at which point Carr presumably said to himself, “sod this for a game of soldiers. Let’s do it ourselves”. This was made easier by the fact that most of the states were at that time under ALP control. 

What we learn from this is that policies that are perceived as good ideas (and emissions trading is, after all, perceived as a good idea) are hard to kill. I mean, fair play to him, Tony Abbott finally succeeded in the period 2010 to 14, but before then, emissions trading was like this vampire policy, you just could not kill it off.

What happened next? The states kept talking about it. Finally, in the beginning of 2007, Kevin Rudd as opposition leader started promising an emissions trading scheme. And well, the rest is history. 

What do you think? Does this pass the ‘so what?’ threshold? Have I got facts wrong? Interpretation wrong? Please do comment on this post, unless you are a denialist, obvs.

Also on this day: 

January 13, 2005- UN Secretary-General calls for “decisive measures” on climate change

January 13, 2021 – New Scientist reports on types of intelligence required to deal with #climate change