The Albanese government will consider adoption of a carbon border tariff like the one under development in Europe to protect domestic producers.
Australia may impose a tariff on imported products made with a large carbon footprint after the Albanese government said it would consider replicating theConsideration of a Carbon Border Adjustment Scheme to protect local manufacturers against cheap and dirty foreign competitors came as the government said it was not ready to allow big Australian polluters to use foreign carbon offsets to meet their emissions reduction obligations.
“That is a big decision, not one that will be ready by this July, but one that we will consult on going forward to provide Australian industry with that extra layer of protection,” said Mr Bowen.“It wouldn’t have been possible under the previous government. Australian industries would have been subjected to carbon tariffs under the previous government. This reform is about protecting Australian industries from having those sorts of tariffs applied to them.
“ACF is supportive of the EU’s efforts to develop and launch a carbon border adjustment mechanism and view it as one of the pressures that has encouraged stronger action from other global economies,” said the foundation’s climate change analyst, Suzanne Harter.
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