NEW DELHI: The energy coordination committee headed by Prime Minister Manmohan Singh has suggested imposition of a carbon tax on polluting power stations. The proposal would club India with a select group of countries that tax carbon emissions directly and boost the renewable energy initiative.
The ECC has also suggested that carbon tax should not be a standalone initiative and there was also a need for introducing a system of emission trading in order to avoid problems in the country’s negotiating position on climate change.
Cabinet has mandated the National Treasury to investigate the possible imposition of a tax on carbon-dioxide (C02) emissions as part of South Africa's voluntary commitment to climate-change mitigation, Environmental Affairs and Tourism Minister Marthinus van Schalkwyk said on Monday.
Speaking at a briefing in Cape Town held to outline South Africa's newly adopted strategic direction and framework for climate policy, Van Schalkwyk said that Treasury would examine the most appropriate fiscal measures to support government's long-term mitigation scenario (LTMS). These could include taxes as well as incentives to help place South Africa's economy on a low-carbon growth and development path.
"We will be looking at ways to increase the price on carbon through an escalating CO2 tax, or an alternative market mechanism," the Minister elaborated, indicating that the tax could initially be introduced at low levels, but escalate to higher levels by 2018 or 2020.
I mention these examples, because it counters this idea that the world is choosing one path, as people such as Nathan Cullen and Jack Layton suggest. The idea of a carbon tax is alive and well, gaining traction around the world, as countries contemplate what to do. It also suggests that many don't see the conflict with different approachs to combat emissions, working in tandem. As a matter of fact, when speaking of who is "out of step", it would appear the either/or crowd creates an unnecessary polarization, more political than practical.