Australian businesses and households will have to send about $650 billion overseas between 2020 and 2050 to buy permission to keep some of our coal-fired power stations and other industries operating. This staggering cost is indicated in the fine print of the Treasury modeling of the Government’s carbon dioxide tax and subsequent emissions trading scheme.
The $650 billion will be to buy “permits” to emit CO2.
The permits will be bought from sellers that don’t yet exist, or in markets that have yet to be formed, although the Government expects – hopes – they will develop over the next few years.
But this week it was reported that European police agency Europol had revealed a fraudulent trade in these so-called carbon credits in the only serious market that does operate – for the European Union – was far more widespread than previously thought and could have cost EU taxpayers up to €5 billion ($7 billion) in lost revenue in just 18 months.