The Weekend Australian (editorial) says it supports a market-based approach to managing carbon.
They say they backed the model advanced by John Howard and the emissions trading scheme proposed by the Rudd government.
They say caution does not equate to inaction. Business needs to know where it stands: it wants a mechanism for pricing carbon that does not reduce Australia’s global competitiveness. Global benchmarking is crucial and Climate Change Minister Greg Combet got it right last year when he asked the Productivity Commission to compare the effective carbon price across several countries. The report due in May will feed into cabinet’s deliberations as it finalises its 2011 model.
That month Professor Garnaut will also deliver an update on his 2008 report.
The mechanism most favoured is a hybrid moded that fixes a price on emissions before a transition to a carbon market down the track.
The Australian editors say the government does not need to lead the world on carbon.
The government’s political skills will be tested in selling a carbon price to voters hit by higher electricity prices.
Wind power may cut carbon but at about $500 a tonne. ‘Cash for clunkers’ was also ‘whacky’ now cut.
There is room for direct action such as carbon capture through land and forestry management.