Wednesday, February 10, 2010

World Wide Tax For The Polluters

Tony Abbott the leader of the opposition in Australia has joined Prime Minister Kevin Rudd in paying the polluters. His idea is that everyone will be paying much much less to reduce carbon in his direct action approach but he is still paying polluters to continue polluting. We all know that to reduce carbon we will have to pay to do it. It certainly is not going to happen by itself. In my opinion there’s only one way to do it that will work. A universal carbon tax all over the world directed at those that pollute. If you pollute you pay, and if you pollute more you pay more. This tax can’t be traded or sold in any way but is administered by a worldwide authority (to be decided) and this tax money is given to those who do not pollute i.e. the renewable power generation sector. This of course is very severe and is a double whammy for the polluters because they will be paying for the renewable sector to grow and this stick approach will also push them into stopping their own pollution. They (the polluters) will eventually morph into the renewable sector. And it has to be a universal tax being simpler to administer and each country will have the same conditions.