is the price a price signal?, page-6

BB,

I personally think $26/tonne is inadequate also. If they are serious about cutting emissions, you can't do it by
a) Keeping existing infrastructure
+
b) Building new infrastructure which continues to emit C02 , all be it at a lower rate (eg Gas)

They need a price which effectively bridges the gap - perhaps about $75/tonne.

If they had an ETS, I suspect this is how much the permits would have to sell for (perhas more / less depending on how the merchant bankers trade them). I also suspect that is why Bob Brown said that the TAX will go up every year in the lead up to the ETS.

While lots of people in industry would be deeply unhappy with what the Green's are proposing, to some degree it must be more appealing than fickle and fake Julia who makes deals which aren't deals (Mining Tax, No Carbon Tax), changes her mind for political expediency, and leads a party who has managed to waste billions.

I believe the next election will become politicised into a mandade re: Pricing Carbon. Even if the policy is a good one, the Labor govenrment is making so many mistakes that they will likely be unelectable by the next election. A Coalition win will give them the mandate not to price carbon and Labor will likely bury any thoughts on CO2 policy (akin to the Coalition burial of Work Choices).

How different it would have been if Turnbull had remained leader. Maybe he still can?

Such is life.