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Parliamentary Questions

Question Without Notice No. 946 asked in the Legislative Council on 11 October 2018 by Hon Tim Clifford

Minister responding: Hon S.N. Dawson
Parliament: 40 Session: 1

Answered on


946. Hon TIM CLIFFORD to the Minister for Environment:

I refer to the minister's response to question without notice 921, outlining the efforts taken by the McGowan government towards addressing climate change, which I wish to clarify.

(1) In what ways does the McGowan government consider the national approaches to mitigation are generally more economically efficient?

(2) Could the minister please outline or table economic modelling that shows the efficiency of the national scheme over the proposed state ones?


I thank the honourable member for some notice of the question.

(1)–(2) Market-based mechanisms that directly price greenhouse gas emissions, such as a carbon price or emissions trading scheme, are acknowledged to be the most economically efficient way of dealing with the market failure associated with global climate change. Economy-wide, market-based mechanisms, such as emissions trading schemes, are able to achieve least cost emissions abatement across the Australian economy. This is by allowing companies with cheaper costs of abatement to pursue those actions rather than those with higher abatement costs.

These principles are recognised by the Productivity Commission and were incorporated into the complementarity principles by the Council of Australian Governments. These were developed as part of the complementary measures review undertaken by the Gillard government in 2012 and are available at A copy of the Productivity Commission's submission is provided for tabling. I table the attached document.

[See paper 2048.]