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The CPRS scheme (formerly known as the emissions trading scheme) is a Federal Government initiative and is planned to commence in July 2010. The scheme will shape the way Australian businesses deal with the issue of climate change.
The CPRS will, for the first time, place a limit, or cap, on the amount of carbon pollution industry in Australia can emit.
It will require affected businesses and industry to buy a ‘pollution permit’ for each tonne of carbon they contribute to the atmosphere.
1. For small business it is currently intended there will be no direct liability, however there may be an indirect impact via increased costs for goods and services.
2. Liability for the CPRS will be on approximately 1,000 of the largest businesses in Australia, which represent about 70% of overall carbon emissions.
3. We believe businesses will be able to pass on most of the carbon cost in the price of their products.
To learn more about the CPRS please visit:www.climatechange.gov.au
As part of EnergyAustralia’s ongoing commitment to small business, we will keep you updated on the CPRS in future issues of SmartBusiness.