How it Works

At the moment, polluters don’t have to pay for the pollution they produce. Currently there is no incentive for them to cut their pollution.

Under a carbon price, the companies emitting the largest amounts of pollution will pay for every tonne of pollution they emit.

The more a company pollutes, the more they pay.

Those lowering their pollution will be rewarded – through paying less of the carbon price than their competitors.

The Government will then use every cent raised from the carbon price to:

• Provide generous assistance to help with family budgets
• Support jobs in the most affected industries as they make the transition to a clean energy economy
• Invest in programs to tackle climate change and the development of clean energy programs.