Carbon Tax: To be or not to be introduced?

Carbon Tax: To be or not to be introduced?

Carbon Tax

The report on taxation is due out this month and while it looks like there is a strong possibility that the introduction of a property tax and water charges maybe postponed for a later date, a carbon tax is still on the table. So why introduce a carbon tax and how much will we have to pay?

There are a few reasons as to why … a carbon tax should be introduced; one reasons highlighted in the media is that the tax would generate a much needed income to help avoid an inevitable fine due to legally binding EU agreements! – (Great another debt that we really don’t need right now!).

Despite a fine, one of the main reasons to introduce a carbon emission tax is so that we meet our target of a lowering our carbon dioxide emission output as set by the EU. By introducing a Carbon Tax it would help us adopt a “greener” frame of mind and therefore in turn may help reduce our use and reliance on fossil fuels which will someday run out!

So how much will this cost us?
In a recent report released by the ESRI, they proposed that an initial introduction of a €10 tax per/ tonne of carbon, which they say would probably rise to approx €20 in future years. On top of that a carbon levy would also be introduced. This would involve increases in the prices of petrol, coal, peat and briquettes.

France has already said that they will introduce a Carbon Tax next year, 2010. They have initial tax rates defined and also a list of who and what would be affected by the tax. Points include:

  • €32 euros for every tonne of carbon dioxide (CO2) emitted in 2010 and raise the levy progressively to €100 euro per tonne by 2030, an increase of 6% a year, adjusted for inflation.
  • The tax would add 7-8 cents to the price per litre of petrol from the beginning, and raise heating and cooking gas prices by about 15%.
  • The cost per household would vary. A family of two parents with children living in a new house in a rural area might pay an extra €303 a year. A single parent family in a modest apartment in a big city like Paris could pay €78.

If France is leading the way with a very clear carbon tax proposal for its citizens, will we be next to follow suit?

There are 4 comments for this article
  1. Finbarr at 10:22 pm

    What next? Will the governments next proposal be to estimate the levels of carbon dioxide exhaled from each person and tax them on it!! I would have no objection to paying carbon tax if the money reaped was invested- in total – in renewable energy and not used to put new cars under our ministers backsides or to fund the goverment jets. Telling commuters to find alternative transport without having the correct infrastructures in place is ludicrous. What would happen if everyone in Cork, Dublin, Galway and other large urban areas were to switch to public transport overnight? Life would grind to a very abrupt halt. Let the politicans take their own advice and rely soely on public transport to commute to work and see how it would adversely affect their lifestyle.

  2. carbon tax man at 8:06 am

    What the majority of people don’t realize is that there is new scientific evidence pointing directly at exposing the flaws and misconceptions in the science which connects co2 with Global Warming.What’s needed before a carbon tax is a balanced and rational hearing of all available science rather than the politicize science which makes politicians lazy and is convenient for gathering a futile and fraudulent taxation.


    carbon tax man

  3. Aileen at 12:54 am

    The government encourages the ESB to use peat to generate electricity, despite it being just about the worst fuel as regards C02 emissions and then wants to introduce a carbon tax “so that we meet our target of a lowering our carbon dioxide emission output as set by the EU.” Well doh!

    When this government that has 3 government jets at its disposal, regularly uses an air corp helicopter to travel around this small island of ours and also uses a fleet of fuel guzzling mercs to travel around, starts cutting its own carbon emissions then I will too. Perhaps a bit of honesty for a change, its not a ‘carbon tax’, for the government by its behaviour shows it doesn’t really care about the enviroment, its just another tax on fuel, they already get over two thirds of the cost of each litre of fuel(isn’t that enough of a carbon tax ?), but No they want even more. Agriculture and the ESB are the biggest carbon emission sources, so why not target them first ? Probably because there’s no money in it.

  4. Paul Murphy at 6:20 pm

    Well, France has a great deal of power come from nuclear sources. (80% or so?)
    What will this do to Ireland? or USA?
    Lets just call it what it is, The “lets make up a way to generate revenue tax”.
    Let me know when China gets on board.
    This is like getting me to quit smoking outside to keep the air clean when my neighbor is burning tires in his back yard.

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