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Household compensation for carbon tax

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Household compensation for carbon tax

Following the federal government’s recent announcement of its commitment to the implementation of a carbon tax in Australia, Climate Change Minister Greg Combet has pledged an assurace that the proceeds of that tax will be used to compensate households.

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Following the federal government’s recent announcement of its commitment to the implementation of a carbon tax in Australia, Climate Change Minister Greg Combet has pledged an assurace that the proceeds of that tax will be used to compensate households.

“Every dollar raised by the payment of the carbon price will be used to assist people, households, industries most affected and to help assist with other climate change programs,” he said on ABC radio last week.

Prime Minister Julia Gillard also weighed in on the topic, stating that Australians can “expect to see a generous assistance package”, although she was unwilling to be drawn on the specifics of what the package may involve.

Bob Brown, leader of the Greens offered his support for compensation packages under the proposed tax scheme, while opposition leader Tony Abbott reiterated his opposition to the scheme.

“It will hit everything because petrol, power, transport and electricity are fed into every price into the economy,” he said.

“So every time you go to the petrol pump, every time you go to the supermarket, you will pay, thanks to the Prime Minister’s carbon tax.”