Thursday, March 17, 2011
That carbon tax - again
Government has just announced that it is forging ahead with a carbon tax for South Africa. A carbon tax is a crazy idea. Government's rationale, expressed in its discussion paper, is to help pay for the costs of climate change - but there are no costs readily attributable to climate change. Certainly not now, because climate change is barely detectable, and probably not for a long time to come. Another excuse is that the playing fields should be leveled, so that renewable power can compete - another way of saying that renewable power is not competitive, and we should therefore pay more for our power. However, this makes us as a country less competitive than out rivals in world trade. The only nations to have agreed to carbon taxes are in the EU. A carbon tax is a Brussels idea. Should we be the only developing country in the world to commit economic suicide in this way? Say No! to carbon taxes -No!, No!! and No! again.