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Emissions Trading Scheme the impact on
business in Australia part 4 so
earlier on we've been looking at the...what's been covered by the
legislation, we've gone through a little bit of the Emissions Trading
Scheme and the Climate Change Authority so
we'll look at a few scenarios on what's gonna happen
a little bit in the future. Okay so we'll just do a little of a review
at the moment so Climate Change Authority
they've been
put together to recommend a national carbon budget and a
emmissions trajectory on the management of emissions in Australia
they'll review that against the United Nations guidelines all reporting back to
the United Nations on what we've done is being a responsible
nation
the legislation changes under the...that are being proposed for the
Emissions Trading Scheme that are in place now
we've gone through a little bit of the carbon foot print
and we've explained the 3 scopes so we were talking about
direct activity with all the company vehicles
your power and electricity so this is where these 2 get affected
undeneath the carbon tax I mean sorry the Emissions Trading Scheme
but from the being a responsible business
the Global 500 companies are including the upstream
and downstream activities in their supply chain. Okay
so let's do
the 5 point explanation I suppose so
if we're gonna move from the carbon tax scheme to an ETS
so really we're only going from a brown Commodore to a real
to a red Commodore that's the easiest way of explaining it
so currently the limit is set at 25,000
kilotonnes, this impacts 330 companies
that are currently paying $23 a tonne
so under the
the NGERS
legislation there's 862
companies or in the paddock
so then out of that 862 companies
that's where the 330 have been affected now so that's....we can see that link
so what Australia did we've linked our ETS to the environment to the
European Emissions Trading Scheme and that's say at $10 per tonne
now at the moment now the carbon credits in Europe and that are increasing so all
it'll be interesting to see how that goes in the next 2 years
now when we're talking about the Climate Commission they're gonna do a
a review in February
to see what they need to do to reduce
their limits so let's run a scenario
so what if the Commission recommended
a reduction to 12,000 kilotonnes so don't forget we got it at 25,000 now
so if they reckon to drop that to 12,000 kilotonnes say the
government says we're not making any money at the moment from this Emissions Trading Scheme
or we haven't been reducing our emissions
The only way for them to reduce emissions from there is to put a cap
cap some more people in the paddock so by reducing that from
25,000 to 12,000 instead of capturing the
the 330 companies that's gonna include
the 962 companies plus
another 1,000 companies underneath that
so this is the thing that we've gotta watch because this is
this will have a higher impact on the local community and the business economy
so businesses that are prepared now will have a
competive advantange over other businesses in the field
so
if we look at a responsible business what's a responsible business
by
being a responsible businesses this is where the United Nations principles come into
place
to work out being responsible in supply chain so
there's a standard called ISO 26000 which is used to this
and this is broken into 4 key areas human rights, labor, environment and
anti-corruption
so by following
these principles from here
it can give you really good guidelines on in managing your business
so we've got that the 10 principles from here so you can see that we've got breaking
down of human rights labor
environmental an anti-corruption
so where we look at the Bangladesh