• Service: Advisory, Risk Consulting, Climate Change & Sustainability Services, Topics, Climate Change
  • Industry: Agribusiness
  • Type: Business and industry issue
  • Date: 6/09/2011

Australia's Climate Change Plan analysis

Climate Change Plan Analysis
KPMG's analysis of the Australian Government’s Climate Change Plan, including the carbon price mechanism.

The impact of a carbon price – Agribusiness 

The Australian Government recently announced more details relating to its Climate Change Plan, with the centrepiece of this reform being the introduction of a carbon price mechanism from 1 July 2012.
The impact of a carbon price cover
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This factsheet provides a snapshot of what a carbon price mechanism means for the agribusiness sector.


Key design elements of the carbon price relevant to the agribusiness sector

  • Fixed price phase for the first 3 years followed by a flexible price from 1 July 2015.
  • Excludes agricultural emissions.
  • Includes emissions from domestic production of fertilisers and liquid fuel use relating to domestic aviation, shipping and rail.
  • Initially excludes on-farm liquid fuel use, but there is the potential inclusion of fuel use in heavy on-road transport from 1 July 2014.
  • Ability for land managers to generate and sell accredited offsets from the Carbon Farming Initiative.


KPMG's Agribusiness group offers audit, tax and advisory services geared to the unique needs of the agribusiness sector.
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