The Vancouver Sun notes that a new carbon tax has begun in British Colombia. I do not know how it is implemented, but want to note the start of an experiment at the least.
The carbon tax is a fiscal trip to the woodshed for energy consumers. A painful experience that we’re told is for our own good.
The idea is that you can control how the tax affects you through the choices you make.
Products and activities that are less harmful to the environment become less expensive and harmful choices cost more. Harm is defined as the release of carbon dioxide and other gases that scientists believe are fuelling destructive climate change.
So you can keep on driving that SUV, but you will pay more for the privilege. Carbon taxes reward green living. Energy pigs get butchered.
How much more? We’ll find out. The point is that this is what putting a price on carbon looks like. Generally speaking, the greater the energy content, not just of the item itself, but of everything that goes into to it, the more it will cost.
The size of the carbon tax being introduced this year is more of a slight nudge than a boot in the backside. The strategy is to start low and increase it slowly over the next several years.
The article goes on to note that the current rise in energy prices overwhelms any small tax, and to study the effect would prove difficult. Are there any other experiments going on with taxes?