The Emissions Reduction Fund for Economic Record- myassignmenthelp

Question: Discuss about theEmissions Reduction Fund for Economic Record. Answer: The emissions reduction fund is an environmental policy which provides incentives for the reduction of activities that contribute to emissions across Australia. The fund provides credit, purchasing and protects the economy against the emissions by facilitating reduction. The fund provides a framework by which projects that aim to reduce carbon emissions get carbon credits. The activities considered include improvement of energy efficiency, capturing methane, fuel switching and storage of carbon. These methods highlight the rules for partaking in the project and the framework to facilitate reduction of emissions and that the credits are valid. The Australian government was able to allocate $2.55 billion in order to buy carbon credits using the reverse auction process. In this way, the fund has been able to contract 189 million tonnes of reduction in emissions using 5 auctions priced at 11.83 dollars per tonne. Eventually, the credits are sold to private purchasers. This abatement aims to capture the interest of businessmen in the participation of climate change policies that aim to improve the state of the environment in Australia (Clarke and Waschik, 2014). Budgetary allocations Source: https://www.environment.gov.au The government aims to purchase the Australian Carbon credit units during a reverse auction process or through tenders. The government must therefore acquire 421 million ACCUs by the year 2020 in order for it to reach its goals. All businesses operating in the Australian economy are eligible to participate in the fund if they organize certain projects. The following projects are eligible. Projects Expected emissions reductions Energy Efficiency 4.6 tonnes Protecting native forests/ planting trees 122 tonnes Managing bushfires 13.8 tonnes Using dietary supplements to reduce emissions from cattle 17.7 tonnes Reducing fugitive emissions 5.3 tonnes Reducing emissions from air, land and sea transport 1.2 tonnes Reducing amount of waste from landfills 24.3 tonnes Source: https://www.environment.gov.au The policy includes initiatives that will help in the achievement of the set targets such as the National Energy Productivity plan, improved efficiency of vehicles, the phasing out of hydrofluorocarbons that are in use in air conditioners and refrigerators as well as the development of a strategy that aims to increase the level of utilization of solar power and the development of a low emissions technology road map. Businesses are therefore encouraged to participate in the Emissions Reduction fund since it aims to protect the environment for future generations. It is cognizant of the fact that a healthy economy is one which has a healthy environment. The expected benefits from the project include: Reduced level of emissions Increased number of tree plantings High levels of recycling Clean up of power station Reduction in forest fires Preservation of natural forests Technology is at the forefront of this policy since it requires that industrial firms develop or use technologies which will allow them to have control over the level of emissions that their processes generate. It is therefore important that the developers of their machines take note and act accordingly. It is expected that with the policy the government will acquire the support of the business community in the management of environmental issues that will bring forth positive results (Adams and Verikios, 2014). References Adams, P.D., Parmenter, B.R. and Verikios, G., 2014. An emissions trading scheme for Australia: national and regional impacts.Economic Record,90(290), pp.316-344. Clarke, H., Fraser, I. and Waschik, R.G., 2014. How much abatement will Australia's emissions reduction fund buy?.Economic Papers: A journal of applied economics and policy,33(4), pp.315-326.