Member

The Government make the high-energy users pay a tax for every tonne of carbon they release during production. Naturally, those taxes are passed straight through to consumers and customers in higher prices. Therefore, if the Government increase the carbon tax, they increase the price of basic goods such as electricity and petrol. The Government know that because, in the impact assessment for this legislation, they admit exactly that: higher carbon taxes will be passed through to consumers as higher prices—for those interested, that is in paragraph 18.8. That means higher energy, food and petrol prices.