A conference discussing Ireland's policies on global warning has been told that a tax of €20 a tonne on carbon dioxide would bring about almost two thirds of the necessary reduction in Ireland's greenhouse gas emissions by 2010.
The conference, entitled The Sky's the Limit: Efficient and Fair Policies on Global Warmingfocused on the Government's decision to introduce a tax on carbon fuels from the end of 2004 and also examined how Ireland could best meet its obligations under the Kyoto protocol on the emission of greenhouse gases.
The conference, sponsored by the ESRI, heard that if introduced on its own a carbon tax would have a negative impact on the distribution of income, especially to poorer households. These households spend a higher proportion of their income on energy than richer households.
The ESRI's Ms Sue Scott and Mr John Eakins recommended that 23 per cent of the revenue from a carbon tax should be set aside to compensate households on low incomes which, they say, would appear to be the most efficient way of reducing carbon emissions, while protecting those on low incomes.
The conference takes place this morning in the Hilton Dublin Hotel.
