The Australian Government's Climate Change Plan
What should business consider?
The plan for a clean energy future signifies the start of a significant period of structural change for Australian business and the economy over the coming decades.
In this paper, PwC analyses the key features of the plan to be introduced from July 2012 and looks at what business needs to consider, including:
- How and if additional costs can be passed through their supply chain
- How the rules for the purchase and surrender of permits will impact their cash flow and working capital levels, especially where those liable businesses are not eligible for transitional assistance
- What impact carbon price estimates will have on their forecasting and investment decisions
- Whether existing systems and processes are adequate to support decision making
- What risk management strategies will be required to manage their exposure to a new carbon commodity market
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