Environmental Policy - Report Example

Name: Lecturer: Course name: Course code: Date: Environmental policy is the commitment made by an organization towards ensuring that, policies and regulations embracing environmental and sustainability issues are observed. The topic covers a wide range of issues from pollution of air, water, solid waste management, natural resources, endangered species' protection especially wildlife and ecosystem management only to mention a few[McM]. The policy does not only involve the environment but also looks into ensuring that changes in the environment do not have harmful effects on human beings living around the affected areas. Approach to environmental policy defines the various ways that aim at helping people and communities by providing opportunities and support to be physically active and to take care of the environment they live in. There are several types of environmental policy instruments, and one of them is market-based policy instruments. These kinds of policies are those that use the economic environment to fight environmental injustices; they use variables such as markets, prices and other economic variables to ensure that pollution of the environment is minimized in the best way possible[Ang11]. Also referred to as economic instruments or price based instruments, they aim to reduce vices such as pollution by ensuring that organizations or companies that pollute the environment pay for it indirectly through various ways. These ways include; an increased cost of production, increased consumption cost through higher taxation and charges associated with production processes and by creating property rights. Examples of market-based instruments include; taxes that are related to the environment, emissions trading, charges and subsidies, deposit refund systems, licensing, economic property rights and environmental labeling laws[Orl11]. An example of a market-based environmental policy is the European Union’s emission trading schemes which aim at reducing greenhouse gas emissions. Despite its contrast with other policies such as voluntary agreements and regulatory instruments which make use of public authorities to mandate performance to be achieved, market-based instruments also require a bit of regulation. They can be implemented in a fixed way manner across an economy or region, environmental medium such as air, road or water or across economic sectors. Market-based approaches that are done individually are cases of environmental pricing reforms. According to studies done by Kete in 2002, more policy makers tend to prefer market-based approaches nowadays as compared to the past. Whether the plan is going to succeed or not however is an open-minded experiment where the outcome is unpredictable[Spa11]. If this plan was going to succeed it would see a relationship built up between the private and public sectors which will see the implementation of a long-term social transition that intends to reduce if not prevent pollution in the long term. Examples of market-based policies are explained better below: Market-based tax approach: here, the maximum cost for control measure is determined in order to ensure polluters have reduced pollution as much as possible at a lower cost than the tax rate in such a way that the quantity of pollution reduced will be dependent on the rate of taxation. Since the tax rate can be adjusted from time to time, this approach is more flexible as compared to the permits approach[Ell11]. The adjusting is done as many times as possible until the most effective incentive is created to the polluters of the environment. This approach also has the advantage of lower compliance costs as compared to permits. Despite all the above advantages over permits, this approach is less effective in achieving reductions in target quantities. However, embracing the use of market base approach give rise of conflict of objectives as with less pollution comes less revenue. Market-based transferable permits approach: in this approach, the maximum level of pollution is set beyond which firms and organizations cannot exceed, this level is aimed at reduction of pollution as much as possible[Cal13]. Unlike in the tax approach making adjustments is not often as it is expensive, therefore in order to prevent such adjustments as much as possible, accurate measurement of the original problem is ensured as well as changes it might go through over time[McM]. The effectiveness of a permit is however dependent on such factors as market liquidity, existing market power and the quality of property rights. Despite it being a good approach, permits breaks social norms as by formalizing emission rights gives people the right to pollute which is socially unacceptable. Other policies include: Command and control approaches: this method includes the use of measures such as limits on input and output discharges, putting in place emission standards, requirements on disclosure information, audits and process and standard specifications[Bra11]. As much as these methods are prescriptive as compared to the market-based approaches, they have also been criticized due to lack of incentive to organizations to innovation will restrict improvement in technology. Command and control approaches are however a hindrance to flexibility due to the fact that it specifies the specific technology to be used by firms in production as well as the amount by which all firms should reduce their emissions[Wal12]. Emissions that affect local environments are easy to deal with using command and control approaches as trading will only be restricted to that region and on the other hand be inappropriate for global emissions as they affect a larger region, hence market based approaches would be preferred because they can easily obtain international cooperation. Environmental policy Differences between mainstream and progressive political parties in Australia Both the progressive and the mainstream political parties of Australia have different views when it comes to environmental policies, and the differences are outlined as below: The mainstream party of Australia’s policies on the environment includes: To ensure that of the entire budget a portion of 2% will be used to safeguard the environment, of the percentage the party plans to make programs to ensure that endangered species of wild animals are taken care of this will be 0.8% of the 2%. Another equal amount will be used to ensure that species that are unwanted for instance those that are invasive like cane toads are eradicated from the environment as they destroy it instead[Wal12]. However, in the process of these activities wages must be paid to the workers hence a portion of the percentage will go to spending on salaries. The party vows to eliminate the carbon-emission trading scheme since it doesn’t go hand in hand with their long term plan of replacing fossil fuel with nuclear fusion which is obtained using sea water as the fuel and helium as the by-product. They argue further that the carbon-emission trading scheme will instead send mixed signals to the market as the consumers may think fossil fuel will be replaced with wind power and solar power[Bar111]. They also plan to introduce the use of generators and solar water heating. The party plans to ban the use of the use of materials such as plastic shopping bags as they are non-decomposable and instead introduce the use of paper bags. The party plans to introduce the use of a container deposit scheme for soft drinks, wine bottles and beer. On the other hand the progressive labor party of Australia has the following policies as pertaining environmental policy: The labor progressive party believes that for the environment to be properly protected it needs the intervention of the entire society not only individuals in political parties. They argue that the environment has been damaged a lot in the past since the British colonization and acknowledge that that needs to be changed[Abe07]. They argue that the environment needs to be protected for the common good unlike being driven by business interests as is the case with many political parties. The party has the following policies to sustain the environment: i. Replacing of fossil fuels in the long run by ensuring efficient use of currently available energy supplies and development of renewable energy sources ii. Reduction of the use of fossil fuels iii. Reduction of the greenhouse effect by the reduction of carbon dioxide emissions iv. Ensuring that international standards on the environment are met and re-establishment of public controls over strategic energy resources v. Ensuring alternative jobs to employees that work in industries that cannot be sustained any more vi. Reduction of the number of cars on the Australian roads in order to reduce greenhouse emissions vii. Ensuring the use of environment friendly building materials, this is done in collaboration with building groups viii. Ensuring recycling materials locally ix. Ensuring the use of renewable packaging in case of consumer goods x. As opposed to the mainstream party, the progressive party does not believe that fossil fuels should be replaced with nuclear energy as they believe that the nuclear energy is equally problematic and hence will not allow further exploration of uranium deposits and will phase out mining. xi. Additionally, farm owners will be allowed to practice farm-forestry as it will aid in the protection of the environment this will ensure that forest policies are based on social, economic and ecological responsibility. Works Cited McM: , (McMichael), Ang11: , (Anguelovski), Orl11: , (Orlitzky), Spa11: , (Spaargaren), Ell11: , (Elliot), Cal13: , (Callway), Bra11: , (Bramwell), Wal12: , (Walls), Bar111: , (Barnard), Abe07: , (Abel), Read More