The Australian Government Is Introducing a Carbon Tax - Term Paper Example

ICM campaign on carbon tax INTRODUCTION Recent changes in the earths Ecosystem can be attributed largely to the repercussions of globalization. Compared to centuries ago, it is evident that there is more carbon dioxide in the atmosphere today. This carbon, by remaining in the atmosphere, results in global warming which is a major contributor to climate change. Since these changes impact negatively on human and other life forms, it is imperative that deliberate efforts are made to reduce carbon emissions One of the most fundamental methods of dealing with a socially sensitive issue such as Carbon emissions is through formulation of policies that are responsive to the issue. The carbon tax legislation seeks to serve this purpose in order to safeguard the environment by reducing emissions through a form of “polluter pays” system explain the working of the tax thus; “The idea is that polluters will pay per ton of carbon they release into the atmosphere. This cost will initially be set at $23, and increase gradually until 2015, when we will shift to a trading scheme that will let the market set the cost (carbon tax, 2012). Carbon tax as a legislation is set to face stiff opposition from sections of the public hence the need to facilitate awareness for the imperative of coming up with a law of this kind. In this paper, as assessment of the marketing mechanisms and strategies aimed at informing the state about the best options of promoting the idea behind the policy is made. The marketing strategies will essentially be geared towards enhancing awareness to facilitate reception of the legislation among the target group. LITERATURE REVIEW This review highlights resources that promote the spirit of the carbon Tax legislation seeking to promote understanding of its background. The purpose is to bring to the fore key issues which the tax stands to tackle. These issues include climate change, global warming, and ozone depletion which it is opined here, will threaten the very existence of the human race if left unchecked. According to Anup S. (2012), there are attempts to provide insights into what governments, companies, international institutions, and other organizations are attempting to do about this issue, as well as the challenges they face. She discusses these issues in a simple and easily understandable fashion that enables clear understanding of the concept in this article. In addition, she points out that our climate is changing, the earth warming up and there is now overwhelming scientific consensus human activity is a major contributor to this state of affairs. The increase in global warming has consequently resulted in species loss as the plant and animal life fail to adapt to the changed ecosystem. Effects of climate change It is a widely accepted fact that climate change may be at the top among the greatest threats to the planet. Recent years show increasing temperatures in various regions, and/or increasing extremities in weather patterns. Since human life is dependent wholly on the environment the loss of species needs to be abetted in order to secure human life through sustainable utilization of available resources. Food security Abc (2012) reports that climate change has the potential to threaten food security. It points out the bleak picture captured in an interview with a spokesperson from Australia’s peak science body SCIRO which reports that ‘A new major study shows climate change is altering oceans and rainfall around the world’. Researchers looked at ocean data over the period 1950 to 2000 and they concluded that climate change has caused a 4 per cent increase in the combined effect of rainfall and evaporation during that time. The team of three Australian researchers also observed that salinity levels have changed in all the world's oceans. They used this data to make observations about rainfall, finding wetter areas are experiencing more rain and drier areas have become drier. According to Anup S. (2012) , from Australia's peak science body the CSIRO says she expects the trend to continue. She notes that the answer of how much more is going to be in the future depends on how much more warming there is going to be. She cautions that if Australia stays on a high emissions pathway, warming up of around three degrees might be seen. This she notes will result in around 24 per cent change in our water cycle. Evidence of continued damage to the environment is depicted by the graph bellow Figure 1: global temperature records The above figure from the CSIRO website shows the three most complete global temperature records available from the UK Hadley Centre, NASA, and the US National Climate Data Centre. They all show a clear upward trend in global average temperatures over the last 150 years (calculated using an 11 year running average). It is notable that some of the effects of continued temperature increases are that the sea level continues to rise, the ice sheets continue to retreat, and coral bleaching accelerates. The precipitate effects of these symptoms have the potential to be catastrophic for a large percentage of the world’s population. Further, it is pointed out that Australia alone faces massive costs to its environment. This includes threats to the Great Barrier Reef, Kakadu national park and south-Western Australia. Global dimming This is yet another effect of unregulated exploitation and damage to the environment. Global issues, a website dedicated to addressing environmental damage through awareness creation points out some key issues around global dimming thus; “Research has shown that air pollutants from fossil fuel use make clouds reflect more of the sun’s rays back into space. This leads to an effect known as global dimming whereby less heat and energy reaches the earth. At first, it sounds like an ironic savior to climate change problems. However, it is believed that global dimming caused the droughts in Ethiopia in the 1970s and 80s where millions died, because the northern hemisphere oceans were not warm enough to allow rain formation. Global dimming is also hiding the true power of global warming. By cleaning up global dimming-causing pollutants without tackling greenhouse gas emissions, rapid warming has been observed, and various human health and ecological disasters have resulted, as witnessed during the European heat wave in 2003, which saw thousands of people die.” (Global issues 2012). Ozone layer and climate change Scientists believe that Global Warming will lead to a weaker Ozone layer, because as the surface temperature rises, the stratosphere (the Ozone layer being found in the upper part) will get colder, making the natural repairing of the Ozone slower. Climate justice and equity This is one of the imperatives for action geared towards reducing environmental degradation such as through carbon emissions. According to global issues reports, in a number of years, there have been concerns that climate change negotiations will essentially ignore a key principle of climate change negotiation frameworks: the common but differentiated responsibilities. The site further points out that the realization that greenhouse emissions remain in the atmosphere for a very long time, this principle recognizes that historically: industrialized nations have emitted far more greenhouse gas emissions (even if some developing nations are only now increasing theirs); rich countries therefore face the biggest responsibility and burden for action to address climate change; and rich countries therefore must support developing nations adapt—through financing and technology transfer. For instance, this notion of climate justice is typically ignored by many rich nations and their mainstream media, making it easy to blame China, India and other developing countries for failures in climate change mitigation negotiations. Development expert, Martin Khor (2012), calculated that taking historical emissions into account, the rich countries owe a carbon debt because they have already used more than their fair quota of emissions. The skeptics’ school of thought1 Idso and Idso (2012) sum up the sentiments of those who believe carbon emissions have little or nothing to do with climate change and other form of environmental degradation. Their hypothesis in an article entitled Carbon dioxide and global warming puts forth the arguments of this school of thought that, “There is little doubt the air's CO2 concentration has raised significantly since the inception of the Industrial Revolution; and there are few who do not attribute the CO2 increase to the increase in humanity's use of fossil fuels.  There is also little doubt the earth has warmed slightly over the same period; but there is no compelling reason to believe that the rise in temperature was caused by the rise in CO2.  Furthermore, it is highly unlikely that future increases in the air's CO2 content will produce any global warming; for there are numerous problems with the popular hypothesis that links the two phenomena” (Idso & Idso 2012) They proceed to counter the theories that support checks on emissions under the following heads. A weak short-term correlation between CO2 and temperature proves nothing about causation, strong negative climatic feedbacks prohibit catastrophic warming, growth-enhancing effects of CO2 create an impetus for cooling and finally atmospheric CO2 enrichment brings growth and prosperity to man and nature alike TARGET AUDIENCE SEGMENT ANALYSIS This part of the paper makes an analysis of the market segments to target with the marketing campaign for the legislation. The carbon text legislation is mainly aimed at manufacturers of products who use procedures that result in an increase in carbon in the atmosphere. The said manufacturing companies are essentially artificial persons in the legal sense and they operate using investment from shareholders, and agents who include the employees of such entities. The investor community is therefore a key segment that should form part of the target of thee marketing strategy. Consumers of products that are the precipitate of procedures that pollute the environment also for another segment of the market to be targeted his campaigns. This is because an informed consumer can make wise decisions in the market. Since the consumer is the end user of products, her decision is critical to the market forces and consequently on the efforts of government to reduce pollution. The concept of civil justice is a key one when it comes to environmental management. It refers to the processes aimed at ensuring that utilization of shared resources such as air water and the ozone layer are fair and don’t result violation of human rights of certain minority groups. Essentially, it is an informed public that can demand positive action to safeguards rights that are violated though unchecked profiteering and degradation of the environment. For instance, the location of industries that emit pollution including toxic pollutants will be found in poverty stricken areas where those affected have little legal recourse. At a larger scale, international trade sometimes promotes pollution of poor countries that need investment at any cost-even the damage to their environment. When it is considered that the resources of these companies are utilized and the carbon emissions increased yet the profits from these activities are reverted to the home country makes it imperative for a tax such as the one under review here to be implemented. The work of civil society organizations whose mandates include petitioning government to develop policies that protect vulnerable members of the public cannot be gainsaid. This is because the said violations could go unchecked in a capitalist setting such as Australia. The civil society therefore promotes a culture of transparency by seeking checks and balances in all areas. It is for this reason that non state actors will form part of the target audience for the marketing of the Carbon Tax legislation COMMUNICATION OBJECTIVES The main communication objectives for this nature of marketing campaign should be aimed at creating awareness on the relevance and importance of the piece of legislation. In order to promote compliance the marketing may also have as its communication objective; the promotion of product knowledge. This will help in countering the views of opponents to the legislation who may inflate sensitive statistics and hamper compliance. The paper has therefore narrowed down to the following three communication objectives; promoting product knowledge, influencing consumer attitudes and finally developing product image. Promoting product knowledge The product here is a piece of legislation requiring additional tax from entities that emit carbon. This means that it is a unique product that does not necessarily fall neatly into the traditional classification of a goods or a service. It is therefore treated accordingly. Promotion of knowledge on the product will involve the development ob media messages that promote the spirit of the legislation. This can take the form of well thought out advertisements that prick the conscience of the targeted segments to seriously consider the effects of climate change. For instance a message that contains an interpretation of the tax legislation such as the price of certain goods that are reliant on carbon pollution for their production will go up (Rahman M, 2011). Promotion of product knowledge may also involve the commissioning of experts or consultants in the field to do articles in dailies and also offer public lectures on the issues involving the legislation. Lectures in learning institutions are particularly useful as they target the youth who are fairly impressionable about issues such as this and they form a critical mass that can support compliance. Leaflets and pamphlets can also be developed as part of the knowledge dissemination process. These should ideally contain not only the explained contents of the act but also the background on carbon and how taxation as a tool can be utilized successfully to combat environmental degradation. Influencing consumer attitudes For avoidance of doubt, it is hereby thought prudent to expound that the term consumer in this context refers to the persons or entities targeted by this legislation rather than the buyers or users of products as the term is commonly understood in the marketing sphere. As mentioned earlier, the success of legislation such as the one under review herein is mainly pegged on compliance Creative strategies through communication objectives The development of catchy messages that help drive home the technical concepts around carbon tax must be clear and concise. The key objectives of a marketing communication strategy as set out by (Belch G. et al2008) include; Inform- This objective is intended to create and stimulate interest and awareness, that is, to let targeted consumers know your product or service offering and where to find them. For example, if your target market teenagers or young adults, then your message must be interesting, current and trendy, you may choose to reach your market through social media networks such as face book and twitter as this group spends a lot of time online, so e-mail marketing and banner advertising will work best. Alternatively if your aim is to reach the elderly, the message must be clear, concise, informative and easy to read, because this will help to ensure that this group understands your offering. You may choose to distribute pamphlets in doctors’ offices or put ads in the newspaper to reach this target audience. Persuade- This goal aims to convince your customers, that your product or service will provide the best value to your customers, compared to the competition. This can be done by giving competitive pricing, money-back guarantees and flexible return policies.  You may also want to create urgency by giving limited time offers and time specific free shipping discounts.   Remind- Once you have made your message interesting and persuasive, then your last objective will be to remind your customers to take action, i.e. to purchase your products - often. It’s important to stay visible to your customers, the more they are reminded of your existence, the higher the chance of buying from you the next time they need something that you offer.  It good to remember that the clearer, the more interesting, and the more convincing your communication is, the more influence it will have on your customers to take positive action, which will positively affect your revenue. Media vehicles Print media One of the main media vehicles for this nature of a marketing campaign is the use of newspaper articles and easy to read communication materials. Considering that that the information largely targets adults and members of the public who can influence policy making, it is critical that message must be clear, concise, informative and easy to read. These will in-turn ensures that the audience understands what is being offered. Internet The information superhighway today portends one of the leading means of communication with wide reach and reliability. It can be employed as a marketing tool due to the following identifiable attributes enumerated by( Brogan C 2012); it generates awareness, aids in product launch, may be used to establish or regain trust, used to influence the influencers and it forms and changes opinions. Audio visual messages Audio visual messages include messages that ma take the form of short documentaries on TV and radio that are aimed at creating awareness and developing the campaign in such a way that it can be palatable to all in the face of criticism from the skeptics. These may be carries both through traditional modes or new media such as you tube videos to reach the vibrant social network user who fancy mobile communication. Stakeholder conferences and workshops This mode of reaching a target group provides a one on one interaction between that campaigners and their audience. It is most effective in this context where technical information such as how carbon tax operated is disseminated to a select group of persons who are directly affected by the legislation. In conclusion, by cutting into the profits of polluters it is hoped that they will make an effort to go green by employing methods of carrying on their businesses that are friendly to the environment. It is notable that pollution mainly results from processes that are aimed at wealth creation. Investments are made by people who believe that more production is cost effective. This is in line with the economic theory that supports overproduction in the industries to facilitate economy of scales which in turn affects pricing, gives a solution to unemployment and generally impacts positively on government budgeting by increased tax. A legislation aimed at reducing productivity of manufactures may therefore be viewed cynically as beating the purposes for which governments are put in place. Indeed some of the theories advanced by environmentalists are as baffling as they are nonsensical in the eyes and ears of their opponents. For instance the moral question that requires safeguarding of the environment for the welfare of future generations out of duty has been challenged because it is illogical for the present generation to be deprived in the name of saving for the future. Reference list Anup S. (2012) Climate Change and Global Warming. [online] Available at: [Accessed 30 April, 2012]. Belch G, Kerr G. and Powel, I. (2008) Advertising and promotion: an integrated Marketing Communication perspective. NY: Mc Graw Hill Chris Bogan (2012). “Social media” [online] Available at : [Accessed 30 April, 2012]. Carbontax (2012) how does carbon tax work,[online] Available at: < www.carbontax.net.au> [Accessed 29 April, 2012]. Dalton R. (2009). “How aircraft emissions contribute to global warming,” [online] Available at [Accessed 29 April, 2012]. Idso,C., and Idso, K. (2012)”Carbon Dioxide and Global Warming: Where We Stand on the Issue” Center for the Study of Carbon Dioxide and Global Change. [Online] Available at: [Accessed 30 April, 2012]. Mitchel, M. (2012). “Internet in Business” [online] available at : [Accessed 29 April, 2012]. Rahman, M.M. (2011) ‘The Proposed Carbon Tax in Australia: Impacts on Income Distribution, Employment and Competitiveness’, University of south Queensland law review Read More