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Carbon or resource rent tax? - Lynley Donnelly - Peet du Plooy

Mail & Guardian - 9 March 2012

“A carbon tax that kicks in only above a certain threshold acknowledges that, in the course of economic activity, some carbon emissions are inevitable and, in the short term, unavoidable,” said Du Plooy. “The revised form of the carbon tax is, in a way, a tax on excess carbon emissions. The rationale for the RRT is similar. It recognises that, for mineral resources to be extracted, the companies that do so must be able to make a profit but argues that an excess profit, or rent, is neither sustainable nor fair.”

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