Compromise on carbon tax

The Herald has learnt the government is offering to increase the 2050 emissions reduction target from 60 per cent to as high as 80 per cent, to win support from the Greens for other parts of the carbon tax package, including how the 2020 target is set, an issue splitting the committee.

The hybrid model - starting with a carbon tax and moving to a trading scheme in three to five years - was designed to defer a decision on the 2020 target because Labor and the Greens could not agree on that.