Taxes for climate protection: Is there a balance between economy and ecology?

Taxes for climate protection: Is there a balance between economy and ecology?

In an insightful interview with the Upper Austrian News, the tax law professor Daniel Varro emphasized how important a clever tax policy is for climate protection. He has expressed his concerns that the shift of production processes abroad could possibly have a negative impact on the climate. Varro, who also as a former deputy. Head of the Cabinet in the Ministry of Finance argues that Austria has reduced its CO2 emissions since 2005 and that the energy transition should not hang on a single political coalition.

The conversation was conducted in the Chamber of Commerce as part of the energy day and focused on the complex balance between ecological, social and economic aspects. "We are in a trilemma," said Varro. This three -way division is often not sufficiently taken into account, which leads to an unjust or inefficient handling of climate protection measures.

of the EU Green Deal and its challenges

Varro also addressed the EU Green Deal, whose goal is commendable, but he questions the practical implementation. It makes it clear that the economic component must not be neglected. He focused on the fact that production in Austria was relatively environmentally friendly compared to other countries. If the production is shifted abroad, this could lead to more environmental damage and at the same time endanger domestic prosperity.

He also explained that many CO2 reduction measures have not noticed the balance between business and ecology in recent years. An important goal for the future is to create a clear economic perspective in order to effectively accompany the transformation to climate protection. Austria has set itself the ambitious goal of being climate -neutral by 2040. But Varro is of the opinion that this must be realistically checked, especially with regard to the costs associated with such a project.

The transformation costs are estimated at 50 to 70 billion euros, which is a huge challenge for companies. These have to pay for the necessary investments, which is made more difficult by uncertain framework conditions.

the climate monus as a solution?

Another topic was the climate bonus, which Varro welcomes as a "small unconditional basic income", but he questions the type of redistribution. There are different suggestions to either relieve or abolish him. The political discussion about it is already underway, while some economists, including the WIFO and IHS, are already demanding. Varro compares the climate bonus approach to German practice, which focuses primarily on commuters and tries to lower electricity prices.

According to his considerations of the CO2 prize, Varro sees this a meaningful device that could bring more clarity about the actual costs. Compared to prohibitions, a transparent cost statement supports better behavior control of the citizens. He suggests collecting mineral oil tax and CO2 tax to create complete transparency.

In view of these comprehensive considerations, it remains to be seen how politics will react to the suggestions and to what extent the measures mentioned can actually lead to improving climate protection in Europe. For more information and a detailed analysis of the situation, reference is made to the complete reports, .sidebar { width: 300px; min-width:300px; position: sticky; top: 0; align-self: flex-start; } .contentwrapper { display: flex ; gap: 20px; overflow-wrap: anywhere; } @media (max-width:768px){ .contentwrapper { flex-direction: column; } .sidebar{display:none;} } .sidebar_sharing { display: flex; justify-content: space-between; } .sidebar_sharing a { background-color: #e6e6e6; padding: 5px 10px; margin: 0; font-size: .95rem; transform: none; border-radius: 5px; display: inline-block; text-decoration: none; color:#333; display: inline-flex; justify-content: space-between; } .sidebar_sharing a:hover { background-color: #333; color:#fff; } .sidebar_box { padding: 15px; margin-bottom: 20px; box-shadow: 0 2px 5px rgba(0, 0, 0, .1); border-radius: 5px; margin-top: 20px; } a.social__item { color: black; } .translate-dropdown { background-color: #e6e6e6; padding: 5px 10px; margin: 0; font-size: .8em; transform: none; border-radius: 5px; display: inline-block; text-decoration: none; color: #333; margin-bottom: 8px; } .translate-dropdown { position: relative; display: inline-flex; align-items: center; width: 100%; justify-content: space-between; height: 36px; } .translate-dropdown label { margin-right: 10px; color: #000; font-size: .95rem; } .article-meta { gap:0 !important; } .author-label, .modified-label, .published-label, modified-label { font-weight: 300 !important; } .date_autor_sidebar { background-color: #e6e6e6; padding: 5px 10px; margin: 0; font-size: .8em; transform: none; border-radius: 5px; text-decoration: none; color: #333; display: flex; justify-content: space-between; margin-bottom: 8px; } .sidebar_autor { background: #333; border-radius: 4px; color: #fff; padding: 0px 5px; font-size: .95rem; } time.sidebar_time, .translateSelectlabel, sidebar_time { margin-top: 2px; color:#000; font-style:normal; font-size:.95rem; } .sidebar_updated_time { background-color: #e6e6e6; padding: 5px 10px; margin: 0; font-size: .8em; transform: none; border-radius: 5px; text-decoration: none; color: #333; display: flex; justify-content: space-between; margin-bottom: 8px; } time.sidebar_updated_time_inner { background: #333; border-radius: 4px; color: #fff;; padding: 2px 6px; } .translate-dropdown .translate { color: #fff; !important; background-color: #333; } .translate-dropdown .translate:hover { color: #fff; !important; background-color: #b20e10 !important; } .share-button svg, .translate-dropdown .translate svg { fill: #fff; } span.modified-label { margin-top: 2px; color: #000; font-size: .95rem; font-weight: normal !important; } .ad_sidebar{ padding:0; border: none; } .ad_leaderboard { margin-top: 10px; margin-bottom: 10px; } .pdf_sidebar:hover { background: #b20e10; } span.sidebar_time { font-size: .95rem; margin-top: 3px; color: #000; } table.wp-block-table { white-space: normal; } input {padding: 8px;width: 200px;border: 1px solid #ddd;border-radius: 5px;} .comments { margin-top: 30px; } .comments ul { list-style: none; padding: 0; } .comments li { border-bottom: 1px solid #ddd; padding: 10px 0; } .comment-form { margin-top: 15px; display: flex; flex-direction: column; gap: 10px; } .comment-form textarea { width: 100%; padding: 8px; border: 1px solid #ddd; border-radius: 5px;} .comment-form button { align-self: flex-start; background: #333; color:#fff; border:0; padding:8px 15px; border-radius:5px; cursor:pointer; } .comment-form button:hover { background: #b20e10; }

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