Analysis

Major energy users at heart ofdebate over climate change levy

The decision to introduce an energy tax in 2001 has been taken - and now the arguments are starting over how energy-intensive industries and the renewables should be treated. Together with voluntary agreements with major energy users, the tax is projected to cut only 2% off business emissions of carbon dioxide in 2010 - pointing to the need for substantial hikes in the tax rates in years to come.

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