Sonntag, 14. Juli 2019

The CO2 Taxation model we need - Das CO2 Bepreisungsmodel welches wir wirklich benötigen

Dear readers,



In articles 1, 2, 3, 4 and 5 we explained how serious our situation is and we always urged you to avoid carbon emissions and even tryed to explain that even a compensation of CO2 and all other greenhouse gases is faster necessary, as today from IPCC planned or communicated

So now comes the promized "Solution  - Big Picture"!

The solution meant, is that we need to convert this tax into a steadily income stream for all of us tax payers. Not a single payback - no, it must be a residual income! It’s that simple. This tax needs to be converted to an income stream!

How can we convert a crises to an basic income stream for everyone (Bedingungsloses Grundeinkommen) with achiving *all* effects we want?



Well, first you need to understand, what is currently in discussion and what they plan. Then you will hear my idea and model and examples. Then it will be clearer for you too, what we really need and why the AnP plan will succeed.

Okay, so where do we stand today?


Well please read this article from SPON and come back here.  In the article from mainstream, they talk about price add-ons. A price add-on is a onetime taxation. Such Taxation will make all CO2 emitting products more expensive. How much, depends on the emission sum of the production, transport and handling cost, until you hold the product or service in your hand. Later on, it is intended to give you back the money spent. How? It’s not really clear yet. How much they want varies from 7€ to 180€ per tons of CO2 emission caused.

Let's simulate now the cost impact of such CO2 Pricing variations:


Here my example a typical example: 2 flights per year for 1000€, daily a fruitbox which is worth 5€. How is the impact with either 7€, 50€ or 70€ CO2 tax per ton of Emission?
So you see, end price with tax ranges from 1042€ to 1420€ for a flight which was 1000 bucks so far. And the fruit will change only little. Some say 1420,- is now way too much. I agree, for a onetime payment it will lead to crises even bigger.

With this model we face the risk that people will,

  1. say that 70€/t/CO2 is too expensive, although we know we would need 180€/t
  2. and those who can afford, will never think about what they have done and continue as is
  3. With too high taxation, our economy will stall within a short time.
Check the chart over the years…some pressure but it feels just as price increase

As you can see, this tax variats will bring some burden, but worst guess is, that
  1. people will not change any consumption and lifestyle when tax is too low.
  2. “black work or no billing” will increase wherever possible, in order to avoid additional taxation. And it is “felt” only as a tax, because there is no incentive!
  3. The government will get so much money spilled in, that they are unable to handle all at once.  

You know now where I'm heading with my idea...okay here we go

Our AnP taxation model is different!
For this we first need you to understand what greenhouse gas does in the atmosphere? The CO2 gas remains there for a while! After an injection it reduces only over years by a few %. How many years it takes? - is in dispute. However we can agree on, that it takes approx 15 years. 



5-200yrs, 50yrs or 50kyrs? Okay let's play now with 15 years payment!
You will say now, wow, If I have to pay 15years for my consumption it will deplete me financially. That would be right, but here comes now the magic ingredient. The person pays his taxes based on accumulated consumption and in parallel gets a new regular income flow. So this concept raises now another few further questions. Please bear with us!

The social AnP Taxation model


  1. AnP taxation model is that since CO2 is not going away in the atmosphere with a single payment, the consumer needs to pay continuously for 15years the price for accumulated emissions. Every single person has to pay yearly his carbon pollution, which accumulates by using carbonizing products or services s*he is responsible for.
  2. The first payment must be significantly lower than 180€/t CO2 and the rest needs to be dived by 15 years. We suggest therefore 12€ per year for 15 years instead of 180€ with a single payment
  3. The CO2 Taxes are to be paid in a “crypto currency” coded with a so called “smart contract”
  4. The Product and service price can remain in local currency such as € or $. Only the additional CO2 taxes are handled in a smart wallet which is linked to every person and tax numbers and its smart contracts.
  5. The additional CO2 tax paid with crypto coins linked with smart contracts ensures that a person not paying his yearly carbon taxes will not be able to purchase/consume new carbon emission generating products/service. S*he is then forced to either purchase carbon free products (what we want) without tax or needs to recharge the smart wallet with CO2 Budget so that the yearly taxes are paid via smart contracts automatically, once recharged.
  6. Only natural persons will have such unique smart wallet. Companies continue with well installed Emissions certificates (ETS)
  7. Such special CO2 taxes are to be invested in “green tech” for building an income stream back to the smart wallet of the tax payer.
  8. Those who avoid smart contracts, will therefore not be able to generate this new type of income stream or are not able to buy carbon generating products.
  9. Public Green tech is to be invested in 3 phases. a.) Public infrastructure, b.) Private sector and c.) Home sector. In this order of priority. And profits generated will flow back to the tax payer’s smart wallet which pays back cumulated carbon fees and even more.
People are gently forced faster to change to carbon free products / service and on the way green tech with steadily income stream was generated which enables a basic income.

Questions?

Wo will pay for the new income stream, the "bedingungsloses Grundeinkommen"? Answer: All the CO2 taxes the government gets are invested in local sustainable projects/companies/entities, so called “green tech”

  • Greener infrastructure is build by government: Water-Parks, Solar-Parks for warm water, Photovoltaic-Parks for electricity, Wind parks, Bio-mass parks, Cold-Fusion reactors….it should become a managed public infrastructure, like streets and bridges and will generate >8% revenues or more covering our yearly carbon taxes.
  • Companies which are emitters too, get in the second phase financial support to decarbonizes their products/services
  • those emitters who don’t change their course, will not get any money and will deplete, because people will not purchase their products, as they are too expensive because of CO2 Tax addon.
Why Crypto? (Or an 2nd dedicated CO2 curreny)

With this 3 things can be done. 1)mining is under control of government or UN. So you can do mining in accordance to emissision needs
2)easy online and offline needs can be achieved, so it is suitable for old and young generation.
3)after CO2 was fully compensated, it can be switched off very fast or if not, its value can be increased very fast again. So it can be adjusted according to climate needs. 

Conclusion:


Sustainability will be reached faster (till 2030) and organic, as people will change their consumption behavior faster than with onetime payment tax.

So what is now the effect and curve for this payment model?



We hope you like this idea and help spreading it!
 

In the next articles, we will talk about the crypto thing and green tech stuff to come, in order to secure our basic income stream, which pays back our carbon taxes.

Thanks