ABC News Online, Posted Mon Jul 21, 2008 5:28pm AEST
Updated Mon Jul 21, 2008 5:37pm AEST
A leading global economist has endorsed the Rudd Government's push for an emissions trading scheme saying it will work better than a carbon tax.
Petroleum company BP's chief economist Christof Reuhl is in Perth presenting the data he has collated on world energy markets.
He says latest figures from Europe show emissions are being lowered because of its trading scheme and carbon is currently selling for about 28 Euros.
Mr Reuhl says if Australia creates it's own emissions trading scheme, unlike a tax, it can be linked to other financial markets down the track.
"We live in a world where carbon prices will not fall from the sky at the same point in time for all countries and if you have these trading markets they're much easier for them to link up with each other and to become globalised than will ever be the case for national taxation laws." he said.