This is hardly surprising as it is a very small tax and applied to only 300 large firms and councils. It also has numerous offsetting elements, such as the higher tax threshold that means the lowest paid are much better off.
The result is disappointing however because the point of a tax like this is to change behaviour! The aim of the Carbon Tax is to reduce Australia's CO2 emissions.
Currently Australia lags the industrialised world in taking action on climate change. For example the UK aims to reduce CO2 emissions by 80% by 2050 and they do this by taxing petrol (a litre of petrol currently costs $2.10), a carbon tax applied to large firms and an emissions trading scheme (the ETS) which is EU wide. In addition renewable energy receives large subsidies.
The aim of any indirect tax is to raise the costs of the firm involved. This raises the market price and reduces demand for the product.
So will the Carbon Tax be effective?
It will if consumers see the price of 'high carbon' goods and services rising and switch to 'low carbon' goods and services which are now relatively cheaper.
It will be more effective if the high carbon goods and services have high price elasticity of demand (PED) and so consumers switch to other goods.
It will be effective if the rise in the price of high carbon goods is high enough.
It won't be effective if consumers do not switch, because the PED is inelastic or the price rises are too low.
It won't be effective if the 'compensation' provided by the government is so generous that households and firms are able to continue to buy the high carbon goods.
If you are asked about policies to promote environmental sustainability the Carbon Tax is the obvious candidate from the last four years. Alternatives are seen in my example from the UK. Just don't take sides on the political arguments.
The Age report that one firm is reinstating a project it previously shelved because of fears over the Carbon Tax.
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