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The business – government nexus: Impact of government actions and legislation on business responses to climate change

Published online by Cambridge University Press:  03 December 2020

Sheela Sree Kumar Open the ORCID record for Sheela Sree Kumar [Opens in a new window] ,
Bobby Banerjee Open the ORCID record for Bobby Banerjee [Opens in a new window] ,
Fernanda de Paiva Duarte Open the ORCID record for Fernanda de Paiva Duarte [Opens in a new window]  and
Ann Dadich Open the ORCID record for Ann Dadich [Opens in a new window]
Sheela Sree Kumar*
Affiliation:
School of Business, Western Sydney University, Sydney, Australia
Bobby Banerjee
Affiliation:
The Business School, City, University of London, London, UK
Fernanda de Paiva Duarte
Affiliation:
School of Business, Western Sydney University, Sydney, Australia
Ann Dadich
Affiliation:
School of Business, Western Sydney University, Sydney, Australia
*
*Corresponding author. Email: s.sreekumar@westernsydney.edu.au
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Abstract

Australia has committed to reducing emissions under the Paris Agreement by 2030, in alignment with the United Nations' (UN) Sustainability Development Goal (SDG) climate action. This article investigates the responses of Australian high-emission businesses to Australian government action and legislation in relation to climate change, specifically the carbon tax, and how this knowledge can assist in delineating future carbon legislation. A qualitative study of the responses of 17 high-emission businesses and three industry associations to carbon legislation during the implementation of the carbon tax in Australia identified the use of resistive, reactive or cooperative strategies by the businesses. Issues related to carbon legislation identified by businesses included differences in time orientation, multiple regulations, political uncertainty, international positioning and the need for long-term and consolidated policies. Given these findings, this article argues that well-designed top-down legislative measures are necessary to steer businesses towards a carbon-neutral regime.

Keywords

Australiabusiness strategycarbon taxclimate changegovernment legislationwicked problems
Type
Research Article
Information
Journal of Management & Organization , Volume 26 , Special Issue 6: Wicked Problems and Sustainable Development Goals , November 2020 , pp. 952 - 974
Copyright
Copyright © Cambridge University Press and Australian and New Zealand Academy of Management 2020

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