ENVIRONMENTAL TAX REFORM SCENARIOS ANALYSIS

The triad – economics – environment – energy (E3) has become one of the most dynamically developing areas even at the EU level. The following article proposes the evaluation of the environmental tax reform (ETR) as an economic tool for all of the E3 sectors. ETR is an important tool in reducing greenhouse gas emissions and, simultaneously, it can positively impact the economic growth and employment rate.Three fundamental studies and their differing ETR scenarios have been selected and examined taking into consideration various oil-prices, carbonprices, greenhouse gas emission targets, revenue recycling methods and scales of ETR. This article deals with the possible ETR impacts on CO2 emissions, the GDP and the employment situation in the Czech Republic and substantiates the conclusions of some selected scenarios as well as outlines some prerequisites for the ETR implementation in the Czech Republic.The reference groups were put together to check the impact on selected EU countries and thus confirm or disprove the resulting conditions with a positive impact at the macro-economic level. The results depend on a combination of the following factors; the domestic market energy price, the economy’s energy demand, and the proportion of fossil fuels in the energy mix. Based on these findings, the Czech Republic has, assuming the commitments from the Europe 2020 Strategy are adhered to, good prerequisites for the ETR implementation. Some positive effects would be more visible should the Czech environmental tax reform not be accepted in such a narrow sense. Foreign studies indicate that as long as a part of the revenues is designed for eco-innovations and the support of clean technology branches, an additional advantage should result in the form of employment growth, as well as GDP growth.