Australia remains on track to meet its Kyoto protocol target for limiting greenhouse gas emissions.
In 2007, then prime minister Kevin Rudd committed Australia to limiting emissions to 108 per cent of 1990 levels on average over the period 2008-2012.
The latest national greenhouse accounts, released by the Environment Department on Thursday, show Australia averaged 105 per cent over the first four years and preliminary figures for 2011/12 showed similar levels to 2010/11.
The report also showed no rise in overall emissions in the year to March, despite growth in gross domestic product.
The main factor behind total emissions flatlining was a drop in emissions from the electricity sector, down 6.1 per cent over the year to March which included eight months of the carbon tax's operation.
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However, this was offset by a rise in fugitive emissions (which occur during the production and processing of fossil fuels) and emissions from stationery energy (combustion of fuels by industry).
Environment Minister Greg Hunt said the fact that emissions had not fallen in the first year of the carbon tax showed why it should be abolished.
To "make the situation worse" domestic emissions were projected to rise to 637 million tonnes in 2020 under the carbon tax, up from an average of 575 million tonnes over the past four years.
Australian Greens leader Christine Milne said the report showed the carbon price was working, as emissions had stayed the same while the economy grew.
"Australians are reducing the amount of power they use and increasingly turning to renewable energy. This is a great outcome," Senator Milne said.
"The heavy lifting has been done by the carbon price.
"Now is not the time to abandon what is working."
