Company officials who fail to comply with the government's carbon tax could face up to ten years in jail.
The draft carbon tax legislation allows inspectors to search businesses and copy documents on site.
Any found to be breaking the law could face a fine of more than one-million dollars or time in jail.
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The public has a month to comment on the draft legislation.
Meanwhile, the government will be ramping up its campaign to sell carbon tax next week, mailing a brochure to all households outlining the proposal.
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