Rudd to plug climate budget hole PRIME Minister Kevin Rudd is set to unveil how he will plug a multi-billion dollar hole in the budget coming from the scrapping of the fixed carbon price. Mr Rudd wants to move to a carbon emissions trading scheme a year early. He will outline the plan for a floating price for carbon, which is hoped will assist business and ease living costs for households, when he makes the announcement in Townsville on Tuesday. A new public service efficiency dividend, saving $250 million over four years, and cutting $750 million from climate change programs are among the money saving measures, the Australian Financial Review reports. There may also be a tightening of fringe benefits tax concessions for salary sacrificed cars to help cover the reported $4 billion bill, the paper says. Australia's 500 biggest polluters currently pay a fixed price of $24.15 per tonne of CO2 emissions, but under a floating price they could pay as little as $6 per tonne.