A carbon price will start in Australia on July 1, 2012.
The Australian Greens made a joint announcement on the deal with Prime Minister Julia Gillard in Canberra today.
A climate change committee – which involves the Government, Greens and independents Tony Windsor and Rob Oakeshott – has held four meetings since it was set up in September last year, in the aftermath of the election.
The Government abandoned its previous emissions trading scheme last year after it failed to get it through the Senate.
The Greens sided with the Coalition to vote against an emissions trading scheme, arguing the carbon reduction targets were too low and industry compensation was too high.
The abandonment of the ETS breached a promise by former prime minister Kevin Rudd to tackle climate change and was blamed for his drop in opinion polls and eventual toppling by Ms Gillard.