Carbon pricing for climate mitigation

Climate change policy debates revolve around carbon pricing. It is based on a basic environmental economics idea known as the polluter pay principle, which states that people who create pollution should pay for its remediation. Carbon pricing is a pricing system that imposes a penalty on CO2 emitting sources. Although the notion was created in principle by British economist Arthur Pigou (1877-1959) over a century ago, it was only recently put into practice to combat climate change. Carbon pricing takes several forms, including a carbon tax, a cap, and trade system (ETS), and a CO2 offset method. In actuality, the first carbon tax was implemented in Norway in 1990, followed by other European nations. In the developed and developing worlds, 67 jurisdictions (nations and sub-nations) have implemented a carbon tax, ETS, or both. Many developing nations participated extensively in international greenhouse gas (GHG) offset schemes, such as the Clean Development Mechanism (CDM). Carbon pricing revenues were roughly US$26 billion in 2015 in economies that implemented carbon pricing mechanisms. The international carbon market is expected to raise up to US$220 billion per year by 2030 to satisfy climate change mitigation obligations set by over a hundred nations under the Paris Climate Agreement. While widespread adoption of carbon pricing schemes for global climate change mitigation has met with political opposition, momentum is building in this direction, especially after the Paris Climate Agreement in 2015. In light of this, this presentation will focus on the worldwide state of carbon pricing instruments, as well as the significant challenges they have faced, the economic consequences of various carbon pricing mechanisms, and the expected future evolution of carbon pricing policies and markets.

Visit: https://climatechange.environmentalconferences.org/