An internationally coordinated floor on the price of carbon could be "strikingly effective" in reducing greenhouse gas emissions, compared with alternatives such as annual targets or a carbon border adjustment mechanism (CBAM), according to a policy expert at the International Monetary Fund (IMF).
His comments come ahead of the 26th United Nations Climate Change Conference of the Parties (COP26) in November 2021, which will bring parties together to accelerate action toward the goals of the Paris Agreement and the UN Framework Convention on Climate Change."A 2030 price floor of $75 per tonne for advanced economies, $50 per tonne for high-income emerging market economies such as China, and $25 per tonne for lower-income emerging markets such as India, would keep warming below 2 ?C with just six participants - Canada, China, the EU, India, the UK and the...