40 national jurisdictions and over 20 cities, states, and regions, including seven out of the world’s 10 largest economies (highlighted in the map above), have taken initiatives to put a price on carbon emissions during 2016 in a bid to curb pollution and charge the biggest offenders.
The World Bank released the Carbon Pricing Watch 2016 report in which it states: “if China’s national market is implemented, the global value of carbon pricing initiatives could potentially double to USD $100 billion.”
The efforts to cut down greenhouse gas emissions has risen with the likes of Republic of Korea, Portugal, Canada’s British Columbia province, and Australia launching new carbon pricing initiatives. China also announced that it will launch as national emissions trading scheme (ETS) by 2017.
Over 90 other countries, which account for 61% of the global greenhouse gas emissions, submitted proposals for national plans of carbon pricing during the Paris Climate Change Agreement in December 2015.
“In 2015, governments raised about US$26 billion in revenues from carbon pricing initiatives,” the World Bank report reads. “This represents a 60% increase compared to the revenues raised in 2014, which was estimated to be about US$16 billion.”
For 2016, the total value of ETSs carbon taxes will be just below USD $50 billion.
“Corporate carbon pricing is now becoming a widely used tool for corporate strategic investment decisions, helping companies shift to lower-carbon business models,” the report read, highlighting that 435 companies reported that they are using internal price on carbon during the past year. Another 583 companies will be applying an internal carbon price during 2016 and 2017. Applied carbon prices for companies are diverse and range from an estimate of USD $1 per total CO2 to USD $357 per total CO2.