Solaires Team | Victoria, B.C. | JULY 2021
Carbon pricing is used as an instrument to capture the external costs of greenhouse gas (GHG) emissions and tie them to their sources often through a price on the carbon dioxide (CO2) emitted (World Bank, n.d.). This instrument is used by countries around the world to increase the responsibility of emitters for their emissions. It works to create an economic signal that encourages emitters to innovate and improve their activities and thereby lower emissions. Alternatively, it ensures that emissions that continue business as usual are accounted for through monetary compensation for the greater good of society. Business and Government recognize the role that carbon pricing can play in the transition to a decarbonized and regenerative economy as a climate strategy tool and as a source of revenue.
Solaires Entreprises Inc stands behind carbon pricing as an innovative, flexible and effective way to reduce greenhouse gas emissions. We believe that the current federal price of carbon could be higher to align more strongly with emissions reductions called for in the Paris Agreement. In line with The High-Level Commission on Carbon Prices, Solaires supports the recommendation that pricing carbon at least USD40–80/tCO2 by 2020 and USD50–100/tCO2 by 2030 is necessary to achieve the Paris Agreement temperature targets. As we develop the next generation of cost-efficient and low-carbon perovskite solar cells, we support the acceleration towards a clean economy and believe that carbon pricing in the form of a carbon tax or a cap and trade system can be effective, as long as they are designed to provide a strong economic signal to switch to cleaner energy. Both systems have their advantages and disadvantages. However, the strength of the economic signal is most important and we believe that both systems can work well to drive more growth in clean, renewable energy and encourage the adoption of greener practices.
Carbon pricing is used as an instrument to capture the external costs of greenhouse gas (GHG) emissions and tie them to their sources often through a price on the carbon dioxide (CO2) emitted (World Bank, n.d.). This instrument is used by countries around the world to increase the responsibility of emitters for their emissions. It works to create an economic signal that encourages emitters to innovate and improve their activities and thereby lower emissions. Alternatively, it ensures that emissions that continue business as usual are accounted for through monetary compensation for the greater good of society. Business and Government recognize the role that carbon pricing can play in the transition to a decarbonized and regenerative economy as a climate strategy tool and as a source of revenue.
The World Bank. (n.d.). What is Carbon Pricing? The World Bank Group. https://carbonpricingdashboard.worldbank.org/what-carbon-pricing