As governments accelerate climate action, carbon taxes have become a key policy tool to reduce emissions by pricing carbon and incentivizing cleaner alternatives. Beyond domestic climate strategies, they also play an increasing role in international trade policies, such as the EU’s Carbon Border Adjustment Mechanism (CBAM), which prices emissions from imported goods to encourage greener production globally.
Today’s carbon tax policies must account for rapid digitization, public scrutiny, and economic interdependencies. While widely recognized as cost-effective and efficient, carbon taxes can also pose socio-economic challenges, particularly in low- and middle-income countries (LMICs), where affordability and equity concerns may impact public and political support.
This event will mark the launch of the report “Carbon Tax in an Evolving Carbon Economy: Policy Design & Digital Innovations”, which examines how governments can design inclusive and equitable carbon tax policies while integrating digital innovations to enhance transparency, compliance, and effectiveness
Following the launch, a panel discussion featuring policymakers, private sector leaders, and international experts will explore the evolving role of carbon taxes in global climate strategies, the integration of carbon markets, and the role of digital technologies in strengthening policy implementation. The discussion will provide valuable insights into the challenges and opportunities of carbon tax policy in a rapidly changing global economy and how governments can navigate them effectively.