Carbon Prices About 80% Too Low to Protect Climate, OECD Says
- OECD urges nations to adopt policies to at least match median
- EU carbon price is about 88% below where levels need to be
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Carbon prices are about 80 percent lower than where they need to be to protect the climate, according to the Organisation for Economic Cooperation & Development.
Emission costs, whether through fuel taxes or trading systems, probably need to rise to at least 30 euros ($34) a metric ton, the OECD said in a report based on an analysis of six industries in 41 countries. If nations were to boost efforts to charge for pollution at the level of the median nation, the carbon price gap would narrow to about 53 percent.