World Carbon Price Seen Needing to Increase Sevenfold by 2020
- Reducing fossil-fuel subsidies would cut needed carbon price
- Higher prices seen as bearable by ordinary consumers
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Carbon prices need to jump sevenfold by 2020 from current rates in the world’s biggest market to meet climate goals cost-effectively, according to a commission of economists and scientists.
A price of about $40 a ton along with adoption of other policies that encourage emission cuts would achieve targets in the 2015 climate deal agreed in Paris, according to a report published Monday by a commission of economists and scientists. Under the Paris agreement, almost 200 countries will try to limit the global temperature increase to “well below” 2 degrees Celsius (3.6 Fahrenheit) above pre-industrial levels.