are using or planning to use internal carbon pricing in the
coming two years
of these companies are located in
83%
jurisdictions with carbon pricing initiatives implemented or scheduled for implementation
INTERNAL CORPORATE CARBON PRICES ARE IN THE RANGE OF
US$0.01-909/tCO 2 e
Figure 4 / Summary map of regional, national and subnational carbon pricing initiatives implemented, scheduled for implementation and under consideration (ETS and carbon tax)
The circles represent subnational jurisdictions: subnational regions are shown in large circles and cities are shown in small circles. The circles are not representative of the size of the carbon pricing initiative.
Note: RGGI = Regional Greenhouse Gas Initiative. Carbon pricing initiatives care considered “scheduled for implementation” once they have been formally adopted through legislation and have an official, planned start date. Carbon pricing initiatives are considered “under consideration” if the government has announced its intention to work towards the implementation of a carbon pricing initiative and this has been formally confirmed by official government sources. The carbon pricing initiatives have been classified in ETSs and carbon taxes according to how they operate technically. ETS does not only refer to cap-and-trade systems, but also credit systems such as in British Columbia and baseline-and-offset systems such as in Australia. The authors recognize that other classifications are possible. Due to the dynamic approach to continuously improve data quality, changes to the map do not only reflect new developments, but also corrections following new information from official government sources, resulting in changes for Liechtenstein, Ukraine and Kyoto.
Initiatives implemented or scheduled for implementation: National ETSs: Australia, Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Germany, Greece, Hungary, Italy, Kazakhstan, Lithuania, Luxembourg, Malta, the Netherlands, New Zealand, the Republic of Korea, Romania, Slovakia, and Spain. National carbon taxes: Chile, Colombia, Japan, Mexico, South Africa, and Ukraine. Both national ETSs and carbon taxes: Denmark, Estonia, Finland, France, Iceland, Ireland, Latvia, Liechtenstein, Norway, Poland, Portugal, Slovenia, Sweden, Switzerland, and the United Kingdom. Subnational ETSs: Beijing, California, Chongqing, Connecticut, Delaware, Fujian, Guangdong, Hubei, Maine, Maryland, Massachusetts, New Hampshire, New York, Ontario, Québec, Rhode Island, Saitama, Shanghai, Shenzhen, Tianjin, Tokyo, Vermont, and Washington State. Both subnational ETSs and carbon taxes: Alberta and British Columbia. Initiatives under consideration: National ETS or carbon tax: Brazil, Canada, Chile (ETS), China, Colombia (ETS), Japan (ETS), Mexico (ETS), Singapore, Thailand, Turkey, Ukraine (ETS), and Vietnam. Subnational ETS or carbon tax: Manitoba, New Brunswick, Newfoundland and Labrador, Northwest Territories, Nova Scotia, Oregon, Prince Edward Island, Rio de Janeiro, São Paolo, Taiwan, China, and Virginia.
ETS implemented or scheduled for implementation Carbon tax implemented or scheduled for implementation
ETS or carbon tax under consideration ETS and carbon tax implemented or scheduled
Carbon tax implemented or scheduled, ETS under consideration
SOUTH AFRICA AUSTRALIA NEW
ZEALAND
Figure 5 / Regional, national and subnational carbon pricing initiatives: share of global annual GHG emissions covered
Note: Only the introduction or removal of an ETS or carbon tax is shown. Emissions are presented as a share of global GHG emissions in 2012. Annual changes in global, regional, national, and subnational GHG emissions are not shown in the graph. Due to the dynamic approach to continuously improve data quality using official government sources, the carbon pricing initiatives in Liechtenstein and Ukraine were added, the city-level Kyoto ETS was removed, and the start date of the Latvia carbon tax was corrected. The information on the Chinese national ETS represents early unofficial estimates based on the Chinese President’s announcement in September 2015. The National Treasury of South Africa will submit a revised carbon tax bill to Parliament later this year and the new implementation date of the carbon tax will be determined by the Minister of Finance.
Finland carbon tax (1990 ) Poland carbon tax (1990 ) Norway carbon tax (1991 ) Sweden carbon tax (1991 ) Denmark carbon tax (1992 ) Slovenia carbon tax (1996 ) Estonia carbon tax (2000 ) Latvia carbon tax (2004 ) EU ETS (2005 )
Alberta SGER (2007 ) Switzerland ETS (2008 ) New Zealand ETS (2008 ) Switzerland carbon tax (2008 ) Liechtenstein carbon tax (2008 ) BC carbon tax (2008 )
RGGI (2009 )
Iceland carbon tax (2010 ) Tokyo CaT (2010 ) Ireland carbon tax (2010 ) Ukraine carbon tax (2011 ) Saitama ETS (2011 ) California CaT (2012 ) Japan carbon tax (2012 ) Australia CPM (2012 - 2014) Québec CaT (2013 ) Kazakhstan ETS (2013 ) UK carbon price floor (2013 ) Shenzhen pilot ETS (2013 ) Shanghai pilot ETS (2013 ) Beijing pilot ETS (2013 ) Guangdong pilot ETS (2013 ) Tianjin pilot ETS (2013 )
France carbon tax (2014 ) Mexico carbon tax (2014 ) Hubei pilot ETS (2014 ) Chongqing pilot ETS (2014 ) Korea ETS (2015 )
Portugal carbon tax (2015 ) BC GGIRCA (2016 )
Australia ERF Safeguard Mechanism (2016 ) Fujian pilot ETS (2016 )
Washington CAR (2017 ) Ontario CaT (2017 ) Alberta carbon tax (2017 ) Chile carbon tax (2017 ) Colombia carbon tax (2017 ) Massachusetts ETS (2018 ) South Africa carbon tax (2018 ) China national ETS (2017 )
Share of global annual GHG emissions
25%
20%
15%
10%
5%
0%
1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
4 5 6 7 8
9 10 15 16 19 21 24
32 36 37
40
2
Number of
implemented initiatives
45 47
Figure 6 / Prices in implemented carbon pricing initiatives
73 Finland carbon tax (Liquid transport fuels) 69 Finland carbon tax (Other fossil fuels)
56 Norway carbon tax (upper)
36 France carbon tax
27 Denmark carbon tax 87 Switzerland carbon tax,
Liechtenstein carbon tax
16 Alberta carbon tax 20 Slovenia carbon tax
14 Saitama ETS, Tokyo CaT
7 Switzerland ETS Latvia carbon tax, Fujian pilot ETS, 5 Colombia carbon tax,
Chile carbon tax, Shanghai pilot ETS 12 Iceland carbon tax
1 Tianjin pilot ETS EU ETS, 6 RGGI, Norway carbon tax (lower)
13 New Zealand ETS
18 Korea ETS
<1 Mexico carbon tax (lower),
Chongqing pilot ETS, Poland carbon tax, Ukraine carbon tax Québec CaT, 15 California CaT, Ontario CaT Alberta SGER, BC carbon tax, 24 UK carbon price floor, Ireland carbon tax
Portugal carbon tax, 8 Beijing pilot ETS
Mexico carbon tax (upper), 3 Japan carbon tax
Note: Nominal prices on August 1, 2017, shown for illustrative purpose only. The Australia ERF Safeguard Mechanism, British Columbia GGIRCA, Kazakhstan ETS and Washington CAR are not shown in this graph as price information is not available for those initiatives. Prices are not necessarily comparable between carbon pricing initiatives because of differences in the sectors covered and allocation methods applied, specific exemptions, and different compensation methods.
Figure 7 / Carbon price and emissions coverage of implemented carbon pricing initiatives
Note: The Australia ERF Safeguard Mechanism, British Columbia GGIRCA and Kazakhstan ETS and Washington CAR are not shown in this graph as price information is not available for those initiatives. The carbon tax rate applied in Mexico, Finland, and Norway varies with the fossil fuel type and use. The graph shows the average carbon tax rate weighted by the amount of emissions covered at the different tax rates in those jurisdictions.
Sweden carbon tax
Emissions covered (MtCO2e) 7,000
1,500 2,000 3,000 4,000 5,000
1,000
Carbon price range needed in 2020 to stay consistent with achieving the temperature goal of the Paris Agreement as identified by the High-Level Commission on Carbon Prices.
25 This report covers developments and trends in the period from January 1, 2016 to September 1, 2017.
26 The Pacific Alliance consists of Chile, Colombia, Mexico and Peru.
27 For natural gas, the carbon tax only covers natural gas consumption in the petrochemical and refinery sectors.
28 As of September 1, 2017, Manitoba has not signed the Pan-Canadian Framework on Clean Growth and Climate Change, of which the carbon pricing approach is a central component.
Figure 8 / Carbon price, share of emissions covered and carbon pricing revenues of implemented carbon pricing initiatives
Note: The size of the circles is proportional to the amount of government revenues except for initiatives with government revenues below US$100 million in 2016;
the circles of these initiatives have an equal size. For illustrative purposes only, the nominal prices on August 1, 2017 and the coverages in 2017 are shown. The carbon tax rate applied in Mexico, Finland, and Norway varies with the fossil fuel type and use. The graph shows the average carbon tax rate weighted by the amount of emissions covered at the different tax rates in those jurisdictions. The middle point of each circle corresponds to the price and coverage of that initiative.
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Share of GHG emissions covered in the jurisdiction US$ 150/