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Well, yes, if you make all sorts of exemptions then businesses will pursue those. That's the state of carbon trading today. I'm advocating for a clear, non-neg
by leoedin 6y ago
Well, yes, if you make all sorts of exemptions then businesses will pursue those. That's the state of carbon trading today.
I'm advocating for a clear, non-negotiable tax on fossil fuels. If carbon leaves the ground (therefore entering the ecosystem), a fee is paid. It needs to be relatively high, otherwise it won't drive change.
It changes how people make decisions through the entire economy. If you're deciding whether to build renewables + a battery or build a gas power plant, the economics look very different when your fuel comes with a large carbon fee.
If you're deciding whether to buy in internal combustion engine car or an electric one, the economics are very different when the cost of gas is high because of the carbon fee. You look at the other options, or drive less. Less carbon enters the ecosystem.
Ultimately corporations sell people what they want. People buy SUVs because they're comfortable, and because the extra cost of gas is marginal. If that gas cost 2x or 3x as much, those purchasing decisions would be different. We know they would, because they have been in the past. Both the 1970s and 2008 oil price shocks saw changing consumer behaviour - a move towards more efficient cars and less miles driven.
If we're going to get a grip on carbon emissions, we need to price fossil fuels to represent their true cost.