Carbon pricing as defined in this paper -- emissions trading schemes (ETS), carbon, fuel exercise, or aviation taxes or reforms of fossil fuel support -- could help accelerate country commitments to sustainable recovery and low-carbon goals.
This working paper assesses the role of carbon pricing in a sustainable recovery from COVID-19. It tracks the policy changes in carbon pricing within OECD and G20 countries between January 2020 and August 2021 of the pandemic.
The research highlights the need for the recovery to be sustainable and thus aims to discuss the advantages as well as imitations in mobilizing carbon pricing. Evidence on the effects of carbon pricing is further provided to discuss carbon pricing design elements that can help overcome barriers.