Carbon Pricing 101
THe Carbon Pricing PRINCIPLES
These principles were adopted by American Sustainable Business Council (ASBC), BCL, Business for Innovative Climate and Energy Policy (BICEP), Corporate Climate Alliance (CCA), and Partnership for Responsible Growth (PRG) as a values-based way to understand key issues of carbon pricing, as well as a starting point for comparing specific policy proposals:
Climate change is real and presents significant risks to economic growth and prosperity. The solution should be economy wide and market based. A transparent price on emissions incentivizes low carbon consumer and business choices, accelerates the commercialization of low-carbon technologies--and is the most efficient way to fight climate change.
We urge Congress to pass and the President to sign legislation that prices carbon consistent with the following principles. Any such legislation should:
Help the US to achieve its 2025 greenhouse gas reduction goals and put US emissions on a path to help keep global temperature increases well below 2 degrees Celsius.
Establish an economy-wide system to price carbon emissions.
Increase the competitiveness of US businesses globally.
Provide a price signal strong enough to reduce the need for future regulation of carbon emissions while preserving the EPA’s present Clean Air Act regulatory authority.
Provide flexibility to use complementary policies to reinforce effect of carbon pricing
Preserve all families' access to reliable, affordable energy.
Ensure a just transition for affected workers, families, and communities.
Incentivize comparable action by other nations.