EU Carbon Pricing Reform Slashes Climate Policy Costs, Boosts Member State Gains
In this study, researchers looked at how setting a minimum price in a system that controls emissions can affect costs and fairness. By creating a detailed model of the carbon market in Europe, they found that having a minimum price can actually lower the overall expenses of fighting climate change by up to thirty percent. This means that setting a floor price on carbon emissions could make it cheaper and fairer for countries in the EU to comply with environmental rules. The research suggests that most EU countries would benefit from this approach, and it could lead to more consistent and efficient pricing for carbon pollution.