Why we need a price tag on carbon

The document asserts that a global emissions cap will create a global carbon price, incentivizing decarbonization and energy efficiency. This transition is expected to shift investment toward renewable energy and sustainable forestry while potentially creating stranded assets for companies with high carbon liabilities. The author predicts that power generation will be the easiest sector to decarbonize and that global R&D will pivot toward sustainable energy and carbon capture technologies.

• A global agreement to cap greenhouse gas emissions will lead to a global price on carbon and the creation of a global trade in emission rights, which would benefit all parties.
• The transition to a sustainable energy system will be accelerated by the sale of surplus emission rights by developing nations and an increase in electricity costs, which will drive consumer interest in energy efficiency.
• Carbon-heavy assets may be revalued as liabilities, leading to 'stranded assets' and a decline in company values, although a long-term transition period may limit asset destruction.
• The transition will shift economic focus toward renewable energy, sustainable forestry, afforestation, and the commercialization of carbon capture and storage and CO2 use.

APA

Josefsson, L. G. (2014). Why we need a price tag on carbon. World Economic Forum. https://www.weforum.org/stories/energy-transition/need-price-tag-carbon/

Chicago

Josefsson, Lars G. Why we need a price tag on carbon. World Economic Forum, 2014. https://www.weforum.org/stories/energy-transition/need-price-tag-carbon/.

Wikipedia

{{cite press release |last1=Josefsson |first1=Lars G. |title=Why we need a price tag on carbon |publisher=World Economic Forum |date=30 April 2014 |url=https://www.weforum.org/stories/energy-transition/need-price-tag-carbon/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{josefsson2014why, author = {Josefsson, Lars G.}, title = {{Why we need a price tag on carbon}}, publisher = {World Economic Forum}, year = {2014}, month = apr, url = {https://www.weforum.org/stories/energy-transition/need-price-tag-carbon/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }