Business leaders urge governments to ramp up carbon pricing
A call to raise carbon dioxide prices brings together a quarter of the business community in the world. The Haga Initiative, CLC Finland and Norwegian Skift are the initiators of the call Call on Carbon.
PRESSRELEASE.October 25, 2021 – On the eve of the COP 26 UN Climate Change Conference, leaders from more than 100 businesses, cities, universities and business associations and networks, whose members and partners represent and gather over 60 million companies and farmers with over USD 25 trillion market capitalization and over USD 120 trillion assets under management in over 100 countries call on governments to ramp up carbon pricing.
- back their net zero targets with effective, robust, reliable and fit-for-purpose carbon pricing instruments, consistent with the Paris Agreement, to facilitate a cost-efficient investment path to reach net zero emissions;
- align their carbon pricing instruments where appropriate to create a stable and predictable investment environment; and
- finalise the rules for international market mechanisms under Article 6 of the Paris Agreement to support cost-effective mitigation efforts, create a level playing field and minimise carbon leakage while enabling greater ambition.
The signatories come from both worldwide and national businesses and across industry sectors including leaders of the International Chamber of Commerce representing 45 million companies, We Mean Business coalition gathering companies and investors with close to $25 trillion market cap, UN PRI which members have over USD 120 trillion assets under management, Copa-Cogeca, representing 22 million farmers and 22 000 agri-cooperatives and Orgalim, Europe’s Technology Industries comprised of 770,000 companies.
Countries representing majority of global CO2 emissions, and the world’s economy, have set climate neutrality targets, but the level of investment in clean solutions is still too low. IEA warned recently that spending on clean energy must triple to curb climate change. And there are other sectors in which the need for speed is even bigger.
We are only one investment cycle away from 2050 and if we do not have a step change for carbon pricing, we will not get the investments required to mitigate climate change on time. We believe the timing is absolutely right. This would make COP26 in Glasgow a true game changer.