What if global carbon tax reached $100/ton? [31]
Summary of the Article: A uniform $100/tonne CO₂ global carbon tax would be a watershed moment for climate economics and industrial competitiveness. It would (i) rapidly re‑rank marginal abatement options , accelerating coal‑to‑clean power switching, electrification, and process changes in heavy industry; (ii) reshape trade flows by internalising carbon in prices everywhere, diminishing the need for border adjustments like the EU CBAM; (iii) mobilise hundreds of billions in annual fiscal revenues , which—if recycled wisely—could make the reform pro‑growth and pro‑equity ; and (iv) for India, compress the timeline for coal phase‑down, storage deployment, green hydrogen pilots , and carbon market maturation (CCTS), while cushioning exporters exposed to CBAM. The World Bank’s latest “State and Trends of Carbon Pricing” shows carbon instruments are scaling (covering ~28% of global GHGs and raising >$100 bn in 2024 ), but still below levels compatible with Paris goals—making a decisiv...