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Carbon pricing without bite?: new evidence on industry compensation raises red flags

Sato, Misato ORCID: 0000-0002-9978-9595, Basaglia, Piero and Isaksen, Elisabeth ORCID: 0000-0002-6557-8001 (2025) Carbon pricing without bite?: new evidence on industry compensation raises red flags. News and Commentaries (31 Jul 2025). Blog Entry.

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Abstract

More than a quarter of global carbon emissions are now covered by some form of tax or trading system. However, political concerns about competitiveness and carbon leakage continue to shape policy design, with many governments offering compensation to energy-intensive firms to shield them from indirect carbon costs. The authors of this commentary emphasise that how we compensate matters and propose approaches governments can take to move to more targeted, conditional support that aligns with long-term decarbonisation goals.

Item Type: Online resource (Blog Entry)
Official URL: https://www.lse.ac.uk/granthaminstitute/news-and-c...
Divisions: Grantham Research Institute
Subjects: G Geography. Anthropology. Recreation > GE Environmental Sciences
H Social Sciences > HC Economic History and Conditions
H Social Sciences > HD Industries. Land use. Labor
H Social Sciences > HJ Public Finance
Date Deposited: 09 Dec 2025 13:12
Last Modified: 09 Dec 2025 13:12
URI: http://eprints.lse.ac.uk/id/eprint/130511

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