Businesses move forward with carbon pricing

Daniel Jeong-Dae Lee
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Daniel Jeong-Dae Lee: Macroeconomic Policy and Financing for Development Division, United Nations Economic and Social Commission for Asia and the Pacific

No PB109, MPDD Policy Briefs from United Nations Economic and Social Commission for Asia and the Pacific (ESCAP)

Abstract: As highlighted in Economic and Social Survey 2020, investors and consumers (especially millennials) are demanding businesses to move beyond short-term profit and adopt environmental, social and governance (ESG) standards. Moreover, with growing recognition of climate-related risks as well as low-carbon opportunities, major companies across the world, including in Asia and Pacific, are pricing carbon in their day-to-day operations and to inform investment decisions and long-term strategies. This policy brief takes stock of this recent trend, and explains the main steps to consider in corporate carbon pricing, also known as internal carbon pricing. Such proactive, voluntary measures by businesses are important as governments seek to raise the level of ambition on carbon pricing.

Date: 2020-04
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