Putting a price on pollution

Climate change needs urgent action by all countries, and by all means. Rising concerns about climate change have led to the introduction of carbon policies around the globe. Putting a price on carbon is widely seen as the most cost-effective and flexible way to achieve emission reduction. Consequently, African governments are being pursued to imposing carbon tax imposed to reduce greenhouse gas emissions. South Africa has kick-started it. How will it impact on Nigeria’s agriculture if the government eventually introduces it to improve environmental sustainability? DANIEL ESSIET shares stakeholders’ concerns
As the increasing restive public around the world are raising the pressure on governments to act more decisively to slow emissions amid evidence that catastrophic climate change is becoming an ever more real prospect, mitigation efforts have been gaining the most attention with measures designed to achieve net-zero carbon emissions by 2050.
Governments want companies to be environmentally friendly and levy a fee on carbon dioxide (CO2) emissions, while international businesses are seeking partners with clean, dependable and energy-efficient production.
For instance, the Green Economy Initiative of the United Nations Environment Programme (UNEP) has been working with developing and least developed countries to assist them in the formulation and implementation of policy reforms and investments that catalyse transitions to a green economy.
This is to help put businesses on solid footing to meet the demands of a changing global economy, and to become more resilient, inclusive and sustainable – especially important as climate change challenges continue to grow.
UNEP is currently running the Green Economy and Trade Opportunities Project (GE-TOP) to identify policies and measures that may act as facilitators and overcome hindrances to seizing trade opportunities arising from the transition to a green economy. The goal is to achieve minimum emission-reduction levels needed to keep the global temperature increase below 2°C.
Other than this, experts have been crusading for governments to put a price on carbon to send a signal to companies and consumers to shift their production and consumption patterns.
This has, however, proven an important source of government revenue.
In 2019, alone governments globally raised $45 billion through carbon pricing.
Namely, Mexico, Chile and Colombia, are using carbon pricing as part of a broader strategy to decarbonise their economies.
The potential to create millions of jobs on the way towards a net-zero carbon economy is perhaps one of the most appealing reasons to focus on a green recovery.
Analysts said carbon emissions reduction represents a major opportunity for countries to boost growth, reduce poverty, and broaden economic inclusion.