There are no low-cost options when it comes to tackling climate change. Renewable energy is not cheaper than fossil-based power once the price of investment and storage are considered. Low-carbon energy will cost more.
The only way to incentivise the world to shift to this more expensive low-carbon future is to make fossil fuels costlier, which means more carbon pricing.
Such schemes typically take the form of taxes on polluters’ emissions or “cap and trade” systems that limit how much companies can emit before having to pay more.
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