{ "title": "Leaders Unite in Calling for a Price on Carbon Ahead of Paris Climate Talks", "publication": "IMF News, October 19, 2015", "sourceUrl": "https://www.imf.org/en/news/articles/2015/09/14/01/49/pr15473", "canonical": "https://www.imf.org/en/news/articles/2015/09/14/01/49/pr15473", "overlayPath": "/en/news/articles/2015/09/14/01/49/pr15473/index.md", "summary": "Press Release No. 15/473", "publishDate": "2015-10-19", "sections": [ { "heading": "Press release metadata", "content": "- Press Release No. 15/473\n- Date: October 19, 2015\n- Issued by: IMF COMMUNICATIONS DEPARTMENT, Media Relations\n- Media contact: media@imf.org; Phone: 202-623-7100" }, { "heading": "Main call and purpose", "content": "- An alliance of Heads of State, city and state leaders, and heads of leading companies urge countries and companies to put a price on carbon.\n- The call comes from the Carbon Pricing Panel, convened by World Bank Group President Jim Yong Kim and IMF Managing Director Christine Lagarde, with OECD Secretary General Angel Gurria participating.\n- Objective: spur further, faster action ahead of the Paris climate talks (COP21) and steer the global economy toward a low carbon, productive, competitive future by providing certainty and predictability to the private sector for long-term climate-smart investments." }, { "heading": "Key findings, evidence, and statistics", "content": "- Around the world, about 40 nations and 23 cities, states and regions have implemented or are putting a price on carbon.\n- Programs and mechanisms currently covering about 12 percent of global greenhouse gas emissions.\n- The number of implemented or scheduled carbon pricing instruments has nearly doubled since 2012.\n- Aggregate market value of implemented or scheduled carbon pricing instruments: about $50 billion." }, { "heading": "Policy analysis and recommendations", "content": "- Christine Lagarde (IMF) recommendation:\n - Finance ministers should think about reforms to fiscal systems to raise more revenue from taxes on carbon-intensive fuels and less revenue from other taxes detrimental to economic performance, such as taxes on labor and capital.\n - Finance ministers need to evaluate the carbon tax rates that will help them meet their mitigation pledges for Paris and consider accompanying measures to help low-income households vulnerable to higher energy prices.\n- Emphasis on strong public policy to provide certainty and predictability to private investors so they can make long-term investments in climate-smart development.\n- Domestic policies such as carbon pricing framed as essential complements to international agreements (e.g., COP21) for guiding collective action." }, { "heading": "Principles and implementation guidance", "content": "- Collective experience is captured in FASTER principles developed by the World Bank Group and OECD, with input from the IMF. These principles are based on:\n - fairness;\n - alignment of policies and objectives;\n - stability and predictability;\n - transparency;\n - efficiency and cost-effectiveness;\n - reliability and environmental integrity." }, { "heading": "Carbon Pricing Leadership Coalition and private sector engagement", "content": "- Private sector supporters named: US Institutional Investor CalPERS, ENGIE of France, Mahindra Group of India, and Netherlands-based Royal DSM.\n- Carbon Pricing Leadership Coalition described as an action-based platform to link business needs with public policies; officially launched in Paris on November 30, 2015." }, { "heading": "Select leader and business statements (high-level excerpts)", "content": "- Jim Yong Kim: characterizes the alliance as a turning point from debate to implementation, noting \"The science is clear, the economics compelling\" and urging political leadership to take green investment to scale.\n- Christine Lagarde: highlights fiscal reform needs and protecting low-income households when increasing carbon prices.\n- Angela Merkel: frames carbon pricing as advancing low-carbon technologies and reaching the \"two degree upper limit.\"\n- Michelle Bachelet: cites Chile's environmental taxes on transportation and power sectors, with revenues used to fund educational reform.\n- François Hollande: stresses carbon prices as tangible market signals and acknowledges competitiveness concerns among carbon-intensive industries.\n- Hailemariam Desalegn: warns that carbon pricing must be coordinated and not unduly fall on the poor; frames carbon price as a potential win-win.\n- Benigno S. Aquino III: links carbon pricing to protecting food and water security and resilient rebuilding of vulnerable communities.\n- Enrique Peña Nieto: references Mexico’s fossil fuel tax and its role in fostering clean technologies and supporting binding agreements at COP21.\n- Edmund G. Brown Jr.: notes California has put a price on carbon and calls for broader government and business leadership.\n- Eduardo Paes: links carbon pricing to accelerating low-carbon urban prosperity and climate-resilient infrastructure investment.\n- Angel Gurría: emphasizes domestic carbon pricing as the policy driver toward a \"zero net emissions future.\"\n- Anne Stausboll (CalPERS): supports a transparent and consistent price to discourage emissions and stimulate low-carbon investment.\n- Gérard Mestrallet (ENGIE): notes ENGIE has put a price on carbon internally and ceased developing new coal generation projects not already legally engaged.\n- Anand Mahindra (Mahindra Group): frames growth and sustainability as complementary, with emerging countries leveraging technology for low-carbon growth.\n- Feike Sijbesma (Royal DSM): states DSM uses an internal carbon price of €50 to guide economic and environmental decisions." }, { "heading": "Contacts for follow-up", "content": "- World Bank (Washington): Camille Funnell, (202) 294-4804, cfunnell@worldbank.org\n- IMF (Washington): Keiko Utsunomiya, (202) 623-7090, kutsunomiya@imf.org\n- For Broadcast Requests: Mehreen Sheikh, (202) 458-7336, msheikh1@worldbankgroup.org\n\nLeaders Unite in Calling for a Price on Carbon Ahead of Paris Climate Talks — Press Release No. 15/473, October 19, 2015\n\n---\n\n\n References\n\n- The Federal Democratic Republic of Ethiopia and the IMF\n- France and the IMF\n- Mexico and the IMF\n- Philippines and the IMF\n- India and the IMF\n- Press Releases\n- PRESS CENTER\n- https://www.imf.org/en/home\n\nSource: https://www.imf.org/en/news/articles/2015/09/14/01/49/pr15473" } ], "bullets": [ "[Markdown version](/en/news/articles/2015/09/14/01/49/pr15473/index.md)", "[Structured JSON version](/en/news/articles/2015/09/14/01/49/pr15473/index.json)", "[Bundle manifest](/en/news/articles/2015/09/14/01/49/pr15473/bundle-manifest.json)", "Published: October 19, 2015", "Press Release No. 15/473", "Date: October 19, 2015", "Issued by: IMF COMMUNICATIONS DEPARTMENT, Media Relations", "Media contact: media@imf.org; Phone: 202-623-7100", "An alliance of Heads of State, city and state leaders, and heads of leading companies urge countries and companies to put a price on carbon.", "The call comes from the Carbon Pricing Panel, convened by World Bank Group President Jim Yong Kim and IMF Managing Director Christine Lagarde, with OECD Secretary General Angel Gurria participating.", "Objective: spur further, faster action ahead of the Paris climate talks (COP21) and steer the global economy toward a low carbon, productive, competitive future by providing certainty and predictability to the private sector for long-term climate-smart investments.", "Around the world, about 40 nations and 23 cities, states and regions have implemented or are putting a price on carbon.", "Programs and mechanisms currently covering about 12 percent of global greenhouse gas emissions.", "The number of implemented or scheduled carbon pricing instruments has nearly doubled since 2012.", "Aggregate market value of implemented or scheduled carbon pricing instruments: about $50 billion.", "Christine Lagarde (IMF) recommendation:", "Emphasis on strong public policy to provide certainty and predictability to private investors so they can make long-term investments in climate-smart development.", "Domestic policies such as carbon pricing framed as essential complements to international agreements (e.g., COP21) for guiding collective action.", "Collective experience is captured in FASTER principles developed by the World Bank Group and OECD, with input from the IMF. These principles are based on:", "Private sector supporters named: US Institutional Investor CalPERS, ENGIE of France, Mahindra Group of India, and Netherlands-based Royal DSM.", "Carbon Pricing Leadership Coalition described as an action-based platform to link business needs with public policies; officially launched in Paris on November 30, 2015.", "Jim Yong Kim: characterizes the alliance as a turning point from debate to implementation, noting \"The science is clear, the economics compelling\" and urging political leadership to take green investment to scale.", "Christine Lagarde: highlights fiscal reform needs and protecting low-income households when increasing carbon prices.", "Angela Merkel: frames carbon pricing as advancing low-carbon technologies and reaching the \"two degree upper limit.\"", "Michelle Bachelet: cites Chile's environmental taxes on transportation and power sectors, with revenues used to fund educational reform.", "François Hollande: stresses carbon prices as tangible market signals and acknowledges competitiveness concerns among carbon-intensive industries.", "Hailemariam Desalegn: warns that carbon pricing must be coordinated and not unduly fall on the poor; frames carbon price as a potential win-win.", "Benigno S. Aquino III: links carbon pricing to protecting food and water security and resilient rebuilding of vulnerable communities.", "Enrique Peña Nieto: references Mexico’s fossil fuel tax and its role in fostering clean technologies and supporting binding agreements at COP21.", "Edmund G. Brown Jr.: notes California has put a price on carbon and calls for broader government and business leadership.", "Eduardo Paes: links carbon pricing to accelerating low-carbon urban prosperity and climate-resilient infrastructure investment.", "Angel Gurría: emphasizes domestic carbon pricing as the policy driver toward a \"zero net emissions future.\"", "Anne Stausboll (CalPERS): supports a transparent and consistent price to discourage emissions and stimulate low-carbon investment.", "Gérard Mestrallet (ENGIE): notes ENGIE has put a price on carbon internally and ceased developing new coal generation projects not already legally engaged.", "Anand Mahindra (Mahindra Group): frames growth and sustainability as complementary, with emerging countries leveraging technology for low-carbon growth.", "Feike Sijbesma (Royal DSM): states DSM uses an internal carbon price of €50 to guide economic and environmental decisions.", "World Bank (Washington): Camille Funnell, (202) 294-4804, cfunnell@worldbank.org", "IMF (Washington): Keiko Utsunomiya, (202) 623-7090, kutsunomiya@imf.org", "For Broadcast Requests: Mehreen Sheikh, (202) 458-7336, msheikh1@worldbankgroup.org", "[The Federal Democratic Republic of Ethiopia and the IMF](http://www.imf.org/external/country/ETH/index.htm)", "[France and the IMF](http://www.imf.org/external/country/FRA/index.htm)", "[Mexico and the IMF](http://www.imf.org/external/country/MEX/index.htm)", "[Philippines and the IMF](http://www.imf.org/external/country/PHL/index.htm)", "[India and the IMF](http://www.imf.org/external/country/IND/index.htm)", "[Press Releases](https://www.imf.org/en/news/searchnews)", "[PRESS CENTER](http://presscenter.imf.org/)", "[https://www.imf.org/en/home](https://www.imf.org/en/home)" ], "alternates": { "markdown": "/en/news/articles/2015/09/14/01/49/pr15473/index.md", "json": "/en/news/articles/2015/09/14/01/49/pr15473/index.json", "bundleManifest": "/en/news/articles/2015/09/14/01/49/pr15473/bundle-manifest.json" }, "generatedAtUtc": "2026-09-26T21:46:28.888Z" }