Report of the High-Level Commission on Carbon Pricing and Competitiveness

Full recap video of the event here

Bold and immediate commitment is needed to respond to the challenge of climate change. Carbon pricing is an effective response especially when coupled with other policies. It can result in remarkable opportunities for corporations, countries, and communities”
— Mr. Anand Mahindra, Chairman, Mahindra Group.
Carbon pricing has proven to be one of the most effective tools to unlock the potential from the private sector to support innovation and low-carbon growth. Carbon pricing is only one of many elements determining global competitiveness and plays a smaller role than other factors, for instance, labor and infrastructure”
— Mr. Feike Sijbesma, CEO, DSM
 

Endorsed by

  • Acciona

  • Arcelik

  • Bank of America

  • BCSD Portugal

  • BHP

  • Braskem

  • Boston Consulting Group

  • Capricorn Investment Group

  • CLG Europe and the Green Growth Partnership

  • Dalmia Cement (Bharat) Ltd.

  • Danfoss

  • Électricité de France -  EDF  

  • En+ Group

  • Energias de Portugal – EDP

  • Engie

  • Equinor

  • Global Compact Network Singapore

  • Iberdrola

  • Interface Nederland BV

  • International Chamber of Commerce

  • International Finance Corporation (IFC)

  • Johnson Controls

  • Kokusai Kogyo Co., Ltd

  • Lafarge Holcim

  • LeasePlan Corporation N.V.

  • Lenzing Group

  • LGT

  • Michelin

  • MINIWIZ Pte Ltd

  • Olam International

  • Petrochemical Corporation of Singapore (Private) Limited

  • PT. Rimba Makmur Utama 

  • Quest Ventures

  • Rio Tinto

  • Royal DSM

  • Saint Gobain

  • Sasol

  • Shell

  • Signify

  • Societe General

  • South Pole

  • SSAB AB

  • Suez

  • Suntory Holdings Limited

  • Teck Resources

  • Unilever

  • WBCSD

  • We Mean Business

The International Chamber of Commerce - as the institutional representative of 45 million companies worldwide - recognizes the urgent need to keep the global temperature increase below 1.5 degrees Celsius and work towards net-zero emissions by 2050. Climate action is everyone’s business and achieving our collective climate goals will require a mix of voluntary action and coherent policy frameworks.
This flagship report from the High-Level Commission on Carbon Pricing and Competitiveness is a critical contribution to this debate. The report presents the case for carbon pricing as one of the policy drivers to a low carbon economy and - through diligent consultations, expert inputs and academic research - shares insights on a variety of ways to address competitiveness risks.”
— John W.H. Denton AO, Secretary General of the International Chamber of Commerce
Carbon pricing is a crucial tool to support the transition to a net neutral low carbon economy. Best would be a global carbon price for all. As regions implement climate policy at different speeds however, measures to overcome the impact on competition can and should be part of a carbon pricing scheme. We welcome this report as a key contribution to the discussion.”
— Cefic – the European Chemical Industry Council
Significant difference in application of carbon payments policy in the world can cause serious problems and discord in international trading. It is necessary to address this problem by establishing common approaches at the global level. The first step in this direction may be low-carbon standards for products, for instance, in aluminium industry. Aluminium is one of the key solutions for low-carbon and circular economy. At the same time, aluminium is an energy-intensive product which takes up a significant share in world trading. It is important to create incentives for metal production using clean energy sources with low carbon footprint,”
— E.V. Nikitin, CEO of UC RUSAL.
Climate change is the most important issue mankind is facing. Therefore the Lenzing Group supports the report as an important contribution to fulfill the Paris Agreement, analyzing various options for carbon pricing and at the same time addressing competitiveness of our industries”
— Stefan Doboczky, Chief Executive Officer, Lenzing Group
Braskem, the largest polymer producer of the Americas and the largest biopolymer producer of the world, is committed to be a global solution provider on climate change. We have improved our performance, developed new products, engaged our suppliers. But that is not enough. A carbon pricing system implemented everywhere, ideally globally, would help us and many others to do much more.”
— Marcelo Cerqueira, Brazil Manufacturing and Global Industrial Operations, EVP
“Time is running out. The 1.5-degree goal can still be within our reach, but only if we have strong political will on climate change. An ambitious, stable carbon pricing framework will show the business community that we are on our way to a resilient low-carbon future, and also improve market conditions for all the great low-carbon technologies we need to get there.”
— Jeff Swartz, Director Climate Policy & Carbon Markets, South Pole
I applaud the new Report of the CPLC High-Level Commission on Carbon Pricing and Competitiveness which comes just in time for the UN Climate Action Summit 2019.
We can’t fight climate change effectively without a clear analysis of the changes needed to achieve a net zero-carbon future.
The authors of the Report have done a great job in adding to our understanding of this complex issue and their findings will serve as important guidelines in building a truly sustainable global economy.”
— Lord Barker of Battle, Executive Chairman of En+ Group plc and former UK Climate Change minister
In a relatively innovative and politically challenging area like carbon pricing, policy certainty is especially important. Without this certainty, potential investors face significant risk. It is essential that before significant low-carbon capital investments are committed, a jurisdiction has truly committed to a low-carbon future as a key pillar of their economic development. And transparent policies, like a price on carbon, certainly can provide that assurance.”
— Anne Finucane, Vice Chairman, Bank of America
Carbon cost is one of many factors that influence our investment decision at the impact fund. While existing carbon pricing programs only account for a small proportion of the overall economy, research such as this Report of the High-Level Commission on Carbon Pricing and Competitiveness provides a timely reality check and guidance forward”
— Mr. James Tan 陈中 Managing Partner 管理合伙人 QUEST VENTURES 求索创投
I applaud the new Report of the CPLC High-Level Commission on Carbon Pricing and Competitiveness which comes just in time for the UN Climate Action Summit 2019.
We can’t fight climate change effectively without a clear analysis of the changes needed to achieve a net zero-carbon future.
The authors of the Report have done a great job in adding to our understanding of this complex issue and their findings will serve as important guidelines in building a truly sustainable global economy”
— Lord Barker of Battle, Executive Chairman of En+ Group plc and former UK Climate Change minister
Michelin Group has always been in favor of pricing carbon, whatever the mechanism, as long as the system is transparent, rewards best performers and ensures a level-playing field worldwide”
— Mr. Menegaux’s, Michelin’s CEO
Businesses are committing to achieving net-zero emissions by 2050, but they need strong government policies — including a meaningful price on carbon — to help them get there. Competitiveness is not a reason to shy away from setting a meaningful carbon price; it’s quite the opposite. A carbon price is an effective policy tool when you set a price, set it high, make it clear how competitiveness will be addressed and let the market get to work. This will be an important step toward driving innovation, efficiency and risk management, which will strengthen the global competitiveness of countries’ key industries to be market leaders in a zero-carbon world”
— Mr. Nigel Topping, CEO, We Mean Business
WBCSD is a long-time supporter of carbon pricing as one of the most effective and cost-efficient means of driving deep decarbonization. Carbon pricing will be critical to bring us on track to achieve net zero emissions by 2050 aligned with the 1.5°C scenarios. We welcome this report as an important tool for policymakers looking to step up decarbonization efforts, while ensuring that when there are competitiveness concerns, they are properly addressed”
— Mr. Peter Bakker, WBCSD, President and CEO
Carbon pricing is an essential tool in the climate action policy toolkit, helping secure the climate neutral future economy that we all need. Bringing insights from major global industrial companies, this report puts needed weight behind the view that carbon pricing and other climate action policies can be seen as drivers of innovation and investment, rather than as a threat to competitiveness”
— Mr. Eliot Whittington, Director, CLG Europe
EDP supports the direction of the report presenting a robust case for carbon pricing. We need to have a strong and credible carbon price signal, set at the more global level possible, that along with fossil fuel subsidy reform, will drive low carbon investments and contribute to a just transition”
— Mr. António Mexia, EDP’s CEO
Iberdrola supports the direction of the report presenting a strong case for carbon pricing as a driver for low carbon economy, along with a variety of options to address competitiveness risks.”
— Iberdrola
“The Report of the High-Level Commission on Carbon Pricing and Competitiveness is an excellent job done by CPLC. It reflected the concerns for economic development in the context of carbon pricing. At the same time, it discussed the threats and possibilities for businesses from higher carbon emission side to lower carbon emissions countries. It opened many dimension for business owners to think about carbon pricing issues more seriously.”
— Mohammad Shariar Nafees, CEO, NaxRo, Bangladesh