Some developments have occurred in 2014 that lend credence to the possibility of carbon tax or some form of carbon pricing legislation. Previously, despite the overwhelming evidence that this is a powerful way of advancing climate action, it has been a political hot potato.
However, in 2014 a Ceres group by the name of BICEP, called for more aggressive policies including putting a price on carbon. This initiative was supported by some mainstream companies including General Mills, Kellogg’s, and Nestle.
Institutional investors are also calling for a price on carbon. Over 1,000 companies, and 70 countries have signed the World Bank Price on Carbon.
Even the former President of Goldman Sax, Republican Hank Paulson, supports putting a price on carbon.
California has been a longtime participant in a cap and trade scheme. The state has demonstrated that you can simultaneously cut emissions and grow your economy. California has cut emissions by 4 percent while growing by 2 percent.