Carbon pricing: tax, market and internal price
Putting a price on carbon aims to integrate the climate cost into economic decisions. It works through carbon taxes, allowance markets and internal carbon prices.
The mechanisms
A carbon tax sets a price per tonne (for example through energy taxation). Markets (EU ETS) set a price via allowance supply and demand. An internal carbon price is one a company imposes on itself to steer its investments.
Why it matters to you
Carbon pricing raises the cost of emitting activities and rewards reduction. Knowing your footprint lets you anticipate this financial risk. UltraCarbon quantifies emissions, the basis of an internal price.
Frequently asked questions
What is an internal carbon price?
A value a company voluntarily assigns to the tonne of CO2e to arbitrate its low-carbon decisions and investments.
Will carbon prices rise?
The underlying trend is upward (falling caps, CBAM, taxation). Anticipating protects competitiveness.
