The government could siphon off a large chunk of the revenues from increased carbon prices to improve the energy efficiency of fuel poor households, according to a new report from the London School of Economics’ Grantham Institute. The ‘Distributional impacts of a carbon tax in the UK’ report examines the impact on different earning households of increasing the carbon tax to a level that is consistent with the target of cutting emissions to net-zero by 2050. It says that increasing the tax to £50 per tonne of carbon dioxide this year, rising to £75 by 2030, would generate £57bn worth of revenues over the next decade. The carbon price is currently fixed at £18 per tonne. The report recommends that around one-third of this revenue (£18.8bn) could be used to compensate fuel-poor households by upgrading their property’s energy efficiency, therefore ensuring they would not be out of pocket as a result of the higher tax.
Edie 13th March 2020 read more »
Demand for green offices will soar to meet carbon targets.
Times 16th March 2020 read more »