Energy sectors account for roughly two thirds (~64%) of total greenhouse gas emissions contributing to global warming. This includes everything from the fuels that powers our vehicles and heat our homes to commercial and industrial consumption of electricity and fossil fuels. Our researchers model various energy-production scenarios that would allow countries to decrease their carbon footprint while meeting goals for more sustainable growth and development. They also study the policies and incentives that govern decision-making around energy sectors, including the role of foreign investment in emerging markets.
While the World Bank and other multilateral development banks are increasingly investing in renewable technologies and phasing out coal power financing, several of the world’s largest national-level funders — East Asian development finance institutions — are among the last public financiers supporting coal power plants.
Countries across the globe have been struggling to deal with the impact of Covid-19 and its accompanying economic slowdown. As economies “build back better,” it may be an opportune time to introduce carbon pricing to tackle climate change, according to new Princeton University policy research.
Environmental challenges have galvanized activity across Princeton’s campus in recent years like few other issues in our history. From physical, biological and applied sciences to art, architecture, psychology, policy and more, research groups across the University are tackling some of the toughest problems facing humanity with the fullest range of toolkits.
Before the COVID-19 pandemic and the accompanying fall in oil prices, a carbon price would have been immediately painful for the countries that imposed it, but far better for everyone over the longer term. In this unprecedented moment, introducing a carbon price would be beneficial both now and for the future.