June 2017 - Carbon pricing is so important because it brings transparency to so-called external costs. It also enables more efficient implementation of climate action, because a price signal ensures that emissions are prevented in areas where it is most cost-effective to do so. The existence of a carbon market increases the economic attractiveness of engaging in climate change mitigation.
The Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU) thus assists countries in implementing their national carbon pricing instruments and is also active at policy-making level to further promote this trend, the aim being for all global green house gases to be covered by carbon pricing in the longer term.
This brochure provides an overview of carbon market projects funded by the BMU and showcases the diverse carbon market-related activities initiated by the Federal German Government in collaboration with various partners. The brochure sets out projects which inter alia focus on providing transitional prospects for existing mitigation activities and secure short-term emission reductions as well as policy initiatives to introduce carbon pricing along with capacity-building activities to promote market-based mitigation.
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