Utilizing Carbon Pricing Policies to Achieve Sustainable Development Goals and Confront Global Climate Change: A Reading of the Concepts, Foundations, and Obstacles

This chapter delves into the critical role of carbon pricing policies in achieving sustainable development goals and confronting global climate change. It begins by examining the historical context and international commitments, such as the Kyoto Protocol and the Paris Agreement, which have shaped carbon pricing mechanisms. The chapter explores the two primary types of carbon pricing: carbon taxes and emissions trading schemes (ETS), detailing their mechanisms, advantages, and challenges. It also discusses the evolution of carbon pricing from 1990 to 2023, highlighting the growth in the number of carbon pricing instruments and their coverage of global greenhouse gas emissions. The chapter analyzes the impact of carbon pricing on various sectors and regions, emphasizing its role in promoting sustainable development goals, particularly in the areas of affordable and clean energy, innovation, and climate action. Furthermore, it examines the current state of carbon pricing, noting that while there has been significant progress, the prices remain below the levels required to meet the Paris Agreement's temperature targets. The chapter concludes by discussing the future prospects and challenges of carbon pricing, emphasizing the need for more ambitious policies to effectively combat climate change and achieve sustainable development.