Using Carbon Pricing Revenues to Finance Infrastructure Access

Authors

Michael Jakob, Mercator Research Institute on Global Commons and Climate Chang and Potsdam Institute for Climate Change Impact Research
Claudine Chen, Mercator Research Institute on Global Commons and Climate Change and Potsdam Institute for Climate Change Impact Research
Sabine Fuss, Mercator Research Institute on Global Commons and Climate Change and Potsdam Institute for Climate Change Impact Research
Annika Marxen, Technical University Berlin and Mercator Research Institute on Global Commons and Climate Change
Narasimha Rao, International Institute of Systems Analysis
Ottmar Edenhofer, Mercator Research Institute on Global Commons and Climate Change, Potsdam Institute for Climate Change Impact Research and Technical University Berlin

Date of This Version

1-25-2016

Abstract

Introducing a price on greenhouse gas emissions would not only contribute to reducing the risk of dangerous anthropogenic climate change, but would also generate substantial public revenues. Some of these revenues could be used to cover investment needs for infrastructure providing access to water, sanitation, electricity, telecommunications and transport. In this way, emission pricing could promote sustainable socio-economic development by safeguarding the stability of natural systems which constitute the material basis of economies while at the same time providing public goods that are essential for human well- being. An analysis of several climate scenarios with different stabilization targets and technological assumptions reveals that emission pricing has a substantial potential to close existing access gaps.

Recommended Citation

Jakob, Michael; Chen, Claudine; Fuss, Sabine; Marxen, Annika; Rao, Narasimha; and Edenhofer, Ottmar, "Using Carbon Pricing Revenues to Finance Infrastructure Access" (January 25, 2016). Fondazione Eni Enrico Mattei Working Papers. Paper 969.
https://services.bepress.com/feem/paper969