The price of carbon needs to average at least USD75 a ton globally by the end of the decade for global climate goals to succeed. Speaking on the sidelines of the COP27 climate talks in the Egyptian coastal resort town of Sharm el-Sheikh, IMF Managing Director Kristalina Georgieva said the pace of change in the real economy was still "way too slow". Recent analysis by the World Bank-affiliated group suggests the sum total of global national commitments on reducing climate-damaging emissions would see them fall just 11% by mid-century. While some regions such as the European Union already price carbon at above that level - the EU's benchmark price is around EUR76 a tonne - other regions such as the U.S. state of California see carbon allowances selling for just under USD30 per ton, while some have no price at all.

Source: Reuters