CIMA Members in Asia-Pacific (APAC)

Since carbon tax is a pecuniary outflow tied to emissions, organizations may still continue emitting if the commercial payoff exceeds the tax burden. In that sense, does carbon tax truly alter behavior, or does it simply price pollution?

Much like income tax does not eliminate the aspiration to earn more, can carbon tax alone drive meaningful decarbonization without complementary regulation, cleaner substitutes, and innovation support?