The role of international cooperation in the implementation of carbon pricing instruments

During a Regional Meeting on Carbon Pricing Instruments in the Americas -organized in late October by the GIZ SiCEM project and the Secretariat of Environment and Natural Resources of Mexico-, representatives of the Economic Commission for Latin America and the Caribbean (ECLAC), with the support of the Euroclima program financed by the European Union, have presented a paper on the crucial role played by international cooperation in the implementation of these instruments in the Latin American and Caribbean (LAC) region.

Carbon pricing instruments not only mitigate climate change, but also contribute to increasing fiscal revenues, which allows financing key investments in strategic sectors. According to the speaker, the importance of international cooperation is manifested in three key areas: knowledge generation, capability building and linking stakeholders. The spaces for collaboration and dialogue have allowed countries to learn from international experiences in the application of carbon taxes, such as the Emissions Trading System (ETS) and the Carbon Border Adjustment Mechanism (CBAM) of the European Union.