{"id":68779,"date":"2023-12-05T19:23:38","date_gmt":"2023-12-05T19:23:38","guid":{"rendered":"https:\/\/www.lse.ac.uk\/granthaminstitute\/?post_type=publication&p=68779"},"modified":"2024-08-19T14:26:18","modified_gmt":"2024-08-19T13:26:18","slug":"carbon-pricing-with-regressive-co-benefits-evidence-from-british-columbias-carbon-tax","status":"publish","type":"publication","link":"https:\/\/www.lse.ac.uk\/granthaminstitute\/publication\/carbon-pricing-with-regressive-co-benefits-evidence-from-british-columbias-carbon-tax\/","title":{"rendered":"Carbon pricing with regressive co-benefits: evidence from British Columbia\u2019s carbon tax"},"content":{"rendered":"\n

This paper assesses the air quality and environmental equity impacts of the carbon tax introduced in the Canadian province of British Columbia in 2008.<\/p>\n\n\n\n

The author finds that the carbon tax has reduced PM2.5<\/sub> (fine particulate) emissions by between around 5 and 11%. The precise degree of reduction varies from place to place, with larger reductions in areas with lower rates of pre-existing pollution, lower population density, lower material deprivation, and higher income.<\/p>\n\n\n\n

While all areas experience substantial positive co-benefits from the carbon tax in terms of reduced air pollution hazard rates, quantified at CA$198 per capita, the results imply a widening of the pre-existing environmental justice gap. This dynamic shows one element of how a carbon tax can be regressive in terms of the distribution of its impacts across society, which policymakers can seek to redress through careful policy design.<\/p>\n\n\n\n

Key points for decision-makers<\/h2>\n\n\n\n