Overview of carbon taxes in Europe

This Policy Briefing complements the Policy Proposal “Pathways for Reforming Ukraine’s Carbon Tax: Towards an ETS-Compatible Upstream Tax with an Expanded Scope” as well as the Policy Briefing with the same title, which provides a summary of the aforementioned Policy Proposal. It provides a brief overview of carbon taxation across different European countries, including summary country fact sheets for a selected list of countries. The comparison of sectoral coverage, point of regulation, carbon price levels and other indicators aims to inform the debate on the reform process for Ukraine’s carbon tax. The Policy Briefing illustrates that the overwhelming majority of carbon taxes in Europe are regulated upstream, most of which include sectoral coverage of the buildings and transport sectors. Carbon price levels are consistently higher than the current tax rate in Ukraine. The example of Switzerland’s climate dividend scheme is also reviewed as a blueprint for a social compensation scheme.

Author(s):
Henriette Weser

What is a Policy Briefing?

Similar to Policy Papers, current or possible future policy topics are discussed. The economic analysis and policy recommendations are presented in a concise manner, focussing on the core arguments and results.