Discussion paper on carbon tax structure for India

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Internationally, carbon pricing instruments have witnessed growing interest as cost effective policy measures for climate mitigation. A carbon tax is considered by many as an efficient climate mitigation instrument since it can influence decision making of businesses and individuals to enable transition towards low-carbon and energy efficient technologies. Furthermore, the introduction of Goods and Services (GST) has opened the window for a discussion on the pricing and taxation of fossil fuels and energy. This discussion paper examines how a carbon tax mechanism can be introduced in India, assess its merits and challenges, and the role that the proposed carbon tax structure can play in helping achieve India’s climate goals.

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Publication Date: 
01/07/2018
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