‘Tax the bad’ to boost climate finance, says COP28 advisory panel

Increasing taxes on polluting activities and cutting fossil fuel subsidies could generate trillions of dollars to tackle climate change, an advisory panel to the COP28 talks in Dubai said.

Summit host the United Arab Emirates, a major oil producer, has said the two-week meeting starting on Thursday must deliver “tangible action” on climate funding, which has been squeezed by rising debt burdens, faltering political will and patchy efforts by private finance.

Higher carbon taxes — including levies on emissions from the maritime and aviation sectors — should be among options COP28 studies, the panel recommended.