Leaders across the US and Canada have pledged to step up the use of carbon pricing as a key tool to reduce emissions.
The new Carbon Pricing in the Americas co-operative framework will apply a cost of carbon to guide public investment decisions and encourage private companies to do the same through internal carbon pricing.
Canada, Chile, Colombia, Costa Rica and Mexico as well as the governors of the US states of California and Washington and the Premiers of the Canadian provinces of Alberta, British Columbia, Nova Scotia, Ontario and Quebec, launched the initiative at the One Planet Summit in Paris this week.
They have agreed to collaborate to strengthen systems for measuring, reporting and verifying greenhouse gas emissions and emissions reductions.
The declaration states: “We declare our commitment to implement carbon pricing as a central economic and environmental policy instrument for ambitious climate change action.”