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Aligning policies for a low carbon economy


This very detailed and comprehensive report presents a broad diagnosis of the coherence between overall policy and regulatory frameworks, and climate goals. It identifies a number of opportunities for realigning policies to enable an efficient and cost effective shift to a low carbon economy, across four policy domains (investment, taxation, innovation and skills, and trade) and three specific areas that are important for the low carbon transition (electricity, urban mobility, and rural land use). Chapter 2 of the report (especially pp. 54–58) discusses the importance of the enabling environment and of aligning investment policies with climate goals. Chapter 3 discusses taxation policies and subsidies and how they can undermine climate action. Also available in French and German.

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