Global Carbon Accounts in 2021

Explicit carbon pricing systems – a tax or a carbon market – continue to develop around the world. In the 2021 edition of its Global Carbon Accounts, I4CE presents the main trends and provides an overview of these public policies: the countries that have adopted them, the sectors covered, the price levels, the revenues generated and what is being done with them. Find all this information in graphics.

 

 

The 4 trends of 2021

  1. As of October 1st, 2021, 47 jurisdictions (countries, provinces, or cities) are operating a carbon pricing scheme (carbon tax and/or an Emissions Trading System (ETS)). Together, they account for around 60% of global gross domestic product (GDP). Over the past year, two G20 countries have implemented an explicit price on carbon: China and Germany.
  2. Carbon pricing schemes generated USD 56.8 billion (EUR 49 billion) over the FY 2020-2021; a significant increase compared with the previous fiscal year (USD 48 billion). 52% of this revenue stems from carbon taxes. The other 48% of revenue comes from ETS auctions. These carbon revenues are mostly directed to national general budgets or are earmarked for specific environmental or development projects.
  3. As of October 1st, 2021, explicit carbon prices range from less than USD 1 to USD 142 (EUR 117) per ton of CO2e. Yet, more than 46% of emissions regulated by carbon pricing are still covered by a price below USD 10 (EUR 8). To stay on the 2°C trajectory while sustaining economic growth, the High-Level Commission on carbon prices led by economists Stern and Stiglitz recommends reaching carbon prices comprised between USD 40 and USD 80 per ton of CO2e by 2020, and between USD 50 and USD 100 per ton of CO2e by 2030.
  4. Together, jurisdictions with a carbon mechanism (tax or ETS) emit 60% of global greenhouse gas (GHG). This does not mean that 60% of global emissions are effectively covered by a carbon price: some sectors or populations may be exempted (totally or partially) for various reasons.
    Furthermore, fossil fuel subsidies still represent at least USD 450 billion in 2020 (see page 4).

 

I4CE

Principal sources and useful links:

 

Global Carbon Accounts in 2021 Download
See appendices
  • 2021 – Global Carbon Accounts Download
I4CE Contacts
Marion FETET
Marion FETET
Research Fellow – Local authorities, Public Finance, Green Budgeting Email
Sébastien POSTIC, Phd
Sébastien POSTIC, Phd
Research Fellow – Public finance, Development Email
To learn more
  • 06/13/2025 Foreword of the week
    The unlocked potential of carbon revenues to help fill the climate finance gap

    Climate negotiations are taking place next week in Bonn, with finance once again high on the agenda. COP 29 ended last year with a New Collective Quantified Goal (NCQG) –revised climate finance target to replace the USD 100 billion goal. The NCQG decision put forward a commitment by developed countries to lead in providing USD 300 billion per year by 2035 for developing countries, as well as a proposal to work on a roadmap to scale up climate finance for developing countries to reach a level closer to the estimated needs –the ‘Baku to Belem Roadmap to 1.3T’ (USD 1.3 trillion). The latter must be delivered at the end of the year at COP 30, and strong efforts are being put in the task by the Brazilian Presidency.

  • 06/11/2025
    Global carbon accounts 2025

    This 2025 edition of the Global Carbon Accounts presents a landscape of carbon pricing instruments through the lens of their current and potential contribution to scale up climate and development finance. Several jurisdictions are already using carbon revenues to support a range of policy objectives, including decarbonization efforts and support for economic actors most affected by the transition. Yet there is still potential for them to further contribute to fill the gap.

  • 03/21/2025 Blog post
    In the absence of a carbon tax in Canada, measures to fill the gap are essential 

    On his first day in office, Prime Minister Mark Carney announced the elimination of the consumer carbon tax, in response to political pressures rather than evidence-based concerns about its effectiveness or impact on affordability. The tax had played a crucial role in reducing the country’s GHG emissions, and along with other carbon pricing policies, was expected to contribute nearly half of Canada’s emissions reductions by 2030. Additionally, the majority of revenues collected were redistributed to citizens, protecting vulnerable households. Thus, without alternative policies to compensate, eliminating the tax could slow emissions reductions and increase inflationary pressure, particularly for low- and middle-income families who benefited financially from the Canada Carbon Rebate funded by the tax. 

See all publications
Press contact Amélie FRITZ Head of Communication and press relations Email
Subscribe to our mailing list :
I register !
Subscribe to our newsletter
Once a week, receive all the information on climate economics
I register !
Fermer