According to a new report from Carbon Tracker, ‘Put a Price on It,’ Japan must replace the current carbon price of $2.6/tonCO2 with a minimum price of at least $30/tonCO2 to prevent gas to coal switching and accelerate energy transition.
Amidst an energy crisis and a power supply crunch, Japan’s current policy framework is insufficient to deliver its goal to achieve carbon neutral by 2050 and decarbonize power sector by 2035 due to its heavy reliance on fossil fuels.