The carbon price would have to skyrocket for the inclusion of transport in the EU emissions trading system to be effective, a study has indicated.
A carbon price of €217 per tonne of CO2 over the decade up to 2030 would be required to achieve similar emission reductions in road transport as would be delivered by extending current emission standards for cars, according to Cambridge Econometrics.
Such a price would drive a 38% increase in fuel prices, which would place a heavy burden on energy-intensive industries and on consumers, according to the paper.
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