An Absence of Carbon Pricing in Russia

An Absence of Carbon Pricing in Russia

Unfortunately, at the moment there is nothing remotely resembling carbon pricing in Russia. No carbon tax, no cap and trade, no planned pricing or any additional mechanisms. About a year ago there was some talk about introducing a carbon tax but it ended in total failure. The word “tax” was met with a huge protest on all levels and, chances are, until 2025 there will be no new attempts to introduce anything of the sort. What’s more, in Russia companies do not even have to account for their emissions. Only a handful of companies voluntarily disclosed their emissions to CDP (a not-for-profit charity running the global disclosure system for investors, companies, cities, states and regions to manage their environmental impacts). However, there is no way of knowing how truthful they are in their reporting.

Activity Rating: * Falling Behind

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Alexander Novak, Minister of Energy in Russia

Putting a price on carbon is an idea whose time has come, with even Big Oil signaling it may drop its long-standing opposition to a carbon tax. For this reason, it is imperative that lawmakers in Russia bring the carbon tax discussions back to the table. If Russia is serious about tackling climate change, this is a measure that must be introduced.

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