In a move to combat climate change, the Pakistani government has decided to tax carbon-emitting industries. The announcement was made at a meeting of the Standing Committee on Climate Change, chaired by Senator Sami Ezidi. According to media reports on Wednesday, officials from the Ministry of Climate Change informed the committee that a new carbon policy guideline has been drafted, paving the way for investment in the carbon market. Under the policy, industries will be required to pay taxes if they exceed their carbon emission limits. The government plans to generate revenue by selling carbon credits to industries that have reduced their emissions. The global market for carbon credits is expected to reach $3 trillion.

The Standing Committee has directed the Ministry of Climate Change to finalize the carbon policy guideline and present it to the committee for approval. The committee has also asked the ministry to develop a governance mechanism, market registry, and monitoring strategy for carbon credits.

 
Credit: Independent News Pakistan (INP)