Global business leaders are calling on COP31 negotiators to accelerate clean electrification and implement carbon pricing to bridge the gap between current 2.6°C warming projections and the Paris Agreement's 2°C goal.
The letter argues carbon prices of around $100 per tonne, described as close to current and near-future EU ETS prices, are needed to decarbonise steel and cement, and calls for policy to cover heavy industry, shipping and aviation. If COP31 commitments strengthen carbon pricing, EU allowance prices would be supported, though this is advocacy ahead of a summit, not a policy change.
No. It is an appeal from over 30 Energy Transitions Commission members to the COP31 Presidency. It supports carbon prices near $100 per tonne, described as close to current EU ETS levels, but actual prices depend on summit outcomes and EU policy.
Schneider Electric is a named signatory and the letter champions clean electrification, projecting electricity's share of final energy rising from 20% to over 50% by 2050, which supports demand for electrification equipment. However, it is only an advocacy letter with no orders or figures specific to the company.
Tata Steel signed the letter, which states green steel costs around 45% more than conventional steel and calls for carbon prices around $100 per tonne to drive steel decarbonisation. Stronger carbon pricing would raise costs for conventional steelmakers, though the letter notes green steel only adds around 1.2% to a car's price.
Over 30 Energy Transitions Commission members, including Schneider Electric and Tata Steel, have urged COP31 leaders to prioritize clean electrification and heavy industry decarbonization. New analysis warns that current policies track toward 2.6°C of warming, necessitating carbon prices near $100 per tonne to incentivize the transition for sectors like steel and cement.
No. It is an appeal from over 30 Energy Transitions Commission members to the COP31 Presidency. It supports carbon prices near $100 per tonne, described as close to current EU ETS levels, but actual prices depend on summit outcomes and EU policy.