In a video shown at the UN Climate Leadership Summit on Sept. 23, 2014, German Chancellor Angela Merkel talks about her country's support for carbon pricing and how it can drive low-carbon growth.
"Climate change poses great dangers to us all. This means that we need to limit harmful greenhouse gas emissions effectively. Economic incentives are a good way to achieve this goal. Carbon pricing makes investments in low-carbon or carbon-free technologies attractive and ensures that fossil fuels are used efficiently. This helps us to adhere to our common two-degree climate goal.
The benefits speak for themselves when, alongside an agreed CO2 reduction roadmap, the market determines the carbon price on the basis of supply and demand.
This is why the European Union introduced emissions trading at an early stage. Europe is happy to share the lessons learned with others. The European climate targets for the period until 2030 are currently on our agenda. We want to send a clear signal on international climate protection ahead of the Climate Conference in Paris in 2015.
Our common goal is an ambitious agreement that will be binding on all countries and enter into force by 2020. Germany actively supports this goal. We are firmly committed to our national climate targets.
By 2050, we want:
- to have reduced our greenhouse gas emissions by 80 percent to 95 percent compared with 1990 levels
- our energy supply to come primarily from renewable energies and
- our energy consumption to be 50 percent lower than in 2008.
Fortunately, many governments and companies are already using carbon-pricing instruments. Our hope is that all countries will perceive the opportunities that economically efficient and low-carbon development offers them."