- Tax on plastics and crypto for the environment?
- Plans on taxing richest people too
- The report also states that taxing cryptocurrency transactions could generate "tens of billions a year"
Tax on plastics and crypto for the environment?
According to a working group led by France, Kenya and Barbados, plastics and cryptocurrencies like aviation and fossil fuels could be taxed, filling the climate finance gap and helping developing countries.
The three countries believe that hundreds of billions of dollars could be raised from "global solidarity taxes" on the most polluting industries to help developing countries.
Barbados' Prime Minister Mia Mottley, a strong advocate of climate change, said at the UN COP29 climate talks in Azerbaijan that it was time to "rethink taxes".
"We can comfortably raise around $350 billion a year from maritime transport, airlines and fossil fuels, which would add significantly to public funds," she argued.
"Large segments of the economy are polluting the planet but contributing little to public finances, development, and climate change mitigation," said the task force's report published in Baku.
Plans on taxing richest people too
The Task Force experts proposed imposing taxes on private jet fuel, frequent flyers, excess fossil fuel profits, shipping, stocks, bonds and derivatives.
Proposals to tax cryptocurrencies, plastics, and the planet's richest individuals are also being considered, the latter idea having been proposed by Brazil during its G20 Presidency.
Experts estimate that $5.2 billion could be raised from taxing cryptocurrencies, given the "high energy demand for mining cryptocurrencies". Such a move would also reduce emissions, they say.
The report also states that taxing cryptocurrency transactions could generate "tens of billions a year"
The plastic industry's pocket-picking is also timely: later this month, the UN will negotiate the world's first treaty to regulate plastic pollution in Busan, South Korea.
"This levy is intended as a source of funding to support developing countries in their fight against plastic pollution," said experts. Plastic taxes are expected to rise between $25 and $35 billion a year.
The 17-member coalition that brought the Task Force together includes France, Kenya, and Barbados. The EU and the African Union are also part of it. Brazil has indicated that it will also join.
Based on ELTA reports
