Key insights emerged at COP29 from PIK Director Ottmar Edenhofer and UAE Ministry for Climate Change and Environment representatives, emphasizing the pivotal role of carbon pricing in accelerating global climate action.
Under the Emirati-German Energy and Climate Partnership, Germany and the UAE are leading the charge on integrating carbon pricing into broader climate strategies. PIK is a strategic partner in this initiative.
3 Major Takeaways:
- Carbon pricing is essential for phasing out fossil fuels—reducing the cost of low-emission technologies alone won’t suffice.
- Complementary tools like lead markets, quotas, and subsidies are critical for amplifying carbon pricing’s effectiveness.
- International and regional cooperation on carbon markets ensures greater impact while addressing competitiveness concerns.
The transition to a sustainable, fossil-free future hinges on more than just reducing the cost of low-emission technologies—carbon pricing must remain central to the equation. Germany and the UAE’s collaboration showcases the potential of international partnerships in driving effective climate action.
By aligning carbon pricing mechanisms with innovation and supportive policies, nations can ensure that climate policy not only cuts emissions but also fosters economic resilience. As we build on these efforts, prioritizing international coordination and complementary measures will be key to unlocking a prosperous, low-carbon future for everyone.
This joint side event with MoCCaE UAE was organised by the Energy and Climate Partnership on behalf of the Federal Ministry for Economic Affairs and Climate Action, supported by Guidehouse ES&I and German Emirati Joint Council for Industry & Commerce (AHK).
This partnership underscores a shared commitment to shaping robust climate policies that blend innovation, equity, and ambition. 🌍 #ClimateAction
