Chile Enacts South America’s First Carbon Tax
Chile became the first South American country to enact a carbon tax last month, introducing a charge of $5 per tonne for thermal plants with capacity of 50 megawatts (MW) or above.
“The new tax is meant to force power producers to gradually move to cleaner sources to help reduce the country’s greenhouse gas emissions and meet its voluntary target of cutting these gases 20% from 2007 levels by 2020,” Reuters reports. Chile relies on fossil fuels, mostly imported oil and coal, for about 80% of its energy. (h/t to Clean Capital for pointing us to this story)