Meta description: This is an essay about carbon tax, why it is required, and how governments are trying to reduce emissions and combat climate change.
Introduction
Are you excited about driverless cars? Since thousands of people around the world are keen on owning self-driving automobiles, they will surely become commonplace one day.
History
Engineers and scientists in the U.S. and Europe have been working on developing autonomous cars as early as the 1920s. However, in 2017, Google’s Waymo was the first car to be on the road. In 2018, Google launched an automated taxi service in Phoenix, Arizona. In 2019, Robocar set the world record for the fastest speed by a driverless car. China is currently testing self-driving cars. However, autonomous cars have not yet been made legal for consumers. It is mandatory for a driver to be present at the steering, even in cars with sophisticated self-driving technology.
Changing Risks
Many experts and laypersons believe that self-driving cars will make the roads safer. So, what does that mean for insurance companies? If the risk of accidents is less, it means that premiums on motor insurance will come down. People may not want high personal insurance cover either.
But there’s a catch here; in case an accident does happen, the repairs will be expensive. The technology is new, and it will cost a lot to replace.
However, the manufacturers say that with time, the technology and the parts will become cheaper. They also predict that as the number of autonomous cars increases, accidents will become very rare.
How it Works
The government has to work out the cost per ton of carbon emissions. Now, this is problematic because economists and scientists don’t readily agree on the methods of arriving at this figure. Globally, the average price is $2 per ton, when the actual cost could be as high as $75 by 2030.
Benefits
Imposing a carbon tax pushes up fuel prices, and encourages people to look for alternatives – also called ‘green energy’. People will also try to use less fuel and save money. Companies try to find ways to reduce their carbon emissions.
It also gives additional income to the government, which can be used for dealing with the consequences of climate change. Many businesses and governments have already invested heavily in alternative sources of energy.
Response of Nations
In 2015, 196 parties signed The Paris Agreement, an international climate change treaty. It aims to limit global warming to below 2°C through various methods, including a carbon tax.
We can do our bit too – don’t waste electricity, and use public transport as much as possible.
FAQs
1. What is the major disadvantage of the carbon tax?
It increases the cost of fossil fuels, which are used more by low-income families. So, they end up bearing most of the cost of carbon burning.
2. Do you think carbon tax alone will help reduce emissions?
No, it must be used in combination with positive measures such as subsidies for those who use alternative energy sources, building more public transportation, and increasing energy efficiency standards.
3. What is Green Energy?
It refers to non-fossil fuels: solar, wind, and water power, which are replenishable.
4. When was a carbon tax suggested first?
David Wilson, Engineering Professor at MIT, suggested levying a carbon tax in 1973.
5. Which country has the highest per-capita carbon footprint?
The U.S. has the highest per-capita carbon footprint of 18.3. The desired number is 1.87.
