Implementing Carbon Pricing in the Power Sector

Developing countries around the world are considering how carbon pricing in the power sector can play a role in their climate strategies and help manage the transition to a low-carbon economy. While a carbon price can serve as a useful cost incentive to reduce emissions, these instruments have thus far largely been implemented in liberalized electricity markets. How can a carbon price signal work under different power market settings? How could it interact with a web of other policies in the sector? This is the subject of an upcoming report jointly published by the World Bank’s Partnership for Market Implementation, the International Energy Agency and the International Carbon Action Partnership. This workshop brings together policymakers and other experts looking at carbon pricing under different power market structures, providing a forum for discussion on how these instruments can be assessed, designed and implemented.