Policy Frameworks for Decarbonization

Understanding how government policies accelerate or hinder the transition to a low-carbon economy

The Role of Policy in Decarbonization

While technology provides the tools for decarbonization, policy frameworks create the enabling environment for widespread adoption. Effective policies can accelerate innovation, drive investment, and ensure equitable transitions across different sectors and regions.

The most successful decarbonization strategies combine multiple policy approaches: economic incentives to drive innovation, regulatory standards to ensure compliance, market mechanisms to optimize efficiency, and international cooperation to address global challenges.

Policy Success Factors

Stability: Long-term commitment • Flexibility: Adaptable to new technologies • Equity: Fair distribution of costs/benefits • Coordination: Aligned across government levels

Interactive Policy Impact Simulator

Select different policy combinations and see their impact on emissions, costs, jobs, and GDP. Choose a timeframe to understand how policy effects compound over time.

Policy Categories

Economic: Taxes, subsidies, incentives
Regulatory: Standards, mandates, codes
Market: Trading systems, auctions
Investment: R&D funding, technology transfer