Supporting climate-friendly behaviour & curbing environmentally harmful subsidies: that's what an eco-social tax reform aims to achieve. Products and services that are harmful to the climate — i.e. those that are greenhouse gas-intensive — should become more expensive, while climate-friendly alternatives should become cheaper. This makes it easier for consumers to act in a climate-friendly way. It also increases the incentive for businesses to pay attention to environmental compatibility, e.g. in production processes, transport or packaging.
Detailed information can be found in the sources listed below.
The introduction of a greenhouse gas budget could also provide additional incentives for more climate-friendly behaviour. You can read all about what that means in our knowledge snack:
