We are pleased to release a new discussion paper as a part of our lead-up to the global conversation around carbon reduction in the lead-up to COP26, which explores the role of tax in facilitating investment into carbon abatement projects around the world.

The paper focuses on the role of tax policy and the possibility of increasing certainty and tax neutrality in investment structures to unlock global capital flows. It brings in numerous points of view shared with us through our series of roundtable discussions on the topic. We break down how a proposed Qualifying Carbon Abatement Regime could work and unpack some of the implications in terms of potential impact on revenue raising, as well as considerations for multinational organizations, governments and investors.

Our purpose throughout is to contribute to discussions leading up to and following COP26 on how to facilitate capital flows into decarbonization projects, particularly in developing countries, seeking not to question the existing international tax architecture, but rather to look at the possibilities for a special decarbonization regime.

Read “Tax and facilitating investment into carbon abatement projects: Discussion paper in the light of COP26” here.