During a recent speech, Elon Musk has stated that governments need to impose carbon taxes in order to exit the fossil fuels era.
At the United Nations COP21 climate-change talks, all governments have committed to increase their efforts in promoting zero-emission vehicles in order to reduce greenhouse gas emissions and air pollution. But Tesla CEO Elon Musk believes the steps towards a cleaner environment need to be further accelerated by imposing taxes on carbon. He told the audience at public research school Pantheon-Sorbonne University in Paris that such fees will quicken the shift from fossil fuels to greener energy sources. “The important thing to appreciate is we are going to exit the fossil fuels era,” said Musk. “It is inevitable that we will exit the fossil fuels era because at a certain point we will simply run out of carbon to mine or burn. The question is really when do we exit the era, not if.” So, how can we step away faster from this addiction? Tesla CEO thinks that taxes are the way to speed up the process and to encourage the use of sustainable energy sources like water, solar, wind and geothermal sources.
“So how do we accelerate this transition away from fossil fuels to the sustainable era?” Musk asked the audience. “We need to have a carbon tax. To make it sort of something which is neither a left, nor a right issue, we should make it a revenue-neutral carbon tax. This would be a case of increasing taxes on carbon but then we’re reducing taxes in other places. In order to give industry time to react this could be a phased-in approach that maybe takes five years before the carbon taxes are very high. That means only companies that don’t take action today will suffer in five years.”