
11. What Have We Learned From Internal Carbon Pricing?
Pricing Nature
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The Challenges of Revenue Neutrality
The price people felt seemed too low to effect decisions in a significant way. Even though the price was officially forty dollars per ton, the perceived price,. because of the return and the revenue neutrality, was much lower. But we haven't wanted to raise the price so far because of how difficult it is for units to respond to the incentive. It can feel like your building is being labelled bad for something you were asked to do. And that feeling may be motivating for some, but there's evidence it causes some of the people you most want to be champions for the system disengage.
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