Understanding the Internal Carbon Fee

Achieving The Climate Label certification requires companies to adopt an internal carbon fee and demonstrate how they are using that fee to fund climate solutions.

People often ask: what's the basis of the fee? How does it relate to my net-zero goals?

To illustrate the connection between an internal carbon fee and your Climate Transition Budget, we built this interactive tool.

Interactive carbon fee scenario modeler showing emissions trajectory and carbon pricing from 2022 to 2050.

Scenario Modeler: Reduction Pathway and the Internal Carbon Fee

2022 Baseline emissions
tCO₂e
Reductions start year
Annual Reduction Rate (net)
% / yr
or
Net-zero year
Starting Marginal Abatement Cost (MAC)
$/tonne
Annual MAC increase
% / yr
Emission Reductions and Carbon Fees, 2022–2050
Baseline emissions Projected emissions MAC Internal carbon fee
Emissions and carbon fee scenario from 2022 to 2050.