Carbon pricing: Seven things to consider when establishing a carbon pricing program

This article is useful for businesses establishing a carbon pricing program. It outlines: 1) What is the difference between a shadow price and a carbon fee?, 2) How is the boundary of a carbon price established?, 3) How is the price of carbon established?, 4) Who pays the carbon fee?, 5) How are GHG emissions allocated?, 6) When is a carbon fee charged?, and 7) How is a carbon fee invested? The author gives practical advice on how to cater a carbon pricing program based on the motivations and goals of the business and the organization's structure and culture.