What should be discarded is the idea, prevalent in the mainstream media worldwide and even at the UN, that charging for the social cost of carbon and its “offsetting” can replace public planning for socio-technological transition.

He is referring to a mechanism SAP first tested in 2016 across 10 countries. This prices CO2 (from €40 to €400 per ton; depending on the flight and its distance) to release money for sustainability initiatives, as SAP ramps up not just its own internal decarbonisation programme (it aims to reach net zero by 2030) but continues to build out a suite of sustainability products for its expansive customer base.

Klarna which levies money on a per-tonne basis on its own emissions, and uses the funds to finance mitigation projects.

The source of this seed funding was provided from Microsoft’s internal carbon tax. Companies that implement carbon taxes should implement mechanisms that recirculate those funds back into individual business group accountabilities in a way that empowers employees to take effective action.