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Some of the low-carbon policy options currently used by governments may be detrimental to the households and small businesses less able to manage added short-term costs from energy price hikes, according to a new study.
However, it also suggests that this menu of decarbonising policies, from quotas to feed-in tariffs, can be designed and balanced to benefit local firms and lower-income families - vital for achieving Net Zero carbon and a green recovery.
University of Cambridge researchers combed through thousands of studies to create the most comprehensive analysis to date of widely used types of low-carbon policy, and compared how they perform in areas such as cost and competitiveness.