Analysis of Carbon Pricing Instruments, fiscal schemes and proposed Roadmap to promote a transition to a low-carbon economy in specific sectors

The consultancy evaluated existing carbon pricing instruments and related fiscal schemes in Peru and identified alternatives for the design and implementation of a roadmap to support the country’s transition towards a low-carbon economy. The work focused on assessing the applicability of different policy instruments across sectors such as land use, energy, transport and industry.

The project included the review of documentation, methodologies and previous studies related to carbon pricing mechanisms and environmental fiscal policies, as well as the identification and classification of alternative instruments, incentives and taxation schemes with potential application in Peru. The analysis also defined prioritisation criteria to identify the most suitable alternatives for different sectors and policy objectives.

In addition, the consultancy developed a roadmap for the implementation of the selected alternatives, including the definition of objectives and performance indicators aligned with the Sustainable Development Goals (SDGs), technical, political and financial assessments, implementation phases, capacity-building activities and estimated budgets. The project concluded with an executive summary presenting the main findings, recommendations and next steps to support strategic decision-making on carbon pricing policies in Peru.