By what order of magnitude would prices rise if the euro zone used a “reasonable” CO2 price?

Widely divergent estimates have been made of the level of the CO 2 price that would lead to decisions in keeping with the climate commitments (from EUR 80 to 200 per tonne). We choose to use the current carbon capture cost of around EUR 150 per tonne of CO 2 . For the euro zone, this would increase economywide prices by EUR 350 billion, or 3% of GDP. This shows the vital importance of equalising CO 2 prices at the border, without which the euro zone’s competitiveness would suffer considerably.