What if each country (the 3700+ say on LU) had a exact quota of pollution permission that was divided equally per year.
Any country that was using more would have to pay a levy fine or buy from countries not utilising full capacities of emissions at a discounted rate to levy fines so there's a incentive)
These quotas could be traded on the cash market/open market like any other item we already use. This idea is rigid, corps in countries would shut down for the rest of the year if quotas were used up (interesting for supply and demand availability)
Or, and here, please stick with me, it gets drawn out to explain
Once per game year, the total expected emissions were calculated worldwide and then compared to a expected "Tolerance zone", a number of metric tonnes of co2 fixed, say by an average of 2 corps of a certain type per country worldwide so theres probably going to be a need for the next idea.
Include "Green Corps" (wind,solar etc) with each having a output of "credits" per month but a time limit on how long they could be stored unsold to make each year or two anew. Example
Example Tolerance zone;
500b metric Tonnes CO2
Expected Output (of all corps)
600b metric Tonnes CO2
Over/under Tolerance;
+100b metric Tonnes @ 100sc per metric tonne
(per metric tonne price calculated at 1 per 1b metric tonnes over. If there are heavy polluters next years price will be higher, but not worrisome for those keeping in quotas as they're not paying fines)
Corps will have to pay per tonne when their quota runs out:
25 per tonne
(sourced from low quota users) over tolerance x0.25
200 per tonne
(fines if no green credits are available) over tolerance x2.00
Variable
(price paid to seller of green credits)
fine is set so green corps cant charge massive amounts or the person is just gonna pay the fine
This years quota - Corp output @ 90,000 (40,500 State -/- 29500 Private -/- 20,000 Green; note green factories are not included in the total count which goes down to 70,000) Green corps aren't included as them en masse would cause quota figures to become tighter and they would further capitalise on that (see below)
Tolerance 500b metric Tonnes (pollution tolerance)
Divide by 70,000 (corps) = 7.14m metric tonnes permitted per corp! (average)
Your corps total (insert count here) example 109
Total corp pollution (each type of corp would have a expected output variable by its productivity) example 1.3 billion metric tonnes
Your quota for the year 2480 was 778.571metric tonnes
You are OVER your quota by: 521.4m metric tonnes
Your expected fine is: 104.28B
If you source credits from low quota credit suppliers your fine will be: 13.03B (spread to the appropriate suppliers)
Alternately you can buy from (hyper link to green credit buying screen)
Countries would be responsible for state fines, CEO's for theirs.
Suggestions?