Carbon (CO2) pricing is a fiscal instrument that governments use to encourage companies and other emitters to switch to renewable energy sources and adopt new technologies to reduce emissions, to achieve national and international climate goals. There are two main types of carbon pricing: emissions trading systems (ETS) and CO2 taxes. The CO2 tax directly determines the price of CO2 emissions, while the ETS sets the upper limit of CO2 emissions in certain sectors, requiring a permit for each ton of CO2 emitted. The choice of a combination of instruments and modalities for charging carbon emissions depends on political goals and circumstances and is only one of the necessary instruments for achieving national and international climate goals. CO2 price helps shift the burden of damage onto those who are responsible for it and who can reduce it.

Use of natural materials has been growing continuously in the world. With the current growth rates and population increase rates, global demand will in 2050 require resources of three planets like ours. Current increase in demand, limited supply of certain resources and disrupted supply chain cause a significant increase in prices and threaten to give rise to a new economic crisis, demonstrating the fact that the current models of the use of resources are far from being sustainable, while they may potentially cause instability.

Business organizations approaches to circular economy are based on the concept of circular business model that “articulates the logic of how an organization creates, delivers, and captures value to its broader range of stakeholders while minimizing ecological and social costs.”