[The Proposition] ‘Adding social and environmental costs to the price of goods will speed up the formation of a sustainable industry.’

PhD candidates explain their most thought-provoking proposition. This time Matthijs van der Ham.

Text Ning Fan

PhD candidates explain the most thought-provoking proposition in their thesis. This time it’s Matthijs van der Ham, who received his PhD on 19 January for research into a solution for electrocatalytic oxidation of sugar alcohols, saccharides and polysaccharides.

‘Up to 86 per cent of the chemicals on the market are based on fossil resources, leading to unsustainable practices. It’s important for us as consumers to realize that everything we produce and consume has an environmental and social impact.

Despite people’s interest in sustainability, we often choose cheaper, unsustainable options. Very few people are really motivated to spend more money on the sustainable option. Therefore, to promote sustainable consumption, I think that we should include the costs of environmental and social harm in the price of these unsustainable goods. In my opinion, legislation that incorporates additional costs into product prices in the form of taxes could play a crucial role. The income of these taxes can then be used to fund research and stimulate companies to adopt cleaner alternatives.

Some good examples are the Emissions Trading Scheme and the Carbon Border Adjustment Mechanism (CBAM), which allows the trade of CO2 emissions between companies and adjusts import prices in the EU based on CO2 emissions. This not only discourages relocation but also encourages emissions reductions, creating a robust system with no loopholes. I think we need more of this kind of legislation. It makes consumers realize that unsustainable options are more expensive in reality than we currently think, and it will motivate consumers to purchase the sustainable option.’

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