Abstract
Carbon pricing is a key instrument for climate change mitigation by introducing a financial incentive scheme to reduce carbon emissions. Without carbon pricing factoring into the products and services price, greenhouse gas is emitted at every production stage and at environmental costs. This carbon pricing scheme could also be a key driver for grassroots innovation and the deployment of green technologies while creating carbon trading opportunities. Moreover, revenue generated from carbon trading could fund both climate projects and green infrastructure, such as renewable energy and clean energy grid, toward net zero. Likewise, this study aims to systematically review the Drivers, Pressures, State, Impact, Response (DPSIR) framework for carbon pricing. A bibliometric DPSIR analysis of 47 articles is complemented by a Decision-Making Trial and Evaluation Laboratory (DEMATEL) based case study in Cambodia. Result shows that the success of carbon pricing in Cambodia largely depends on targeted policy interventions that address the most influential causal barriers: policy adjustment, environmental tax, and green finance. In addition, special attention should be given to carbon tariffs and market-oriented environmental regulation, which play key roles in shaping the long-term effective impacts of these interventions. Most importantly, the interdependency of the DPSIR factors provides practical insights for national carbon pricing strategies and supports broader ASEAN low-carbon initiatives.
