An open letter from Club de Madrid, a forum of 130 democratic former presidents and prime Ministers, has urged governments to levy permanent ‘polluter profit taxes’ on high-emitting industries.

Designed to ensure contributions come from those with the greatest capacity to pay rather than from ordinary consumers of fossil fuels, and with wealthier countries leading by example, these taxes would, according to the letter, place the primary responsibility on those with the greatest capacity, not on middle- and low-income communities.

“When those who profit from pollution contribute their fair share through efficient and clear taxation, we will unlock the resources for innovation, for sustainable growth, and for rebuilding public trust. Wealthier countries must lead on fair taxation, building trust with the Global South and accelerating a just global transition. International discussions, such as at COP 30 in Belem, should support efforts to build coalitions of willing countries making progress on fossil fuel levies,” said former Finnish Prime Minister Mari Kiviniemi.

Currently, Barbados, France, and Kenya, joined by fourteen other countries, are working to build coalitions of the willing to apply levies, including on luxury aviation and fossil fuels, to mobilise new climate and development finance.

The letter now urges be placed on national and international agendas: in upcoming G20 discussions in South Africa, at COP30 in Belém, and in negotiations toward a new UN Framework Convention on International Tax Cooperation, including supporting efforts to build coalitions of willing countries making progress on fossil fuel levies.

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