The Netherlands carbon tax, introduced in 2021, is set at €66.50 (US$71.48) and includes a CO2 levy for industry, a minimum carbon price for electricity, and a minimum carbon price for industry. This tax aims to support the EU ETS's effectiveness by establishing price floors that increase annually, with the levy applying to emissions above a specified baseline. In 2023, the EU ETS price exceeded the floor prices, preventing their activation, but a proposed legislative update for higher price trajectories was rejected by the Senate in December 2023. The tax framework is designed to incentivize reductions in direct CO2 and N2O emissions across various sectors, including electricity generation and industrial processes.