• New system: A carbon pricing mechanism must be new for that country. Transitioning from voluntary to mandatory (e.g., Japan's GX-ETS), expanding existing systems to new sectors, or introducing auctioning to existing systems will not count.
• National level: The system must apply nationwide or be administered by the national government. Sub-national (state, provincial, or city-level) or supra-national (e.g., EU-wide systems) entities will not count.
• Carbon tax or ETS:
  • Carbon tax: A direct tax on greenhouse gas emissions or carbon content of fuels, levied per ton of CO2 equivalent
  • Emissions trading system: A cap-and-trade system that sets an emissions cap and allows trading of emissions allowances

Announcements must be verifiable through credible sources (major news agencies, government websites, or reputable policy organizations like the World Bank or ICAP) reporting on an official government announcement, passed legislation, or published regulations establishing the new system.

The announcement must occur during the forecast period, but actual implementation can occur later. If a system was announced before 4 November 2025, it will not count even if implementation occurs during the forecast period.

A country must not already have a carbon pricing mechanism for a new carbon tax or national emissions trading system (ETS) to count. If during the forecast period a country currently participates in a national ETS but has no carbon tax, and then announces a new national carbon tax, or vice versa, this would not qualify for resolution. This applies even if the country only participates in a supranational system like the EU ETS without having its own standalone national carbon tax.

For example, if Belgium, which participates in the EU ETS but has no standalone national carbon tax, were to announce a national carbon tax during the forecast period, this would not count as a "new national carbon tax or emissions trading system" for resolution.

The passage of a budget that only includes a carbon tax provision would not be sufficient for resolution. The resolution criteria require the announcement of a "new system" for carbon pricing. There must be sufficient detail about the mechanism's structure and operation (including tax rates or how the rates are calculated, along with other substantive implementation details) to understand how it will function, not merely a policy commitment with limited information.

Malaysia announced in Budget 2026 that a carbon tax will be introduced in 2026 with an initial focus on iron, steel, and energy sectors. However, no additional details were provided. If the budget passes without further details on how the system will actually function, this would not be sufficient for a “Yes” resolution unless accompanying or later legislation provides those specifics within the question timeframe.