In a pioneering move, Bangladesh has rolled out a digital “Carbon Tag” system for all new vehicle registrations. Each vehicle’s carbon emissions—based on engine type and fuel efficiency—will be digitally displayed on the license record. The system includes a scaled registration tax, offering reduced fees for low-emission vehicles and higher fees for polluting models. Traffic authorities and environmental groups say this incentivizes clean automobile choices among consumers.
The initiative is drawing attention from policymakers in India, Nepal, and Bhutan, who are considering similar eco-labeling systems to promote sustainable transport as part of their green mobility strategies.