Taxation of carbon totally works. British Columbia has a $50/tonne tax, which increases the cost of unleaded gas by about CAD $0.996/L and natural gas by $0.0882/m^3 [1]

Revenue from the tax goes into the government's general revenue, which allows BC to have among the lowest rate of income tax of any province in Canada. Meanwhile, BC has the highest rate of electrical vehicle purchasing in North America [2]. One study showed that employment increased by 0.74% as a result of the carbon tax [3]. Finally, research shows that the tax is highly progressive, having a smaller impact on poor households than rich ones [4].

[1] https://www2.gov.bc.ca/assets/gov/taxes/sales-taxes/publicat...

[2] https://vancouversun.com/opinion/mark-zacharias-and-ian-nevi...

[3] https://contacts.ucalgary.ca/info/econ/files/info/unitis/pub...

[4] https://www.sciencedirect.com/science/article/abs/pii/S09287...