Enact the rest of the left's policy goals, of course. Don't ask why. IT'S THE SCIENTIFIC CONSENSUS you denier.

This strategy is popular because it uses negative incentives to discourage pollution.

Collecting money is just a bonus.

That's pretty much it. If someone wants to avoid said taxes, they should build a solar power plant.

It is certainly better than subsidies (because it lets market, not government, to decide on the best solution), although of course for politicians it's easier to create subsidies than taxes.

As for what to do with the collected money, I would suggest lowering other taxes, or just give it to everybody in the same amount.