This paper reviews carbon pricing as a vital instrument towards climate change mitigation and sustainable development, especially in developing worlds. The research discusses the potential opportunities and challenges presented by these approaches to implementation through a review of carbon pricing methods (carbon taxes, cap-and-trade, etc.). Successful and unsuccessful regional examples highlight the relatively low price of carbon needed to spur substantial reductions in greenhouse gas emissions. The study highlights other factors that can make or break carbon pricing including strong regulatory frameworks, access to financial incentives and public awareness. It also looks at what makes it so difficult for low-income areas to implement carbon pricing systems from financial, infrastructural and political fundamentals. While carbon pricing can achieve greater reductions in emissions and stimulate investment in the renewable energy sector, it is then important to pay special attention that these groups are not driven into poverty. The chapter also examines the implementation of carbon pricing in state and market economies, explores its implications for supply chain stakeholders (governments, businesses, local communities), and highlights opportunities for enhancing carbon pricing effectiveness through collaboration and knowledge sharing. This study reviews the recent literature on the evolution of carbon pricing as a first step to help broaden understanding of its current state and future path and therefore contributes to the climate policy debate about sustainable economic growth.