Mostly just tax their cars and consumer products.
Yet, car taxes amounts to only 44 billion NOK in income for the state per year (it was 70 billion NOK in 2007, before electric cars became popular here) [1]. The income/fortune tax on the other hand amounts to 248 billion NOK in income to the state per year [2].
Car taxes are nowhere near sufficient, and will never be. If taxes were increased to even more per polluting car, it would just drive even faster adoption to electric cars and a even more rapid car tax income decline. Replacing the income tax with a personal car carbon tax can't work.
[1] https://www.aftenposten.no/okonomi/i/Vy9xV/Bilavgiftene-har-...
[2] https://www.regjeringen.no/contentassets/62bcdd722d344cd0ac6...
Sounds like a good way to lose tax revenue.
However, I read the transcript of the podcast now, and it turns out it doesn't actually talk about replacing the income tax with a carbon tax, but rather reducing the income tax and offsetting the reduction with an increase of carbon taxes.
That on the other hand is a great idea, it's much like we're doing in Norway already.
Initially when the parent comment mentioned the income tax, I didn't remember that it would be used to offset a carbon tax. Their point about discouraging work made sense and was the thing I remembered.