EU carbon-trade scheme fails to reduce greenhouse gases

on

The EU‘s Emission Trading Scheme, launched in 2005 under British Prime Minister Tony Blair’s drive to combat climate change, created a trade in carbon allowances. A government minister has promised the next phase will be a big improvement, but the BBC maintains it’s just “a permit to pollute.”

Under the plan, power generators received their allowances free of charge but were allowed to reflect the value of those in increased prices to customers, as if the companies had actually had to buy the allowances.

Energywatch, a consumer group, says this increased electricity bills by about 7% in 2005. According to one UK government estimate, that delivered windfall profits of up to £1.3bn to the generators. So far the carbon scheme has brought no clear payback in terms of cutting emissions.

Related Posts

on

Cheniere Energy has introduced “cargo emissions tags” to assuage climate concerns of potential buyers. But a new report says these tags are riddled with problems.

Cheniere Energy has introduced “cargo emissions tags” to assuage climate concerns of potential buyers. But a new report says these tags are riddled with problems.
Opinion
on

Anti-science rhetoric and special interests have pushed us to the edge of climate chaos. But just as quantum physics disrupted our view of matter and energy, quantum social change disrupts our beliefs about what’s possible, how fast, and by whom.

Anti-science rhetoric and special interests have pushed us to the edge of climate chaos. But just as quantum physics disrupted our view of matter and energy, quantum social change disrupts our beliefs about what’s possible, how fast, and by whom.
on

Climate campaigners concerned over Jane Toogood’s role in a company that sells technology to produce hydrogen from methane.

Climate campaigners concerned over Jane Toogood’s role in a company that sells technology to produce hydrogen from methane.
on

The Vermont senator nevertheless supported final passage of the Inflation Reduction Act, calling it "a step forward" on climate and drug prices.

The Vermont senator nevertheless supported final passage of the Inflation Reduction Act, calling it "a step forward" on climate and drug prices.