Carbon Trading: Global Development and Impacts on Fossil Fuels
Justin Dargin, Energy and Middle East Scholar, University of Oxford
Carbon emissions trading started to emerge in the early 2000s as a mechanism for countries to help meet their obligations under the Kyoto Protocol in a way that promotes markets and incentivizes progressive decarbonization. The most advanced system is in the EU, where the emissions trading scheme (ETS) has been in place since 2005. However, structural problems and over-allocations have resulted in a carbon price that is ineffective at driving low carbon investments. Other countries in the OECD have introduced national or state level trading schemes, including in Australia and the United States. Meanwhile, several emerging economies, including China and India, are also piloting carbon emissions trading as a way to move to greater energy efficiency and incentivize new technology markets. Given the size of these markets, the energy and fossil fuels industry impacts could be profound.
The speaker will review the development of carbon markets in developed and developing countries and will consider potential fossil fuel trade impacts and implications for the climate negotiations.
This event is part of the Fossil Fuels Expert Roundtable project.
Attendance is by invitation only.