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Oct 26, 2007

Carbon Cap & Trade Policy: A Debate

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On Oct. 12, NW Energy Coalition stalwarts Ralph Cavanagh of Natural Resources Defense Council and Jim Lazar, Consulting Economist went toe-to-toe in a fascinating debate over how to create a fair and effective cap-and-trade system. The debate, a highlight of the Coalition’s fall board conference in Seattle, was recorded by the Seattle Channel and is now available for online viewing...

 

On Oct. 12, NW Energy Coalition stalwarts Ralph Cavanagh of Natural Resources Defense Council and Jim Lazar, Consulting Economist went toe-to-toe in a fascinating debate over how to create a fair and effective cap-and-trade system. The debate, a highlight of the Coalition’s fall board conference in Seattle, was recorded by the Seattle Channel and is now available for online viewing.

 

We encourage you to watch the video and then join the debate below, using our new blog. New users will need to create an account to leave comments.

 

Cap&trade

Posted by Marc Powers Jr. at Nov 05, 2007 04:41 PM
I think the problem with all of this is you're all talking about basing the cap-and-trade on load rather than source. With load-based caps you can't track the emissions accurately, so what would be the basis of the allowance trading?

Verification

Posted by Dave Robison at Nov 06, 2007 01:04 PM
This debate misses the point that concerns me. Regardless of how credits are distributed, they need to be verified. It seems easy to log the amount of fuel used by a plant. It is not easy to compute the fuel saved by conservation or renewables. In that case, one has to estimate the fuel that would have been consumed otherwise. Based on my limited review, those credits are currently bogus. The international protocol is defective and over estimates the carbon savings. Since the credit process is owned and managed by corporate interests, there is no oversight by parties representing the consumers -- who are ultimately paying this carbon "tax".

NRDC is actively involved with promoting carbon trading without giving thought to the practical problems of accountability and verification. Carbon markets may well be a good idea but they are without sufficient thought to a practical implementation process. This is a lesson we should have learned from paying utilities for their "verified" conservation investment. The corporations have resources and expertise to slant the analysis their way. Who will defend the public interest?

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