Meanwhile, in California…

The state will hold its first auction of carbon credits today.

Gary Stern, market strategy and resource planning director for Southern California Edison, said the utility company expects to take part in Wednesday’s auction. ”We have always felt a market mechanism, like cap and trade, has the potential for being a lower-cost means of achieving the objectives on a national scale,” he said. “We’ve been supportive of the cap-and-trade program generally on a state basis, if it’s designed properly. So far, it appears to have.”

Quebec intends to link its cap-and-trade system with California’s.




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Meanwhile, in California…

  1. Meanwhile, in Europe …..

    Seven years after its launch, the EU Emission Trading System has failed to achieve its own objectives. The European Commission itself came to this conclusion as it proposed different options to fix the trading mechanism today.

    According to a group of leading NGOs, one important option is missing from the Commission’s document – the abolishment of the EU ETS after 2020.

    “The ETS is not fit for purpose. It has generated windfall profits for polluting corporations, postponed the needed transition away from fossil fuels and its unintended consequences are locking the EU into another generation of energy production based on fossil fuels. These structural flaws remain unaddressed by the Commission,” said Joanna Cabello from Carbon Trade Watch.

    The Commission exclusively proposes options to stabilise the price of carbon permits which are traded within the EU ETS. Due to the recent collapse of the carbon price the EU ETS is not providing the price signal for investment in low carbon technology and infrastructure that its proponents have been promising.
    http://www.clickgreen.org.uk/news/international-news/123743-europe-should-ditch-the-emission-trading-scheme,-say-environmental-ngos.html

    • The Edsel didn’t sell….I guess we should have shut down the automotive industry right then and there, and never tried again.

  2. So a small efficient company won’t be able to afford the carbon credits it needs because it’s been trying to avoid externalizing its costs (ie, avoid polluting), while the large polluting company can outbid for not only the carbon credits it needs, but also for the carbon credits its competitor needs — and basically hold its competition’s life for ransom.

    Meanwhile, the government suddenly finds it has another revenue stream that it can tap into by *allowing* more pollution.

    Yeah, that’s going to work swimmingly.

    • Don’t you mean “thwimmingly?”

    • Exactly. California’s in a fiscal hole as bad as Greece, and their idea to generate more revenue is more of the same policies that got them there in the first place. They should probably elect Sylvester Stallone or The Rock as next governor, that’d do the trick I’m sure.

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