13 March, 2007
The EU’s emissions trading scheme (ETS), the center piece of the EU’s climate change strategy, is hailed by decision makers as the most cost-effective market-based solution to reducing greenhouse gas emissions. But the ETS 1.0 has clearly shown its weaknesses and therefore the Commission is preparing ETS 2.0.
But if it is true that climate change is the “the greatest market failure the world has seen” (Stern Report), can this market solution really provide the climate change cure?
In a blog contribution on Alternet, David Morris has some good arguments against the use of carbon trading. Morris calls for a moratorium on carbon trading:
“We should impose an immediate moratorium on carbon trading while imposing ever-more rigorous carbon caps. And stop the use of long-distance offsets. All offsets should be local or regional.“Author : Willy De Backer