While a number of G20 economies appear to be backtracking on their nuclear plans, the key Canadian province of Ontario has reiterated its commitment to nuclear power.
The Globe and Mail yesterday reported that a number of key Canadian provinces have "reaffirmed their support for nuclear power" and that "the national regulator declared the country's generating stations safe even as Japan's crisis spurred other nations to back away from nuclear."
The province of Ontario, the nation's most populous and home to five of Canada's seven nuclear power plants, affirmed that "there was no change in its plans to keep the nuclear-powered portion of its electricity output at 50 per cent."
Continue reading "Canada Remains Committed to Nuclear Power" »
Cross-posted from Roger Pielke Jr.'s Blog
Last summer I noted that the Obama Administration gave the go-ahead for the building of a new pipeline to bring petroleum from Canadian oil sands to the United States. I am sure that I wasn't alone in wondering why they would do this at the same time that they were pushing to create a cap-and-trade program to put a price on carbon. I got the answer in today's FT in an article on investors who are seeking to increase disclosure from BP on tar sand development.
Continue reading "Carbon Price Won't Stop Oil Sands" »
As the Times info-graphic clearly illustrates, the "Lessons from Kyoto" are clear: economic trajectories, and little else, determined emissions outcomes under the targets and timetables focused Kyoto Protocol. Without a proactive and massive shared global effort to sever economic growth from emissions by accelerating clean technology innovation and deployment, the Copenhagen summit now underway shouldn't be expected to produce a dramatically different outcome than it's Kyoto predecessor, despite likely "participation" from the U.S. and big developing nations like China this time around.
A new info-graphic from the New York Times, released today as UN climate talks begin in Copenhagen, looks at the "Lessons from Kyoto," the global treaty that's ongoing fate will be the focus of UN climate negotiations beginning today in Copenhagen, Denmark.
The graphic gets the lessons pretty much dead-on, including how little actual progress any nations have made towards meeting their Kyoto "obligations." As the Times notes, "The legacy of the Kyoto Protocol is mixed." Of the 36 wealthy nations who agreed under the 1997 treaty to cut their emissions by an average of 5% below historic 1990 levels, just 18 are on track to meet their targets, almost all of them in Europe.
As the graphic illustrates, the bulk of these "successful" nations are former members of the Soviet bloc, and almost all saw deep economic declines after the fall of the Soviet Union, which conveniently occurred after the 1990 emissions baseline year used in the Kyoto treaty. Deindustrializing Eastern bloc nations, including East Germany, saw big cuts in their emissions and made compliance with the Kyoto protocol easy. Better yet, for these nations, exceeding their Kyoto "obligations" left them with excess credits under the treaty framework that they could sell to other nations struggling to cut their own emissions.
Continue reading "NYTimes Gets "Lessons from Kyoto" Right" »
New social values research offers insights into the challenges facing carbon taxes, cap and trade, congestion pricing and other "environmental pricing reform" proposals.
American climate policy advocates should watch our neighbor to the north closely. With social and political values not too distant from our own and an economic makeup broadly similar, Canada's experiments with climate policy - particularly carbon pricing schemes - offer a real-world laboratory we would be wise not to ignore. While Canadians are broadly supportive of actions to address climate change, proposals at both the federal and provincial levels to establish a price on global warming pollution have met with difficulty. We covered the failure of the national Liberal Party's "Green Shift" carbon tax proposal in the October 2008 elections here, and have watched closely as British Columbia battles over their controversial, first-in-North American carbon tax system. Now, social values research firm Environics (the sister firm to our colleagues at American Environics) has new research findings that shed light on the difficulties facing 'environmental pricing reform' proposals like carbon taxes, cap and trade, and congestion pricing. Environics' Keith Neuman presents their findings in this piece, originally posted at Green Business...
By Keith Neuman, Ph.D.
Environmental pricing reform (or EPR) is the term now used to describe the various types of market mechanisms (e.g. carbon pricing, cap and trade, congestion fees) which are now being given serious attention as the most promising strategy for addressing climate change and other pressing environmental challenges such as water scarcity and traffic congestion. This concept has been around for some time, and is now finally receiving serious attention on the North American policy agenda. Economists have long been making a persuasive case for harnessing market forces to achieve environmental objectives, but only recently has this cause been adopted by major players, such as the Canadian Council of Chief Executives and the National Roundtable on the Environment and Economy. The idea that society puts a monetary price on environmental "goods" and "bads", and then letting market forces do their work (as they do with most other forms of business and consumer behavior) is compelling.
Governments and industry now seem ready to move forward with environmental pricing strategies, but is the Canadian public ready to buy in? The limited experience to date is hardly promising. Over the past year, the B.C. provincial carbon tax has been implemented but remains highly controversial (it has become a major issue in the current provincial election), and the Federal Liberal Party's touted "Green Shift" election platform failed spectacularly with the electorate. These early examples suggest there is sufficient citizen resistance to make EPR a difficult political sell. Why should this be the case, given the clear evidence that EPR can be an effective environmental policy? There are three central reasons.
First, is it axiomatic that consumers prefer not to pay more for goods and services, and will resist at varying levels when asked to do so. This is the most commonly understood basis for resistance to EPR, and many policy makers mistakenly believe it is the overriding obstacle. But in fact this dilemma is by no means limited to environmental policy, and has not prevented other successful economic policy measures that shifted costs to consumption, such as the GST and the Ontario Health Premiums. Such measures do not succeed because they are popular, but when they are deemed acceptable given their purpose by a sufficiently critical mass of relevant constituents.
Second, the public is skeptical about the effectiveness of EPR, in terms of how paying more for gasoline, water or consumer goods will actually benefit the environment. Research has shown that public resistance to B.C.'s carbon tax has as much to do with doubts about its effectiveness in reducing the province's greenhouse gas emissions as it does with paying a few more cents per litre at the pump. Consumers can readily understand how stiffer regulations or new technologies can make a difference in cleaning up pollution, but it requires a greater act of faith to believe that higher prices or trading systems will accomplish the same goals. Such faith requires confidence in both the intentions and efficacy of governments and industry, and neither has been seen to have done much to justify this level of confidence. Moreover, there continues to be a widely-held public sentiment that market-based environmental policies, such as cap and trade systems, favour industry by giving it a "license to pollute."
Third, at a deeper level environmental pricing reform is not currently well-positioned in terms of how it fits within Canadians' social values and broad world views. This conclusion comes from a research study Environics recently completed for Sustainable Prosperity, a multi-stakeholder non-profit initiative dedicated to promoting EPR policy in Canada (www.sustainableprosperity.ca). This research revealed that Canadians generally view environmental pricing mechanisms in narrow economic terms (akin to other conventional financial levers), without much appreciation of the broader principles of "polluter pays" and the positive force of the market to achieve important social goals.
The research identified distinct segments or groups of the Canadian population, based on their orientation to EPR and their broader social values. It found that among supporters of EPR, there is only a very small group (4%) who understand and support EPR in the same way as the economists and policy-makers who promote it. Most of the Canadians who express support for EPR (13% of the population) do so for very different reasons - they put much less priority on environmental solutions but rather are pro-market enthusiasts who accept the inevitability of market forces whatever their effect (e.g. they are very strong on a social value Environics defines as "social darwinism", and weak on one called "primacy of environmental protection"). While this latter group is on-side with environmental pricing, they are hardly the kind of supporters sought by EPR advocates.
On the opposite side of the issue, the strongest opponents of EPR are those Canadians who make up the most vulnerable parts of society, including women, older Canadians, and those with the lowest levels of education. This group (21% of the population) sees EPR more as a threat than as a solution to anything. They may care about the environment, but tend to be more focused on day-to-day concerns. There is little potential for building support for environmental pricing initiatives within this group, but it is hardly one that can be ignored if EPR policy is to succeed in Canada.
In the middle is a sizeable group (33%) which is on the fence about EPR. This group (we call them "responsible citizens") has a high degree of social responsibility and concern about the environment. These Canadians are open to the potential of market mechanisms to offer solutions to issues like climate change because they are truly worried about these issues and feel strongly that progress is essential. But they are also concerned about how EPR might affect those more vulnerable than themselves; they are unlikely to support pricing policies that do not treat everyone fairly and make provisions for those who are disadvantaged. The size and composition of this group makes it a critical constituency for building public support for broad-based environmental pricing initiatives, and attracting its support will require demonstrating how such initiatives address social and economic equity issues.
What does this research tell us about what it will take to build the necessary public support in Canada to move forward with environmental pricing reform? EPR will continue to be a tough sell to consumers until such market mechanisms are framed in ways that are more in tune with Canadians' social values, and in particular address the discomfort many citizens have with using market forces to address environmental objectives. This cannot be accomplished through facts and arguments alone (which rarely sway established public attitudes), but through developing a new narrative that more effectively defines EPR in what it will accomplish, in meeting broadly held environmental, economic and social aspirations.
Keith Neuman (keith.neuman@environics.ca) is Group Vice-President, Public Affairs, for Environics Research Group Ltd.
"Against the background of the tempestuous year just reviewed, the European Union's climate policy steamed serenely on, like the Titanic towards the iceberg."
Gwin Pryns, author of "The Wrong Trousers: Radically Rethinking Climate Policy (pdf)," recently published "Time to Ditch Kyoto: the Sequel." The short pamphlet was handed out at the United Nations Climate Change Conference in Poznan, Poland.
Towards the end (pdf), Prins summarizes his point about a new direction for an international agreement on climate change:
"Poznan has an opportunity to... put in place the foundations and essential architecture for a radically re-engineered climate policy for adoption at the Copenhagen meeting next...That architecture will not depend upon carbon trading in the present form; it will not lead with emissions targets tied to specific dates (although benchmarks are part of the sectoral strategy for reducing energy intensity); it will not focus upon international legal agreements that are dubiously enforceable, if at all."
Continue reading "Prins to Poznan: Seriously, Time to Ditch Kyoto" »
Canada's opposition Liberal party was just dealt a stunning defeat, and their Achilles heal turned out to be their proposal to enact a carbon tax.
Yesterday was election day in Canada, a fact that I hope I'll be forgiven for missing amidst the frenzy of election politics here in the States. However, this stunning headline from the UK Telegraph grabbed my attention:
"Canadian election: Carbon tax proposals sealed Liberal defeat"
That's right, the opposition Liberal party was just dealt a stunning defeat, and their Achilles heal turned out to be their proposal to enact a carbon tax on coal, natural gas, gasoline and home heating fuels.
Continue reading "Carbon Tax Seals Liberal Party's Defeat in Canada" »
