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Hot air bubble bursts (Kyoto)
This is interesting. Reading between the lines. It looks like several things are happening. Energy intensive industries are moving to places where there are no CO2 emission limits. Governments are cheating. Energy consumption is shiting toward sources that aren't measured under Kyoto. More generally it throws economic growth figures into doubt. Increased economic activity may just be more work to achieve the same outcome(output) as a result of Kyoto.Carbon credits for December 2006 delivery fell below 14 euros ($17.40) on the European Climate Exchange -- less than half a high of 31 euros last week. Prices recovered to 16.70 euros by the market close. "From a market perspective it's terrible news," said James Emanuel, Head of Carbon Trading at brokers CO2e.com. "If there's a (net carbon credit) surplus there's no incentive to reduce emissions and the (carbon) price collapses. It won't go to zero, it would effectively go down to the administrative cost of the scheme... it could be 1 euro, who knows?" Go RTWT Posted by: phil_b 2006-04-27 |
| http://www.rantburg.com/poparticle.php?ID=149994 |