APPENDIX 7
Memorandum submitted by the Green Party
of England and Wales
1. REMIT
1.1 The inquiry gives its overall objective
as "to assess the feasibility of emissions trading systems
(including Contraction and Convergence) as a framework for negotiating
a post-Kyoto agreement. It will examine whether such systems can
be enforced and the practical difficulties involved, taking account
of what has been learned from the development of the EU ETS and
the growth of carbon trading initiatives such as the Chicago Climate
Exchange. From this perspective, the Committee will examine the
objectives to be pursued by the UK during its presidencies in
2005 of both the G8 and the EU, and the contribution of the various
departments involved such as the FCO, DEFRA, HMT, DfT, and DFID."
1.2 The Committee says it is particularly
interested in the following:
(a) Whether an international ETS is feasible,
given that targets and compliance penalties would need to be rigidly
enforced and bearing in mind the political pressures to which
an international ETS would be subject.
(b) What other alternatives to an international
ETS exist; and whether an ETS would be more effective than such
alternatives in maximising carbon reductions worldwide and in
channelling investment in low-carbon technologies into less developed
countries.
(c) What approach and specific objectives
in relation to climate change the UK Government should adopt during
its presidency of the G8 and EU in 2005.
(d) What contribution individual departments
can make (eg FCO, DEFRA, HMT, DfT, and DFID), and whether they
are sufficiently "joined-up" in delivering a coherent
UK agenda.
2. SUMMARY
2.1 The Kyoto Protocol suffers from some
major shortcomings:
(a) It is based on old science and its targets
are inadequate.
(b) It doesn't count aviation-related or
trade-related emissions, though these are increasingly significant.
(c) It doesn't take account of the problem
of "CO2 burden-shifting." That is, a country may appear
to have reduced its emissions attributable to manufacture for
the domestic market, when in fact the manufacture has merely moved
abroad, so the emissions attributable to that country's domestic
consumption have not reduced at all.
2.2 The best system for reducing emissions
is the one known as Contraction and Convergence. This is the fairest
system and the one most likely to ultimately win universal support.
It should be adopted by the UK, the EU and the G8.
2.3 There are significant issues pertaining
to the use of a currency like the dollar for emissions-trading
purposes. In an inadequate system, the USA could simply buy the
right to emit potentially limitless CO2 by printing more dollars
to buy emissions permits. As this could severely undermine emissions
trading:
(a) There must be a cap on overall emissions,
not merely a system of trading.
(b) Serious consideration must be given to
the issue of which currencies are used for trading, including
the possibility of creating a special international currency for
this purpose only.
2.4 In parallel with urgent efforts to achieve
international agreements, the UK must make very much stronger
efforts to reduce its own emissions. The current problem may be
summarised thus:
(a) The UK government, and the three dominant
political parties, are pursuing targets which are inadequate.
(b) None of the above have the policies necessary
to meet even their inadequate targets.
(c) All of them propose inadequate measures
in important policy areas, including inadequate support for road
traffic reduction, inadequate measures on energy conservation,
and inadequate investment in non-nuclear renewable energy production.
(d) All of them continue to pursue some major
policies which go in entirely the wrong direction, including aviation
growth, road building and support for increasing trade and economic
globalisation.
2.5 This submission does not contain a comprehensive
package of policies for tackling climate change. This can be found
in the Green Party's Manifesto for a Sustainable Society and other
Green Party publications. It does, however, identify some key
issues that must be addressed, and indicates a number of concrete
proposals which we believe must be taken on board by all UK political
parties, and thus by the UK government, and must be actively promoted
thereby to the EU, the G8 and indeed all other countries.
2.6 We look to the Environmental Audit Committee
to help push for real progress on this.
2.7 This submission includes concretes proposals
which we believe are essential, and which we hope the Committee
which adopt as its own recommendations.
3. INTRODUCTION
3.1 The Green Party has been campaigning
on the need to address the environmental impact of our economic
and social system for the past 35 years. Climate change has always
been at the heart of our concerns. We adopted the Contraction
and Convergence policy in the mid-1990s and have campaigned for
it ever since. We see this submission as a strategic approach
to the political problems concerned with ensuring the global adoption
of that framework.
3.2 The arguments over the science have
concluded: climate change is now a political problem. The Green
Party has viewed this as a political problem for a number of years
and has arrived at various conclusions in terms of dealing with
the problem.
4. LIMITATIONS
OF THE
KYOTO PROTOCOL
(1)OLD SCIENCE
4.1 The targets set in the Kyoto Protocol
are based on old science and are very much short of what is required
in terms of CO2 reduction to avert the worst consequences of climate
change.
4.2 In any case, there must be strong recognition
that the higher-polluting countries like the UK have a duty to
achieve greater reductions.
4.3 Therefore the government's current commitment
to 60% CO2 reductions by 2050 is inadequate. The Green Party believes
that more like 90% reductions will be necessary by 2050, and in
fact 85% by 2030, and thus 40% by 2020, and thus 40% by 2020 to
have a realistic chance of meeting the higher targets later.
4.4 Proposal: The government, the EU and
the G8 must all recognise:
(a) That scientists are demanding greater
reductions than they were in the 1990s when Kyoto was framed.
(b) The countries that have been polluting
more for longer have a duty to achieve significantly greater reductions.
5. LIMITATIONS
OF THE
KYOTO PROTOCOL
(2)TRADE-RELATED
EMISSIONS
5.5 As a result of sustained corporate lobbying,
trade-related CO2 emissions were specifically excluded from Kyoto
limits. This is a problem for two reasons:
(a) Without their inclusion the targets are
practically meaningless. The task in hand is to reduce CO2 to
sustainable concentrations; to exempt trade-related CO2 as though
it were not CO2 is patently absurd.
(b) This problem is compounded because trade-related
emissions are growing and are likely to continue growing in the
foreseeable future as economic globalisation generates greater
freight mileage. It must be observed not merely that globalisation
increases the quantities of goods consumed, but also the average
distances they travel, as for example various well-known reports
on food miles have demonstrated.
5.6 Clearly these emissions must be counted.
Alleged difficulties in ascertaining which country ought to be
held responsible (whether the producer, the consumer or the carrier)
should not be allowed to delay progress in acknowledging the problem
and beginning to address it. We would argue that the most obvious
place to count trade-related emissions is the recipient country,
because it is the recipient's demand that has stimulated the emissions.
5.7 Proposal: CO2 produced during the transport
of goods from one country to another must be included in the emissions
total for the country most clearly responsible for the emissionsnamely
the country where those goods are consumed.
6. LIMITATIONS
OF THE
KYOTO PROTOCOL
(3)AVIATION-RELATED
EMISSIONS
6.1 Aviation is now the fastest-growing
source of greenhouse gas emissions. Michael Howard acknowledged
this in his September 2004 speech on climate change. Tony Blair
in his speech the very next day said that aviation will make up
one-quarter of UK emissions by 2030. It is therefore reasonable
to expect most MPs to acknowledge that excluding aviation emissions
is a very serious shortcoming of the Kyoto Protocol.
6.2 Again, problems have been asserted regarding
who should take responsibility for the emissionsthe country
of departure, the country where the aircraft took on the fuel,
or the country where the aircraft is owned. Again, such arguments
should not be allowed to delay acknowledgement of the problem.
We would argue that the country which generated the demandie
where the ticket was purchasedshould take responsibility
for that ticket's share of the emissions.
6.3 Proposal: Aviation emissions must
be included in the emissions total of the country most clearly
responsible for those emissionsnamely the country where
the ticket was purchased.
6.4 The House of Lords this year passed
an Air Traffic Emissions Reduction Bill intended to reduce aviation-related
CO2 emissions by 50% by 2050. As far as we know, this was the
first attempt in any national legislature to seriously address
the issue of aviation emissions, and their Lordships are to be
congratulated. If the UK government brought this Bill into law,
it would set a much-needed example.
6.5 Proposal: The UK government should
bring into law the Air Traffic Emissions Reduction Bill already
approved by the House of Lords, and argue for its equivalent to
be adopted by other countries.
7. LIMITATIONS
OF THE
KYOTO PROTOCOL
(4)THE PROBLEM
OF CO2 BURDEN-SHIFTING
7.1 The movement of much of our heavy industry
and production to poorer countries, especially China, has meant
that there has been a process of CO2 burden-shifting: that is,
many goods consumed in the UK are no longer produced in the UK,
meaning the CO2 emissions associated with their production are
now counted in other countries' emissions totals.
7.2 The problem with CO2 burden-shifting
is that it creates the false impression that a high-consuming
country is managing to reduce its emissionswhen in fact
all that has happened is that its consumption has continued unchanged,
and thus its emissions have continued, but the responsibility
for those emissions has been shifted to another country. Because
high consumption is a major driving force in increasing emissions,
this very much distorts how we perceive responsibility for emissions
and our performance in cutting them.
7.3 If we are to have a fair exchange system
that all economies can support it is important that the CO2 embodied
in goods consumed in the UK but manufactured elsewhere should
be included in UK emissions totals. Figures from Best Foot Forward
suggest that alongside our net per capita emissions of CO2 of
9,029 kg we should add CO2 embodied in net imports of 2,132 kga
23.6% increase.
7.4 Proposal: There must be a mechanism
to prevent CO2 burden-shifting, so that high-consuming countries
are required to count emissions related to that consumption as
their own.
8. THE EU EMISSIONS
TRADING SCHEME
8.1 The EU Emissions Trading Scheme seems
to be designed to avoid loopholes and to ensure that emissions
reductions really occur. To that extent, the Green Party endorses
it. However it allows "grandfathered" rights to emissions
and this must be phased out over time in a structured way, in
concert with a revised focus of industrial policy.
8.2 Proposal: The EU Emissions Trading
Scheme should be restructured to enable the phasing out of grandfathering
rights and to allow its phasing in with a global trading scheme
according to the principles of Contraction and Convergence.
8.3 A system of taxation needs to be used
to constrain the unnecessary movement of goods and mitigate the
negative impact on the ecosystem of the production, extraction
and transportation of imported goods. Such a system is necessary
to ensure that countries which take the need to reduce CO2 emissions
seriously are not penalized when trading with others. It also
ensures that the CO2 that is produced is used efficiently to increase
human well-being.
8.4 Proposal: Import duties should be
levied on both raw materials and finished products in order to
reflect their ecological impact, where sufficient ecotaxes are
not considered to have been levied in their country of origin.
9. SUPPORT FOR
CONTRACTION AND
CONVERGENCE
9.1 The Green Party has supported the C&C
model for a decade. We believe it is the only just and sustainable
approach to the problem of climate change. It must be noted that
the UNFCCC secretariat has recently stated that C&C is "inevitable"so
this is not merely one more idea to consider, it is a policy increasingly
recognised as the fairest, the concept most likely to be effective,
and the concept most likely to gain the support of the largest
number of countries.
9.2 The C&C package is completed with
an emissions-trading mechanism, which must include a percentage
cap to limit the proportion of a country's reductions that can
be bought rather than achieved domestically. Monitoring and enforcement
mechanisms are also required and should be set up by the UNFCCC.
9.3 Proposal: the UK government, the
EU and the G8 should all adopt Contraction and Convergence and
lobby for its adoption by all governments.
10. VARIABLE
IMPACTS OF
C&C
10.1 The C&C model will entail a transfer
of economic resources from the wealthier to the poorer nations.
As a rough guide, Table 1 shows how the shares of carbon dioxide
emissions of poor countries do not match their shares of world
population. The comparison of India and the USA is the most striking.
The USA has around 5% of the world's population but produces around
25% of emissions. Conversely, India has around 20% of the world's
population but produces around 5% of the CO2 emissions. The different
levels of consumption in the two nations and the gross inequalities
between them can be directly linked to carbon dioxide emissions
and could be solved by an economic transfer from the USA to India.
10.2 Table 2 indicates the extent to which
a range of countries are over-producing CO2 at present.
Table 1
SHARES OF POPULATION AND SHARES OF CARBON
DIOXIDE, A SAMPLE OF RICH/POOR COUNTRIES
| Country | % population
| Percentage CO2 |
| USA | 4.77 | 24.4
|
| Sweden | 0.15 | 0.21
|
| UK | 0.99 | 2.39
|
| Malawi | 0.19 | 0.003
|
| Malaysia | 0.38 | 0.55
|
| India | 17.08 | 4.78
|
| | |
Source: CO2 emissions data are from Oakridge
National Laboratory for 1999; population figures from the UN for
2000.
Table 2
CO2 ENTITLEMENT UNDER A PER CAPITA REGIME AND ACTUAL EMISSIONS,
A SAMPLE OF RICH/POOR COUNTRIES (CO2 MEASURED AS MTC)
| Country | CO2
entitlement
| Actual CO2
emissions in 1999
| CO2
per capita |
| Algeria | 31.59 | 24.76
| 0.80 |
| Cameroon | 15.57 | 1.28
| 0.08 |
| Denmark | 5.46 | 13.55
| 2.54 |
| India | 1050.13 | 293.94
| 0.29 |
| Senegal | 9.90 | 1.02
| 0.11 |
| Jamaica | 17.31 | 2.79
| 0.16 |
| Kuwait | 2.63 | 13.09
| 5.10 |
| UK | 60.99 | 147.20
| 2.47 |
| USA | 292.90 | 1499.85
| 5.26 |
| | |
|
Note: There are two possible ways to measure CO2, either
as a gas or in terms of the solid carbon. We have used the latter
unit because of the neatness of the 6 billion tones and 6 billion
people of the C&C model. The ratio between the two units is
simply the ratio of their molecular weights, ie 44/12, so that
1 tonne of carbon is equivalent to 3.67 tonnes of CO2.
Source: Emissions data from Oakridge National
Research Laboratory, USA for 1999; population data from UN for
2000.
Table 3
EXCESS OF ACTUAL CO2 EMISSIONS COMPARED WITH C&C PERMITTED
LEVELS AND PERCENTAGE REDUCTION REQUIRED, SAMPLE OF RICH/POOR
COUNTRIES
| Country | Excess (xfold)
| % reduction |
| USA | 13.0 | 92.2
|
| Kuwait | 13.1 | 92.0
|
| Denmark | 6.9 | 83.9
|
| UK | 6.2 | 83.4
|
| Algeria | 2.4 | 49.9
|
| India | 0.7 | -42.9
|
| Jamaica | 0.4 | -148.4
|
| Senegal | 0.3 | 287.7
|
| Cameroon | 0.2 | -386.3
|
| | |
Source: Emissions data from Oakridge National
Research Laboratory, USA for 1999; population data from UN for
2000.
10.3 Table 3 indicates the size of the transfers that
will be effected by the C&C model.
10.4 From a political perspective it is important that
all nations have an incentive to sign up for C&C. The primary
incentive is that only a system that is ultimately agreed by all
can allow all to survive on a viable planetary support system;
and a system that is visibly just makes general agreement more
likely. However, we must acknowledge that different types of country
will face different problems within a limited CO2 framework, and
seek to give them all an incentive to join the system.
10.5 There is a fairly widespread concern that the USA
will drag its feet. However:
(a) We cannot allow this to prevent us making whatever
progress is possible in the meantime.
(b) C&C is likely to achieve the most widespread support
the soonest, which will put increased pressure on the US government
to acknowledge the need for action.
11. EU TRADE AND
EU CARBON TRADE
11.1 The Green Party is prepared to support the idea
of carbon trading within an equitable framework on the understanding
that a structured market can be the most efficient way of distributing
a scarce resource.
11.2 However, much of the carbon dioxide that is presently
produced is wasted in transporting goods from one market to another.
Trade should be reduced so that it returns to being a means of
obtaining goods that are not available locally, according to the
principle of trade subsidiarity.
11.3 A CO2 limitation framework inevitably implies that
the CO2 that is produced is used most efficiently to promote human
well-being. This will require the active involvement of government
to manage markets so that well-being rather than profits lies
at the heart of economic activity.
11.4 As a step towards this, governments need to recognize
that increases in trade are not always positive developments.
11.5 Proposal: The UK government, the EU and the
G8 should cease regarding increases in trade as an inherently
positive development.
12. CARBON TRADING
AND THE
RESERVE CURRENCIES
12.1 In establishing a carbon trading system, one fundamental
question that must not be overlooked is: which currencies will
be eligible for purchasing the right to produce CO2? If it is
the present reserve currencies this will introduce a political
imbalance in favour of countries issuing those currencies, namely:
USA, Japan, EU, UK and Switzerland. Countries controlling reserve
currencies will be able to support an increased creation of their
currencies to purchase more CO2 permits; those without this power
will find have to pay effectively higher prices.
12.2 This imbalance will reduce the political attractiveness
of the scheme, and it will also tempt governments to print more
currency in times of economic hardship to buy more permits and
help out their polluting industries.
12.3 Proposal: The Committee should investigate the
possibility of creating a new global currency for carbon trading.
Such a currency would need to be backed by and administered by
the UN.
13. EXERTING POLITICAL
INFLUENCE ON
THE USA
13.1 US policy in the energy field is dominated by oil
interests. In the long run this will be to the detriment of the
US economy, which will be left behind in the economic world of
the 21st century, where low-energy systems and renewable energies
will dominate. This argument already appears to have been understood
by various sub-national political players and corporations in
the US. Negotiations to reduce CO2 emissions are likely to be
more effective at this level for the foreseeable future.
13.2 It is frequently stated that European nations are
powerless to exert influence on the USA to reduce its carbon dioxide
emissions. We do not believe this to be the case. We would propose
the introduction of import duties to reflect the CO2 content embodied
in goods imported from the USA. This would remove the unfair competition
that would exist between countries that were attempting to meet
Kyoto and other CO2 reduction targets and those which were not.
13.3 Such carbon-balance tariffs could be formally negotiated
at the WTO, which is the body charged with ensuring fair international
trade. They could also be introduced unilaterally by the EU and
her other trading partners, especially former colonies, such as
members of the British Commonwealth.
13.4 Proposal: The UK and the EU should introduce
carbon-balance tariffs to prevent high-polluting countries gaining
any unfair advantage in trade.
13.5 In terms of political pressure, countries from the
poorer world may begin to refuse to recycle US foreign debt, in
response to both US foreign policy and the risk the USA poses
to sustainability by its refusal to reduce CO2 emissions. Foreigners
now own 38% of US Treasury securities, which is more than twice
the amount a decade ago, and gives them considerable leverage
over the US economy. The inherent weakness of the US's position
is made clear in the following quotation from a recent article
by Janet Bush in New Statesman ("America's Foes Prepare
for Monetary Jihad", 4 October 2004):
One of the curious features of US hegemony is that it depends
on the apparently limitless willingness of US alliesand
even of some future competitors, such as Chinato finance
the apparently limitless budget and trade deficits of the US.
Over the past 20 years the US has become the world's leading debtor,
its net foreign debt rising from $250 billion in 1982 to $2.2
trillion in 2001, 23% of GDPalmost equal to the $2.5 trillion
owed by 5 billion people in the whole of the developing world.
13.6 Japan, China and the newly industrialized countries
of East Asia have invested their trade surpluses in US Treasury
bonds to underwrite the value of the dollar. If they did not do
this the US dollar would fall, making their exports more expensive
in the US. They might also face more barriers to trade with the
US.
13.7 However, the US relies on this purchase of Treasury
bonds to remain solvent and is thus dependent on the Asian economies.
Thus in spite of the apparent omnipotence of the US and its currency
the dollar, it is possible for the Asian economies to exercise
leverage, and it is vital to bring them on board for any trading
system.
13.8 The EU should focus on increasing the amount of
binational trade that is conducted in euros, pounds and other
non-dollar currencies and should encourage Asian economies to
do the same. Rather than using the value generated through this
use of their reserve currencies to fund deficits, EU nations should
use it to purchase carbon permits from countries with a CO2 surplus
(ie countries which are currently emitting less than their per
capita allowance under C&C), thus effectively using it for
the benefit of poorer countries.
13.9 Proposal: Those countries in the G8 and EU committed
to genuine carbon dioxide reductions should negotiate with the
Asian and Middle Eastern economies to trade goods and oil for
non-dollar currencies, especially the euro and the pound.
14. UK EMISSIONS TARGETSLEADING
BY EXAMPLE
14.1 The UK government has continually asserted that
it "leads the world" on climate change due to its support
for Kyoto. The Green Party believes this is highly misleading
propaganda which serves to defuse public concern by sustaining
the false impression that the UK is playing the necessary part
in tackling climate change.
14.2 The IPCC, the RCEP and more recently the UK government
have accepted the need for global CO2 reductions of 60% by 2050.
However, if these global reductions are to be made in an equitable
fashion, the higher-polluting countries like the UK must make
bigger reductions. This would translate into a UK target more
like 90% by 2050 at the very latest, with clear and definite targets
at stages along the way.
14.3 Proposal: The UK government should immediately
adopt a target of 85% CO2 reductions by 2030, including a 50%
reduction by 2020, and a comprehensive package of policies to
achieve this target.
15. CONTRIBUTION FROM
UK GOVERNMENT DEPARTMENTS
15.1 It is still commonplace to imagine that environmental
protection is some kind of threat to business per se. There
is therefore an unhealthy tension between the government departments
dealing with environment on one hand and business on the other.
The desirable situation is that the entire government acknowledges
ecological imperatives and all of them support the requisite actionthe
most urgent being climate change. Although the term "sustainable
development" is now common usage, it is entirely clear that
a number of crucial aspects of current economic development are
far from sustainable.
Department of Trade and Industry
15.2 We note that the DTI is not explicitly mentioned
as a department with a major responsibility in the area of climate
change in the remit for this inquiry. We would suggest that the
priority for government action must be focused on this department
and the Treasury to implement policies to encourage the development
of a low-energy economy.
15.3 Proposal: The DTI must be charged with the responsibility
for switching the emphasis of business support away from trade-related
initiatives and towards the strengthening of local economies.
15.4 The British government plays an important role in
influencing the structure of foreign trade via the payment of
Export Credit Guarantees. These export-supporting grants could
be used to encourage the transfer of technologies to developing
countries that would enable them to gain a head start in creating
sustainable economies. We would suggest that the support grants
currently paid to arms industries, currently around 30% of the
total, which are a destructive influence on poorer countries'
economies, should be switched towards industries which would help
these countries build sustainable economies.
15.5 Proposal: The proportion of Export Credit Guarantees
currently paid for the export of arms should be switched with
immediate effect towards support for the export of renewable energy
technologies.
HM Treasury
15.6 The Climate Change Levy (CCL) is too complex. Its
main problem is that the reduction targets are allowed to be either
reductions in absolute energy use or in emissions, or reductions
in energy or carbon intensity. Intensity reduction is unsatisfactory
as it permits improvement to be swamped by emissions growth induced
by economic growth, and the Green Party would remove that option.
There are also many complications in trying to focus on carbon
emissions rather than energy use, such as exemptions for CHP use.
Since industrial response to the CCL seems to be more in terms
of actually reducing emissions rather than finding other ways
round it, overall the Green Party is cautiously in favour of itbut
it is no substitute for a comprehensive package of policies calculated
to achieve the above targets.
15.7 Road fuel duties are important in encouraging drivers
to become mileageconscious and to choose more fuel-efficient vehicles.
As far as is practical the costs of motoring should rise in line
with increased car usage, to make increased car use less attractive
and to encourage the use of public transport. Fuel taxes should
therefore be increased to incorporate Road Fund Licence (the tax
disk).
15.8 We would also propose, as a short-term measure en
route to a full system of ecotaxation, the reintroduction of the
fuel tax escalator, which was removed for reasons of political
expediency that ignored the requirements for CO2 reductions.
15.9 Proposal: The UK government to immediately reintroduce
the fuel tax escalator and scrap the tax disc.
15.10 We would also propose the introduction of a package
of aviation taxes. While the US government remains a barrier to
amending the Chicago Conventionunder which no country may
tax aviation fuelother steps may be taken nonetheless,
to begin addressing the problem pending complete international
agreement.
(a) The Green Party proposes that the EU abandon any Chicago
Convention commitments and introduce an EU-wide aviation fuel
tax.
(b) The Green Party proposes that even before this is
agreed, the UK government introduce a package of aviation taxes
not strictly related to fuel:
(1) An emissions charge based on that in force at Zurich
airport, which places higher charges on the more highly-polluting
aircraft. This is revenue-neutral but serves to encourage airlines
to introduce cleaner technology sooner.
(2) An "externalities charge" set at a percentage
of a given airport's estimated annual external costs (including
the cost of its contribution to climate changewhich for
UK aviation as a whole is estimated at more than £2 billion
a year). Revenue would be ringfenced for investment in alternative
infrastructure. (It must be noted that 45% of air trips within
the EU are under 500 kilometres, and many could be replaced by
rail.) While in the short term providing such revenue, in the
longer term it would serve to discourage avoidable air transport.
(3) Increased landing charges and "air traffic congestion
charges" would provide additional tools for reducing air
travel.
15.11 Proposal: The UK government should:
(a) Immediately introduce a package of charges intended
to reduce air transport.
(b) Lobby the EU for the introduction as soon as possible
of an EU aviation fuel tax.
(c) Lobby the G8 and other countries for a comprehensive
international agreement on aviation fuel tax.
Department for International Development
15.12 The DFID should promote C&C to developing countries.
15.13 Aid payments must be evaluated for their effects
on CO2 reductions or increases. In general, there should be no
aid payment which would increase emissions, if it were possible
to fund an alternative equivalent project which would reduce emissions.
Eg there should no aid to help pay for a coal-fired power station,
because such a project would lead to greater emissions than an
equivalent non-nuclear renewable energy project.
15.14 The UK, EU and G8 countries, as a short-term measure,
must assist sustainable development in poorer countries by transferring,
free to the recipient, technology associated with energy conservation
and non-nuclear renewable energy production. As climate change
poses a major threat not merely to developing countries but to
rich countries as well, this should be seen not merely as aid
but as an investment in the donor country's own protection against
the economic impacts of climate change.
15.15 Proposals:
(a) The DFID should promote C&C to developing countries.
(b) Aid payments must be evaluated for their effects (and
potential effects) on emissions.
(c) The UK, EU and G8 must invest in the free transfer
of emissions reduction technology to poorer countries, to help
set them on the road to low-emissions development.
The Department for Transport
15.16 The DfT is quite simply a major offender in terms
of climate change and is decades behind the leading thinking on
sustainable transport. This subject deserves a major paper in
its own right. However, two issues are especially pressing: roadbuilding
and aviation.
15.17 The national roadbuilding programme is set to spend
£30 billion over 10 years in building and widening roads.
It is very well established that providing more road space generates
more traffic. Despite repeated promises of traffic reduction before
it came to power in 1997, Labour's first transport white paper
abandoned the idea of traffic reduction. Instead we have been
promised 17% traffic growth during the term of the 10-year plan.
As road transport directly contributes at least 20% of CO2 emissions,
this is entirely unacceptable. The government must cancel the
roadbuilding programme and invest in a proper package of emissions-reducing
transport measures. These measures must be tailored to achieving
CO reductions from road transport commensurate with its contribution
to the overall targets (including 85% by 2030). We are confident
that, as a first step, suitable measures could be undertaken to
achieve a 20% traffic reduction within 10 years.
15.18 Proposal: The national roadbuilding programme
must be scrapped, and the resulting £30 billion saving invested
in a package of emissions-reducing policies including 20% traffic
reduction within 10 years.
15.19 For the longer term, there must be a significant
reduction in the routine transportation of people and goods. This
will be achieved partly by economic policies aimed at challenging
globalisation, and partly through specific policies aimed at economic
localisation, ranging from the maintenance of local abattoirs
and the provision of local shopping facilities, to the production
of goods relatively locally for local need wherever practicable.
15.20 To help reduce routine transportation, the planning
system must be geared to:
(a) Reorienting work patterns to reverse the current trend
by which people are accustomed to travelling further to work than
they used to.
(b) Reorienting the pattern of planning decisions so that
they contribute to a progressive reduction in per capita passenger
kilometres and freight kilometres.
15.21 Proposal: The DfT in close cooperation with
other departments must develop and implement policies for a significant
reduction in the routine transportation of people and goods.
15.22 In terms of aviation, the UK should simply not
be encouraging growth, but should be actively engaged in assessing
how much air transport is feasible in a world threatened by climate
change.
15.23 We note that:
(a) All developments in engine technology which bring
about reduced emissions per passenger kilometre are easily outstripped
by the rate of growth of the industry.
(b) Whereas various alternative fuels are proposed for
road transport, there is no credible evidence in the public domain
that technology will be capable of reducing aviation's contribution
to climate change in a manner that would allow for anything like
the currently predicted growth.
15.24 Proposal: The DfT should support the measures
referred to above relating to aviation.
23 November 2004
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