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GTAP Resource #3806

"Sectoral Targets as a Means to Reduce Global Carbon Emissions"
by Peterson, Everett, Joachim Schleich and Vicki Duscha


Abstract
Negotiating an international climate change agreement to replace the Kyoto Protocol has proven to be difficult. At recent United Nations Climate Change Conferences (UNFCCC) countries have agreed to limit the increase in the global surface temperature to 2°C and adopted emission pledges made by industrialized as well as major developing countries (Copenhagen, COP 15; Cancun, COP 16)), and to commit to legally binding agreement on climate change no later than 2015 that would take effect in 2020 (Durban, COP17). In particular, the challenge remains of how to integrate developing countries into a future framework. Developing countries have been reluctant to commit to limiting their future emissions, which they perceive will slow their development. Conversely, some industrialized countries are reluctant to unilaterally commit to emission reductions if other countries they compete with in international markets do not face similar emission restrictions. Because the top-down approach of UNFCCC has not led to an international agreement on greenhouse gas emissions reduction targets or the legal form of any future agreement, alternative means to achieve emission reductions through other international group/forums with a more limited membership, such as the G20, the Major Economies Forum, or multilateral agreements at the sector level, are being considered. Using a bottom-up approach that includes, for example joint binding agreements between sectors and governments of countries (sectoral approaches) may be a means to entice major developing countries to participate (e.g. Baron et al. 2008, 2009; Fujiwara 2010a, b, The Center for Clean Air Policy 2010). Sectoral targets could allow for efficiency gains while at the same time address the concerns of competitiveness and carbon leakage of industrialized countries. Sectoral approaches may involve linking of multi-sector emissions trading systems (ETS) such as the existing EU ETS (e.g. Ellerman et al. 2010) across countr...


Resource Details (Export Citation) GTAP Keywords
Category: 2012 Conference Paper
Status: Published
By/In: Presented at the 15th Annual Conference on Global Economic Analysis, Geneva, Switzerland
Date: 2012
Version:
Created: Peterson, E. (4/23/2012)
Updated: Peterson, E. (4/30/2012)
Visits: 1,784
- Climate change policy
- Dynamic modeling


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