Monday, December 13, 2010

Cancun Climate Change Conference agrees plan to cut carbon emissions

Cancun Climate Change Conference agrees plan to cut carbon emissions

Delegates from193 countries agreed at Cancun to cut carbon emissions and help developing countries tackle climate change as part of an "historic" deal to help stop global warming.

Full story :

http://www.telegraph.co.uk/earth/environment/climatechange/8196634/Cancun-Climate-Change-Conference-agrees-plan-to-cut-carbon-emissions.html

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Wednesday, December 8, 2010

Shipping , cleaner carbon

Shipping to steer cleaner carbon course

Ships could be charged different fees to dock depending on how much carbon they emit, according to ideas being discussed at the UN climate summit.
The government of Papua New Guinea is considering the plan, and is hoping other nations may become involved.
The Carbon War Room, co-founded by Sir Richard Branson, has launched an online tool grading 60,000 commercial vessels according to their emissions.
Shipping contributes about 1Gt of CO2 each year, more than the entire UK.
Currently shipping fuels are exempt from national carbon accounts, which has caused much head-scratching about how their emissions could be curbed.
The new approach is to give businesses the tool they need to selectively use lower-emitting vessels.
"The Carbon War Room has been advocating the need for business to play a leading role in the fight to reduce carbon emissions," said Sir Richard.
"This data hub for shipping will help the key players in the industry and their customers make better decisions for their businesses and ultimately, the planet."
Data for 60,000 ships, including many of the big, long-distance carriers, has been put in to the website using data from international registers and methods developed by the International Maritime Organisation (IMO).
The project's initiators hope that big corporations in particular will selectively use low-carbon carriers, encouraging all operators to improve their operations and reducing the industry's overall carbon footprint.
"We're hoping that companies like Nike or Walmart will go for it for two reasons," said Peter Boyd of the Carbon War Room.
"Firstly, they're concerned about greening their brands, but also about securing their supply chains."
But, he said, he was also intrigued by the idea that governments could set differential landing charges for ships depending on their emissions.
Papua New Guinea's delegate to the UN climate convention meeting, Kevin Conrad, told BBC News his government was considering the idea as part of a bigger package of measures designed to cut carbon through engagement with the private sector.
"Our duty is to find those that are leading the charge in the private sector, and work with them to achieve our climate goals," he said.
The ships would be rated on an A-G scale according to their efficiency.
The scheme's labels look very similar to the ratings given to consumer electrical goods such as refrigerators in the EU, which have helped drive up standards.
The Carbon War Room - a non-profit organisation aiming to "harness the power of entrepreneurs" to curb climate change - is hoping that ship owners will voluntarily choose to lodge their emissions data on the website shippingeffiency.org in order to boost their profile.
They calculate that global shipping emissions could be cut by about 30% just through increasing efficiency, although much greater gains could materialise in future as designers pursue new - or revisit old - concepts such as sails, kites and solar power.
Ships could be charged different fees to dock depending on how much carbon they emit, according to ideas being discussed on the sidelines of the UN climate summit.
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Tuesday, November 30, 2010

India's carbon credits to triple by 2012

India is expected to see a three-fold rise in the number of carbon credits issued for emission reduction projects over the next three years, according to a study by CRISIL Research.
New capacity addition in renewable energy sector will drive the issuance of carbon credits (Certified Emission Reduction units or CERs) to 246 million units by December 2012 from 72 million in November 2009, the study said.

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Carbon emissions could reach record levels in 2010

A new study published in Nature Geoscience and conducted by researchers in the UK suggests that despite efforts to cut greenhouse gases,carbon emissions will increase by three percent this year, which is similar to the growth rates seen between the years 2000 and 2008.

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Monday, November 29, 2010

UK 'must triple efforts to cut emissions'

UK 'must triple efforts to cut emissions'


The UK needs to triple its efforts towards cutting emissions and moving to a low-carbon economy by 2050, a report has warned.
The Climate Policy Tracker for the European Union by wildlife charity WWF and innovation company Ecofys reveals that EU countries on average are doing only a third of what is needed to cut emissions by between 80 per cent and 95 per cent by mid-century.
The report examines all EU countries on areas such as transport, buildings and renewables, giving them an overall grade of between A and G, and reveals the UK scores only an "E" rating.
The grade means the UK is doing only a third of what is necessary to put the economy on track towards massively slashing greenhouse gases by 2050.
While the country is awarded a "best in class" B rating for its Climate Change Act, which was the first legislation in the world to set legally binding long-term targets for cutting emissions, the report says the UK lags behind other countries in a number of its climate policies.
According to the report, the UK trails behind Germany, Denmark, Ireland and Sweden on the overall steps it is taking to cut its emissions and move to a low-carbon economy.
The four best countries receive only a D rating, meaning they still need to double their efforts to put them on track to cutting emissions by the amount needed.

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source: ITN News.ITN, itn.co.uk, 23/11/2010

Wednesday, November 10, 2010

United Nations Carbon Credit Prices May Rise by 42% by 2012, Barclays Says

United Nations Carbon Credit Prices May Rise by 42% by 2012, Barclays Says


Prices of United Nations Certified Emission Reduction credits will increase by as much as 42 percent by 2012 as new rules reduce supplies, Barclays Plc said.
CERs under the UN’s Clean Development Mechanism program may rise to about 18 euros a metric ton in two years, and to as much as 25 euros in the third phase of the European Union’s carbon- trading plan starting 2013, Trevor Sikorski, a London-based analyst at Barclays Capital, said yesterday. UN CERs for December fell 1.6 percent to 12.69 euros a ton yesterday on London’s European Climate Exchange.
The issuance of as many as 30 million tons of CERs under the UN’s Clean Development Mechanism may be delayed to next year, cutting this year’s supplies by about 30 percent,Sikorski said in an interview at the Carbon Asia Forum 2010 conference in Singapore.
Prices of CERs may average 14.5 euros a ton in the first half of 2011, and 16 euros in the second half, according to a Barclays report on Oct. 21. CDM offsets are currently used for compliance in the European carbon market, the world’s biggest.
The UN and the European Union said they may issue new rules on the methodology of issuance and acceptance of carbon credits for hydro-fluorocarbon (HFC) combustion plants and other industrial gases.
The European Commission, regulator of the EU program, plans to publish an impact assessment on offset restrictions by November and said in May that projects related to two industrial gases, HFC-23 and nitrous oxide, create significant windfall profits and may be banned after 2012. A proposed U.S. energy law bans HFC credits.
Prices of CERs, which typically track prices of European Union carbon allowances, will rise as UN restrictions will reduce supplies of HFC-linked CERs and EU rules will force utilities and other users to switch to credits from renewable energy industries, Sikorski said

source bloomberg - http://www.bloomberg.com/news/2010-10-29/united-nations-carbon-credit-prices-may-rise-by-42-by-2012-barclays-says.html

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Tuesday, November 2, 2010

Climate change challenge for computer gamers

Climate change challenge for computer gamers

Green Campaigners welcome new Console game - Fate of the World, a new strategy game launched on Tuesday. Fate of the World game

Fate of the World: The video game in which players save the world from catastrophic climate change.

Photograph: Red Redemption
They've previously tackled alien invasions, gang violence in New York and how to raise a happy family, but this week computer games wrestle with an even more pressing issue: climate change.

Arriving on PCs on Tuesday and Macs shortly after, the British-made Fate of the World puts players at the helm of a future World Trade Organisation-style environmental body with a task of saving the world by cutting carbon emissions or damning it by letting soaring temperatures wreak havoc through floods, droughts and fires.
The strategy game is already being hailed by gaming experts as a potential breakthrough for such social change titles, and welcomed by climate campaigners as a way of reaching new audiences.


Fate of the World is released Tuesday for £14.99 via digital download and Oxfam stores across the UK.

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Tuesday, October 26, 2010

EU Says Aviation Organization Recognizes European Carbon Market

EU Says Aviation Organization Recognizes European Carbon Market

| Sourced From Bloomberg |

The European Union claimed a diplomatic victory at an international aviation meeting, saying the participants accepted the EU’s plan to cap emissions by domestic and foreign airlines serving Europe as of 2012.
The European Commission, the 27-nation EU’s executive arm, also said the International Civil Aviation Organization reached a “breakthrough” agreement at its meeting that ended yesterday to curb global aircraft discharges of greenhouse gases beginning in 2020.
Such pollution is blamed for global climate change, which the EU is handling in part by adding airlines to its emissions trading system in less than 15 months.
“Critically, the deal is a good basis for proceeding swiftly with the inclusion of aviation in the EU’s Emissions Trading Scheme,” EU Climate Commissioner Connie Hedegaard said in a statement published in Brussels today. “The goal is not as ambitious as Europe thinks it should be, but at the same time ICAO has recognised that some states may take more ambitious actions prior to 2020.”
The agreement, reached in Montreal after almost a decade of deadlock at ICAO, will cover more than 90 percent of worldwide air traffic, the EU said in the statement. Emissions from international aviation account now for 2 percent to 3 percent of global greenhouse gas discharges and their share is expected to rise in the coming decades as the industry grows, according to the EU.
EU Carbon Market
Participants of the meeting “refrained from language which would make the application of the EU’s ETS to their airlines dependent on the mutual agreement of other states,” the EU said in the statement. “It was this requirement that led to a stalemate at the last ICAO assembly in 2007.”
The EU carbon market, started in 2005, is the world’s largest. It covers about 12,000 installations that produce energy or goods ranging from paper to cement. Emitters must have an allowance for each ton of carbon dioxide they let off. Those producing more than their allowance have to buy more; those that emit less can sell their surplus.
The bloc is on track to reduce greenhouse gas emissions by 20 percent this decade from 1990s levels and said it’s ready to deepen the target to 30 percent if other countries follow suit.
The next round of international talks on climate are due to start toward the end of November in Cancun, Mexico.


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360investgroup Ethical Policy

Ethical and Environmental Policy

Formed for investors by investors; with over 11 years’ investment experience, ethical approach and unparalleled service both before during and after, we are now the fastest growing alternative investment house in the world. 360 Invest group are driven by our Investors, who wish to align their own principles of profit by investing in ethically-minded products. Ecological Impact We will not finance any business whose core activity contributes to: • global climate change, via the extraction or production of fossil fuels (oil, coal and gas), with an extension to the distribution of those fuels that have a higher global warming impact (eg tar sands and certain biofuels) • the manufacture of chemicals that are persistent in the environment, bioaccumulative in nature or linked to long term health concerns • the unsustainable harvest of natural resources, including timber and fish • the development of genetically modified organisms where there is evidence of uncontrolled release into the environment, negative impacts on developing countries, or patenting (eg of indigenous knowledge) • the development of nanotechnology in circumstances that risk damaging the environment or compromising human health.

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Friday, October 22, 2010

Todays Market News and Views

Market News and Views

The FTSE 100 is called to open lower this morning on profit-taking after closing at its highest level since late April on Thursday. Investors will await news from day 1 of the G20 meeting of financial leaders in South Korea which will keep the dollar in focus and the possibility of more quantitative easing in the US. There is no major economic data of note as we finish the week.

Today's Company announcements

BSkyB Q1 Results saw adjusted operating profit up 25% to £255m in the 3 months to end September on revenues ahead 15% at £1.53bn. There was net customer growth of 96,000 taking the reach of households to 9.956m with 2.3m customers now taking all three of TV, broadband and telephony packages with it adding that there was further good growth in HD with net additions of 215,00 to reach 3.2m customers.

African Barrick Gold Q3 Report notes EBITDA down 3% in the period to end September to $89m but up 58% to $286m year to date. There was a drop of 23% in gold production to 164,996 ounces in Q3 due to production setbacks although there was a 29% rise in achieved gold prices to $1,233/oz. The company reaffirmed guidance to produce 716,000 ounces in 2010, in line with last year's output after cutting its guidance twice recently.

Betfair IPO. The company has priced its IPO at £13 a share, which is at the top end of its indicated range to give it a market value on float of £1.39bn. Betfair shareholders are selling 15.2% of the stock raising gross proceeds of £211m with no new capital being raised. Conditional dealings are expected  to start today with unconditional dealings and admission to trading on the main market due to begin on 27 October 2010

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Thursday, October 21, 2010

What's the carbon footprint of ... email?

Source: Gaurdian newspaper.

What's the carbon footprint of ... email?

The sending, sorting and filtering of spam email alone accounts for 33bn units of electricity each year

Spam
Spam

The carbon footprint of spam:
0.3g CO2e: A spam email
4g CO2e: A proper email
50g CO2e: An email with long and tiresome attachment

Sending and receiving electronic message is never going to constitute the largest part of our carbon footprints. But the energy required to support our increasingly heaving and numerous inboxes does add up.

Very roughly speaking (remember that all complex carbon footprints are really best guesses), a typical year of incoming mail for a business user – including sending, filtering and reading – creates a carbon footprint of around 135kg. That's over 1% of of a relatively green 10-tonne lifestyle and equivalent to driving 200 miles in an average car.
According to research by McAfee, a remarkable 78% of all incoming emails are spam. Around 62 trillion spam messages are sent every year, requiring the use of 33bn kilowatt hours (KWh) of electricity and causing around 20 million tonnes of CO2e per year.
McAfee estimated that around 80% of this electricity is consumed by the reading and deleting of spam and the searching through spam folders to dig out genuine emails that ended up there by accident. Spam filters themselves account for 16%. The actual generation and sending of the spam is a very small proportion of the footprint.

Although 78% of incoming emails sent are spam, these messages account for just 22% of the total footprint of a typical email account because, although they are a pain, you deal with them quickly. Most of them you never even see. A genuine email has a bigger carbon footprint, simply because it takes time to deal with.

The average email has just one-sixtieth the footprint of a letter, according to a back-of-the-envelope comparison. That looks like a carbon saving unless you end up sending 60 times more emails than the number of letters you would have posted in days gone by. Lots of people do. This is a good example of the rebound effect – a low-carbon technology resulting in higher-carbon living simply because we use it more.

If the great quest is for ways in which we can improve our lives while cutting carbon, surely spam and unnecessary email have to be very high on the hitlist along with old-fashioned junk paper post. But what can be done?
Here's one radical idea: a tax of a penny or cent per message sent. Obviously this wouldn't be ideal from the perspective of digital access, and it might be impossible to implement. And no-one likes an extra tax. But it would surely kill all spam instantly. The funds could go to tackling world poverty, say, or to help unlock a global emissions deal by supporting adaptation and technology transfer payments. The world's carbon footprint would go down by a substantial 20 million tonnes even if genuine users didn't change their habits at all. The average user would be saved a couple of minutes of their time every day and an annual fund of up to £170bn would be made available.

Source of article: http://www.guardian.co.uk/environment/green-living-blog/2010/oct/21/carbon-footprint-email

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What’s the carbon footprint of building a house

What's the carbon footprint of ... building a house

New homes require far less energy to run than older properties, but building them generates plenty of CO2

House building
New houses such as these ones in south Derbyshire take lots of energy and resources to produce. Photograph: Rui Vieira/PA

The carbon footprint of a house:
80 tonnes
CO2e: A newbuild two-bed cottage

The carbon footprint of building a house depends on all kinds of things – including, of course, the size of the house and the types of materials chosen.
The estimate of 80 tonnes given above is for the construction of a brand-new cottage with two bedrooms upstairs and two reception rooms and a kitchen downstairs. It's based on a study that I was involved in for Historic Scotland. The study looked at the climate change implications of various options for a traditional cottage in Dumfries: leave it as it is, refurbish, or knock it down and build a new one to various different building codes. We looked at the climate change impact over a 100-year period, taking into account the embodied emissions in the construction and maintenance as well as the energy used and generated by those living in the building.
Unsurprisingly, the worst option by far was to do nothing and leave the old house leaking energy like a sieve. Knocking down and starting again worked out at about 80 tonnes CO2e whether the house was built to 2008 Scottish building regulations or to the much more stringent and expensive Code for Sustainable Homes Level 5 that demanded 'carbon neutrality'.

Here's how that total broke down for the carbon-neutral option:

• Walls 60%
• Timber 14%
• Pipework and drainage 9%
• Floors 5%
• Slate roof 5%
• Photovoltaic panels 3%
• Other 4%


Eighty tonnes is a lot – equivalent to five brand-new family cars, about six years of living for the average Brit or 24 economy-class trips to Hong Kong from London. But a house may last for a century or more, so the annual carbon cost is much less – and for all the new-build options, the up-front emissions from construction work were paid back by savings from better energy efficiency in 15–20 years.
However, the winning option was to refurbish the old house, because the carbon investment of doing this was just eight tonnes CO2e, and even the highest-specification newbuild could not catch up this advantage over the 100-year period. Once cost was taken into account, refurbishment became dramatically the most practical and attractive option, too.
If this one study is representative, the message for the construction industry is clear. Investment in the very highest levels of energy-efficiency for new homes is, even at its best, an extremely costly way of saving carbon. Investing in improvements to existing homes is dramatically more cost-effective.

• This article draws on text from How Bad Are Bananas? The Carbon Footprint of Everything by Mike Berners-Lee

| Sourced From Guardian newspaper |

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Whaling worsens carbon release, scientists warn

Whaling worsens carbon release, scientists warn


By Victoria Gill Science reporter, BBC News, Portland
Blue Whale - Science Photo Library
Whales store carbon by the tonne
A century of whaling may have released more than 100 million tonnes - or a large forest's worth - of carbon into the atmosphere, scientists say.
Whales store carbon within their huge bodies and when they are killed, much of this carbon can be released.
US scientists revealed their estimate of carbon released by whaling at a major ocean sciences meeting in the US.
Dr Andrew Pershing from the University of Maine described whales as the "forests of the ocean".
Dr Pershing and his colleagues from the Gulf of Maine Research Institute calculated the annual carbon-storing capacity of whales as they grew.
"Whales, like any animal or plant on the planet, are made out of a lot of carbon," he said.
"And when you kill and remove a whale from the ocean, that's removing carbon from this storage system and possibly sending it into the atmosphere."
He pointed out that, particularly in the early days of whaling, the animals were a source of lamp oil, which was burned, releasing the carbon directly into the air.
"And this marine system is unique because when whales die [naturally], their bodies sink, so they take that carbon down to the bottom of the ocean.
"If they die where it's deep enough, it will be [stored] out of the atmosphere perhaps for hundreds of years."

Ocean trees
In their initial calculations, the team worked out that 100 years of whaling had released an amount of carbon equivalent to burning 130,000 sq km of temperate forests, or to driving 128,000 Humvees continuously for 100 years.
Humpback whale (AP)
The idea would be to do a full accounting of how much carbon you could store in a fully populated stock of fish or whales
Dr Andrew Pershing, University of Maine
Dr Pershing stressed that this was still a relatively tiny amount when compared to the billions of tonnes produced by human activity every year.
But he said that whales played an important role in storing and transporting carbon in the marine ecosystem.
Simply leaving large groups of whales to grow, he said, could "sequester" the greenhouse gas, in amounts that were comparable to some of the reforestation schemes that earn and sell carbon credits.
He suggested that a similar system of carbon credits could be applied to whales in order to protect and rebuild their stocks.
"The idea would be to do a full accounting of how much carbon you could store in a fully populated stock of fish or whales, and allow countries to sell their fish quota as carbon credits," he explained.
"You could use those credits as an incentive to reduce the fishing pressure or to promote the conservation of some of these species."

Is bigger better?
Other scientists said that he had raised an exciting and interesting problem.
Professor Daniel Costa, a marine animal researcher from the University of California, Santa Cruz, told BBC News: "So many more groups are looking at the importance of these large animals in the carbon cycle.
"And it's one of those things that, when you look at it, you think: ' This is so obvious, why didn't we think of this before?'."
Dr Pershing pointed out that whales, with their huge size, were more efficient than smaller animals at storing carbon.
He used the analogy of a small dog compared to a large dog.
"My wife's 6lb (2.7kg) toy poodle eats one cup of food per day and my dog - a 60lb standard poodle - eats five cups of food per day," he said.
"That's only five times as much food but my dog weighs ten times as much."
He said that the marine carbon credit idea could be applied to other very large marine animals, including endangered bluefin tuna and white sharks.
Dr Pershing said: "These are huge and they are top predators, so unless they're fished they would be likely to take their biomass to the bottom of the ocean [when they die]."
The American Geophysical Union's Ocean Sciences meeting has been taking place this week in Portland, Oregon


Original article can be viewed: http://news.bbc.co.uk/2/hi/science/nature/8538033.stm

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India and Brazil head move to 'green' economic future

Oil pipelines at a refinery in Benicia, California Some governments give "huge subsidies" to oil and gas production, said Mr Sukhdev

India and Brazil head move to 'green' economic future

A forest A number of countries have systems in place to reward forest conservation
Governments are increasingly taking the economic value of nature into account in policy-making, with growing interest in results from a UN-backed analysis.
The Brazilian and Indian governments are among those keen to use findings from The Economics of Ecosystems and Biodiversity (Teeb) project.

Start Quote

You cannot manage what you do not measure”
End Quote Pavan Sukhdev Deutsche Bank
Final results from the three-year study were unveiled here at the UN Convention on Biological Diversity meeting.

Nature's services must be counted if they are to be valued, its leader said.
Pavan Sukhdev, a Deutsche Bank capital markets expert who leads Teeb on secondment to the UN Environment Programme (Unep), said that if society did not properly account for services that nature provides, they would be lost.
In an earlier analysis, Teeb calculated that the economic value of services being lost - including water purification, pollination of crops and climate regulation - amounts to $2-5 trillion dollars per year, with the poor hardest hit.

Related stories

Here, Mr Sukhdev and his team concentrated on ideas for implementation - how to turn the findings of the study into real politics.
And the first thing for governments to do, he said, was to carry out national equivalents of the global Teeb study - to analyse the real value of ecosystem services to their economies.
"Conventional methods of accounting such as GDP accounting will not capture them - so we need... to rapidly upgrade the system of national accounts," he said.
"You cannot manage what you do not measure."
Global uptake Mr Sukhdev said that so far, 27 governments from Africa and Latin America, and one from Asia, had approached the Unep team for help in "greening" their economies.
Many of these are looking to translate the global Teeb findings findings into their national context, with Brazil and India in the vanguard.
India's Minister for Environment and Forests, Jairam Ramesh, said his country was planning a national economic assessment along Teeb lines.
"We are committed to developing a framework for green national accounts that we can implement by 2015, and we are confident that the 'Teeb for India' study will be the key facilitator," he said.
And Braulio Dias, secretary for biodiversity and forests in Brazil's Environment Ministry, said his country was also looking to Teeb for a change of direction - in fact, without the pending election, it might be happening already.
"The tradition of many countries including Brazil has been one of utilising regulation - command and control instruments - and we need to work more on incentive measures and get the different sectors on board," he told BBC News.
"The Teeb approach is very useful to make them understand the implications of loss of biodiversity, and also the return on investment in terms of biodiversity conservation.
"We have several bills before the national congress to establish a national mechanism for payment for ecosystem services - if they're approved, I think we will have a better possibility of implement some of those economic measures."

Start Quote

Collectively, $650bn of subsidies for oil and gas?”
End Quote Pavan Sukhdev Deutsche Bank
But he echoed the concerns of many other developing countries by emphasising that some kind of international payment system, transferring money from the West to the rest for conserving resources, might be needed in the long run.
The European Union also supports the Teeb principles, with many countries and the EU itself set to examine the potential for greening their economies along Teeb lines.
"Teeb can have the same impact for biodiversity as the Stern Review had for climate change, and will be a useful tool to help reduce the loss of species and habitats," said UK Environment Secretary Caroline Spelman.
"The UK Government has been a major supporter of Teeb since it started and we will be funding the roll out of the report across the world to communicate the central message that, economically, we have to take action to reduce the loss of our natural environment before the cost becomes too high."
Politics of conservation While a number of countries including Brazil and India do have systems in place to reward forest conservation, implementing the full Teeb vision would amount to a root and branch overhaul of economic incentives and taxes.
But some moves could and should be quickly made, said Pavan Sukhdev.
The first thing was to "flatten the footbal field", which currently sees huge subsidies given to oil and gas production - largely in richer countries.
"Collectively, $650bn of subsidies for oil and gas?
"Surely, this is not a Mother Theresa business - it is not a charity - it doesn't need subsidy," he told BBC News.
"I would like governments to look at and start disclosing their subsidies, and gradually work to reduce them and indeed eliminate them; because if want businesses to arise which have a better footprint and a lower cost to society, the first thing you have to do is to stop favouring those that don't."
The draft agreement from this CBD meeting would see countries agreeing to incorporate biodiversity values into their national accounting by 2020, and eliminating by the same date subsidies that are detrimental to biodiversity.
But many nations are holding to the point, in negotiations, that "nothing is agreed until everything is agreed"; and although many developing countries support the Teeb concept, factional politics could yet prevent the endorsement of such a vision here.

original news source:http://www.bbc.co.uk/news/science-environment-11588020

Wednesday, October 20, 2010

Coalition hits big business with stealth carbon tax

Coalition hits big business with stealth carbon tax

DECC announces that CRC will no longer return revenue to participants
 
George Osborne

Deutsche Bank and Morgan Stanley up carbon investments

Deutsche Bank and Morgan Stanley up carbon investments

Investment banking giants continue push into carbon markets
 
Stock prices

Huhne to detail carbon price plan

Huhne to detail carbon price plan

Chris Huhne is today expected to provide fresh details on how the coalition government will impose a 'floor price' on carbon emissions designed to bolster the economic case for low carbon renewable, nuclear and carbon capture and storage projects.The Energy and Climate Change Secretary will unveil the government's first National Policy Statement on Energy at an event at Hinkley Point nuclear power station, in a move that is expected to provide further clarity on a wide-range of the government's energy policies.In particular, the statement will include details on how the government plans to make good on its coalition agreement pledge to provide a stable 'floor price' for carbon that would provide low carbon investors greater certainty.Investors in new nuclear plants and CCS projects have been waiting anxiously to find out what level the carbon floor price will be set at and how it will be imposed.According to industry insiders the carbon price will have to reach around 80 a tonne to make it possible for new nuclear reactors to compete economically with coal-fired power plants. However, the price of carbon under the EU emissions trading scheme has been hovering below 15 a tonne for much of the past year and it remains to be seen how the British government will move to impose a floor price when the current price is delivered through the EU-wide carbon market.It is also unclear if the government will announce the precise floor price it intends to impose or when it plans to bring the floor price into effect, particularly given that any significant increase will lead to a hke in energy bills.The Sunday Times reported yesterday that one option being considered by the Department of Energy and Climate Change was to introduce a lower floor price over the next two years, which would then be increased gradually over the next decade as new nuclear plants and CCS projects come online.Energy investors, including leading utilities such as EDF, RWE and E.ON who are all working on plans for new nuclear reactors, have been growing increasingly frustrated over the lack of clarity around the proposed floor price and will be hoping that today's announcement gives them the certainty they need to move forward with their plans.The Sunday Times also reported that the government will confirm that it will not back plans for a large scale tidal barrage across the Severn Estuary.Developers have argued since the seventies that such a barrage could provide up to five per cent of the UK's electricity, but reports earlier this summer suggested the coalition is opposed to the project on the ground of the estimated 33bn price tag and fears it will danage the estuary's natural habitat.However, the policy statement is expected to confirm that smaller tidal energy projects that could be built in the estuary without government subsidy could still get the go-ahead. According to reports, two consortia are continuing to work on plans for tidal turbine systems, one involving Rolls Royce and Atkins and the other featuring Halcrow, Arup and KPMG. Government today expected to provide some much needed clarity with release of National Policy Statement on Energy

Outlet: Computing.co.uk

Carbon Mapping to Curb Climate Change and Boost Biodiversity

Nagoya 2010: Carbon Mapping to Curb Climate Change and Boost Biodiversity

October 18,2010 Source: United Nations Environment Programme (UNEP) UNEP Newsdesk Website: http://unep.org/Documents.Multilingual/Default.asp?DocumentID=649&ArticleID=6786&l=en
 
It is estimated that currently close to 18% of greenhouse gas emissions?equivalent to around six Gigatonnes (Gt) of C02-- are linked with land use change, mainly through forest loss New Country Maps Pinpoint Places Where Investments in Carbon Can Contribute to Community Livelihoods and Wider Conservation Goals Nagoya, 18 October 2010- Mapping where a country's carbon stocks overlap with areas that are rich in wildlife and important for local peoples' livelihoods is underway in Asia, Africa and Latin America. The aim is to support international efforts to conserve forests in order to combat climate change. But in a way that delivers other benefits including conservation of economically-important ecosystems linked with water, fertile soils and other crucial services. Under the UN Framework Convention on Climate Change (UNFCCC), governments are negotiating a mechanism to provide payments for Reduced Emissions from Deforestation and forest Degradation plus additional forest "activities" (REDD+), with the aim of halving deforestation by 2020. It is estimated that currently close to 18% of greenhouse gas emissions-equivalent to around six Gigatonnes (Gt) of C02- are linked with land use change, mainly through forest loss. In 2004, this amounted to more greenhouse gas emissions than those of the transport sector. The maps, being compiled by a partnership led by the UN Environment Programme's World Conservation Monitoring Centre (UNEP-WCMC), are overlaying the carbon held in the vegetation and soils of a country's terrestrial ecosystems with other key features. These include population densities; economic activities such as honey and gum production; the location of existing Protected Areas and biodiversity. Achim Steiner, UN Under-Secretary General and UNEP Executive Director, said: "The aim is to assist governments in setting priorities for carbon investments. In Tanzania for example, several carbon rich parts of the country are in areas where the ranges of almost 70% of the country's mammal species overlap". "The mapping also reveals that almost a quarter of Tanzania's total carbon stocks are in high carbon density areas that are not formally protected. This is the kind of science and analysis that governments from Ecuador to Cambodia are also now looking at to maximize the benefits of investments in REDD+ and accelerate a transition to a low carbon, resource efficient Green Economy," he added.

Outlet: AlertNet

Tuesday, October 19, 2010

Humans 'using one and a half planets' worth of resources' and will need two Earths by 2030 source - Mail Online

Humans 'using one and a half planets' worth of resources' and will need two Earths by 2030 Mail Online

Human demands on natural resources have doubled in under 50 years and are now outstripping what the Earth can provide by more than half, a new report has warned.
And humanity carries on as it is in use of resources, globally it will need the capacity of two Earths by 2030, the biennial Living Planet Report said.
Wildlife in tropical countries is also under huge pressure, with populations of species falling by 60 per cent in three decades.
And the report, from the WWF, the Zoological Society of London and the Global Footprint Network, said British people are still consuming far more than the Earth can cope with.






If everyone lived such a lifestyle, humans would need 2.75 planets to survive, it warned.
The world's people are now living lifestyles which would require one and a half planets to sustain, though there are significant differences between rich and poor nations.
The study's authors looked at 8,000 populations of 2,500 species and studied the change in land use and water consumption across the globe.
The UK comes 31st in a list of countries based on their 'ecological footprint' - the amount of land and sea each person needs to provide the food, clothes and other products they consume and to absorb the carbon dioxide they emit.
The country has fallen down the league table from having the 15th biggest footprint in the last report two years ago, but WWF attributes this to an increase in other countries' impact rather than a reduction in the UK's use of resources.


Ireland has the 10th highest ecological footprint in the world, while the United Arab Emirates, Qatar, Denmark, Belgium and the US are the five worst countries for over-consumption of resources.
Much of the 'ecological overshoot' is caused by the world's rising carbon footprint, which has increased 11-fold since 1961.
It also carried a warning about the loss of wildlife and ecosystems which people depend on for food, fuel, clean water and other resources - with populations of species declining by 30 per cent worldwide between 1970 and 2007.
In tropical regions the decline is 60 per cent, but populations have recovered by 30% in temperate areas, where more rich countries are found, possibly due to those nations starting from a lower baseline and efforts to tackle pollution, improve air and water quality, increase forests and conserve wildlife.
The steepest declines in wildlife are happening in low-income countries, which the report warns has serious implications for people depending on those ecosystems as they will struggle to break out of poverty without access to clean water, land, adequate food and materials.
The biggest ecological footprint is made by rich countries - on average five times that found in developing nations - suggesting that unsustainable consumption in wealthier countries relies on depleting resources in poorer parts of the world.
The report also looks at how changes in diet and energy sources could affect humanity's ecological impact, for example the pressure put on land for food and forest products.
The study suggests that if the expected global population of 9.2 billion people in 2050 were to eat a typical Malaysian diet, we would need 1.3 planets to sustain us but if everyone were to eat an Italian diet, humanity would need closer to two planets.
The report is released ahead of international talks in Nagoya, Japan, next week, which aim to address losses in biodiversity - species and ecosystems - being seen around the world.
David Nussbaum, chief executive of WWF-UK said: 'The loss of biodiversity and habitats undermines the natural systems upon which we depend for the food we eat, the air we breathe and the stable climate we need.


'The depletion of natural resources caused by human consumption also poses risks to our economic security: for instance, scarcity of resources and degraded natural systems will increase the price of food, raw materials and other commodities.'

He urged action by the Government, businesses and people in the UK to 'fundamentally rethink our relationship with the planet'.
He said: 'This report shows that we need a new green economy which assigns genuine value to the benefits we get from nature: biodiversity, the natural systems which provide goods and services like water, and ultimately our own well-being.
'The new coalition Government can take a lead by putting green investment and real sustainability at the heart of its decision-making.'
Mathis Wackernagel, president of the Global Footprint Network, which has developed the ecological footprint measure, said: 'Countries that maintain high levels of resource dependence are putting their own economies at risk.
'Those countries that are able to provide the highest quality of life on the lowest amount of ecological demand will not only serve the global interest, they will be the leaders in a resource-constrained world.'

Friday, October 15, 2010

How to profit from carbon trading

The difference between the buy and sell price (also known as the spread) of OTC credits bought from a company which either gets them from an exchange or direct from a project can generate private investors profit, whilst also ensuring that the investors money is going into emissions reducing projects worldwide. This form of investment benefits the environment, benefits the communities where the projects are located, as well as benefiting the investor.
Through some credit trading companies, they are available from as little as
The carbon market continues to grow, and continues to provide further opportunities to profit.
5, creating the possibility for profit. Investors should buy from a trading company which preferably has access to BlueNext, the world’s leading trading exchange for credits. To make sure the projects are verified and high quality, which increases credit value, buy only gold standard or VCS (Voluntary Carbon Standard) credits.

Who´s buying credits ?

Who’s buying credits? The potential market for carbon credits is huge. Under the Kyoto Protocol, not just companies but governments are forced to offset their emissions. Even outside of the agreement, many companies are buying up credits to help their corporate image and to encourage their customers to go green.
British Airways have offered their customers the ability to purchase credits for a number of years to offset their flight. The Westin resort and Spa group offer their customers carbon credits to offset their stay, and have reduced 800 tonnes of CO2 to date. The Swedish energy group Vattenfall is the largest single buyer of credits in Europe, followed by a Polish energy group. Overall, European groups are spending £800 million on carbon credits.
Last year, Spain announced that in order to fulfil the Kyoto Protocol, it would be purchasing 6 million tonnes of carbon credits, and is calculating that it will need to spend
The prices of the credits themselves vary and can be volatile, creating the potential for large gains as demand grows.
As of the 30th September 2010, CER spot prices were
1.2 billion overall to comply. Most countries are spending similar amounts or more. And in the voluntary and over the counter (OTC) markets 94 million tonnes of CO2 were traded last year, with market participants predicting that over 1 billion tonnes per annum will be traded by 2020. 13.56 and EUA spot prices 15.60 as traded through the exchanges. Running alongside this are the OTC markets, where one of the largest companies charge £15.49 per credit, ranging to £10.90 for each credit from another supplier. British Airways charge approximately £11.70 for each tonne offset on one of their flights.

Gold Standard and VCS







Gold Standard credits are offered for sale in markets established by the Kyoto Protocol as well as the voluntary offset markets. They are certified by the Gold Standard Foundation, a non-profit organization that has trademarked the Gold Standard Label, which is today internationally-recognised as the leading indicator of quality in carbon markets.
Supporters of the Gold Standard are committed to promoting sustainable development through carbon offset markets that are characterized by transparency and equality of access for all market participants. It was designed to ensure that emissions reductions that back up carbon credits are not only real and verifiable, but that the project activities make a measurable impact on sustainable and social development in local communities.
The Gold Standard logo is a trademarked brand that represents premium quality in the carbon market.

CO2 Risk Tool May Spur UN Carbon Trade, IDEAcarbon

CO2 Risk Tool May Spur UN Carbon Trade, IDEAcarbon 

IDEAglobal, a research company advised by economist Nicholas Stern, has started selling software that predicts prices of United Nations carbon credits and may spur trading and investment in emissions reduction.
The Carbon Rating Agency, part of the company’s IDEAcarbon unit, said its CARBONrisk software helps bring financial risk management tools to the carbon market, according to an e-mailed statement today. The software predicts supply and future prices of credits by analyzing the likelihood that emissions reduction projects will be awarded with tradable credits.
“The carbon markets significantly lag the established financial markets in their ability to generate and deploy the funding deemed necessary to address the effects of climate change,” IDEAcarbon Chairman Ian Johnson said in the statement.
Tradable UN carbon credits are awarded under the UN’s Clean Development Mechanism to projects in developing nations that reduce the release of greenhouse gases into the atmosphere.
There has been a “general lack of liquidity,” IDEAcarbon said. The software will help to manage “delivery risk” of carbon credits to forecast a price and help attract investment into CDM projects, according to the statement.
UN emission credits for delivery in December lost 0.9 percent to 13.70 euros ($19.26) a metric ton on the European Climate Exchange in London. About 1 tons of December credits were traded yesterday on the exchange. That’s about 13 percent of trading in the equivalent European Union carbon permits.

link source  - Bloomberg.
Article direct link: http://www.bloomberg.com/news/2010-10-14/stern-s-market-tool-may-spur-united-nations-carbon-trade-ideacarbon-says.html

Wednesday, October 13, 2010

Carbon price is back on the table

Author: Phillip Coorey  link source at foot of article.

THE government will push its case for a price on carbon further today with a report that finds ambitious cuts in energy use will be more easily achieved if done in conjunction with an emissions trading scheme or carbon tax.
The report by the prime minister's taskforce was handed to the cabinet in July and recommends Australia adopt a target of a 30 per cent increase in energy efficiency by 2020.
It contains such recommendations as cleaner vehicles, greener building codes, greater energy efficiency standards and disclosure requirements, and encouraging power generators to help their customers use less energy

It claims that through reduced energy and lower energy costs, a household could shave $296 a year off its energy bill in 2020.
While the 30 per cent reduction target could be achieved if the many recommendations were adopted, the report states that a price on carbon would facilitate the process.
''By far, the most important element in a vision of a step change in Australia's energy efficiency improvement is the presence of an explicit price on carbon,'' it says. ''An explicit carbon price will underpin and catalyse energy efficiency throughout the economy, greatly enhancing the effectiveness of proposals in this report.''
The report's release follows yesterday's inaugural meeting of the multi-party climate change committee, which the government put together to develop a policy for putting a price on carbon. As previously flagged, the much-derided citizens' assembly, a Labor election promise designed to build a community consensus for a carbon price, was put to the sword.
Its role will be supplanted by a Climate Change Commission, which will conduct forums across the nation ''to promote greater understanding of climate change''.
Julia Gillard also announced that the committee will release a communique after each meeting, as well as periodic information, after being criticised for the secrecy of its hearings. It will meet monthly for at least a year.
The energy efficiency report's recommendations on transport include supporting a global goal to make cars 50 per cent more fuel efficient by 2050, introducing mandatory carbon dioxide emissions for light vehicles, and changing the fringe benefit tax treatment of leased vehicles.
It supports adopting the Henry tax review recommendation to replace the FBT formula, which provides an incentive to drive, with a flat tax rate of 20 per cent independent of distance driven.
The Climate Change Minister, Greg Combet, said the energy efficiency measures would be considered as part of the government's overall approach to climate change, but its priority remained a carbon price.
The energy efficiency report says efficiency measures alone will not enable Australia to reach its target of reducing carbon emissions by 5 per cent by 2020.
''Energy efficiency policy is an important part of a suite of responses to climate change but it cannot realistically be expected to do the heavy lifting needed to deliver Australia's greenhouse gas reduction targets,'' it says.
''The introduction of a broad-based carbon price is the only practical way that Australia can guarantee that its greenhouse gas emissions will stop growing and begin to decrease.''
The Prime Minister returned from overseas to chair the committee, comprised of government members, Greens and independents. The Coalition has refused to join because the prerequisite is advocacy of a price on carbon.
The opposition climate action spokesman, Greg Hunt, dismissed the exercise yesterday as the ''electricity tax committee''.
He said the dumping of the citizens' assembly was a humiliation for Ms Gillard and rivalled her broken promise not to introduce a carbon tax, which is one mechanism for putting a price on carbon, along with an ETS, and which is back on the table.
The former prime minister Kevin Rudd commissioned a taskforce to undertake the report in November last year as a consequence of negotiations with Malcolm Turnbull over the emissions trading scheme.
After the government panicked in April and shelved the ETS, Mr Rudd elevated the as-yet uncompleted report's status as the government's key response to greenhouse gas reduction.
Source:

Author: Phillip Coorey CHIEF POLITICAL CORRESPONDENT
October 8, 2010

Credit Link: http://www.theage.com.au/environment/energy-smart/carbon-price-is-back-on-the-table-20101007-169vy.html

Carbon Credits Jump Most in a Year as Utilities Buy, EU Squeezes Supply

Carbon Credits Jump Most in a Year as Utilities Buy, EU Squeezes Supply




Power lines and pylons stand in the darkening sky




A file photo shows power lines and pylons standing in the darkening sky near Cologne. Photographer: Wolfgang von Brauchitsch/Bloomberg
A file photo shows smokestacks and cooling towers emiting smoke and water vapor at the E.ON-owned Scholven coal-powered electricity plant near Gelsenkirchen, Germany. Photographer: Wolfgang von Brauchitsch/Bloomberg
The price of polluting jumped 15 percent in Europe this month, the biggest gain in a year, as utilities including E.ON AG amass carbon credits and regulators restrict future supplies.
E.ON, the largest power producer in Germany, needs European Union carbon futures now for generation in 2013 and beyond. It’s purchasing United Nations credits, a less-expensive alternative for complying with EU caps, to “minimize its exposure,” said Eliano Russo, E.ON’s head of carbon supply.
Smokestacks and cooling towers
Europe designed the world’s biggest cap-and-trade program to limit greenhouse gases by doling out fewer allowances each year through 2020. While an unforeseen recession derailed plans set before 2008 to create a shortage of permits, an economic rebound and EU squeeze on allocations for phase three, starting in 2013, has utilities scrambling for longer-dated futures.
“The market is long today but will definitely be short in the future,” Russo said in an interview. “Whatever happens at the global level, the EU emissions trading system will be in place until at least 2020.”
Carbon futures for delivery this December traded today on London’s European Climate Exchange at 14.66 euros ($19.64) a ton, near their highest since December 2009. The contract so far this month is up four times as much as oil’s 3.5 percent gain.
E.ON, which hedges about 40 percent of its electricity three years before it’s delivered, said in a regulatory submission last year that emitters will probably spend about 24 billion euros annually on carbon auctions starting in 2012.
Near-Term Glut
The Dusseldorf-based utility, with 150 million euros budgeted to curb greenhouse gases in developing countries, is applying its European technology to cut emissions from rubbish dumps in Vietnam and China and power stations in Indonesia.
E.ON is among investors shifting their focus from a near- term glut of permits to a likely shortage after 2012. Carbon contracts outstanding for 2012 delivery jumped 10 percent in the past month to a record 165,532 contracts, 2.7 percent more than open interest for the 2010 benchmark, according to ECX data.
The concentration of longer-dated carbon contracts stands in contrast to the oil market, where traders have four times as many bets on 2010 contracts as they do for December 2012, according to New York Mercantile Exchange figures. What’s more, open interest in CO2 exceeds that of oil for the December 2012 contract.
Immediate Auctions
The EU regulator is resisting a call from utilities to schedule immediate auctions for CO2 permits valid from 2013 and beyond, said Mark Lewis, a Paris-based analyst for Deutsche Bank AG. Without those futures, utilities are forced to buy current allowances, he said. Generators generally sell power forward only when they can also buy fuel and carbon allowances to lock in the profit.
EU carbon prices may rise to 30 euros a ton in 2012 if the regulator sells significantly less than about 600 million tons in “early” auctions, Trevor Sikorski, a London-based analyst at Barclays Capital, forecast yesterday in an e-mailed note.
About 11,000 factories and power stations are in the EU program. Emitters with spare permits can sell them, while those that exceed their allocations can buy them on the open market or at auction. The knowledge that supplies will shrink as the EU distributes fewer allowances going forward is spurring demand for carbon now, said Laurent Segalen, the London-based head of commodities and environment at Nomura Holdings Inc.’s international unit.
“Emitters with surplus allowances seem unwilling to sell them at current price, while utilities are buying,” Segalen said. “All this is a correct configuration for a bullish market, which can go toward 20 euros.”
Insufficient
Utilities are concerned “there may not be a sufficient number of EU allowances to cover utilities’ needs to hedge for the years after 2012,” E.ON Energy Trading AG spokesman Jamee Majid said by e-mail on April 19.
The carbon price rebound from as low as 12.41 euros in January comes even as cap-and-trade stagnates outside Europe. Bloomberg New Energy Finance estimates the global carbon market will be valued at $1 trillion by 2020, 28 percent less than previously forecast, as the U.S. Senate jettisons a House proposal to cap and trade emissions from oil refineries and most factories.
“Cap-and-trade by definition is dead,” NRG Energy Inc. Chief Executive Officer David Crane said in a March 4 interview. The comments from the Texas power producer echoed similar words from Lindsey Graham, a South Carolina Republican working with Massachusetts Democrat John Kerry and Connecticut independent Joseph Lieberman on the Senate energy bill.
‘Work in Progress’
While the bill is “a work in progress,” it likely will include a cap-and-trade system only for utilities, Graham told reporters in Washington on March 26. The senators are scheduled to unveil the bill on April 26.
In Europe, carbon markets had to overcome recession, regulatory missteps and the failure of global climate talks. In one of the most recent setbacks, the EU had to revise its rules after Hungary sold “recycled” permits that had already been counted once before in Europe, halting spot trading on the BlueNext SA carbon exchange in Paris for three days last month.
Carbon markets also sagged after last year’s climate summit in Copenhagen. UN envoys there failed to extend the 1997 Kyoto Protocol, whose current targets expire in 2012.
“We were on the cardiac table,” Brett Genus, a London- based carbon broker for Evolution Markets Inc. said April 15 by phone. “Now we’ve got a heart beat again.”

Source of publication - By Mathew Carr and Catherine Airlie - Apr 21, 2010 7:17 PM GMT+0200
link back - http://www.bloomberg.com/news/2010-04-20/carbon-credits-jump-most-in-a-year-as-utilities-buy-eu-squeezes-supply.html