publications | about us | on campus | jobs | alumni | cmap | straphangers campaign | fuel buyers group |
|
NEW YORK TAKES ON GLOBAL WARMING
Last November, the United Nation’s top scientists issued a stark warning: the world will have to end its growth of greenhouse gas emissions within seven years and slash most of its greenhouse gas emissions by the year 2050. If those goals were not met, as many as one quarter of the planet’s species would die from the effects of global warming, low lying coastal areas will get flooded due to rising sea levels, as well as a host of other significant human health problems. Scientists have determined that an average increase in the world’s temperature of 3.6 degrees Fahrenheit is the maximum that the world could tolerate without courting catastrophe. Assuming that goal, the world’s industrialized nations would have to slash greenhouse gas emissions by 80 percent by the year 2050. As a result of these scientific findings, Congress has begun a debate over policies to reduce greenhouse gases – but has not acted. Nor has the executive branch. The Bush Administration has resisted action, though both candidates for president have pledged to cut greenhouse gas emissions, if elected. The overwhelming evidence of harm caused by greenhouse gas emissions has, however, spurred action by the states. Several states, most recently Massachusetts, have acted to slash greenhouse gas emissions by the year 2050. New York State is currently considering that proposal as well. In addition, ten states in the northeast and mid-Atlantic regions have instituted a “regional greenhouse gas initiative,” known as “RGGI.” The Initiative is designed to cap and then reduce the amount of carbon dioxide power plants are allowed to emit. The Initiative relies on a “cap-and-trade” program to reduce carbon dioxide emissions. Under the “cap-and-trade” approach, the power plant operators will be able to purchase by auction emission allowances to “cover” the amount of carbon dioxide they emit. The total amount of carbon dioxide allowances will be limited. Companies that need to increase their emissions must buy credits from those who pollute less. The transfer of allowances is referred to as a trade. In effect, the buyer is paying a charge for polluting, while the seller is being rewarded for having reduced emissions by more than was needed. Thus, in theory, those that can easily reduce emissions most cheaply will do so, achieving the pollution reduction at the lowest possible cost. The idea of a “cap-and-trade” system is based on the currently-in-use European system. In Europe, a multi-national emissions trading system is in place and currently covers more than 10,000 installations in the energy and industrial sectors which are collectively responsible for close to half of the EU's emissions of CO2 and 40% of its total greenhouse gas emissions. Power plants, and anyone qualified under the RGGI Initiative’s rules, can purchase these allowances from any of the states in the Initiative. The power plant operators have until 2012 to purchase enough allowances to cover the actual emissions from 2009 through 2011. Starting in 2015 until 2018, the total allowed emissions will be reduced. It is estimated that the auction of pollution credits, which could take place as early as December, could generate $300 million, according to Senate Democrats. Advocates are calling for this money to be invested in energy efficiency programs and development of clean energy sources. Critics of emissions trading point to problems of complexity of running the system, monitoring compliance and, of course, the difficulty in enforcing the program. In addition, business and utility groups have complained that the program will add a cost to consumers’ utility bills. According to the New York State Department of Environmental Conservation, which will run the program, the cost will add about 78 cents per month. Business groups argue that it will be more. Of course, the cost estimates do not take into consideration the considerable cost New Yorkers –and the world – faces if greenhouse gas emissions trigger runaway global warming. The cap-and-trade program is designed to help avert that catastrophe and to reduce greenhouse gas emissions before it’s too late. And if the RGGI auction proceeds are used for energy efficiency and home weatherization programs, the savings to residential customers would considerably outweigh the costs. The cost of failure in taking on the global warming menace is far more than a few bucks or so added to our utility bills now. It’s complicated, but hopefully the regional greenhouse gas initiative will work. That’s all for now. I’ll be keeping an eye on the Capitol and will talk to you again next week. |
 |
