Saving emissions trading from irrelevance
This Policy Paper is a contribution of Stephen Tindale (CER), to the project Think Global – Act European (TGAE). Thinking strategically about the EU’s external action directed by Notre Europe – Jacques Delors Institute (report available in May 2013, dir. Elvire Fabry, Senior Research Fellow, Notre Europe – Jacques Delors Institute).
Uncontrolled climate change is the greatest risk that humanity faces. The main burden will fall on developing countries, particularly in sub-Saharan Africa. But Europe and its residents will also be damaged in many ways, including extreme weather, heat waves, and the spread of tropical diseases.
Climate change is a quintessentially global challenge. If pollution shifts from one part of the world to another – from Europe to China, for example – the global climate is no better off.
The main EU climate policy, the Emissions Trading System, now stipulates such a low carbon price that it has become essentially irrelevant. The European Commission should propose a Europe-wide carbon price floor of €30 per tonne, high enough to influence investment decisions and encourage energy efficiency and low-carbon energy supply. The Commission should also propose border tax adjustments, with the revenue returned to the country of origin.
Before the publication of the final report presenting the key recommendations of the 16 think tanks involved in the project, 5 series of policy papers address the following key challenges: migration,EU neighbourhood, CSDP, strategic resources and economic policy (publication on March 12th).
This Policy Paper is part of the series entitled "EU resource management: what European external action strategy?” which
includes contributions by Sami Andoura (Notre Europe - Jacques Delors Institute), Clémentine d'Oultremont (Egmont), Annika Ahtonen et Andrea Frontini (EPC), Gonzalo Escribano (Elcano), Nadège Chambon (Notre Europe - Jacques Delors Institute).
Go to the other contributions of the resource management series >>
Ce projet est mené avec le soutien du