European Parliament Revives Hopes for Cap-and-Trade

After a failed attempt in April, the European Parliament succeeded in passing a measure early in July to address the low price of the EU’s emissions trading system. Emissions prices in the $72 billion cap-and-trade program had lost more than 70 percent in the past four years. The low price of Europe’s carbon market is attributable to the prolonged recession of 2008 and the glut of permits that cut the price to as low as about 2.75 euros a ton.

Europe's carbon markets are essential to the continent's strategy to reduce GHGs and combat climate change. Cap-and-trade systems gradually make polluting more expensive thereby using market forces to drive the adoption of greener technologies and the reduction in carbon emissions.

Scientists Want Carbon Taxes to Address Climate Change

NASA scientist Jim Hansen calls for a carbon tax as he describes climate change inaction as the moral equivalent of supporting slavery. Hansen argues that current generations are morally responsible to protect the Earth for their children and grandchildren. He is calling for a global carbon tax and sees inaction on climate change as an "injustice of one generation to others". Preceding generations may have been able to plead ignorance but we no longer have that luxury.

As reviewed in a Guardian article, Hansen's latest scientific paper, which he co-authored with 17 other experts, urgently calls for an immediate 6% annual cut in CO2 emissions, and substantial growth in global forest cover. Hansen and his colleagues warn that failing to cut CO2 emissions by 6% now will mean that by 2022, the annual cuts would need to reach a more drastic level of 15% a year.