Chris Rowland of Dresdner Kleinwort Wasserstein has this to say about European emissions trading in the International Emissions Trading Association's Greenhouse Gas Market 2005: The Rubber Hits the Road being distributed at the Montreal climate negotiations:

"Faced with a shortfall of CO2 allowances, companies seem to be adopting a variety of strategies -- but few seem to be centred on abating CO2" (p. 39).

Instead, companies are hoping they'll be able to

• Get allowances from "operators in the new EU member states" (p. 39).
• "Buy cheaper offset credits" (p. 39)
• Pay up for CO2 allowances in return for a political "agreement not to phase out their nuclear facilities" (p. 40).
• "Wait for the problem to go away" (p. 40).

by: ProfMKD @ 8:56 am