International Climate Policy
Stabilizing the Earth's climate will require unprecedented international cooperation.
Indeed, nations are actively negotiating the terms of the next global climate agreement.
Leaders of the world’s major economies are attending climate and energy summits, and new
global cooperative arrangements are likely to emerge. Regional climate policy frameworks,
including the European Union’s emissions trading system, are evolving rapidly as well.
Building on its extensive diplomatic experience and global network, Climate
Advisers is helping government, nonprofit, and business clients shape this
next phase of international cooperation for the better.
Federal efforts to impose a cost on carbon emissions raise meaningful questions about the international competitiveness of U.S. energy-intensive industries and the likelihood of emission leakage to countries without similar policies. Any efforts to "level the playing field" for international trading partners will raise flags regarding compatibility with our international obligations, particularly with respect to the rules of the World Trade Organization (WTO). In this paper, former WTO appellate body member Jennifer Hillman discusses the design of potential carbon tax border measures and how they can comply with WTO obligations.
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Nigel Purvis, Samuel Grausz, and Andrew Light of the Center for American Progress describe how international carbon markets have driven ambitious new action against climate change around the world while supporting economic growth and poverty alleviation. The report outlines the current serious challenges facing these important markets and offers a number of recommendations for how to strengthen and employ the markets to confront the growing challenge of climate change.
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Aviation emissions are one of the fastest growing sources of climate pollution and have outsized climate consequences because they involve a potent mix of pollutants and because altitude magnifies their harmful impacts. Europe, spurred by a strong awareness of the threat of climate change, has grown impatient with the slow pace of international climate diplomacy and regulated emissions of all flights into and out of Europe. The United States and other nations see in Europe's move a naked power grab with dangerous consequences for non-European airlines. Many of the prevailing feelings about this recent transatlantic turbulence rests on myths and misconceptions. The persistence of these myths also explains why few policymakers understand the challenge and importance of bringing this dispute in for a safe landing. Failure to do so would pose enormous risks not only for transatlantic trade relations but also for the global climate and trade systems.
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