Substantive commitments

The principle of equity is operationalized in the substantive commitments of the Convention, which divide countries into two main groups. The 40 countries, plus the European Community, that are listed in the Convention's Annex I include those that were members of the OECD in 1992 and countries of the former Soviet Union and Eastern Europe, the so-called economies in transition (EITs). These are known as Annex I Parties (see Table 3.1). All other countries that have ratified the Convention are...

National and industry greenhouse gas trading

As part of countries' efforts to comply with their obligations under the Kyoto Protocol, and also to be able to fully participate in international emissions trading, a number of national and industry systems have emerged. Table 6.2 gives an overview of the schemes that have been implemented or are being considered. The first scheme to be implemented was the Danish CO2 Quota Act adopted in 1999, which targeted the CO2 emissions from Danish power producers. The scheme set a target to reduce...

The Kyoto structure for the longer term

Grubb Hope And Fouquet 2002

Although debate about Kyoto has tended to focus almost obsessively on the first period commitments, the basic intent is to provide the structure for a dynamic, evolving regime that can effectively tackle climate change over the course of the century. The current set of emission targets for the first commitment period represent the first concrete step in a much longer-term process of negotiating emission commitments over successive periods. Negotiations on second period commitments are due to...

Fuel cell cars

Ogden et al. 2004 have estimated the societal life cycle costs of cars based upon alternative fuels and engines. Fifteen different vehicles were considered. These included current gasoline combustion engines and a variety of advanced lightweight vehicles internal combustion engine vehicles fuelled with gasoline or hydrogen internal combustion engine hybrid electric vehicles fuelled with gasoline, compressed natural gas, diesel, Fischer-Tropsch liquids or hydrogen, and fuel cell vehicles fuelled...

Revenue generation

Market-based mechanisms can affect a regulator's budget in different ways. First, the implementation of a mechanism is costly as was already discussed above. Second, those mechanisms can become a significant contribution to a government's budget. Any tax revenue raised through a carbon tax will directly go into the government's budget. In the context of emissions trading, however, funds are only raised when permits are auctioned off. There are two major rules for the allocation of emission...

Levelized electricity costs

Power plants are most frequently compared on the basis of their levelized electricity cost LEC , which relates the discounted capital cost of the plant, its annual operating and maintenance costs and fuel prices to the annual production of electricity to yield a value in cents per kWh. The formula for calculating the LEC is simply the ratio of the present value of the plant's lifetime cost stream to the plant's annual energy output, namely Xt It Mt Ft 1 r -t LEC - ---- 12.1 It is capital...