EU emissions trading scheme 'set to cancel out renewable energy gains'
25 Jun 2013
Damian Carrington, The Guardian
Deep problems in Europe's carbon trading scheme - its flagship climate change policy - are set to cancel out over 700m tonnes of emissions saved through renewable energy and energy efficiency efforts, according to a new report.
The study, by carbon trading thinktank Sandbag, found that a huge oversupply of carbon pollution permits means many are being banked to enable emissions after 2020, when efforts to tackle global warming should be intensifying. These emissions, nearly equivalent to Germany's annual carbon pollution, will cancel out efforts made in other areas to cut carbon.
The report also warns that Europe's emissions trading scheme (ETS) is a "global dumping ground" for "dubious" carbon permits created by projects around the world.
"As we have been saying every year, for the last five years, the ETS is in dire need of rescue," said Baroness Bryony Worthington, Sandbag's Founding Director. "The patience of civil society and low carbon investors is wearing thin. It is time to get a grip."