Thursday, February 25, 2010

Carbon Accounting

The article “When Coal Flows Between Countries, Who ‘Owns’ the CO2” discusses and debates the issue of who is responsible for carbon emissions when the fuel is traded internationally. A system to track the emissions of carbon globally is being constructed. This system would allow governments to tax those who release the most carbon. The question is where do we place the blame for the carbon when it is moving between countries. An example is cited where Australia is exporting 600 million tons of coal to China. China argues that it is the world’s factory nation and uses the coal to produce other nations’ goods. So should Australia take the blame for mining the coal, China for burning it, or should it be the consumer?

I believe the responsibility should fall where the carbon is released. In this case, China would be held accountable. If fireworks are purchased in a state where they are legal, then shot off in a state where they are banned, the blame will fall where they were shot off and not where they were purchased. If carbon emissions are taxed in the producing nation then consumers of the
product would feel the effect and demand would decrease. All nations should do their part to reduce carbon emissions. The government of the consumer nations should demand lower carbon products. This would be an incentive for countries like China to find cleaner methods of production. In the end, it will most likely be the consumers who pay for any decrease in carbon emissions.

--Scott Healy