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Carbon is the same everywhere, but carbon governance isn't..

Andrea Liverani's picture

Carbon governancethe institutional arrangements in place for mitigating greenhouse gas emissionscan vary considerably across countries. In Brazil, the financial community is actively interested in carbon trading, but Chinese banks have hardly any interest in it. In India, the Clean Development Mechanism (CDM) market is developed almost uniquely by domestic companies, while China relies extensively on foreign firms. And while the Chinese government takes an active interest in providing capacity to project developers, the Brazilian authorities see their role uniquely as guarantors of environmental integrity of emissions reductions projects. So, if carbon is the same everywhere, why is carbon governance so incredibly varied?

Let's not let climate change distract us from our current problems

Chris Perry's picture
Gathering water. Kenya
   Photo: © Curt Carnemark / World Bank

All "new" priorities risk diverting attention from "old" ones. Climate change seems no different. It seems likely that climate change, through its impact on temperatures and rainfall, will have negative affects on existing water stress in many countries. Crop water demand will increase with temperature, rainfall will decrease in many areas and become more erratic in most. Further, we are already substantially over-drafting many aquifers and damaging river eco-systems.

In parallel with these concerns, Vorasmarty et al (2000) estimate that the impact of economic and population growth will substantially exceed the impacts of climate change on the water demand/supply balance.

Weekly news update on climate change: Oct 16

 Climate change in the news (Oct 12 - Oct 16, 2009)

The Nobel Prize Committee pays attention to governance of the commons

Marianne Fay's picture

The Nobel Prize in Economic Sciences is being shared this year by Elinor Ostrom, a political economist at Indiana University, and Oliver Williamson, an economist at UC Berkeley. The award could not be more appropriate in these times of rethinking what markets can and cannot do. 

The award to Ostrom, who has spent her professional life studying how societies manage common resources is particularly relevant as we draw closer to the Copenhagen summit and countries are busy defining what they are willing to do to protect the global atmospheric commons. 

In fact, Ostrom wrote a background paper for us earlier this year for the World Development Report 2010: Development and Climate Change.  In it, she took exception to the notion that a solution to global change must be global. Such a solution would take too long, she argued. She also reminded us that a solution negotiated at the global level, if not backed up by a variety of efforts at the national, regional, and local levels, was not guaranteed to work well. This is because climate change is the result of many individual and local decisions.   

Getting on a technology pathway to avoid dangerous climate change

Alan Miller's picture
   An IFC investment helps provide clean, affordable water to underserved communities in developing countries.

Many of the measures proposed in the World Development Report (WDR) 2010 will require substantial engagement with the private sector. The UN Framework Convention on Climate Change has estimated that more than 80 percent of the investment required for climate change mitigation and adaptation will have to be privately financed. For this to happen, the key requirement will be meaningful targets and supportive public policies.

One area in which private initiative will be critical is in the development and dissemination of new climate friendly technology. As the advance edition of the WDR states, "Technological innovation and its associated institutional adjustments are key to managing climate change at reasonable cost. . . . Mobilizing technology and fostering innovation on an adequate scale will require that countries not only cooperate and pool their resources but also craft domestic policies that promote a supportive knowledge infrastructure and business environment."

For several reasons, an increased focus on accelerating new technology is urgently needed.

How can current and future early warning systems be used to enhance adaptive capacity to climate change?

Carlos A. Nobre's picture

Written with Paulo Nobre
Both authors are with the Center for Earth System Science, INPE, Brazil

At present, there are a number of early warning systems based on seasonal-to-interannual climate forecasts in several countries (for example, Ogalo et al., 2008). These systems are based on the use of available monitoring data and state-of-the art climate models. Both observations and model-based predictions are analyzed by climatologists to predict climate anomalies one or two seasons ahead.

  Photo ©

Much of the success of such short-term climate predictions is based on the ability of current climate models to predict the evolution of the coupled tropical upper ocean-atmosphere state over seasons. The best example of this is the prediction of El Niño-Southern Oscillation (ENSO) episodes.

Such climate predictions have been used in an array of applications, ranging from seasonal rainfall predictions guiding agriculture, fisheries, and water resources to natural hazards and health applications (Meza and Osgood, 2008; Abawi et al., 2008; Connor et al., 2008).

How Can We Untie the Climate-Development Gordian Knot?

Jean-Charles Hourcade's picture

   Photo ©
The participation of developing countries is essential for effective climate policy. But this participation is hampered by the fact that many developing countries perceive environmental policies as a new form of Malthusianism. And unfortunately, despite repeated references to sustainable development in the climate negotiations, the debates about climate and development policies continue to occur in separate spheres. A new Gordian knot has been tied through a succession of misunderstandings.

Economists may have caused some of these misunderstandings by laying out simple principles that are useful as a introduction to the underlying economic parameters of climate policies: first, a unique carbon price (through carbon taxes or a cap & trade system) to foster carbon saving behaviours without distorting international competition; second, compensatory transfers to offset the adverse impact of higher energy prices for the most affected countries. But this has resulted in climate policies being considered a cost-minimization exercise conducted regardless of the nature of development issues.