View all newsletters
Sign up to our newsletters

Support 110 years of independent journalism.

  1. Business
  2. Economics
10 December 2012

Good news Monday: US emission projections drop for a fifth year running

Maybe we won't all die?

By Alex Hern

Business Insider‘s Joe Weisenthal highlights some good news to start the week. Projections of US CO2 emissions in 2030 at the lowest they’ve been in five years, according to the 2013 Annual Energy Outlook, the long-term predictions of the US Energy Information Administration.

This chart, from the EIA, shows the changes:

The administration gives five reasons for the decline in expected CO2 emissions between 2009 and 2013:

  1. Downward revisions in the economic growth outlook, which dampens energy demand growth;
  2. Lower transportation sector consumption of conventional fuels based on updated fuel economy standards, increased penetration of alternative fuels, and more modest growth in light-duty vehicle miles traveled;
  3. Generally higher energy prices, with the notable exception of natural gas, where recent and projected prices reflect the development of shale gas resources;
  4. Slower growth in electricity demand and increased use of low-carbon fuels for generation;
  5. Increased use of natural gas

Sober Look ties the news to the continued failure of the US to enact a successful cap-and-trade programme, writing:

Select and enter your email address Your weekly guide to the best writing on ideas, politics, books and culture every Saturday. The best way to sign up for The Saturday Read is via saturdayread.substack.com The New Statesman's quick and essential guide to the news and politics of the day. The best way to sign up for Morning Call is via morningcall.substack.com Our Thursday ideas newsletter, delving into philosophy, criticism, and intellectual history. The best way to sign up for The Salvo is via thesalvo.substack.com Stay up to date with NS events, subscription offers & updates. Weekly analysis of the shift to a new economy from the New Statesman's Spotlight on Policy team. The best way to sign up for The Green Transition is via spotlightonpolicy.substack.com
  • Administration / Office
  • Arts and Culture
  • Board Member
  • Business / Corporate Services
  • Client / Customer Services
  • Communications
  • Construction, Works, Engineering
  • Education, Curriculum and Teaching
  • Environment, Conservation and NRM
  • Facility / Grounds Management and Maintenance
  • Finance Management
  • Health - Medical and Nursing Management
  • HR, Training and Organisational Development
  • Information and Communications Technology
  • Information Services, Statistics, Records, Archives
  • Infrastructure Management - Transport, Utilities
  • Legal Officers and Practitioners
  • Librarians and Library Management
  • Management
  • Marketing
  • OH&S, Risk Management
  • Operations Management
  • Planning, Policy, Strategy
  • Printing, Design, Publishing, Web
  • Projects, Programs and Advisors
  • Property, Assets and Fleet Management
  • Public Relations and Media
  • Purchasing and Procurement
  • Quality Management
  • Science and Technical Research and Development
  • Security and Law Enforcement
  • Service Delivery
  • Sport and Recreation
  • Travel, Accommodation, Tourism
  • Wellbeing, Community / Social Services
Visit our privacy Policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications.
THANK YOU

One of the reasons for the failure of the so-called cap & trade program in the US (other than political), has to do with the fact that carbon emissions have declined on their own – without any caps. And why would a company pay for an emissions “allowance” if it can stay under the cap without it. Of course politically it made no sense to force companies to pay at the time when they were emitting materially less carbon on their own. Furthermore, there was no incentive for investors to hold these contracts because each year the long-term projections for carbon emissions in the US have declined.

That analysis is undoubtedly correct; the US cap and trade system was predicated on limiting the growth in emissions, and if they are naturally falling then clearly that limit will be moot.

That said, all it really does is highlight the appalling lack of ambition of the American climate programmes – not that the European cap-and-trade programme is doing much better. This is another argument in favour of carbon taxes versus cap-and-trade programmes; if you get the cap wrong on cap-and-trade, your programme is useless, but no matter what the value of a carbon tax, it will always have some effect.

Content from our partners
The promise of prevention
How Labour hopes to make the UK a leader in green energy
Is now the time to rethink health and care for older people? With Age UK

Select and enter your email address Your weekly guide to the best writing on ideas, politics, books and culture every Saturday. The best way to sign up for The Saturday Read is via saturdayread.substack.com The New Statesman's quick and essential guide to the news and politics of the day. The best way to sign up for Morning Call is via morningcall.substack.com Our Thursday ideas newsletter, delving into philosophy, criticism, and intellectual history. The best way to sign up for The Salvo is via thesalvo.substack.com Stay up to date with NS events, subscription offers & updates. Weekly analysis of the shift to a new economy from the New Statesman's Spotlight on Policy team. The best way to sign up for The Green Transition is via spotlightonpolicy.substack.com
  • Administration / Office
  • Arts and Culture
  • Board Member
  • Business / Corporate Services
  • Client / Customer Services
  • Communications
  • Construction, Works, Engineering
  • Education, Curriculum and Teaching
  • Environment, Conservation and NRM
  • Facility / Grounds Management and Maintenance
  • Finance Management
  • Health - Medical and Nursing Management
  • HR, Training and Organisational Development
  • Information and Communications Technology
  • Information Services, Statistics, Records, Archives
  • Infrastructure Management - Transport, Utilities
  • Legal Officers and Practitioners
  • Librarians and Library Management
  • Management
  • Marketing
  • OH&S, Risk Management
  • Operations Management
  • Planning, Policy, Strategy
  • Printing, Design, Publishing, Web
  • Projects, Programs and Advisors
  • Property, Assets and Fleet Management
  • Public Relations and Media
  • Purchasing and Procurement
  • Quality Management
  • Science and Technical Research and Development
  • Security and Law Enforcement
  • Service Delivery
  • Sport and Recreation
  • Travel, Accommodation, Tourism
  • Wellbeing, Community / Social Services
Visit our privacy Policy for more information about our services, how New Statesman Media Group may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications.
THANK YOU