Evaluating Global Climate Policy – Taking Stock and Charting a New Way Forward

Report by D. Klingenfeld of the Potsdam Institute for Climate Impact Research. Abstract: “The objective of this report is to derive evaluation criteria for global climate policy and to apply this analysis framework to a number of existing proposals for climate policy architectures relying on a global carbon market. In addition, the current policy landscape defined by the Kyoto Protocol and the Copenhagen negotiations will be evaluated to obtain a benchmark where global climate protection efforts currently stand with respect to a set of target criteria. Based on the insights gained in the analysis of both theoretical frameworks and the current situation, in the last part of the paper I develop a proposal for a new way forward in international climate protection efforts. The cornerstones of the comprehensive architecture proposed are a modular, expandable carbon market whose integrity and time consistency is ensured by a World Climate Bank, to be created by participating countries. Based on regular and comprehensive auctions of emission allowances, the climate rent is shared among countries and distributed to citizens in a way that reflects common but differentiated responsibilities and respective capabilities in addressing climate change.”

PDF, 68 pages

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