IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i8p4592-d539911.html
   My bibliography  Save this article

Personal Carbon Trading—Lost in the Policy Primeval Soup?

Author

Listed:
  • Fabio Bothner

    (Institute for Political Science, University of Bamberg, 96045 Bamberg, Germany
    Institute of Political Science, Department of Political Science III: Policy Analysis and Environmental Policy, Fern Universität in Hagen, 58084 Hagen, Germany)

Abstract

The number of emission trading and carbon taxation schemes implemented has grown rapidly over the past decade. Together, they cover approximately 16% of global greenhouse gas (GHG) emissions. Although more than two-thirds of global GHG emissions are related to household consumption, approaches that directly target households, such as personal carbon trading (PCT), do not play a role in the fight against climate change. This is especially puzzling as measures taken so far are not sufficient to reach the 2 °C target. One clue to solving this puzzle comes from political science in the form of the multiple streams approach, which defines criteria that a policy proposal must meet to become part of the political agenda. Based on these criteria, this article conducts a systematic review on PCT to clarify why PCT does not play a role in the reduction of GHG emissions. The results show that there are three main problems with the PCT proposal. First, scholars often criticize the set-up costs as well as the running costs of such a system. Second, there is no clear consensus within the research community on public acceptance of PCT. Third, it is still unclear whether politicians are receptive to PCT or not.

Suggested Citation

  • Fabio Bothner, 2021. "Personal Carbon Trading—Lost in the Policy Primeval Soup?," Sustainability, MDPI, vol. 13(8), pages 1-16, April.
  • Handle: RePEc:gam:jsusta:v:13:y:2021:i:8:p:4592-:d:539911
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/8/4592/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/13/8/4592/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Cramton, Peter & Kerr, Suzi, 2002. "Tradeable carbon permit auctions: How and why to auction not grandfather," Energy Policy, Elsevier, vol. 30(4), pages 333-345, March.
    2. Stuart Bryce Capstick & Alan Lewis, 2010. "Effects of personal carbon allowances on decision-making: evidence from an experimental simulation," Climate Policy, Taylor & Francis Journals, vol. 10(4), pages 369-384, July.
    3. Yong Liu, 2019. "Residents’ Willingness and Influencing Factors on Action Personal Carbon Trading: A Case Study of Metropolitan Areas in Tianjin, China," Sustainability, MDPI, vol. 11(2), pages 1-13, January.
    4. Yael Parag & Nick Eyre, 2010. "Barriers to personal carbon trading in the policy arena," Climate Policy, Taylor & Francis Journals, vol. 10(4), pages 353-368, July.
    5. Sverker C. Jagers & Åsa Löfgren & Johannes Stripple, 2010. "Attitudes to personal carbon allowances: political trust, fairness and ideology," Climate Policy, Taylor & Francis Journals, vol. 10(4), pages 410-431, July.
    6. Fahd Mohamed Omar Al-Guthmy & Wanglin Yan, 2020. "Mind the gap: personal carbon trading for road transport in Kenya," Climate Policy, Taylor & Francis Journals, vol. 20(9), pages 1141-1160, October.
    7. Starkey, Richard, 2012. "Personal carbon trading: A critical survey Part 2: Efficiency and effectiveness," Ecological Economics, Elsevier, vol. 73(C), pages 19-28.
    8. Tina Fawcett & Yael Parag, 2010. "An introduction to personal carbon trading," Climate Policy, Taylor & Francis Journals, vol. 10(4), pages 329-338, July.
    9. David Moher & Alessandro Liberati & Jennifer Tetzlaff & Douglas G Altman & The PRISMA Group, 2009. "Preferred Reporting Items for Systematic Reviews and Meta-Analyses: The PRISMA Statement," PLOS Medicine, Public Library of Science, vol. 6(7), pages 1-6, July.
    10. Alessandro Liberati & Douglas G Altman & Jennifer Tetzlaff & Cynthia Mulrow & Peter C Gøtzsche & John P A Ioannidis & Mike Clarke & P J Devereaux & Jos Kleijnen & David Moher, 2009. "The PRISMA Statement for Reporting Systematic Reviews and Meta-Analyses of Studies That Evaluate Health Care Interventions: Explanation and Elaboration," PLOS Medicine, Public Library of Science, vol. 6(7), pages 1-28, July.
    11. Jörgen Larsson & Simon Matti & Jonas Nässén, 2020. "Public support for aviation policy measures in Sweden," Climate Policy, Taylor & Francis Journals, vol. 20(10), pages 1305-1321, November.
    12. Bättig, Michèle B. & Bernauer, Thomas, 2009. "National Institutions and Global Public Goods: Are Democracies More Cooperative in Climate Change Policy?," International Organization, Cambridge University Press, vol. 63(2), pages 281-308, April.
    13. Nick Eyre, 2010. "Policing carbon: design and enforcement options for personal carbon trading," Climate Policy, Taylor & Francis Journals, vol. 10(4), pages 432-446, July.
    14. Tina Fawcett, 2010. "Personal carbon trading in different national contexts," Climate Policy, Taylor & Francis Journals, vol. 10(4), pages 339-352, July.
    15. Starkey, Richard, 2012. "Personal carbon trading: A critical survey," Ecological Economics, Elsevier, vol. 73(C), pages 7-18.
    16. Katharina Bohnenberger, 2020. "Money, Vouchers, Public Infrastructures? A Framework for Sustainable Welfare Benefits," Sustainability, MDPI, vol. 12(2), pages 1-30, January.
    17. Niemeier, D. & Gould, Gregory & Karner, Alex & Hixson, Mark & Bachmann, Brooke & Okma, Carrie & Lang, Ziv & Heres Del Valle, David, 2008. "Rethinking downstream regulation: California's opportunity to engage households in reducing greenhouse gases," Energy Policy, Elsevier, vol. 36(9), pages 3436-3447, September.
    18. Matthew Lockwood, 2010. "The economics of personal carbon trading," Climate Policy, Taylor & Francis Journals, vol. 10(4), pages 447-461, July.
    19. Niklas Höhne & Michel den Elzen & Joeri Rogelj & Bert Metz & Taryn Fransen & Takeshi Kuramochi & Anne Olhoff & Joseph Alcamo & Harald Winkler & Sha Fu & Michiel Schaeffer & Roberto Schaeffer & Glen P., 2020. "Emissions: world has four times the work or one-third of the time," Nature, Nature, vol. 579(7797), pages 25-28, March.
    20. Fawcett, Tina, 2010. "Personal carbon trading: A policy ahead of its time?," Energy Policy, Elsevier, vol. 38(11), pages 6868-6876, November.
    21. Edwin Woerdman & Jan Willem Bolderdijk, 2017. "Emissions trading for households? A behavioral law and economics perspective," European Journal of Law and Economics, Springer, vol. 44(3), pages 553-578, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Anna-Katharina Kothe & Alexander Kuptel & Roman Seidl, 2021. "Simulating Personal Carbon Trading (PCT) with an Agent-Based Model (ABM): Investigating Adaptive Reduction Rates and Path Dependence," Energies, MDPI, vol. 14(22), pages 1-15, November.
    2. Marcin Olkiewicz & Anna Olkiewicz & Radosław Wolniak & Adam Wyszomirski, 2021. "Effects of Pro-Ecological Investments on an Example of the Heating Industry—Case Study," Energies, MDPI, vol. 14(18), pages 1-24, September.
    3. Jan Wrana & Wojciech Struzik & Piotr Gleń, 2022. "Natural Energy Stored in Groundwater Deposits as a New Way of Obtaining Green Energy for Urban Planners, Architects and Environmentalists," Energies, MDPI, vol. 15(13), pages 1-13, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Anna-Katharina Kothe & Alexander Kuptel & Roman Seidl, 2021. "Simulating Personal Carbon Trading (PCT) with an Agent-Based Model (ABM): Investigating Adaptive Reduction Rates and Path Dependence," Energies, MDPI, vol. 14(22), pages 1-15, November.
    2. Nie, Qingyun & Zhang, Lihui & Li, Songrui, 2022. "How can personal carbon trading be applied in electric vehicle subsidies? A Stackelberg game method in private vehicles," Applied Energy, Elsevier, vol. 313(C).
    3. Fan, Jin & Wang, Shanyong & Wu, Yanrui & Li, Jun & Zhao, Dingtao, 2015. "Buffer effect and price effect of a personal carbon trading scheme," Energy, Elsevier, vol. 82(C), pages 601-610.
    4. Andersson, David & Löfgren, Åsa & Widerberg, Anna, 2011. "Attitudes to Personal Carbon Allowances," Working Papers in Economics 505, University of Gothenburg, Department of Economics.
    5. Burgess, Martin, 2016. "Personal carbon allowances: A revised model to alleviate distributional issues," Ecological Economics, Elsevier, vol. 130(C), pages 316-327.
    6. Wadud, Zia & Chintakayala, Phani Kumar, 2019. "Personal Carbon Trading: Trade-off and Complementarity Between In-home and Transport Related Emissions Reduction," Ecological Economics, Elsevier, vol. 156(C), pages 397-408.
    7. Edwin Woerdman & Jan Willem Bolderdijk, 2017. "Emissions trading for households? A behavioral law and economics perspective," European Journal of Law and Economics, Springer, vol. 44(3), pages 553-578, December.
    8. von Wright, Tuuli & Kaseva, Janne & Kahiluoto, Helena, 2022. "Needs must? Fair allocation of personal carbon allowances in mobility," Ecological Economics, Elsevier, vol. 200(C).
    9. Dogterom, Nico & Ettema, Dick & Dijst, Martin, 2018. "Behavioural effects of a tradable driving credit scheme: Results of an online stated adaptation experiment in the Netherlands," Transportation Research Part A: Policy and Practice, Elsevier, vol. 107(C), pages 52-64.
    10. Li, Yao & Fan, Jin & Zhao, Dingtao & Wu, Yanrui & Li, Jun, 2016. "Tiered gasoline pricing: A personal carbon trading perspective," Energy Policy, Elsevier, vol. 89(C), pages 194-201.
    11. Pitkänen, Atte & von Wright, Tuuli & Kaseva, Janne & Kahiluoto, Helena, 2022. "Distributional fairness of personal carbon trading," Ecological Economics, Elsevier, vol. 201(C).
    12. Howell, Rachel A., 2012. "Living with a carbon allowance: The experiences of Carbon Rationing Action Groups and implications for policy," Energy Policy, Elsevier, vol. 41(C), pages 250-258.
    13. H. M. Abdul Aziz & Satish V. Ukkusuri & Xianyuan Zhan, 2017. "Determining the Impact of Personal Mobility Carbon Allowance Schemes in Transportation Networks," Networks and Spatial Economics, Springer, vol. 17(2), pages 505-545, June.
    14. Daoyan Guo & Hong Chen & Ruyin Long, 2019. "What Role Should Government Play in the Personal Carbon Trading Market: Motivator or Punisher?," IJERPH, MDPI, vol. 16(11), pages 1-16, May.
    15. Spash, Clive L. & Theine, Hendrik, 2016. "Voluntary Individual Carbon Trading," SRE-Discussion Papers 2016/04, WU Vienna University of Economics and Business.
      • Clive L. Spash & Hendrik Theine, 2016. "Voluntary Individual Carbon Trading," SRE-Disc sre-disc-2016_04, Institute for Multilevel Governance and Development, Department of Socioeconomics, Vienna University of Economics and Business.
    16. Tan, Xueping & Wang, Xinyu & Zaidi, Syed Haider Ali, 2019. "What drives public willingness to participate in the voluntary personal carbon-trading scheme? A case study of Guangzhou Pilot, China," Ecological Economics, Elsevier, vol. 165(C), pages 1-1.
    17. Fan, Jin & Li, Jun & Wu, Yanrui & Wang, Shanyong & Zhao, Dingtao, 2016. "The effects of allowance price on energy demand under a personal carbon trading scheme," Applied Energy, Elsevier, vol. 170(C), pages 242-249.
    18. An, Kangxin & Zhang, Shihui & Huang, Hai & Liu, Yuan & Cai, Wenjia & Wang, Can, 2021. "Socioeconomic impacts of household participation in emission trading scheme: A Computable General Equilibrium-based case study," Applied Energy, Elsevier, vol. 288(C).
    19. Alice Brock & Simon Kemp & Ian D. Williams, 2022. "Personal Carbon Budgets: A Pestle Review," Sustainability, MDPI, vol. 14(15), pages 1-18, July.
    20. Yong Liu, 2019. "Residents’ Willingness and Influencing Factors on Action Personal Carbon Trading: A Case Study of Metropolitan Areas in Tianjin, China," Sustainability, MDPI, vol. 11(2), pages 1-13, January.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:8:p:4592-:d:539911. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.