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Comparing developing countries under potential carbon allocation schemes

Author

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  • Harald Winkler
  • Randall Spalding-Fecher
  • Lwazikazi Tyani

Abstract

To stabilise atmospheric greenhouse gas concentrations, all countries will eventually need to be included in the effort to limit climate change. This article explores what potential future greenhouse gas allocation schemes might mean for key developing countries. The need for development is widely acknowledged, but growth in non-Annex I country emissions means that such development may need to take a different path to business as usual. The national interests of developing countries in negotiating potential future commitments are shaped by basic characteristics, notably emissions (both annual and historical cumulative), economic growth and population. These factors in turn shape the acceptability of allocations based on ability to pay, emissions intensity, or emissions per capita. Results for six major developing countries (China, India, Brazil, South Africa, Argentina and Nigeria) show that the implications for developing countries differ widely. For example, ability to pay does not favour Argentina; a reduction based on emissions intensity is not appropriate for Brazil; and per capita allocations would be problematic for South Africa. It is difficult to conceive of a single allocation scheme that would be appropriate for all developing countries. This points to the need for differentiation between developing countries in terms of any potential future commitments.

Suggested Citation

  • Harald Winkler & Randall Spalding-Fecher & Lwazikazi Tyani, 2002. "Comparing developing countries under potential carbon allocation schemes," Climate Policy, Taylor & Francis Journals, vol. 2(4), pages 303-318, December.
  • Handle: RePEc:taf:tcpoxx:v:2:y:2002:i:4:p:303-318
    DOI: 10.3763/cpol.2002.0236
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    1. Ni, Jinlan & Wei, Chu & Du, Limin, 2015. "Revealing the political decision toward Chinese carbon abatement: Based on equity and efficiency criteria," Energy Economics, Elsevier, vol. 51(C), pages 609-621.
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    10. Yue-Jun Zhang & Jun-Fang Hao, 2015. "The allocation of carbon emission intensity reduction target by 2020 among provinces in China," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 79(2), pages 921-937, November.
    11. Markandya, Anil, 2011. "Equity and Distributional Implications of Climate Change," World Development, Elsevier, vol. 39(6), pages 1051-1060, June.
    12. Laura Rodríguez-Fernández & Ana Belén Fernández Carvajal & María Bujidos-Casado, 2020. "Allocation of Greenhouse Gas Emissions Using the Fairness Principle: A Multi-Country Analysis," Sustainability, MDPI, vol. 12(14), pages 1-15, July.
    13. Persson, Tobias A. & Azar, Christian & Lindgren, Kristian, 2006. "Allocation of CO2 emission permits--Economic incentives for emission reductions in developing countries," Energy Policy, Elsevier, vol. 34(14), pages 1889-1899, September.
    14. Pan, Xunzhang & Teng, Fei & Wang, Gehua, 2014. "Sharing emission space at an equitable basis: Allocation scheme based on the equal cumulative emission per capita principle," Applied Energy, Elsevier, vol. 113(C), pages 1810-1818.
    15. Zeng, Bingxin & Zhu, Lei & Yao, Xing, 2020. "Policy choice for end-of-pipe abatement technology adoption under technological uncertainty," Economic Modelling, Elsevier, vol. 87(C), pages 121-130.
    16. Ebohon, Obas John & Ikeme, Anthony Jekwu, 2006. "Decomposition analysis of CO2 emission intensity between oil-producing and non-oil-producing sub-Saharan African countries," Energy Policy, Elsevier, vol. 34(18), pages 3599-3611, December.
    17. Mukhtarov, Shahriyar & Mikayilov, Jeyhun I. & Maharramov, Shahin & Aliyev, Javid & Suleymanov, Elchin, 2022. "Higher oil prices, are they good or bad for renewable energy consumption: The case of Iran?," Renewable Energy, Elsevier, vol. 186(C), pages 411-419.
    18. Lenzen, Manfred & Dey, Christopher J. & Murray, Shauna A., 2004. "Historical accountability and cumulative impacts: the treatment of time in corporate sustainability reporting," Ecological Economics, Elsevier, vol. 51(3-4), pages 237-250, December.
    19. Shaofu Du & Jun Qian & Tianzhuo Liu & Li Hu, 2020. "Emission allowance allocation mechanism design: a low-carbon operations perspective," Annals of Operations Research, Springer, vol. 291(1), pages 247-280, August.
    20. Pan, Xunzhang & Teng, Fei & Ha, Yuejiao & Wang, Gehua, 2014. "Equitable Access to Sustainable Development: Based on the comparative study of carbon emission rights allocation schemes," Applied Energy, Elsevier, vol. 130(C), pages 632-640.
    21. Yue-Jun Zhang, 2016. "Research on carbon emission trading mechanisms: current status and future possibilities," International Journal of Global Energy Issues, Inderscience Enterprises Ltd, vol. 39(1/2), pages 89-107.
    22. Robi Kurniawan & Gregory P. Trencher & Achmed S. Edianto & Imam E. Setiawan & Kazuyo Matsubae, 2020. "Understanding the Multi-Faceted Drivers of Increasing Coal Consumption in Indonesia," Energies, MDPI, vol. 13(14), pages 1-22, July.
    23. Kuntsi-Reunanen, E., 2007. "A comparison of Latin American energy-related CO2 emissions from 1970 to 2001," Energy Policy, Elsevier, vol. 35(1), pages 586-596, January.

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