Implementation of the Kyoto Protocol without Russian participation

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Implementation of the Kyoto Protocol without Russian participation

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Bjart J. Holtsmark and Knut H. Alfsen () (Statistics Norway)

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Abstract

All Annex B parties but Russia, Australia and USA, have ratified the Kyoto Protocol so far. It is still an open question whether Russia will ratify and secure that the Protocol enters into force. This paper therefore analyzes consequences of some proposed alternatives if the Russians decide not to ratify. The paper focuses on two cases where a limited number of the remaining Annex B parties respond to Russian withdrawal by the establishment of a new "mini-Kyoto" agreement whereby these parties commit themselves to the emission caps, the rules for emissions trading, compliance etc. set out in the Protocol. Environmentally, implementation of the Kyoto Protocol without participation from Russia and Ukraine is obviously superior to implementation with Russian/Ukrainian participation, due to the implied withdrawal of hot air based permits from the market. Implementation of the Kyoto Protocol without Russian/Ukrainian participation will, furthermore, imply higher costs to the remaining countries. This paper provides estimates of the permit price and environmental benefits that are likely if the proposed "mini-Kyoto" agreements are implemented.

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Paper provided by Research Department of Statistics Norway in its series Discussion Papers with number 376.

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Date of creation: Apr 2004
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Handle: RePEc:ssb:dispap:376

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Find related papers by JEL classification:
Q30 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - General
Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply

This paper has been announced in the following NEP Reports:

NEP-ALL-2004-11-22 (All new papers)

References listed on IDEAS
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Christoph Bohringer, 2002. "Climate Politics from Kyoto to Bonn: From Little to Nothing?," The Energy Journal, International Association for Energy Economics, vol. 23(2), pages 51-72.
Chen, Wenying, 2003. "Carbon quota price and CDM potentials after Marrakesh," Energy Policy, Elsevier, vol. 31(8), pages 709-719, June. [Downloadable!] (restricted)
Golombek, Rolf & Hagem, Cathrine & Hoel, Michael, 1995. "Efficient incomplete international climate agreements," Resource and Energy Economics, Elsevier, vol. 17(1), pages 25-46, May. [Downloadable!] (restricted)
Buchner, Barbara & Carraro, Carlo & Cersosimo, Igor, 2002. "On the Consequences of the US Withdrawal from the Kyoto/Bonn Protocol," CEPR Discussion Papers 3239, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
Christoph BÖhringer & Andreas LÖschel, 2003. "Market power and hot air in international emissions trading: the impacts of US withdrawal from the Kyoto Protocol," Applied Economics, Taylor and Francis Journals, vol. 35(6), pages 651-663, January. [Downloadable!] (restricted)

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