Vattenfall AB, Alcan Inc., Duke Energy Corporation and the International Emissions Trading Association are cooperating to work with other leading industries and financial institutions to accelerate carbon trading as a key component to addressing climate change. The announcement was made at a press conference at the World Economic Forum’s annual meeting at Davos.
“Putting the right price on greenhouse gas emissions is key to combating climate change,” said Lars G. Josefsson, President and Chief Executive Officer of the Swedish power company Vattenfall. “This is best done by establishing a global emissions trading system which will safeguard that abatement measures will be carried out where they are least costly. As we create a scarcity of emission rights, market forces will unfold and accelerate the breakthrough of new low-emission technologies.”
In January, Vattenfall AB presented its Global Climate Impact Abatement Map, an international survey investigating the economics of curbing climate change.
“Recent developments in other jurisdictions, such as California and the recently announced USCAP initiative by business leaders calling for a cap-and-trade regime in the U.S., is a clear signal that business on both sides of the Atlantic is looking for increased regulatory clarity in their strategic decisions,” according to the release.
“Expanding the GHG market into a global market will ensure that climate change is being addressed effectively, efficiently and takes advantage of business innovation and entrepreneurship, as well as produce a more liquid and competitive market, with one global price for carbon,” said Daniel Gagnier, Senior Vice President, Corporate and External Affairs, Alcan Inc.
“A global carbon price is what business needs to make informed decisions and we are moving rapidly in that direction. We will learn more as we try it, we will make corrections, but there is no going back,” concluded Andrei Marcu, President and Chief Executive Officer, IETA.