Ontario's entrance into cap and trade deemed a massive success

[mentalfloss]

Ontario enters cap-and-trade era with first auction raising $471-million

The Ontario government declared its first foray into international carbon markets to be a success on Wednesday after an auction of allowances raised $471-million that will be funnelled into programs aimed at reducing greenhouse gas emissions in the province.

Ontario's inaugural joint auction of greenhouse gas allowances with Quebec and California took place on Feb. 21 as part of the province's cap-and-trade programs. The auction comes just months before a provincial election, with the Progressive Conservative Party vowing to kill the Liberal's carbon-pricing plan.

Under that plan, major industrial emitters, gasoline markets and distributors of natural gas face a limit on the amount of carbon dioxide they or their products can emit, but companies having trouble meeting the cap can buy allowances while those who can reduce emissions below their regulatory obligations can sell.

In the auction from governments, more than 98 million current-vintage allowances were sold at a price of $18.44 a tonne, while 8.6 million allowances with a 2021 date were sold at $18.34. Ontario accounted for roughly a quarter of the allowances sold, while Quebec sold a total of 11 million allowances.

The two provinces opted for the cap-and-trade plan rather than the straight carbon tax that B.C. and Alberta have adopted. Cap-and-trade sends money out of the province but lowers the cost of compliance because emitters in those provinces can purchase allowances from other companies – including those in California – who can reduce their emissions more cheaply.

"That's good news for businesses and consumers," Ontario Environment Minister Chris Ballard said in a release. "In a linked market, companies have more choice and lower cost options for reducing their greenhouse gas pollution, and that means lower costs for consumers."

https://www.theglobeandmail.com/rep...-auction-raising-471-million/article38159162/

 

[DaSleeper]

Liberal Drone...................................................

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[mentalfloss]

 

[DaSleeper]

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[mentalfloss]

11 minutes to craft a shitty meme.

You can do better than that.

 

[DaSleeper]

You certainly overate yourself...........

Yours are not the only posts I read...
And the only reason I read your OP's is to evaluate your sillyness
And boy...are you ever going downhill
I'm also reading a book, and I wait for the end of a chapter before even looking at the forum

 

[Danbones]

Enough about the fake news "Greenhouse gas pollution"...what about real pollution?

 

[mentalfloss]

 

[Retired_Can_Soldier]

Mentallfloss, you should go and ask them for a job as Propaganda Minister.
No reason you shouldn't be paid for perpetuating their lies.

 

[mentalfloss]

You should stop being a biased ideologue and actually identify your criticism with this specific topic.

 

[Retired_Can_Soldier]

You should stop being a biased ideologue and actually identify your criticism with this specific topic.

Really? This from the King of cut and pastes.

Hint: When it comes to politics, I'm hardly an ideologue and probably one of the least biased members on this forum.

 

[Jinentonix]

"That's good news for businesses and consumers," Ontario Environment Minister Chris Ballard said in a release. "In a linked market, companies have more choice and lower cost options for reducing their greenhouse gas pollution, and that means lower costs for consumers."

Bullshit. Yet another tax is not good for business and consumers. And that's all this is. It's also preferential. Those who can afford to generate large emissions will continue to do so. All this will do is make the playing field even less level for the smaller guy. Thus, fewer choices and no lower costs for consumers.

Maybe the Environment Minister should stick to hugging tree instead of making economic forecasts. And what a team they put together, California and Ontario, two of the most heavily indebted sub-sovereign states. And Quebec, regarded as the most corrupt state/province in the US or Canada. Yeah, this ought'a work out just fine. :roll:

 

[Tecumsehsbones]

Really? This from the King of cut and pastes.

Hint: When it comes to politics, I'm hardly an ideologue and probably one of the least biased members on this forum.

You are, after all, The Dude.

 

[mentalfloss]

Bullshit. Yet another tax is not good for business and consumers. And that's all this is. It's also preferential. Those who can afford to generate large emissions will continue to do so. All this will do is make the playing field even less level for the smaller guy. Thus, fewer choices and no lower costs for consumers.

Maybe the Environment Minister should stick to hugging tree instead of making economic forecasts. And what a team they put together, California and Ontario, two of the most heavily indebted sub-sovereign states. And Quebec, regarded as the most corrupt state/province in the US or Canada. Yeah, this ought'a work out just fine. :roll:

Of course it's good for business.

We're transitioning into a knowledge based economy, so part of that is moving into renewables.

 

[petros]

Cap-And-Trade Is Fraught With Fraud

The cap-and-trade system of emissions trading is very difficult to control and its effects are diluted…It is precisely because I am a market practitioner that I know the flaws in the system,” George Soros

“We are a green energy company, but the green stands for money,” Jeffrey Skilling, then-CEO, Enron

Last week, China’s President announced a national cap-and-trade scheme for carbon emissions to be launched in 2017, covering such industries as power generation, iron/steel, chemicals, building materials including cement, paper-making, and non-ferrous metals. China first started cap-and-trade in 2010, and seven cities now have pilot schemes. But with no independent courts or independent regulatory bodies enforcement will be challenging to say the least. At 8.2 billion metric tons, ~28% of the world’s total, China is the largest emitter of CO2.



California and Quebec have linked cap-and-trade, but the U.S. Senate killed a bill (Waxman-Markey) five years ago that would have created a national program. Yet, the EPA’s Clean Power Plan would impose basically a cap-and-trade scheme in states that don’t submit their own plans to reduce CO2 emissions from power plants.

Cap-and-trade is a vastly overpriced system with “all pain and no gain.” For example, although Waxman-Markey had a lofty if not impossible goal of an 83% reduction of U.S. emissions of by 2050, this would have reversed just 3% of the human influence on climate, equating to about 0.09°F. From 2012-2035, one estimate has a U.S. cap-and-trade scheme causing an accumulated GDP loss of $9.4 trillion.



Fraught with fraud, the potential for market manipulation in the aptly named cap-and-trade scheme is particularly massive, since there’s no actual physical commodity delivered (see how it works here). Many companies promote cap-and-trade today, but Enron and Goldman Sachs were pioneers (see “Blood And Gore: Making A Killing On Anti-Carbon Investment Hype“). Enron helped establish the market for EPA’s SO2 cap-and-trade program back in the early-1990s. (See here to know why CO2 reductions and cap-and-trade are far more complex than they were for SO2).

The European Union (EU) created its own cap-and-trade, Emissions Trading Scheme (ETS) in 2005. CO2 Emissions have fallen, but not as fast as they have in the U.S., where no such scheme exists and where population and economic growth has been faster (see Figure). The results of EU cap-and-trade are obvious: residential electricity prices per kilowatt hour…Denmark (42 cents), Germany (40 cents), Spain (31 cents), and UK (25 cents), compared to the U.S. (12.5 cents).



Yes, drastically increasing energy prices does cause people to use less energy, but due to the importance of disposable income, it also hurts economic growth and human health.

California used the European model as its example, and the state’s electricity prices, already 45% above the U.S. average, will rise 40-55% by 2030. And the outsourcing to China has been largest in California.

In fact, California’s cap-and-trade and environmental regulations favor pig farmers that use methane digesters as far away as Pennsylvania, while hindering farmers trying to set up the same system within California, where costs are 6 times higher! (see here).

Russia and Ukraine are accused of selling fake credits for 600 million tons worth of CO2 emissions on the EU ETS. Verification of reductions is difficult and lax, so companies can easily make fake claims and sell away their credits. In 2011, the EU’s online emissions marketplace was taken for $41 million in undeserved credits.



Since EU Cap-and-Trade, the USA Has Been Growing Faster and Reducing CO2 More



Source: JTC

Perhaps more worrisome, nearly 200 nations will meet in Paris this December to complete details for the “Green Climate Fund” to supposedly help poor nations “combat climate change.” Carbon Brief reports that developing countries’ “Intended Nationally Determined Contributions” “collectively suggest a need for US$360 billion for implementation up to 2030, with US$23 billion to come from domestic sources, US$110 from international, leaving US$227 billion unaccounted for either way.”

The U.S. has already pledged $3.1 billion to a Green Climate Fund for poor countries, even though over 56 million American working age women aren’t in the labor force. But, remember, more than 100 of the 154 developing nations participating in the UNFCCC talks haven’t submitted their climate plans yet, so these figures are destined to rise.

The West should know better (see Figure). “Evidence overwhelmingly demonstrates that aid to Africa has made the poor poorer, and the growth slower,“ and “China’s aid to Africa funds corruption, says report.”



As we’ve seen with the Volkswagen emissions scandal, “environment” is really big business, now measured in the trillions of dollars. And there’s a vested business interest in keeping environment the biggest problem in the world.

But, I fight because I’m convinced the far less lucrative calamities of poverty and energy deprivation have been, are, and will remain the world’s biggest problems.

Proudly but sadly, I’m also convinced that the parents of the 20,000 children that die a day from preventable poverty, enabled by a lack of the affordable, reliable energy many Westerners take for granted, stand with me.

The Most Significant Undeveloped Nations are More Corrupt



Source: Transparency International



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[mentalfloss]

Québec-California-Ontario Carbon Market: A Strong Example of North American Collaboration

QUÉBEC, Feb. 28, 2018 /CNW Telbec/ - Mary Nichols, Chair of the California Air Resources Board, Isabelle Melançon, Quebec Minister of Sustainable Development, the Environment, and the Fight against Climate Change, and Chris Ballard, Minister of the Environment and Climate Change, are pleased to announce the results of the first joint cap and trade auction, held on February 21, 2018.

As representatives of the two largest Canadian provinces and the most populated state in the United States, they recognize and celebrate the unprecedented spirit of cooperation among the three partners that led to their cap and trade markets being linked and this joint auction. All three jurisdictions are confident that this successful relationship and its fight against climate change will encourage and motivate more jurisdictions in North America and around the world to follow their example.

Quotes:

"This auction marks the beginning of a new chapter in the global fight against climate change. California, Quebec, and now Ontario, three 'sub-nationals' with a population of 61million and a combined GDP that makes it the fourth largest economy on the planet, have successfully linked their programs to slash climate-changing gases to meet ambitious climate goals. This is another example of forward-looking provinces, states and regions taking effective steps today to address the looming danger of climate change."

Mary D. Nichols, Chair, California Air Resources Board

"Faced with this major global challenge of combating climate change, cooperation is essential. The arrival of Ontario in the market, which was already the largest in North America, strengthens its economic and environmental performance, and there's more to come! Other partners are interested in our carbon market and are considering joining. The carbon market coupled with the numerous initiatives that have been implemented locally to reduce greenhouse gas emissions, lower the risks and avoid the worst consequences of climate change are promising measures for protecting the environment and the health of our respective economies. This enables us to make concrete progress towards achieving our GHG emission mitigation goal for a new Quebec that is more prosperous, inclusive, and green."

Isabelle Melançon, minister of Sustainable Development, the Environment and the Fight against Climate Change

"By joining the largest carbon market in North America, Ontario is ensuring that people and businesses are able to reduce greenhouse gas emissions at the lowest cost possible. Ontario chose cap and trade as its carbon-pricing method, a system that the Environmental Commissioner of Ontario described as 'best-in-class,' for three core reasons. First, it guarantees reduced emissions by putting an absolute cap on the volume of greenhouse gas pollution that can be released. Second, it invests all of the proceeds from the carbon market into green solutions to help people reduce their carbon footprint. And, most importantly, it minimizes costs for the people of Ontario. Together, with Quebec and California, we will take a lead in fighting climate change. This is a global issue that demands collective action now."

https://www.newswire.ca/news-releas...f-north-american-collaboration-675459933.html

 

[White_Unifier]

I would have gone for a carbon tax myself: much simpler. But hey, it is what it is. That said, the government should be funneling that money into its out-of-control debt.

 

[petros]

"Faced with this major global challenge of combating climate change, cooperation is essential. The arrival of Ontario in the market, which was already the largest in North America, strengthens its economic and environmental performance, and there's more to come! Other partners are interested in our carbon market and are considering joining. The carbon market coupled with the numerous initiatives that have been implemented locally to reduce greenhouse gas emissions, lower the risks and avoid the worst consequences of climate change are promising measures for protecting the environment and the health of our respective economies. This enables us to make concrete progress towards achieving our GHG emission mitigation goal for a new Quebec that is more prosperous, inclusive, and green."

Isabelle Melançon, minister of Sustainable Development, the Environment and the Fight against Climate Change

"By joining the largest carbon market in North America, Ontario is ensuring that people and businesses are able to reduce greenhouse gas emissions at the lowest cost possible. Ontario chose cap and trade as its carbon-pricing method, a system that the Environmental Commissioner of Ontario described as 'best-in-class,' for three core reasons. First, it guarantees reduced emissions by putting an absolute cap on the volume of greenhouse gas pollution that can be released. Second, it invests all of the proceeds from the carbon market into green solutions to help people reduce their carbon footprint. And, most importantly, it minimizes costs for the people of Ontario. Together, with Quebec and California, we will take a lead in fighting climate change. This is a global issue that demands collective action now."

The European Union (EU) created its own cap-and-trade, Emissions Trading Scheme (ETS) in 2005. CO2 Emissions have fallen, but not as fast as they have in the U.S., where no such scheme exists and where population and economic growth has been faster (see Figure). The results of EU cap-and-trade are obvious: residential electricity prices per kilowatt hour…Denmark (42 cents), Germany (40 cents), Spain (31 cents), and UK (25 cents), compared to the U.S. (12.5 cents).

California’s cap and trade auction another washout

BY DAN WALTERS

dwalters@sacbee.com

March 01, 2017 01:17 PM


February’s quarterly auction of carbon dioxide emission allowances under California’s cap and trade program was another financial washout for the state.

Results for last week’s auction were posted Wednesday morning, revealing that just 16.5 percent of the 74.8 million metric tons of emission allowances were sold at the floor price of $13.57 per ton.

The state auctions emission allowances to polluters and speculators as part of its program to reduce greenhouse gases. The proceeds are supposed to be spent on public programs to slow climate change.

February’s auction is being closely watched by market analysts because the last three quarterly auctions in 2016 posted sub-par results.

Almost all of February’s proceeds went either to California’s utilities, who sell allowances they receive free from the Air Resources Board, or the Canadian province of Quebec, which offers emission allowances through California. Both are first in line when auction proceeds are apportioned.

The ARB was offering 43.7 million tons of state-owned emission allowances, but sold just 602,340 tons of advance 2020 allowances, which means the state will see only $8.2 million, rather than the nearly $600 million it could have received from a sellout.

The paltry auction revenues will likely stall Gov. Jerry Brown’s 2017-18 budget plan to spend $2.2 billion on a variety of climate-related programs and projects, including $800 million on his bullet train project.

Analysts have cited a glut of emission allowances on the market, and political and legal uncertainty over the cap and trade program for weak auction interest. The current program’s legality is being challenged in a lawsuit and expires in 2020. Brown wants it to be reauthorized by a two-thirds legislative vote to remove the legal cloud.

“Today’s anemic auction results demonstrate that the state’s landmark cap and trade program is in need of reform and the kind of market certainty that only the Legislature and governor can provide via statute,” Senate President Pro Tem Kevin de León said in a statement. “We need a program that both reduces pollution and provides stable funding to clean up climate emissions.

auction from governments, more than 98 million current-vintage allowances were sold at a price of $18.44 a tonne, while 8.6 million allowances with a 2021 date were sold at $18.34. Ontario accounted for roughly a quarter of the allowances sold, while Quebec sold a total of 11 million allowances.

How can Ontario's Cap and Trade be a success when California lost $2.2 Billion at $13.57US or $17.45CDN last March with Ontario getting 90CDN cents more than what California got last year?

That is f-cked up Liberal fake math in action.

 

[Retired_Can_Soldier]

You are, after all, The Dude.

Some people even call me, "the Duder."

 

[Johnnny]

Some people even call me, "the Duder."

Except I've rocked a big lebowski quote in my signature since before you had your avatar. First!

I'm the real slim shady all you others are just imitating.