U.S. Position Revealed
On October 22, after months of speculation, the Clinton Administration finally announced its official negotiating position for the upcoming climate change talks in Kyoto, Japan. Claiming that the “vast majority of the world’s climate scientists have concluded that if the countries of the world do not work together to cut the emission of greenhouse gases, then temperatures will rise and will disrupt the climate,” Clinton laid out a “comprehensive framework” that will include “three elements.”
First, the U.S. will commit to reducing emissions to 1990 levels between 2008 and 2012 and then work for further reductions. Second, the Administration will support “flexible mechanisms,” such as joint implementation and tradable emission schemes. Third, developing countries must also participate in “meeting the challenge of climate change.” Industrialized countries must lead, but developing countries must be “engaged.”
Clinton assured that “The United States will not assume binding obligations unless key developing nations meaningfully participate in this effort.” What is meant by “meaningful participation” is not clear. It is clear, however, that not all developing countries will be required to restrain their emissions.
Clinton also asserted that the U.S. cannot afford to “wait until the treaty is negotiated and ratified to act.” In other words, the Administration plans to implement climate policies before the Senate considers treaty ratification.
He further explained, “we must move forward by unleashing the full power of free markets and technological innovations to meet the challenge of climate change.” He plans to “unleash” free markets by:
- enacting tax cuts and investing $5 billion over the next five years in targeted subsidies for energy efficiency and the use of cleaner energy sources;
- encouraging companies to take early action by “giving them credit for showing the way;”
- creating a tradable permit or quota for reducing emissions drawing on the experience of acid rain permit trading;
- reducing energy use by the federal government through new technology, renewable energy resources and partnerships with private firms;
- unleashing competition in the electricity sector and removing outdated regulations, in a way that leads to even greater progress in cleaning our air and delivers a significant down payment in reducing greenhouse gas emissions;”
- encouraging corporations to prepare their own greenhouse gas reduction plans and having federal, state and local governments remove barriers to greater energy efficiency.
Clinton assures us that this will be quite painless. He claims that “the conversion of fuel to energy use is extremely inefficient and could be made much cleaner with existing technologies or those already on the horizon, in ways that will not weaken the economy but in fact will add to our strength in new businesses and new jobs. If we do this properly, we will not jeopardize our prosperity – we will increase it.” President Clinton’s speech can be found at www.whitehouse.gov/Initiatives/Climate/main.html.
Domestic Reactions to U.S. Proposal
There were many reactions from Capitol Hill. Sen. Frank Murkowski (R-Alaska) said, “To reach the president’s targets, we will need a $50 per ton carbon tax. American consumers and workers will pay dearly and, unless China, Mexico and the other developing countries follow suit, global emissions will still increase.”
Rep. John Dingell (D-Michigan), Chairman of the Senate Committee on Environment and Public Works, stated that, “Any agreement in Kyoto must do more than exact a vague promise from the developing countries to participate at some point in the future.” He further said, “The virtues of the president’s proposal – and there are a few – are problematic. There is no doubt about the need for new technologies and the promise of research. Voluntary measures and incentives are better than mandates.”
Rep. George Brown (D-California), Science Committee Ranking Democrat, said Clinton’s proposal is “a sound and reasonable beginning step.” The plan, argues Brown, will lead to “economic growth based on wise and efficient use of all energy resources.”
House Majority Whip Tome DeLay (R-Texas) said Clinton “has fully embraced the unproved theories of global warming while promoting damaging regulations and higher taxes that will come from the Kyoto conference. I think that is a real environmental disaster” (BNA Daily Environment Report, October 23, 1997).
Industry groups also criticized the proposal. Karen Kerrigan with the Small Business Survival Committee, a member of the The Global Climate Information Project, said, “The proposal still is not truly global” She contends that the developing countries must have “specific scheduled” commitments to reduce emissions. Gail McDonald , president of the Global Climate Coalition said, “It’s worth repeating that American families can expect to pay at least $2,000 a year by 2010 if these efforts to reduce energy are implemented.” Both the subsidies and the trading scheme that Clinton proposed “ultimately must be paid for by American consumers and taxpayers,” McDonald said.
George Yates of the Independent Petroleum Association of America, representing 5,000 crude oil and natural gas producers, commented, “It is the president’s responsibility to study this issue exhaustively before sacrificing thousands of jobs and spending billions in taxpayer dollars.” And the U.S. Chamber of Commerce stated that it “would not support any international global climate plan that is unfair to American business or results in substantial job losses, hidden taxes, or higher energy costs” (BNA Daily Environment Report, October 23, 1997).
Kevin Fay, executive director of the International Climate Change Partnership, an industry group who hopes to make money on emission trading, lamented the administration’s focus on targets and timetables. “It appears,” said Fay, “that the recent administration focus has been on the target and timetable [issue].” The “sensible, market-based frameworkis crumbling around us,” Fay said (BNA Daily Environment Report, October 22, 1997).
Foreign Reactions to U.S. Proposal
Dominique Voynet, French minister of environment and territorial development attacked the U.S. proposal as “a step backward” and “not up to the challenge at hand.” The European Union’s (EU) greenhouse gas reduction proposal “remains the only realistic starting point,” Voynet said. France has agreed to a 5 percent emissions reduction below 1990 levels by 2010 under the EU plan which calls for a 15 percent reduction for the EU as a unit (BNA Daily Environment Report, October 24, 1997).
Spokesman for the European Commission Peter Jorgensen said that the “U.S. is shirking its global responsibility to counter climate change.” The U.S., argued Jorgensen, is backtracking on the agreement it made in 1992 to reduce emissions to 1990 levels by 2000. According to Jorgensen, “it is totally inadequate and downright irresponsible” (BNA Daily Environment Report, October 23, 1997).
Regarding the U.S. position on developing nation participation the European Union’s Environment Commissioner Ritt Bjerregaard said, “We do not share the view as voiced by the U.S. that developing countries should also make cuts. The U.S. and other industrialized countries have a moral responsibility to make a commitment first. After we do that, then we can discuss the issue with developing countries” (BNA Daily Environment Report, October 20, 1997).
News from Bonn
As has become tradition at United Nations conferences the U.S., according to one source, “has come under extraordinary criticism” for its negotiating position. The biggest surprise to come from the Bonn conference is the newly proposed position of the G-77 developing countries. They are calling for a 35 percent reduction below 1990 levels by 2020.
More significantly, they are calling for the creation of a foreign aid fund to be financed by the industrialized countries. If the industrialized countries fail to meet their emission reduction targets the fund will be used to compensate the developing countries for the social, environmental and economic damage that might occur from climate change.
The G-77 has also made it clear that it will not accept a protocol that commits them to targets and timetables, nor a protocol that requires them to participate in joint implementation or emission trading schemes. It appears that negotiations are in total disarray.
Carbon Free Military?
President Clinton’s pledge to “lead by example” by requiring federal agencies to reduce greenhouse gas emissions has some national defense analysts alarmed. In a Wall Street
Journal (October 16, 1997) op-ed, Frank Gaffney of the Center for Security Policy warns that restrictions on fossil fuel use would cause serious damage to the readiness of U.S. military forces. According to a memo by Deputy Undersecretary of Defense for Environmental Security Sherri Goodman, a 10 percent reduction in military fuel use would result in “unacceptable impacts on national security.” Such a reduction would lead to the loss of 328,000 miles per year from tank training exercises for the Army, 2,000 steaming days per year from the Navy’s training and operations for deployed ships, and 210,000 flying hours per year for the Air Force, severely affecting the readiness of the armed forces.
Ms. Goodman’s memo proposes a “national security waiver” which “should address military tactical and strategic systems used in training to support readiness or in support of national security, humanitarian activities, peace keeping peace enforcement and United Nation’s actions.” Though the military could do without humanitarian, peace keeping and United Nation’s actions, the nation cannot do without a strong national defense.
Other International News
In response to demands from the European Union and the United States, Japan has agreed to revise its proposal from regulating three greenhouse gases, carbon dioxide, methane, and nitrous oxide, to six, adding hydrofluoroocarbons, perfluorocarbons, and sulfur hexafluoride. Japan will begin by regulating the first three gases and then after “a certain period” will take measure the reduce the other three gases (BNA Daily Environment Report, October 22, 1997).
The European branch of the Global Legislators for a Balanced Environment has threatened to organize a consumer boycott of American oil producers and automobile manufacturers is they succeed in preventing an agreement to reduce greenhouse gas emissions in Kyoto. The threat is in response to a television advertising campaign, sponsored by an industry coalition, which opposes an agreement to restrict energy use in the industrialized countries (BNA Daily Environment Report, October 20, 1997).
The European Union says that it is not prepared to act unilaterally on climate change. Jurgen Henningsen, director of the European Commission’s Environmental Directorate, said at a briefing that “We aren’t about to shoot ourselves in the foot and put our industries at a competitive disadvantage” (BNA Daily Environment Report, October 27, 1997). Of course, the EU proposal is designed to do just that to the other industrialized countries.