Monday, June 04, 2007

A Real Carbon Tax

Tim Haab is a very bright guy, but may have a lot to learn about global Politics. Heavy Emitters will always claim Carbon Emissions Caps are too stringent, and will never settle for mandatory limits to be enforced; they will simply deny their level of Emissions, and will continue on with their development plans. Proof of excess Emissions could well be scientifically established, without ever gaining a diplomatic admission. This is the real inhibiting factor in setting Caps.

My Solution comes in an Carbon Tax, but One which is enforceable. There must first be passage of a multinational treaty which hopes to include all nations, but will only require Participation in the Treaty obligations. The Treaty will establish an International Fund to finance technological development of safe Carbon Emissions technology, and provide infrastructure funding for the Changeover. Signatories would be obligated to pay a Carbon Emissions Tax on all Emissions above a certain level; the Tax paid would be a two-level taxation, one for Developed nations, and the other for Developing nations. Carbon Emissions levels will set by the average of the lowest One-Third of Emitting nations based upon a measure of per 10,000 inhabitants; any Nation exceeding this emission level will have to pay the Tax, based upon emissions by a percentage increase per 10,000 inhabitants. Each percentage over the Average will be charged the Tax at set rates per 10,000 inhabitants annually.

The real guts of the Treaty will be in Signatory Agreement not to Import or Export to any nation, Signatory or not, who does not pay their share of Carbon Tax into the Fund. Economists will immediately certify that funding for the Fund will be unimpeded, and the economic Incentive will be present to concentrate on Carbon Emissions technology for purposes of Emissions reduction. Reality states that initial Carbon Emissions taxation will be quite low, but that this will not remove the economic Incentive to develop Carbon Emission Reduction technology, and that the Carbon Emissions taxation will increase over Time once the Structure of the Treaty and Fund are in place. Long-term Carbon sequestration and development of non-Carbon fuel sources will only increase in value with global development, and this may be the best place to start. lgl

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