From James Bruges
Carbon trading can be counterproductive, as Fred Pearce notes (19 April, p 38). Taxes are also a poor way to control emissions effectively because they would have to vary so much between periods of boom and recession (17 May, p 22 and 7 June, p 22). A more realistic approach is being considered by Ireland for its transport sector.
Under “cap and share”, companies cannot sell fossil fuels without buying and surrendering permits that are distributed equally to all adults in the country. The quantity of permits distributed controls the amount of fuel sold – reducing annually to a sustainable level. People are compensated for the rise in the cost of living out of energy companies’ profits.
This scheme would require fossil fuel extractors to bid for permits from ordinary people. Some of their profits would be redistributed. Countries with a large poor population would benefit most. I am sceptical of top-down global schemes, but this approach can be tested in one sector of a small country and gradually work its way up.
Bristol, UK
