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Are we carbon accountable?

By Brendan John Worrell (chinadaily.com.cn)
Updated: 2009-02-23 16:52

In recent weeks several key events have taken, or will be taking place, regarding the fight to tackle climate change and pollution.

The first was convened on Wednesday at the Cheung Kong Graduate School of Business in Beijing, a seminar presented by Frank Joshua, a leading figure in global climate change and carbon trading. This night he revealed that in only four years the trade in carbon credits had hit US$125 billion by 2008, heralding the fastest explosion of any commodity market in history!

His parting remark, lapped up by the young entrepreneurs on hand, sitting next to an already well-heeled ambassadorial delegation of varying nationalities, was that if you had some cash to splurge in this time of tight credit, you may well consider contemplating putting some of that into the current carbon trade market, particularly that which is emerging here in China.

With almost three decades of experience in this virtual silent growth industry, Joshua's journey through the origins of carbon credit trading, its current status and its future prospects was a fitting prelude to Hillary Clinton's visit over the weekend - our next significant climate/carbon event.

Nevertheless, this tidal wave of activity that's galvanizing the world's scientists, economists and political leaders is still being met by a surprising disinterest from the general public. Highlighting our collective ignorance Joshua asked the crowd, "How many of you have actually held and read the Kyoto Protocol?"

The response was bizarre, like a methane emission permeating across the floor. This odor was a mist of guilt that swept through the audience, through members who take their health and wealth seriously but on this occasion whose dissonance and ignorance was undeniable and in public. He'd shamed us and made us carbon accountable and his job has just begun.

Now's the time to take this knowledge and start feeding it to the masses - this science and economy, this market and its policies, with its assorted array of baffling acronyms, is at times so disconcerting it’s no wonder no one is interested. How can you make climate change sexy? Like learning Chinese, with its various tones and script, one needs to acquire a sense for CDMs, Clean Development Mechanisms, CER's Carbon Emissions Reductions and GHG’s, Greenhouse Gases.

This done, we then need to proceed and improve our geography and understand what each place represents in terms of climate policy - becoming familiar with locations like Rio, Kyoto, Marrakesh, Potsdam, Bali, and Copenhagen.

Fortunately with US Secretary of State Hillary Clinton just departing where she ear-marked her administration's intent for jointly tackling global warming in partnership with China, the countdown to Denmark in December just got that more, shall we say, climatic. Such tension is no doubt critical, for as Joshua noted, it was the previous Bush administration's lack of interest and other miscreant governments like Australia's that compelled the Europeans to take the baton, to the extent that they now dominate the field. More importantly, the private sector has stepped up to the challenge, through corporate social responsibility and the quest to be carbon neutral.

The beauty of this evolution, where a market mechanism has been able to leverage large sums of capital to mitigate global warming via reductions in carbon emissions, is incredibly timely and unprecedented. Leadership and consistency will remain essential though if we are to move to the next stage and continue to make policy that is workable for the developing world.

Clinton speaking of clean energy at the General Electrics Taiyanggong Thermal Power Plant over the weekend did generate hope, purpose and some direction. At the same time Obama in Canada was mentioning to his counterpart PM Harper the need for a clean energy dialogue away from “Alberta oil sands and American coal”.

So onto another key event, mentioned last week in the Atlantic Monthly, was the release of a joint report by the Asia Society and the Pew Center titled, "A road map for US China Cooperation on Energy and Climate Change," and within this a blueprint and set of recommendations for both governments and industry to work towards. The report suggests climate engagement may help to minimize security tensions which ultimately, may then also free up funds to invest further in cleaner energy creation and the de-carbonization of heavy polluting sectors like steel and cement.

In this light, and onto our final key event for now comes China's largest Carbon Conference, Carbon Trade China 2009, running from April 21-23, here in Beijing. Expecting to attract a huge field, it promises to facilitate "deep communication between buyers and sellers". And for an industry still in its infancy, though already so financially, and environmentally rewarding, now just may be the time to be making ourselves more carbon accountable.