EDF Warns MPs Carbon Trading Scheme is a Failure

www.edfenergy.com

Earlier this week, the EDF warned MPs that the European carbon trading scheme will not help to cut power sector emissions. Simply put, they told the MPs that this new system would not help the UK to meet its emission reduction target.

The EDF went on to to tell an environmental audit committee that the UK carbon market reduction of 80% would not be reached by 2050. They went on to say that, for this to happen, full de-carbonization would have to take place in the power industry by 2030.

Humphrey Cadoux Hudon, the managing director of the new nuclear building at EDF agreed with the claims as well. He stated that what it needs is a set of rules that will create a market that can allow companies to create low carbon technology.

However, carbon trading is the key mechanism in reducing emissions. Experts say that carbon trading will be the central to discussions that take place at the UN climate change summit later this year.

Of course, there are other problems that have been dealing blows to the carbon trading system. First is the global recession, which has played a role in sending the price of carbon plummeting from €31 to €8. The trading system was set up to help increase the price of carbon, and thus, lowering the amount of it being used.

Another issue that has come up in Phase I was the oversupply of trading permits. This allowed companies that emit less carbon to sell off their permits to other over-polluters who needed to release more carbon.

For more information visit: www.edfenergy.com