Frances Chapman's Climate Chronicles

Launch of Carbon Market Lost in the Wall Street Meltdown

Launch of Carbon Market Lost in the Wall Street Meltdown

Last Thursday a brand new regional carbon trading market had its first auctions. The effort by 10 northeastern states to put a price on carbon emissions ought to have been big news, but the troubles of another bigger market wiped the debut of the Regional Greenhouse Gas Initiative off the news pages. Phil Adams, of World Energy, the guy running the long-awaited auction for the 10 participating states complained, somewhat like a dad after a disappointing debutante ball:

The 10 states should be applauded for coming up with a regional solution. It would have made more headlines if not for the financial meltdown on Wall Street.

Environmentalists and people trying to build competitive businesses in renewable energy can’t even get a genteel round of applause for this step forward. It may be, the very idea of the market, any market, is just too painful an idea in a troubled time, and a low profile is for the best. Some kinds of markets do push the concept too far, as when the Pentagon proposed a futures market for predicting terrorist attacks. (Yes, there is something worse to trade than mortgage-backed securities.) That idea was quickly shut down in the face of moral outrage.

Take Over ExxonMobil Instead

Take Over ExxonMobil Instead

The Federal government is acquiring an investment portfolio that resembles my own—all losers, no winners. Why can’t the government take over a profitable company for a change and maybe help solve climate turmoil at the same time?

A suggestion: Take over ExxonMobil.

But that’s socialism, you object. That’s what Hugo Chavez did. Some would say he was just putting “Country First,” protecting his country’s resources. We can debate that later, but until we do, keep in mind national oil companies manage over 90% of the world’s oil, and 16 of the 20 largest oil companies in the world are state owned or controlled.