Economy

Operationalizing the net-negative carbon economy – Nature.com

Published

3 years ago

July 8, 2021

Abstract

The remaining carbon budget for limiting global warming to 1.5°C will likely be exhausted within this decade^1,2. Carbon debt³ generated thereafter will need to be compensated by net negative emissions⁴. However, economic policy instruments to guarantee potentially very costly net carbon-dioxide removal (CDR) have not yet been devised. Here, we propose intertemporal instruments to provide the basis for widely applied carbon taxes and emission trading systems to finance a net negative carbon economy⁵. We investigate an idealized market approach to incentivize repayment of previously accrued carbon debt by establishing emitters’ responsibility for net carbon removal through ‘Carbon Removal Obligations’ (CROs). Inherent risks, such as the default risk of carbon debtors, are addressed by pricing atmospheric CO₂ storage through interest on carbon debt. In contrast to the prevailing literature on emission pathways, we find that interest payments for CROs induce substantially more ambitious near-term decarbonization complemented by earlier and less aggressive deployment of CDR. We conclude that CROs will need to become an integral part of the global climate policy mix if we are to ensure the viability of ambitious climate targets and an equitable distribution of mitigation efforts across generations.

.readcube-buybox display: none !important;

Access options

/* style specs start */
styledisplay:none!important.LiveAreaSection-193358632 *align-content:stretch;align-items:stretch;align-self:auto;animation-delay:0s;animation-direction:normal;animation-duration:0s;animation-fill-mode:none;animation-iteration-count:1;animation-name:none;animation-play-state:running;animation-timing-function:ease;azimuth:center;backface-visibility:visible;background-attachment:scroll;background-blend-mode:normal;background-clip:borderBox;background-color:transparent;background-image:none;background-origin:paddingBox;background-position:0 0;background-repeat:repeat;background-size:auto auto;block-size:auto;border-block-end-color:currentcolor;border-block-end-style:none;border-block-end-width:medium;border-block-start-color:currentcolor;border-block-start-style:none;border-block-start-width:medium;border-bottom-color:currentcolor;border-bottom-left-radius:0;border-bottom-right-radius:0;border-bottom-style:none;border-bottom-width:medium;border-collapse:separate;border-image-outset:0s;border-image-repeat:stretch;border-image-slice:100%;border-image-source:none;border-image-width:1;border-inline-end-color:currentcolor;border-inline-end-style:none;border-inline-end-width:medium;border-inline-start-color:currentcolor;border-inline-start-style:none;border-inline-start-width:medium;border-left-color:currentcolor;border-left-style:none;border-left-width:medium;border-right-color:currentcolor;border-right-style:none;border-right-width:medium;border-spacing:0;border-top-color:currentcolor;border-top-left-radius:0;border-top-right-radius:0;border-top-style:none;border-top-width:medium;bottom:auto;box-decoration-break:slice;box-shadow:none;box-sizing:border-box;break-after:auto;break-before:auto;break-inside:auto;caption-side:top;caret-color:auto;clear:none;clip:auto;clip-path:none;color:initial;column-count:auto;column-fill:balance;column-gap:normal;column-rule-color:currentcolor;column-rule-style:none;column-rule-width:medium;column-span:none;column-width:auto;content:normal;counter-increment:none;counter-reset:none;cursor:auto;display:inline;empty-cells:show;filter:none;flex-basis:auto;flex-direction:row;flex-grow:0;flex-shrink:1;flex-wrap:nowrap;float:none;font-family:initial;font-feature-settings:normal;font-kerning:auto;font-language-override:normal;font-size:medium;font-size-adjust:none;font-stretch:normal;font-style:normal;font-synthesis:weight style;font-variant:normal;font-variant-alternates:normal;font-variant-caps:normal;font-variant-east-asian:normal;font-variant-ligatures:normal;font-variant-numeric:normal;font-variant-position:normal;font-weight:400;grid-auto-columns:auto;grid-auto-flow:row;grid-auto-rows:auto;grid-column-end:auto;grid-column-gap:0;grid-column-start:auto;grid-row-end:auto;grid-row-gap:0;grid-row-start:auto;grid-template-areas:none;grid-template-columns:none;grid-template-rows:none;height:auto;hyphens:manual;image-orientation:0deg;image-rendering:auto;image-resolution:1dppx;ime-mode:auto;inline-size:auto;isolation:auto;justify-content:flexStart;left:auto;letter-spacing:normal;line-break:auto;line-height:normal;list-style-image:none;list-style-position:outside;list-style-type:disc;margin-block-end:0;margin-block-start:0;margin-bottom:0;margin-inline-end:0;margin-inline-start:0;margin-left:0;margin-right:0;margin-top:0;mask-clip:borderBox;mask-composite:add;mask-image:none;mask-mode:matchSource;mask-origin:borderBox;mask-position:0% 0%;mask-repeat:repeat;mask-size:auto;mask-type:luminance;max-height:none;max-width:none;min-block-size:0;min-height:0;min-inline-size:0;min-width:0;mix-blend-mode:normal;object-fit:fill;object-position:50% 50%;offset-block-end:auto;offset-block-start:auto;offset-inline-end:auto;offset-inline-start:auto;opacity:1;order:0;orphans:2;outline-color:initial;outline-offset:0;outline-style:none;outline-width:medium;overflow:visible;overflow-wrap:normal;overflow-x:visible;overflow-y:visible;padding-block-end:0;padding-block-start:0;padding-bottom:0;padding-inline-end:0;padding-inline-start:0;padding-left:0;padding-right:0;padding-top:0;page-break-after:auto;page-break-before:auto;page-break-inside:auto;perspective:none;perspective-origin:50% 50%;pointer-events:auto;position:static;quotes:initial;resize:none;right:auto;ruby-align:spaceAround;ruby-merge:separate;ruby-position:over;scroll-behavior:auto;scroll-snap-coordinate:none;scroll-snap-destination:0 0;scroll-snap-points-x:none;scroll-snap-points-y:none;scroll-snap-type:none;shape-image-threshold:0;shape-margin:0;shape-outside:none;tab-size:8;table-layout:auto;text-align:initial;text-align-last:auto;text-combine-upright:none;text-decoration-color:currentcolor;text-decoration-line:none;text-decoration-style:solid;text-emphasis-color:currentcolor;text-emphasis-position:over right;text-emphasis-style:none;text-indent:0;text-justify:auto;text-orientation:mixed;text-overflow:clip;text-rendering:auto;text-shadow:none;text-transform:none;text-underline-position:auto;top:auto;touch-action:auto;transform:none;transform-box:borderBox;transform-origin:50% 50% 0;transform-style:flat;transition-delay:0s;transition-duration:0s;transition-property:all;transition-timing-function:ease;vertical-align:baseline;visibility:visible;white-space:normal;widows:2;width:auto;will-change:auto;word-break:normal;word-spacing:normal;word-wrap:normal;writing-mode:horizontalTb;z-index:auto;-webkit-appearance:none;-moz-appearance:none;-ms-appearance:none;appearance:none;margin:0.LiveAreaSection-193358632width:100%.LiveAreaSection-193358632 .login-option-buyboxdisplay:block;width:100%;font-size:17px;line-height:30px;color:#222;padding-top:30px;font-family:Harding,Palatino,serif.LiveAreaSection-193358632 .additional-access-optionsdisplay:block;font-weight:700;font-size:17px;line-height:30px;color:#222;font-family:Harding,Palatino,serif.LiveAreaSection-193358632 .additional-login>li:not(:first-child)::beforetransform:translateY(-50%);content:”;height:1rem;position:absolute;top:50%;left:0;border-left:2px solid #999.LiveAreaSection-193358632 .additional-login>li:not(:first-child)padding-left:10px.LiveAreaSection-193358632 .additional-login>lidisplay:inline-block;position:relative;vertical-align:middle;padding-right:10px.BuyBoxSection-683559780display:flex;flex-wrap:wrap;flex:1;flex-direction:row-reverse;margin:-30px -15px 0.BuyBoxSection-683559780 .box-innerwidth:100%;height:100%.BuyBoxSection-683559780 .readcube-buyboxbackground-color:#f3f3f3;flex-shrink:1;flex-grow:1;flex-basis:255px;background-clip:content-box;padding:0 15px;margin-top:30px.BuyBoxSection-683559780 .subscribe-buyboxbackground-color:#f3f3f3;flex-shrink:1;flex-grow:4;flex-basis:300px;background-clip:content-box;padding:0 15px;margin-top:30px.BuyBoxSection-683559780 .title-readcubedisplay:block;margin:0;margin-right:20%;margin-left:20%;font-size:24px;line-height:32px;color:#222;padding-top:30px;text-align:center;font-family:Harding,Palatino,serif.BuyBoxSection-683559780 .title-buyboxdisplay:block;margin:0;margin-right:29%;margin-left:29%;font-size:24px;line-height:32px;color:#222;padding-top:30px;text-align:center;font-family:Harding,Palatino,serif.BuyBoxSection-683559780 .title-asia-buyboxdisplay:block;margin:0;margin-right:5%;margin-left:5%;font-size:24px;line-height:32px;color:#222;padding-top:30px;text-align:center;font-family:Harding,Palatino,serif.BuyBoxSection-683559780 .asia-linkcolor:#069;cursor:pointer;text-decoration:none;font-size:1.05em;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;line-height:1.05em6.BuyBoxSection-683559780 .access-readcubedisplay:block;margin:0;margin-right:10%;margin-left:10%;font-size:14px;color:#222;padding-top:10px;text-align:center;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;line-height:20px.BuyBoxSection-683559780 .access-asia-buyboxdisplay:block;margin:0;margin-right:5%;margin-left:5%;font-size:14px;color:#222;padding-top:10px;text-align:center;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;line-height:20px.BuyBoxSection-683559780 .access-buyboxdisplay:block;margin:0;margin-right:30%;margin-left:30%;font-size:14px;color:#222;opacity:.8px;padding-top:10px;text-align:center;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;line-height:20px.BuyBoxSection-683559780 .price-buyboxdisplay:block;font-size:30px;color:#222;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;padding-top:30px;text-align:center.BuyBoxSection-683559780 .price-fromfont-size:14px;padding-right:10px;color:#222;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;line-height:20px.BuyBoxSection-683559780 .issue-buyboxdisplay:block;font-size:13px;text-align:center;color:#222;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;line-height:19px.BuyBoxSection-683559780 .no-price-buyboxdisplay:block;font-size:13px;line-height:18px;text-align:center;padding-right:10%;padding-left:10%;padding-bottom:20px;padding-top:30px;color:#222;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif.BuyBoxSection-683559780 .vat-buyboxdisplay:block;margin-top:5px;margin-right:20%;margin-left:20%;font-size:11px;color:#222;padding-top:10px;padding-bottom:15px;text-align:center;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;line-height:17px.BuyBoxSection-683559780 .button-containerdisplay:block;padding-right:20px;padding-left:20px.BuyBoxSection-683559780 .button-container>a:hover,.Button-505204839:hover,.Button-1078489254:hovertext-decoration:none.BuyBoxSection-683559780 .readcube-buttonbackground:#fff;margin-top:30px.BuyBoxSection-683559780 .button-asiabackground:#069;border:1px solid #069;border-radius:0;cursor:pointer;display:block;padding:9px;outline:0;text-align:center;text-decoration:none;min-width:80px;margin-top:75px.BuyBoxSection-683559780 .button-label-asia,.ButtonLabel-3869432492,.ButtonLabel-3296148077display:block;color:#fff;font-size:17px;line-height:20px;font-family:-apple-system,BlinkMacSystemFont,”Segoe UI”,Roboto,Oxygen-Sans,Ubuntu,Cantarell,”Helvetica Neue”,sans-serif;text-align:center;text-decoration:none;cursor:pointer.Button-505204839,.Button-1078489254background:#069;border:1px solid #069;border-radius:0;cursor:pointer;display:block;padding:9px;outline:0;text-align:center;text-decoration:none;min-width:80px;margin-top:10px.Button-505204839 .readcube-label,.Button-1078489254 .readcube-labelcolor:#069
/* style specs end */

Rent or Buy article

Get time limited or full article access on ReadCube.

from$8.99

Rent or Buy

All prices are NET prices.

Author information

Affiliations

International Institute for Applied Systems Analysis (IIASA), Laxenburg, Austria

Johannes Bednar, Michael Obersteiner, Artem Baklanov, Fabian Wagner & Oliver Geden
School of Geography and the Environment, University of Oxford, Oxford, UK

Johannes Bednar, Michael Obersteiner, Myles Allen & Jim W. Hall
HSE University, St. Petersburg, Russian Federation

Artem Baklanov
National Center for Ecological Analysis and Synthesis (NCEAS), University of California, Santa Barbara, CA, USA

Marcus Thomson
German Institute for International and Security Affairs, Berlin, Germany

Oliver Geden

Authors

Johannes Bednar

View author publications

You can also search for this author in
PubMed Google Scholar
Michael Obersteiner

View author publications

You can also search for this author in
PubMed Google Scholar
Artem Baklanov

View author publications

You can also search for this author in
PubMed Google Scholar
Marcus Thomson

View author publications

You can also search for this author in
PubMed Google Scholar
Fabian Wagner

View author publications

You can also search for this author in
PubMed Google Scholar
Oliver Geden

View author publications

You can also search for this author in
PubMed Google Scholar
Myles Allen

View author publications

You can also search for this author in
PubMed Google Scholar
Jim W. Hall

View author publications

You can also search for this author in
PubMed Google Scholar

Corresponding author

Correspondence to
Johannes Bednar.

Supplementary information

Supplementary Information

This file contains a graphical representation of all 2°C (RCP2.6) emission pathways discussed in the Results (specifically in Figure 3).

Supplementary Data

This file contains the data of all 2°C (RCP2.6) pathways discussed in the Results as Excel sheet.

Supplementary Information

SI1.3 contains a graphical representation of all 1.5°C (RCP1.9) emission pathways discussed in the Results (specifically in Figure 4 and Extended Data Figures 7-9).

Supplementary Data

This file contains the data of all 1.5°C (RCP1.9) pathways discussed in the Results as Excel sheet.

Supplementary Information

This file contains a graphical representation of the marginal abatement cost (MAC) curves used in the numerical model of this study. The parameters of the MAC curves can be retrieved with the R package provided for using the numerical model.

Supplementary Information

This file illustrates carbon prices from the SSP scenarios compared to carbon prices and MAC from the numerical model of this study.

Supplementary Information

This file illustrates consumption loss and GDP loss from the SSP scenarios compared to abatement costs from the numerical model of this study.

Supplementary Information

This file illustrates net emissions from the SSP scenarios compared to net emissions from the numerical model of this study.

Supplementary Information

This file contains the analytical methods necessary to derive equation [16] in the Methods section.

Rights and permissions

Reprints and Permissions

About this article

Cite this article

Bednar, J., Obersteiner, M., Baklanov, A. et al. Operationalizing the net-negative carbon economy.
Nature (2021). https://doi.org/10.1038/s41586-021-03723-9

Download citation

Received: 12 December 2019
Accepted: 09 June 2021
Published: 08 July 2021
DOI: https://doi.org/10.1038/s41586-021-03723-9

Adblock test (Why?)

Source link

Economy

S&P/TSX composite gains almost 100 points, U.S. stock markets also higher

Published

16 hours ago

September 13, 2024

Anne Joseph

TORONTO – Strength in the base metal and technology sectors helped Canada’s main stock index gain almost 100 points on Friday, while U.S. stock markets also climbed higher.

The S&P/TSX composite index closed up 93.51 points at 23,568.65.

In New York, the Dow Jones industrial average was up 297.01 points at 41,393.78. The S&P 500 index was up 30.26 points at 5,626.02, while the Nasdaq composite was up 114.30 points at 17,683.98.

The Canadian dollar traded for 73.61 cents US compared with 73.58 cents US on Thursday.

The October crude oil contract was down 32 cents at US$68.65 per barrel and the October natural gas contract was down five cents at US$2.31 per mmBTU.

The December gold contract was up US$30.10 at US$2,610.70 an ounce and the December copper contract was up four cents US$4.24 a pound.

This report by The Canadian Press was first published Sept. 13, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

Source link

Economy

Statistics Canada reports wholesale sales higher in July

Published

23 hours ago

September 13, 2024

Anne Joseph

OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.

The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.

The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.

The personal and household goods subsector fell 2.5 per cent to $12.1 billion.

In volume terms, overall wholesale sales rose 0.5 per cent in July.

Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.

This report by The Canadian Press was first published Sept. 13, 2024.

Source link

Economy

S&P/TSX composite up more than 150 points, U.S. stock markets mixed

Published

2 days ago

September 12, 2024

Anne Joseph

TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in the base metal and energy sectors, while U.S. stock markets were mixed.

The S&P/TSX composite index was up 172.18 points at 23,383.35.

In New York, the Dow Jones industrial average was down 34.99 points at 40,826.72. The S&P 500 index was up 10.56 points at 5,564.69, while the Nasdaq composite was up 74.84 points at 17,470.37.

The Canadian dollar traded for 73.55 cents US compared with 73.59 cents US on Wednesday.

The October crude oil contract was up $2.00 at US$69.31 per barrel and the October natural gas contract was up five cents at US$2.32 per mmBTU.

The December gold contract was up US$40.00 at US$2,582.40 an ounce and the December copper contract was up six cents at US$4.20 a pound.

This report by The Canadian Press was first published Sept. 12, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

Source link