The Story of Cap & Trade - A Solution To Climate Change?

The Story of Cap and Trade is all the talk at the Copenhagen Climate Change Summit as a viable solution to stem the tide of climate change and global warming.

Notwithstanding those who don't believe in the science of global warming, cap and trade is being heavily debated as a solution to the problem of climate change, There are lots of questions surrounding cap and trade. Is it the most reasonable solution to bring industry on board or is essentially a nod to a Wall Street, system where polluters are rewarded for not polluting ?

I have found it difficult to sort through all the noise surrounding cap and trade, until now. But first, a cap and trade primer courtesy of wikipedia 

A central authority (usually a governmental body) sets a limit or cap on the amount of a pollutant that can be emitted. Companies or other groups are issued emission permits and are required to hold an equivalent number of allowances (or credits) which represent the right to emit a specific amount. The total amount of allowances and credits cannot exceed the cap, limiting total emissions to that level. Companies that need to increase their emission allowance must buy credits from those who pollute less. The transfer of allowances is referred to as a trade. In effect, the buyer is paying a charge for polluting, while the seller is being rewarded for having reduced emissions by more than was needed. Thus, in theory, those who can reduce emissions most cheaply will do so, achieving the pollution reduction at the lowest cost to society.[1]

Now, The anti cap and trade position is contained in a video which calls itself The story of cap trade, presented by Annie Leonard, who is most famously known for her documentary The Story of Stuff.

Videos

The Story of Cap & Trade

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sourced by Sudha Krishna

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  Created by Sudha Krishna | add comment

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  Created by Sudha Krishna | add comment

The pro cap and trade is presented by David Doniger, the NRDC policy director based in Washington D.C. Doniger says cap and trade is a realistic, essential first step in dealing with climate change.

What follows are two clearly articulated positions on cap and trade. Both by respected by respected people in the field, both raise extremely valid points on Cap and Trade.

Watch the video and then read David Doniger's blog post in that order - it will make more sense.

So is the cap and trade a viable solution to climate change and global warming? Check out both the Donger and the video and decide for yourself.