Comments due by Dec. 5, 2014
This space is open to the general public but is primarily intended for the use of students taking Economics 310 at Pace University. All the posts will be about one aspect or another of Environmental economics. Students are encouraged to respond to the comments of their colleagues but all comments are expected to be civil and to reflect that the writer has given the article in question some serious thought.
Monday, November 26, 2018
The Rise and Fall of Ecological Economics
Comments due by Dec. 5, 2014
Sunday, November 18, 2018
Is Fashion a "disease of the mind"?
Comments due by Nov. 25, 2018
Fashion revolves around the latest trends but is the industry behind the curve on the only trend that ultimately matters - the need to radically alter our patterns of consumption to ensure the survival of the planet.
The fashion industry produces 20 per cent of global
wastewater and 10 per cent of global carbon emissions - more than all
international flights and maritime shipping. Textile dyeing is the second
largest polluter of water globally and it takes around 2,000 gallons of
water to make a typical pair of jeans.
Every second, the equivalent of one garbage truck of
textiles is landfilled or burned. If nothing changes, by 2050 the fashion
industry will use up a quarter of the world’s carbon budget. Washing
clothes also releases half a million tonnes of microfibres into the
ocean every year.Then there is the human cost: textile workers are often paid
derisory wages and forced to work long hours in appalling conditions. But with
consumers increasingly demanding change, the fashion world is finally
responding with A-listers, like Duchess Meghan Markle, leading the way
with their clothing choices and designers looking to break the take-make-waste
model.
“Most fashion retailers now are doing something about
sustainability and have some initiatives focused on reducing fashion’s negative
impact on the environment,” says Patsy Perry, senior lecturer in fashion
marketing at the University of Manchester. For example, last year, Britain’s
Stella McCartney teamed up with the Ellen MacArthur Foundation to launch a
report on redesigning fashion’s future.“However, there is still a fundamental
problem with the fast fashion business model where revenues are based on
selling more products, and therefore retailers must constantly offer new
collections. It would be unrealistic to expect consumers to stop shopping on a
large scale, so going forward, I would expect to see more development and wider
adoption of more sustainable production methods such as waterless dyeing, using
waste as a raw material, and development of innovative solutions to the textile
waste problem,” she says.
Pioneering solutions to address environmental challenges will be
at the heart of the fourth UN Environment
Assembly next March. The meeting’s motto is to think beyond
prevailing patterns and live within sustainable limits—a message that will
resonate with fashion designers and retailers seeking to reform their industry.At
the March meeting, UN Environment will formally launch the UN Alliance on
Sustainable Fashion to encourage the private sector,
governments and non-governmental organizations to create an industry-wide push
for action to reduce fashion’s negative social, economic and environmental
impact and turn it into a driver for the implementation of the Sustainable
Development Goals.
Across the United Nations, agencies are working to make fashion
more sustainable, from the Food and
Agricultural Organization protecting arable land, to the Ethical Fashion
Initiative set up by the International Trade Centre to the work
of UN Environment in fostering sustainable
manufacturing practices.
And some entrepreneurs are already designing the fashion of the
future:
·
Spain’s Ecoalf creates shoes from algae and
recycled plastic as part of its Upcycling the Oceans collection. Founded
by Javier Goyeneche in 2012, Ecoalf collects ocean plastics from 33 ports and
turns the trash into shoes, clothing and bags.
·
In Amsterdam, GumDrop collects gum and turns it into a
new kind of rubber, Gum-tec, which is then used to make shoes in collaboration with marketing
group I Amsterdam and
fashion company Explicit. GumDrop
says around 3.3 million pounds of gum end up on Amsterdam’s paths every
year, costing millions of dollars to clean. It takes around 2.2 pounds of gum
to make four pairs of sneakers.
·
Outdoor gear
retailer Patagonia,
based in California, has been producing fleece jackets using polyester from
recycled bottles since 1993, working with Polartec, a Massachusetts-based textile
designer. Patagonia also encourages shoppers to buy only what they need,
and mends and recycles older items.
·
Gothenburg-based Nudie Jeans uses organic cotton for
its jeans and offers free repairs for life. Customers also get a discount if
they hand in their old jeans.
·
Cambodia-based Tonlé uses surplus fabric from mass
clothing manufacturers to create zero-waste fashion collections. It uses more
than 97 per cent of the material it receives and turns the rest into paper.
·
In the
Netherlands, Wintervacht turns
blankets and curtains into coats and jackets. Designers Yoni van Oorsouw and
Manon van Hoeckel find their raw materials in secondhand shops and sorting
facilities where donations are processed. San Francisco- and Bali-based Indosole turns
discarded tyres in Indonesia into shoes, sandals and flip-flops, while Swiss
firm Freitag upcycles tarpaulins,
seat belts and bicycle inner tubes to make their bags and backpacks.
·
In New York, Queen of Raw connects designers,
architects and textile firms with dead stock of sustainable fabrics from
factories, brands and retailers. Queen of Raw says more than US$120 billion
worth of unused fabric sits in warehouses, waiting to be burned or buried.
·
Novel Supply, based in Canada, makes
clothes from natural and organic fabrics and is developing a take-back
programme to find alternative ways to use garments at the end of their life.
For founder Kaya Dorey, winner of UN Environment’s
Young Champion of the Earth award in 2017, the aim is to create
a zero-waste, closed-loop fashion model.
·
Retailer H&M has
a successful garment collection scheme and in October, lifestyle
brand and jeans manufacturer Guess said
it was teaming up with i:Collect,
which collects, sorts and recycles clothes and footwear worldwide, to launch a
wardrobe recycling programme in the US. Customers who bring in five or more
items of clothing or shoes, will receive discounts. Wearable items will be
recycled as secondhand goods, while unwearable items will be turned into new
products like cleaning cloths or made into fibres for products like insulation.
Some argue
that recycling is itself energy intensive and does not address our
throwaway culture—the number of times a garment is worn has declined by 36
per cent in 15 years. An alternative might be found in a viable
rental market for clothes. Pioneers in this field include Dutch firm Mud Jeans, which leases organic jeans
that can be kept, swapped or returned, Rent the Runway, Girl Meets Dress and YCloset in China.
“The rental model is clearly a winner for the higher end of the
market where consumers may have no intention of wearing an occasion dress more
than once… but at the lower end, it’s all too easy to go online and be able to
buy outright any trend or item,” says Perry. “For rental to be a success at
this market level, companies need to offer sufficient choice of brands and
styles that would engage consumers and tempt them away from outright purchase,
and the rental service needs to be smooth and faultless.”
Her best fashion advice? Less is always more.
“Keep your clothing in use for longer to reduce its
environmental footprint, as well as reducing the amount of new stuff you need
to buy and the consequent use of resources. This also reduces the impact of the
disposal of perfectly good but unwanted clothes.”
Monday, October 29, 2018
Economics of Fishing the High Seas
Comments due by Nov. 5, 2018
Globally, our estimates of high-seas fishing
profits (without accounting for subsidies) ranged between −$364 million and
+$1.4 billion . We estimated that governments subsidized high-seas fishing with
$4.2 billion in 2014, far exceeding the net economic benefit of fishing in the
high seas. This result suggests that without subsidies, high-seas fishing at
the global scale that we currently witness would be unlikely (at the aggregate
level), and that most of the negative returns accrue from China, Taiwan, and
Russia . Coupling our estimates of profits with country-level subsidies
suggests that subsidy-distorted high-seas profits range between $3.8 billion
and $5.6 billion.
We conducted these calculations spatially,
revealing that, even with subsidies and our lowest estimate of labor costs, 19%
of the currently fished high seas cannot be exploited profitably at current
rates . Assuming higher labor costs, and the fact that companies still receive
subsidies, the area of unprofitability jumps from 19 to 30%. Finally, without
subsidies and low wages to labor, the area of unprofitability shoots to 54%,
implying that without subsidies and/or low labor compensation, more than half
of the currently fished high-seas fishing grounds would be unprofitable at
present exploitation rates.
The
countries that provided the largest subsidies to their high-seas fishing fleets
are Japan (20% of the global subsidies) and Spain (14%), followed by China,
South Korea, and the United States . It is remarkable that in these cases, the
subsidies far exceed fishing profits, with the extreme being Japan, where
subsidies represent more than four times our estimate of their high-seas
profits. For 17 countries, contributing 53% of the total high-seas catch,
current extraction rates would not be profitable without government subsidies .
Among these countries, China and Taiwan alone account for 47% of the total
high-seas catch, which is significant. Whether subsidies enable profitability
or not, the magnitude of subsidies and the fact that many of these subsidies
lower the marginal cost of fishing suggest that high-seas fishing activity
could be markedly altered in their absence.
Targeting
mainly large mobile, high-value fishes such as tuna and sharks, are the most
profitable high-seas fisheries . All other fisheries are either barely
profitable or unprofitable. We estimate that deep-sea bottom trawling would not
be globally profitable at current rates without government subsidies, with
maximum annual losses of $230 million before subsidies. Similarly, squid
jiggers would be, on average, very unprofitable without subsidies, with maximum
annual losses estimated at $345 million.
By
and large, fishing the high seas is artificially propped up by an estimated
$4.2 billion in government subsidies (more than twice the value of the most
optimistic estimate of economic profit before subsidies are taken into
account). The economic benefits vary enormously between fisheries, countries,
and distance from port. On aggregate, current high-seas fishing by vessels from
China, Taiwan, and Russia would not be profitable without subsidies. This is
globally significant since these three countries alone account for 51% of the
total high-seas catch. Other countries exhibit annual profits ranging from
negligible to $250 million, which were increased substantially by subsidies
(for example, Japan, Korea, Spain, and the United States). Surface fisheries
for pelagic species such as tuna were profitable, whereas most other fisheries
barely broke even, and squid jigging (mostly concerning Chinese and Taiwanese
fleets) and deep-sea bottom trawling were generally unprofitable without
subsidies. Some national fisheries in specific regions were unprofitable even
after government subsidies are taken into account.
Overall,
we conjecture that fishing the high seas could become rational for the most
unprofitable fisheries due to a combination of factors including the following:
(i)
currently available catch data continue to
underrepresent real catches,
(ii)
vessels fish only part of the time in the high
seas and make most of the economic benefit from fishing in EEZs,
(iii)
government subsidies not accounted for in this
analysis,
(iv)
reduced costs because of unfair wages or forced
labor, and
(v)
reduced costs because of transshipment at sea.
There may be additional market factors that
are fishery-specific, that is, squid fishing by Chinese vessels in South
America. Our results suggest that this fishery is unprofitable, but over 100
Chinese squid jiggers amass in January at the limit of Argentina’s EEZ to catch
small Illex squid, before
Argentina opens the season inside its EEZ. The low stock size and high demand
for squid may allow Chinese companies fishing early in the season to charge
higher prices. To these factors, we could add geostrategic reasons, where
countries may fish in some regions as part of their long-term foreign policy
strategy, regardless of the economic benefit. Examples of this strategy have
been documented for Chinese and Russian fleets fishing in Antarctica.
(Science Advances June, 2018)
Monday, October 22, 2018
A Conversation with Nordhaus, the first Nobel for work in Environmental Economics.
Comments due by Oct. 29 , 2018
William
D. Nordhaus, the Yale economist who shared the Nobel in economic science this
week, has pointed words for some of the experiments so far with his theories on
taxing polluters to fight climate change.
“It was
a catastrophic failure in the European Union,” he said just days after not only
being awarded the Nobel, but also seeing his life’s work embraced in a landmark
United Nations assessment of the global threat of climate change. That
document, approved by more than 180 nations, described Professor Nordhaus’s
ideas as essential for slowing the carbon dioxide emissions that are rapidly
warming the atmosphere.
But in
other places around the world — notably, parts of Canada and South Korea —
politicians have adapted the idea in ways that not only show signs of working,
but that also reframe it not as a tax, but as a financial windfall for
taxpayers. Other governments, including China and some individual states in the
United States, are also testing different ways to force companies to pay to
pollute.
In short, the world is
becoming a laboratory for theories that Professor Nordhaus developed decades
ago, when global warming was an abstract future threat. By contrast, this
week’s United Nations report amounts to a stark warning of immediate risk.
The
report, from the Intergovernmental Panel on Climate Change, said that if
greenhouse gas emissions continued unabated, the atmosphere would warm up to
1.5 degrees Celsius, or 2.7 degrees Fahrenheit, by 2040, leading to irrevocable
damage including severe food shortages, coastal inundations and the
displacement of tens of millions of people as soon as 2040. If the planet keeps
warming to 2 degrees Celsius, or 3.6 degrees Fahrenheit, the effects could include
devastating floods and droughts and the permanent loss of the world’s coral
reefs.
The
Nobel, which Professor Nordhaus shared with the New York University economist
Paul M. Romer, was widely perceived as a rebuke to President Trump, who has
called climate change a hoax and sought to roll back the United States’
existing climate change policies. It is also seen as a broader challenge to
powerful Republican political voices in the United States, among them the
libertarian billionaire brothers Charles and David Koch and the anti-tax
activist Grover Norquist, who have attacked lawmakers who support a carbon tax,
making it among the most volatile ideas in American politics.
On
Wednesday, Professor Nordhaus discussed his carbon pricing theories and the
political landscape. The exchanges have been edited and trimmed.
Why is
carbon pricing seen as political poison in the United States?
It’s
been caught up in the politics, and it just happens that this particular policy
is one that has faced the wrath of a whole group of thinkers. Grover Norquist,
energy companies, it’s the Koch brothers and their foundations, it’s people
using fair tactics and foul tactics — it’s been caught up as one of the issues
in the Great Divide.
This anti-tax movement
has been so powerful and so harmful in the United States. There have been a
large number of conservative economists in the United States who have endorsed
the idea of a carbon tax.
Where has carbon pricing been
successful? Where has it failed?
We
learned with the European Union that once you go beyond the simple, idealized
version of carbon prices and into implementation, it’s a very different thing.
One of the things we found out: One of the problems with cap and trade [a
system in which governments place a cap on countries’ carbon-dioxide pollution
and companies then pay for, and trade, credits that permit them to
pollute] is that it is dependent on predicting what future emissions will
be. But if those projections are wrong, the system fails.
With
the E.U., their projected carbon emissions were high, but the actual carbon
emissions were low, and the carbon price fell drastically, from $30 to $40 per
ton down to single digits. So the price was so low it did not have an effect in
lowering emissions. It was flawed design. If the models had predicted too few
emissions, and the price had gone to $1,000 per ton we would have had a
different problem.The carbon tax has different problems, but not this one. The
price of carbon is independent of the amount of emissions.
When I
talk to people about how to design a carbon price, I think the model is British
Columbia. You raise electricity prices by $100 a year, but then the government
gives back a dividend that lowers internet prices by $100 year. In real terms,
you’re raising the price of carbon goods but lowering the prices of
non-carbon-intensive goods.
That’s
the model of how something like this might work. It would have the right
economic effects but politically not be so toxic. The one in British Columbia
is not only well designed but has been politically successful.
What
went wrong when President Obama tried to implement a carbon price in 2009?
I did not talk to Obama
about this directly, but I spoke with many of his advisers over the years. One
of my very, very few disappointments in Obama when he was president is that he
did not come out in favor of carbon tax. I’m sure he did the political calculus
on this. He should have come out and talked not just about climate change and
its dangers but how to use a carbon tax to fix it. He was a great speaker a
great educator but this is one where he let us down.
How
do you think a carbon tax could get bipartisan support? Things
change over the long run. What is toxic or opposed in one generation gradually
becomes accepted in the next. Social security took a long time. It was opposed
for many, many decades but since Reagan is has been widely accepted.
On
carbon taxes, people’s views have changed from being very hostile, to
conservative economists embracing this, to the I.P.C.C. saying, this is the
approach. I have to be hopeful that, if we continue to work on this, the public
will get there on the science, and make an exception to the toxicity of taxes.
It will help if it’s tied to something popular — if, as a result of the revenue
from a carbon tax, you get a check in the mail, or it funds health care.
In
terms of implementation, it’s not much more difficult to implement than a
gasoline tax. Gasoline taxes are very easy to implement.
But
gasoline taxes are also politically toxic. Only in this country! In
other countries, people are grown-up, and they can live with taxes. The problem
is political, rather than one of economics or feasibility. It’s because it’s
used as a weapon. At some point, I’m hopeful that grown-ups will take over and
we will do what is necessary. I hope so. If we don’t, then things will just get
worse and worse.
Sunday, October 14, 2018
Give up meat and dairy : the best thing you can do to help the planet.
Comments due by Oct 21, 2018
Avoiding meat and dairy products is the single
biggest way to reduce your environmental impact on the planet, according to the
scientists behind the most comprehensive analysis to date of the damage farming
does to the planet.
The new research shows that without meat and
dairy consumption, global farmland use could be reduced by more than 75% – an
area equivalent to the US, China, European Union and Australia combined – and
still feed the world. Loss of wild areas to agriculture is the leading cause of
the current mass extinction of wildlife.
The new analysis shows that while meat and
dairy provide just 18% of calories and 37% of protein, it uses the vast
majority – 83% – of farmland and produces 60% of agriculture’s greenhouse gas
emissions. Other recent research shows 86% of all land mammals are now livestock or humans.
The scientists also found that even the very lowest impact meat and dairy
products still cause much more environmental harm than the least sustainable
vegetable and cereal growing.
The study, published in the journal Science, created a
huge dataset based on almost 40,000 farms in 119 countries and covering 40 food
products that represent 90% of all that is eaten. It assessed the full impact
of these foods, from farm to fork, on land use, climate change emissions,
freshwater use and water pollution (eutrophication) and air pollution (acidification).
“A vegan diet is probably the single biggest
way to reduce your impact on planet Earth, not just greenhouse gases, but
global acidification, eutrophication, land use and water use,” said Joseph
Poore, at the University of Oxford, UK, who led the research. “It is far bigger
than cutting down on your flights or buying an electric car,” he said, as these
only cut greenhouse gas emissions.“Agriculture is a sector that spans all the
multitude of environmental problems,” he said. “Really it is animal products that
are responsible for so much of this. Avoiding consumption of animal products
delivers far better environmental benefits than trying to purchase sustainable
meat and dairy.”
The analysis also revealed a huge variability
between different ways of producing the same food. For example, beef cattle
raised on deforested land result in 12 times more greenhouse gases and use 50
times more land than those grazing rich natural pasture. But the comparison of
beef with plant protein such as peas is stark, with even the lowest impact beef
responsible for six times more greenhouse gases and 36 times more land.
The large variability in environmental impact
from different farms does present an opportunity for reducing the harm, Poore
said, without needing the global population to become vegan. If the most
harmful half of meat and dairy production was replaced by plant-based food,
this still delivers about two-thirds of the benefits of getting rid of all meat
and dairy production.
Cutting the environmental impact of farming is
not easy, Poore warned: “There are over 570m farms all of which need slightly
different ways to reduce their impact. It is an [environmental] challenge like
no other sector of the economy.” But he said at least $500bn is spent every
year on agricultural subsidies, and probably much more: “There is a lot of
money there to do something really good with.”
Labels that reveal the impact of products
would be a good start, so consumers could choose the least damaging options, he
said, but subsidies for sustainable and healthy foods and taxes on meat and dairy will probably
also be necessary.
One surprise from the work was the large
impact of freshwater fish farming, which provides two-thirds of such fish in
Asia and 96% in Europe, and was thought to be relatively environmentally
friendly. “You get all these fish depositing excreta and unconsumed feed down
to the bottom of the pond, where there is barely any oxygen, making it the
perfect environment for methane production,” a potent greenhouse gas, Poore
said.
The research also found grass-fed beef,
thought to be relatively low impact, was still responsible for much higher
impacts than plant-based food. “Converting grass into [meat] is like converting
coal to energy. It comes with an immense cost in emissions,” Poore said.
The new research has received strong praise
from other food experts. Prof Gidon Eshel, at Bard College, US, said: “I was
awestruck. It is really important, sound, ambitious, revealing and beautifully
done.”
He said previous work on quantifying farming’s
impacts, including his own, had taken a top-down
approach using national level data, but the new work used a bottom-up approach,
with farm-by-farm data. “It is very reassuring to see they yieldessentially
the same results. But the new work has very many important details that are
profoundly revealing.”
Prof Tim Benton, at the University of Leeds,
UK, said: “This is an immensely useful study. It brings together a huge amount
of data and that makes its conclusions much more robust. The way we produce
food, consume and waste food is unsustainable from a planetary perspective.
Given the global obesity crisis, changing diets – eating less livestock produce
and more vegetables and fruit – has the potential to make both us and the
planet healthier.”
Dr Peter Alexander, at the University of
Edinburgh, UK, was also impressed but noted: “There may be environmental
benefits, eg for biodiversity, from sustainably managed grazing and increasing
animal product consumption may improve nutrition for some of the poorest
globally. My personal opinion is we should interpret these results not as the
need to become vegan overnight, but rather to moderate our [meat] consumption.”
Poore said: “The reason I started this project
was to understand if there were sustainable animal producers out there. But I
have stopped consuming animal products over the last four years of this
project. These impacts are not necessary to sustain our current way of life.
The question is how much can we reduce them and the answer is a lot.” (CNBC Oct. 9, 2018)
Monday, October 8, 2018
Greenhouse gases Must be Scrubbed.
Comments due by Oct. 14, 2018
SWEDEN’S parliament passed a law in June which obliges the
country to have “no net emissions” of greenhouse gases into the atmosphere by
2045. The clue is in the wording. This does not mean that three decades from
now Swedes must emit no planet-heating substances; even if all their
electricity came from renewables and they only drove Teslas, they would
presumably still want to fly in aeroplanes, or use cement and fertiliser, the
making of which releases plenty of carbon dioxide. Indeed, the law only
requires gross emissions to drop by 85% compared with 1990 levels. But it
demands that remaining carbon sources are offset with new carbon sinks. In
other words greenhouse gases will need to be extracted from the air.
Sweden’s pledge is among the world’s most ambitious. But if the
global temperature is to have a good chance of not rising more than 2ºC above
its pre-industrial level, as stipulated in the Paris climate agreement of 2015,
worldwide emissions must similarly hit “net zero” no later than 2090. After
that, emissions must go “net negative”, with more carbon removed from the stock
than is emitted.
This is because what matters to the climate is the total amount
of carbon dioxide in the atmosphere. To keep the temperature below a certain
level means keeping within a certain “carbon budget”—allowing only so much to
accumulate, and no more. Once you have spent that budget, you have to balance
all new emissions with removals. If you overspend it, the fact that the world
takes time to warm up means you have a brief opportunity to put things right by
taking out more than you are putting in.
Being able to remove carbon dioxide from the atmosphere is,
therefore, a crucial element in meeting climate targets. Of the 116 models the
Intergovernmental Panel on Climate Change (IPCC) looks at to chart the
economically optimal paths to the Paris goal, 101 assume “negative emissions”.
No scenarios are at all likely to keep warming under 1.5ºC without
greenhouse-gas removal. “It is built into the assumptions of the Paris
agreement,” says Gideon Henderson of Oxford University.
Climate scientists like Mr Henderson have been discussing
negative-emissions technologies (NETs) with economists and policy wonks since
the 1990s. Their debate has turned livelier since the Paris agreement, the
phrasing of which strongly suggests that countries will need to invent new
sinks as well as cutting emissions. But so far politicians have largely ignored
the issue, preferring to focus on curbing current flows of greenhouse gases
into the atmosphere. NETs were conspicuous by their absence from the agenda of
the annual UN climate jamboree which ended in Bonn on November 17th.
In the short term this makes sense. The marginal cost of
reducing emissions is currently far lower than the marginal cost of taking
carbon dioxide straight from the atmosphere. But climate is not a short-term
game. And in the long term, ignoring the need for negative emissions is
complacent at best. The eventual undertaking, after all, will be gargantuan.
The median IPCC model assumes sucking up a total of 810bn tonnes of carbon
dioxide by 2100, equivalent to roughly 20 years of global emissions at the
current rate. To have any hope of doing so, preparations for large-scale
extraction ought to begin in the 2020s.
Modellers favour NETs that use plants because they are a tried
and true technology. Reforesting logged areas or “afforesting” previously
treeless ones presents no great technical challenges. More controversially,
they also tend to invoke “bioenergy with carbon capture and storage” (BECCS).
In BECCS, power stations fuelled by crops that can be burned to make energy
have their carbon-dioxide emissions injected into deep geological strata,
rather than released into the atmosphere.
The technology for doing the CCS part of BECCS has been around
for a while; some scenarios for future energy generation rely heavily on it.
But so far there are only 17 CCS programmes big enough to dispose of around 1m
tonnes of carbon dioxide a year. Promoting CCS is an uphill struggle, mainly
because it doubles the cost of energy from the dirty power plants whose flues
it scrubs. Other forms of low-emission electricity are much cheaper. Affixed to
bioenergy generation, though, CCS does something that other forms of generation
cannot. The carbon which the plants that serve as fuel originally took from the
atmosphere above is sent into the rocks below, making it a negative emitter.
The problem with afforestation and BECCS is that the plants
involved need a huge amount of land. The area estimated ranges from 3.2m square
kilometres (roughly the size of India) to as much as 9.7m square kilometres
(roughly the size of Canada). That is the equivalent of between 23% and 68% of
the world’s arable land. It may be that future agricultural yields can be
increased so dramatically that, even in a world with at least 2bn more mouths
to feed, the area of its farms could be halved, and that the farmers involved
might be happy with this turn of events. But it seems highly unlikely—and
blithely assuming it can be done is plainly reckless.
Negative thinking
Less
land-intensive alternatives exist—at least on paper. Some are low tech, like
stimulating the soil to store more carbon by limiting or halting
deep-ploughing. Others are less so, such as contraptions to seize carbon
dioxide directly from the air, or methods that accelerate the natural
weathering processes by which minerals in the Earth’s crust bind atmospheric
carbon over aeons or that introduce alkaline compounds into the sea to make it
absorb more carbon dioxide.
According to Jennifer Wilcox of the Colorado School of Mines,
and her colleagues, the technology with the second-highest theoretical
potential, after BECCS, is direct air capture (see chart 2). This uses CCS-like
technology on the open air, rather than on exhaust gases. The problem is that
the concentration of carbon dioxide in the air, while very high by historical
standards, is very low by chemical-engineering ones: just 0.04%, as opposed to
the 10% or more offered by power-plant chimneys and industrial processes such
as cement-making.
The technologies that exist today, under development by
companies such as Global Thermostat in America, Carbon Engineering in Canada or
Climeworks of Switzerland, remain pricey. In 2011 a review by the American
Physical Society to which Ms Wilcox contributed put extraction costs above $600
per tonne, compared with an average estimate of $60-250 for BECCS.
Enhanced weathering is at an even earlier stage of development
and costs are still harder to assess. Estimates range from $25 per tonne of
carbon dioxide to $600. On average, 2-4 tonnes of silicate minerals (olivine,
sometimes used in Finnish saunas because it withstands repeated heating and
cooling, is a favourite) are needed for every tonne removed. To extract 5bn
tonnes of carbon dioxide a year may require up to 20bn tonnes of minerals that
must be ground into fine dust. Grinding is energy-intensive. Distributing the
powder evenly, on land or sea, would be a logistical challenge to put it
mildly.
Ideas abound on a small scale, in labs or in researchers’ heads,
but the bigger mechanical schemes in existence today capture a paltry 40m
tonnes of carbon dioxide a year. Most involve CCS and have prevented more
carbon dioxide escaping into the atmosphere from fossil-burning power plants,
rather than removing it. Removing 8bn-10bn tonnes by 2050, as the more sanguine
scenarios envisage, let alone the 35bn-40bn tonnes in more pessimistic ones,
will be a vast undertaking.
Progress will be needed on many fronts. All the more reason to
test lots of technologies. For the time being even researchers with a horse in
the race are unwilling to bet on a winner. Pete Smith of Aberdeen University
speaks for many NETs experts when he says that “none is a silver bullet, and
none has a fatal flaw.”
It will also not come cheap. WITCH, constructed by Massimo
Tavoni of Politecnico di Milano, is a model which analyses climate scenarios.
Unlike most simulations, it also estimates how much research-and-development
funding is necessary to achieve roll-out at the sort of scale these models
forecast. For all low-carbon technologies, it puts the figure at $65bn a year
until 2050, four times the sum that renewables, batteries and the like attract
today. Mr Tavoni says a chunk of that would obviously need to go to NETs, which
currently get next to nothing.
Even the less speculative technologies need investment right
away. Trees take decades to reach their carbon-sucking potential, so
large-scale planting needs to start soon, notes Tim Searchinger of Princeton
University. Direct air capture in particular looks expensive. Boosters note
that a few years ago so did renewables. Before technological progress brought
prices down, many countries subsidised renewable-energy sources to the tune of
$500 per tonne of carbon dioxide avoided and often spent huge sums on it.
Christoph Gebald, co-founder of Climeworks, says that “the first data point on
our technological learning curve” is $600, at the lower end of previous
estimates. But like the price of solar panels, he expects his costs to drop in
the coming years, perhaps to as low as $100 per tonne.
However, the falling price of solar panels was a result of
surging production volumes, which NETs will struggle to replicate. As Oliver
Geden of the German Institute of International and Security Affairs observes,
“You cannot tell the green-growth story with negative emissions.” A market
exists for rooftop solar panels and electric vehicles; one for removing an
invisible gas from the air to avert disaster decades from now does not.
Much of the gas captured by Climeworks and other pure NETs firms
(as opposed to fossil-fuel CCS) is sold to makers of fizzy drinks or
greenhouses to help plants grow. It is hard to imagine that market growing far
beyond today’s total of 10m tonnes. And in neither case is the gas stored indefinitely.
It is either burped out by consumers of carbonated drinks or otherwise exuded
by eaters of greenhouse-grown produce.
There may be other markets, though. It is very hard to imagine
aircraft operating without liquid fuels. One way to provide them would be to
create them chemically using carbon dioxide taken from the atmosphere. It is
conceivable that this might be cheaper than alternatives, such as
biofuels—especially if the full environmental impact of the biofuels is
accounted for. The demand for direct air capture spurred by such a market might
drive its costs low enough to make it a more plausible NET.
From thin air
One way to
create a market for NETs would be for governments to put a price on carbon.
Where they have done so, the technologies have been adopted. Take Norway, which
in 1991 told oil firms drilling in the North Sea to capture carbon dioxide from
their operations or pay up. This cost is now around $50 per tonne emitted; in
one field, called Sleipner, the firms have found ways to pump it back
underground for less than that. A broader carbon price—either a tax or tradable
emissions permits—would promote negative emissions elsewhere, too.
Then there is the issue of who should foot the bill. Many
high-impact negative-emissions schemes make most sense in low-emitting
countries, says Ms Wilcox. Brazil could in theory reforest the cerrado (though
that would face resistance because of the region’s role in growing soyabeans
and beef). Countries of sub-Saharan Africa could do the same in their own
tropical savannahs. Spreading olivine in the Amazon and Congo river basins
could soak up 2bn tonnes of carbon dioxide.
Developing countries would be understandably loth to bankroll
any of this to tackle cumulative emissions, most of which come from the rich
world. The latter would doubtless recoil at footing the bill, preferring to
concentrate on curbing current emissions in the mistaken belief that once these
reach zero, the job is done.
Whether NETs deserve to be lumped in with more outlandish
“geoengineering” proposals, such as cooling the Earth with sunlight-reflecting
sulphur particles in the stratosphere, is much debated. What they have in
common is that they offer ways to deal with the effects of emissions that have
already taken place. Proponents of small-scale, low-impact NETs, such as
changes to soil management on farms, though, bridle at being considered
alongside what they see as high-tech hubris of the most disturbing kind. NETs
certainly inspire fewer fears of catastrophic, planetary-scale side-effects
than “solar radiation management”.
But they do stoke some when it comes to the consequences of
tinkering with the ocean’s alkalinity or injecting large amounts of gas
underground. And the direct effects of large-scale BECCS or afforestation
projects would be huge. If they don’t take up arable land, they need to take up
pasture or wilderness. Either option would be a big deal in terms of both human
amenity and biodiversity.
Another concern is the impact on politicians and the dangers of
moral hazard. NETs allow politicians to go easy on emission cuts now in the
hope that a quick fix will appear in the future. This could prove costly if the
technology works—and costlier still if it does not. One study found that
following a 2°C mitigation path which takes for granted NETs that fail to
materialise would leave the world closer to 3°C warmer. Mr Geden is not alone
in fearing that models that increasingly rely on NETs are “a cover for
political inaction”.
Everything and the carbon sink
There is some
progress. Academics are paying more attention. This year’s edition of
“Emissions Gap”, an influential annual report from the UN Environment
Programme, devotes a chapter to carbon-dioxide removal. Mr Henderson is leading
a study of the subject for Britain’s Royal Society; America’s National Academy
of Sciences has commissioned one, too. Both are due next spring. The IPCC will
look at the technology in its special report on the 1.5ºC target, due next
autumn.
There’s some money, too. Carbon Engineering has attracted
backers such as Bill Gates, and now has a pilot plant in Canada. Climeworks has
actually sold some carbon-offset credits—to a private investor and a big
corporation—on the basis of the carbon dioxide it has squirrelled away at a
demonstration plant it recently launched in Iceland. Earlier this year
Britain’s government became the first to set aside some cash specifically for NETs
research. In October America’s Department of Energy announced a series of
grants for “novel and enabling” carbon-capture technologies, some of which
could help in the development of schemes for direct air capture. Richard
Branson, a British tycoon, has offered $25m to whoever first comes up with a
“commercially viable design” that would remove 1bn tonnes of greenhouse gases a
year for ten years.
All this is welcome, but not enough. The sums involved are
trifling: £8.6m ($11.3m) in Britain and $26m from the Department of Energy. The
offset sold by Climeworks was for just 100 tonnes. Mr Branson’s prize has gone
unclaimed for a decade.
A carbon price—which is a good idea for other reasons, too,
would beef up interest in NETs. But one high enough to encourage pricey
moonshots may prove too onerous for the rest of the economy. Any price would
promote more established low-carbon technologies first and NETs only much
later, thinks Glen Peters of the Centre for International Climate Research in
Oslo.
Encouraging CCS for fossil fuels as a stepping stone to NETs
appeals to some. The fossil-fuel industry says it is committed to the
technology. Total, a French oil giant, has promised to spend a tenth of its
$600m research budget on CCS and related technologies. A group of oil majors
says it will spend up to $500m on similar projects between now and 2027. But
the field’s slow progress to date hardly encourages optimism. Governments’
commitment to CCS has historically proved fickle.
Last year Britain abruptly scrapped a £1bn public grant for an
industrial-scale CCS plant which would have helped fine-tune the technology.
For this to change, politicians must expand the focus of the 23-year-old UN
Framework Convention on Climate Change from cutting emissions of greenhouse
gases to controlling their airborne concentrations, suggests Janos Pasztor, a
former climate adviser to the UN secretary-general. In other words, they must
think about stocks of carbon dioxide, not just flows.
This is all the more true because emissions continue to elude
control. After three years of more or less stable emissions, a zippier world
economy looks on track to belch 2% more carbon dioxide this year. That amounts
once again to borrowing more of the planet’s remaining carbon budget against
future removal. It doesn’t take a numerate modeller like Mr Tavoni to grasp
that, in his words, “If you create a debt, you must repay it.” The price of
default does not bear thinking about. (Economist Nov. 2017)
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