Another day, another broadside against carbon emissions trading. The FT’s Martin Wolf offers advice to the new Chancellor, including:
While simplifying tax, he should also take a close look at green taxation. Simple taxes that apply across-the-board are what is needed. The grant of valuable rights to big polluters through systems known as “cap-and-trade” is a scandal. [here]
This is an increasing theme, with even American giants like Alan Greenspan and Paul Volker coming out against cap ‘n’ trade and in favour of a carbon tax [see article]. I have to say I’m ever more swayed by this view, see my posting To Cap or to Tax.
But is the EU system ‘a scandal’, as Martin Wolf says? Continue reading “Emissions trading – notes on a scandal”