date: Fri May  9 17:55:50 2003
from: Mike Hulme <m.hulme@uea.ac.uk>
subject: Fwd: RE: Climate Equities: please see attached items (the covering
to: n.adger

   Neil,
   Some interesting contributions from Pete Betts at the Treasury,
   Mike

     From: "Betts, Peter" <Peter.Betts@hm-treasury.x.gsi.gov.uk>
     To: 'John  Ashton' <john@lead.org>, "Kate Hampton (GA) (E-mail)"
             <khampton@green-alliance.org.uk>, "Kiyo Akasaka (E-mail)"
             <k.akasaka@nethall.com.br>, "Benito Mueller (E-mail)"
             <mueller@ermine.ox.ac.uk>, "Nick Mabey (office) (E-mail)"
             <nick.mabey@cabinet-office.x.gsi.gov.uk>, "Tom Burke (Rio) (E-mail)"
             <tom.burke@riotinto.com>, "Richard Macrory (E-mail)"
             <r.macrory@ucl.ac.uk>, "Nancy Kete (E-mail)" <nkete@wri.org>,
             "John Topping (E-mail)" <jtopping@climate.org>, "John Lennox (E-mail)"
             <John.Lennox@green.ox.ac.uk>, "John Beale (E-mail)" <beale.john@epa.gov>,
             "Justin Mundy (E-mail)" <jmundy@clara.co.uk>, "James Cameron (E-mail)"
             <james.cameron@bakernet.com>, "Mike Mason (E-mail)" <mike.mason@co2.org>,
             "Rajendra Pachauri (E-mail)" <pachauri@teri.res.in>, "Iain Orr (E-mail)"
             <biodiplomacy@yahoo.co.uk>, "Michael J Grubb (E-mail)"
             <michael.grubb@ic.ac.uk>, "Alex Evans (E-mail)" <a.evans@ippr.org.uk>,
             "Mike Hulme (E-mail)" <m.hulme@uea.ac.uk>, "Duncan Brack (E-mail)"
             <dbrack@riia.org>, "Geoff Jenkins (E-mail)"
             <geoff.jenkins@metoffice.com>, "Betts, Peter"
             <Peter.Betts@hm-treasury.x.gsi.gov.uk>, "Peter Unwin (E-mail)"
             <peter.unwin@odpm.gsi.gov.uk>, "Calestous_Juma (E-mail)"
             <calestous_juma@harvard.edu>, "Crispin Tickell (E-mail)"
             <ct@crispintickell.net>, "Dan Esty (E-mail)" <daniel.esty@yale.edu>,
             "David Fisk (E-mail)" <D.Fisk@ic.ac.uk>, "Derek Osborn (E-mail)"
             <derek_osborn@csi.com>, "James Lowen (E-mail)"
             <jlowen@cabinet-office.x.gsi.gov.uk>, "Jennifer Morgan (E-mail)"
             <JLeemorgan@aol.com>, "Jeremy. Leggett (E-mail)"
             <jeremy.leggett@solarcentury.co.uk>, "Kirsty Hamilton (E-mail)"
             <kirsty_hamilton@hotmail.com>, "Lilia Abron (E-mail)"
             <peer1@ix.netcom.com>, "Malini Mehra (E-mail)" <malini@csmworld.org>,
             "'Michael Northrop' (E-mail)" <mnorthrop@rbf.org>,
             "Richard Sandbrook (E-mail)" <RSandbrook@aol.com>, "Tom Roper (E-mail)"
             <roper@tomw.freeserve.co.uk>, "Zen A Makuch (E-mail)"
             <z.makuch@imperial.ac.uk>
     Cc: "Elliot Diringer (E-mail)" <DiringerE@pewclimate.org>,
             "Dan Bodansky (E-mail) (E-mail)" <bodansk@attglobal.net>,
             "Xueman Wang (E-mail) (E-mail)" <xueman.wang@biodiv.org>
     Subject: RE: Climate Equities: please see attached items (the covering let
             ter is "equitycommentsltr": open that first)
     Date: Fri, 9 May 2003 09:59:39 +0100
     X-Mailer: Internet Mail Service (5.5.2653.19)
      Dear John (and Xueman)<?xml:namespace prefix = o ns =
     "urn:schemas-microsoft-com:office:office" />
      Many thanks for the opportunity to comment. Can I offer some prosaic thoughts?
      I agree with your two main conclusions:
                  -                     That any attempt to define equity, or to agree a very
     detailed approach on the basis of it, is bound to fail and risks diverting negotiating
     energy from more productive terrain; and
     -                     that any lasting agreement will have to be seen as equitable by
     all (or nearly all) Parties
     If your paper can use informal contacts to push towards consensus on that, it will have
     performed a valuable role.
      Put simply: developed countries will need to act first and make the biggest
     contribution; the key developing countries will then progressively need to be brought
     within the system.  There will need to be transfers to developing countries to assist
     them with adaptation in particular. But at the heart of a deal that makes a difference
     will be big cuts by some (relatively few) emitters.  Voluntary cuts in standard of
     living are unlikely however.  So we need to drive technology.  That means putting a
     price on Carbon
      All of that is commonplace.  But the equity debate in the negotiations is almost never
     about that.  How is it raised?:
     i)                    most commonly in terms of the process with (mostly) developing
     country representatives feeling excluded by the complexity and bounced by the big
     players, or OPEC telling us they are.  You address this by suggesting a need for greater
     capacity building of delegates.  But this will not change the fundamentals: a workable
     climate regime will need a lot of detailed rules mostly worked up by specialists: key
     developed countries will not be in the room on everything.  We need to separate the
     technical from the political.  (If I wanted to be more controversial I would add that
     any political deal that will make a difference will be done by a very small group of
     people in a small room.  Of course there will need to be processes for progressively
     bringing in others; but unless we recognise that fact of life we will not be serving the
     needs of future generations);
     ii)                  the next most common context is that no deal is acceptable unless
     it shows parallel progress on all issues, including OPEC issues.  This gives OPEC big
     leverage.  Clearly adaptation and technology transfer are much more worthy causes; but
     does it really make sense for deals on emissions cuts by developed countries to be held
     up by developing countries unless they get progress on all issues at every meeting?
     iii)                 The other common context is opposition to the Kyoto mechanisms (in
     themselves key to setting a global price for Carbon) on the basis that they amount to
     permanent ownership rights.  Is it naive to think your paper could help to reassure
     people on that?
      Your paper hints at the weaknesses in the process (eg future generations are not
     present in the negotiating room) but arguably process is worth a paper on its own in Pew
     s batch for COP9.
      Two points of detail:
                  i)                    in Section 5.2, you describe the flexibilities of the
     Kyoto Protocol.  You do not mention what is arguably the biggest: that the setting of
     overall limits other than (say) technology requirements enables Parties to decide where
     to focus their reduction efforts;
     ii)                  in Section 5.8, you raise an idea from Tom Burke that we might
     score Carbon emissions at the point of consumption rather than production. I can see
     where this is coming form, but it risks creating a new source of complexity in the
     negotiations.  Once we have established a market price for carbon won't that be
     reflected in the price of the product? Won t it be for producers of energy intensive
     goods to make their case for this to be reflected in their emission limits?
      Pete

          -----Original Message-----
          From: John Ashton [[1]mailto:john@lead.org]
          Sent: 14 April 2003 17:23
          To: Kate Hampton (GA) (E-mail); Kiyo Akasaka (E-mail); Benito Mueller (E-mail); Nick
          Mabey (office) (E-mail); Tom Burke (Rio) (E-mail); Richard Macrory (E-mail); Nancy
          Kete (E-mail); John Topping (E-mail); John Lennox (E-mail); John Beale (E-mail);
          Justin Mundy (E-mail); James Cameron (E-mail); Mike Mason (E-mail); Rajendra
          Pachauri (E-mail); Iain Orr (E-mail); Michael J Grubb (E-mail); Alex Evans (E-mail);
          Mike Hulme (E-mail); Duncan Brack (E-mail); Geoff Jenkins (E-mail); Peter Betts
          (E-mail); Peter Unwin (E-mail); Calestous_Juma (E-mail); Crispin Tickell (E-mail);
          Dan Esty (E-mail); David Fisk (E-mail); Derek Osborn (E-mail); James Lowen (E-mail);
          Jennifer Morgan (E-mail); Jeremy. Leggett (E-mail); Kirsty Hamilton (E-mail); Lilia
          Abron (E-mail); Malini Mehra (E-mail); 'Michael Northrop' (E-mail); Richard
          Sandbrook (E-mail); Tom Roper (E-mail); Zen A Makuch (E-mail)
          Cc: Elliot Diringer (E-mail); Dan Bodansky (E-mail) (E-mail); Xueman Wang (E-mail)
          (E-mail)
          Subject: Climate Equities: please see attached items (the covering letter is
          "equitycommentsltr": open that first)
          <<equitycommentsltr.doc>> <<equityreviewtext.doc>> <<Pewoverview.doc>>
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