This hearing was followed by a special seminar organized by the Royal Netherlands Academy of Sciences, using the same format but focusing on scientific topics. The Academy will soon publish a report about this seminar.
Europe often brags about its emission trading scheme (ETS), regarding itself as the vanguard of an international climate policy. In the European view, the Copenhagen climate summit should have produced a worldwide extension and sharpening of its ETS. But the vast majority of countries in the world refused to follow Europe’s example, so the meeting turned into a fiasco. Its follow-up in Cancun at year’s end will surely produce a similar result. And for good reason.
Contrary to official claims, Europe’s experience with ETS is dismally bad. The system is expensive and prone to massive fraud. More importantly, it serves no useful purpose.
The European Environmental Agency tracks Europe's performance regarding the reduction of CO2 emissions. Its latest report states: “The European Union's greenhouse gas inventory report … shows that emissions have not only continued their downward trend in 2008, but have also picked up pace. The EU-27’s emissions stood 11.3% below their 1990 levels, while EU-15 achieved a reduction of 6.9% compared to Kyoto base-year levels.”
On the face of it, the scheme seems to be pretty successful. However, much of the downward trend was due to the global economic recession, not to the ETS. Moreover, both climate chaos proponents and climate disaster skeptics agree that the scheme will have no detectable impact whatsoever on worldwide temperatures – perhaps 0.1 degrees – though this crucial piece of information has been carefully and deliberately shielded from the public eye.
What about renewable energy as an alternative? Consider these EU costs for various sources of electricity in cents per kilowatt-hour: nuclear 4, coal 4, natural gas 5, onshore wind 13, biomass 16 … solar 56!
Obviously, the price tag for renewables is extremely high, compared to hydrocarbons. The additional costs can be justified either by imminent fossil fuel scarcity (the “oil peak”), which would send petroleum and coal prices through the roof, or by the threat of man-made global warming. But on closer inspection neither argument is tenable.
The authoritative International Energy Agency does not foresee any substantial scarcity of oil and gas in the near to medium future, and coal reserves remain sufficient for centuries to come. As to global warming, the absence of a statistically significant increase in average worldwide temperatures since 1995 obliterates that assertion.
Meanwhile, recent peer-reviewed studies indicate that increasing CO2 levels in the atmosphere (natural or man-made) have minimal effects on climate change – while others demonstrate that, on balance, this plant-fertilizing gas is beneficial, rather than harmful, for mankind and the biosphere.
All this argues for a closer look at the cost/benefit relationship of investing in renewable energy projects, to prevent a massive waste of financial and natural resources on unreliable and thus uncompetitive forms of energy. Since every cloud has a silver lining, the ongoing economic crisis might give extra impetus toward that end.