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R. T. Schilizzi W. Aldrich B. Anderson A. Bos R. M. Campbell J. Canaris R. Cappallo J. L. Casse A. Cattani J. Goodman H. J. van Langevelde A. Maccafferri R. Millenaar R. G. Noble F. Olnon S. M. Parsley C. Phillips S. V. Pogrebenko D. Smythe A. Szomoru H. Verkouter A. R. Whitney 《Experimental Astronomy》2001,12(1):49-67
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Arpad Cseh 《Climate Policy》2019,19(2):139-146
The global and long-term nature of climate change conflicts with the self-interest and short-term dominated priorities of decision-makers. Climate change mitigation makes sense at the global level, but not at the level of the individual decision-maker. This conflict has been and remains the main obstacle to effective global cooperation and mitigation. This paper proposes a framework that aligns climate action with short-term self-interest through results-based payments to governments. Its key components are: determining an emission benchmark for each country as well as a price for carbon saving; paying countries annually for reducing emissions below their respective benchmark; a new international fund to finance these annual payments by borrowing capital from private investors; and repaying borrowings in the long-term through payments made by countries to the fund based on a pre-determined allocation mechanism. This framework would offer important benefits over an approach focused on allocating climate action or a carbon budget among countries. These include the improved prospect of reaching an effective climate agreement and delivering fast and dramatic mitigation thanks to stronger political commitment, the transformation of short-term self-interest from an obstacle into a driver of climate action, and the additional financing created. The paper also proposes a pilot scheme focusing on hydrofluorocarbon emissions with a considerably lower financing requirement. This offers the possibility of an alternative financing mechanism, and thus a faster and more straightforward implementation path. Short-term financial incentives offered to governments could turn policy action from a burden into an opportunity from their perspective unlocking a huge potential for timely mitigation.
Key policy insights
A new international framework that offers short-term, results-based payments to governments to promote mitigation action could lead to much more effective global mitigation and international cooperation.
The financing of such an approach could be solved through a novel financing structure, backed by the long-term commitments of participating countries and thus aligning the timeframe of the financial costs of mitigation with its climate benefits.
The effectiveness of results-based payments and the concept behind this new approach could be proven through a pilot scheme focusing on hydrofluorocarbon emissions.
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