OECD Launches Publication on Mitigation Economics
October 2009: The Organization for Economic Cooperation and Development (OECD) has produced a book entitled “The Economics of Climate Change Mitigation: Policies and Options for Global Action Beyond 2012.”
Through quantitative analysis, the book seeks to identify cost-effective policies and options, including on international sector-wide agreements, border-tax adjustments, emissions trading, reducing emissions from deforestation and forest degradation (REDD), and international transfers of resources and technologies.
The key findings of the book include the need to use a mix of market-based and non market-based policy instruments, remove environmentally harmful energy subsidies, link and harmonize carbon markets, expand the role of crediting mechanisms, define a role for sectoral approaches, and regulate carbon markets. In addition, the authors warn against exaggerating fears of carbon leakage, and underline the desirability and challenges of integrating forest protection in the international climate framework. [OECD announcement] [Executive summary]