Carbon fraud shows risks of relying on markets to tackle climate change

Commenting on the decision by the European Commission to halt trading in the EU Emissions Trading System, David Heller, climate justice and energy campaigner with Friends of the Earth Europe, said: “The theft of 30m euro in permits from carbon trading registries represents a new low-point for the EU Emissions Trading System. Large-scale fraud of this kind shows the risks that the EU is taking by relying on a market-based response to the climate crisis.

“The European Commission is investing a lot of time and energy trying to prop up a scheme that has failed to achieve any real reductions in greenhouse gas emissions. At the same time, plans to extend the EU-ETS by linking it up to other carbon markets simply increase the chance that scheme will be the victim of criminal activity.”

David Heller added: “The European Commission should support policies such as a binding target for energy savings, and the climate-friendly use of structural and cohesion funds. We urgently need real results, without the kinds of risk posed by market-based measures.”

Friends of the Earth Europe believes that the EU-ETS is failing to deliver real cuts in greenhouse gas emissions, and that the over-reliance on this policy is obscuring other measures which could be taken to achieve reductions in greenhouse gas emissions.

ENDS

For media enquiries, please contact:

Per Fischer, Press Office, Friends of the Earth Scotland
t: 0131 243 2719

Notes to Editors

You may have received this news release directly from Friends of the Earth Europe, we wanted to make sure the Scottish media was made aware of this.

Friends of the Earth Europe’s briefing ‘The EU Emissions Trading System; failing to deliver’ is available at:
www.foeeurope.org/climate/download/FoEE_ETS_Oct2010.pdf

Research by Friends of the Earth in the United States has shown ten ways in which cap and trade carbon markets can be defrauded. 10 Ways to Game the Carbon Markets:
www.foe.org/10-ways-game-carbon-markets.

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