Policy Hub
On 9 September 2009, the Institute for Public Policy Research (IPPR) published a report which examines the case for and against personal carbon trading as a policy to help reduce personal carbon emissions in the UK.
Although a trading scheme is not the best option for reducing carbon emissions given its expense and the difficulties involved in its implementation, the report argues that if carbon emissions have not declined at the end of the UK’s first carbon budget period in 2012, the government will need to face up to the prospect of introducing personal carbon trading as a ‘plan B’.
Proposals for personal carbon trading include giving every person in the country a quota of free ‘carbon credits’ which would be needed to buy electricity, gas, petrol, diesel and air travel. Carbon credits would be tradable, so people with small carbon footprints could sell their spare credits to those who need to buy extra credits.
The report suggests that, with time, the quotas would shrink, in line with the need to hit emissions reduction targets.
Plan B? The prospects for personal carbon trading (executive summary)