Why carbon leakage matters and what can be done against it

摘要: Summary Global greenhouse gas emissions continue to climb, meaning increasingly stringent climate policies are needed if we meet the Paris Agreement targets. However, that curtail in one region might increase another through transfer of emission-intensive production across borders. Such spillover emissions, mostly via international trade, can cause what is referred as "carbon leakage." This primer first provides an overview underlying mechanisms, empirical evaluation, and future projections carbon leakage. It then illustrates potential anti-leakage policies, including free allocation emission permits border adjustment. Well-designed create economic environmental benefits ensure fairness justice clearly required. The 2050 net-zero commitments announced by over 100 nations offers opportunity form a club with common measures prevent leakage while incentivizing ambitious actions.