Carbon finance

Green ratbags dudding elderly and bewildered out of hard earned cash

Is there no limit to the predations of green ratbags. It seems they have been preying on the elderly and dudding them out of cash selling worthless carbon credits.

I was expecting to see Kennedy Graham’s name in the list of deluded pensioners caught up in another green scam.

More than a dozen companies that “preyed on older people” through carbon credit scams have been closed by the industry’s regulator, a minister has announced.

Nineteen firms that attracted investments of nearly £24m from more than 1,500 people by offering “worthless” carbon credits – or Certified Emission Reductions (CERs) – were wound up by the Insolvency Service in the last 15 months.

Consumer minister Jo Swinson said the offending companies made money from carbon credit scams, which see small investors promised huge returns for trading permits that offer corporations the right to emit one tonne of carbon dioxide.  Read more »

Green Scams, Ctd

The time must surely come when even the Green Taliban will wake up and realise the mad, corrupt, carbon trading scheme is a monstrous failure.

In the latest in a long series of smart traders gaming the dimwitted bureaucrats, an Irish trading company has been pulled up after revelations that it planned to make $32 billion trading indigenous Amazon tribes’ carbon credits.

Celestial Green, the Dublin carbon credits business involved in deals with indigenous tribes in the Amazon, at one stage envisaged its rights there creating credits with a value of up to $32 billion (€24 billion), according to filings to the US Securities and Exchange Commission (SEC).

A spokesman for the company said yesterday it was “surprised” that a case was being taken in Brazil against one of its deals there.

A federal attorney in the Brazilian state of Rondonia filed a lawsuit on December 11th which seeks to cancel a contract signed by Celestial Green Ventures and the Awo Xo Hwara indigenous community.

As part of the deal, the Irish company agreed to pay the local group $13 million over 30 years for the rights to explore carbon credits in an area of 260,000 hectares of rainforest.

“We currently have seven other projects which are being developed with indigenous communities in Brazil. As far as we are aware, only the Awo Xo Hwara agreement has had an application submitted by the prosecutor.”

Chart of the Day

Carbon markets are rooted. Is anyone surprised at this graph?

WHAT would you say about a market that has helped reduce carbon emissions by a billion tonnes in seven years, attracted $215 billion of green investments to developing countries (more than any private environmental fund) and cut the cost of climate-change mitigation by $3.6 billion? The answer, to judge by a United Nations panel looking into the workings of the Clean Development Mechanism (CDM) is: you’d say it is a shambles.

The CDM was set up under the Kyoto protocol to get developing countries to do their bit to reduce carbon emissions. The mechanism allows projects that reduce greenhouse-gas emissions in poor countries to earn a carbon credit (a “certified emission reduction”, or CER) for each tonne of carbon dioxide avoided. The credits can be sold to firms in rich countries which are obliged under Kyoto to cut their emissions. The idea was to encourage carbon saving where it was cheapest (ie, in developing countries), increasing efficiency.

The trouble is that the supply of credits has far outstripped demand. The one-billionth CER was issued on September 7th. But the largest greenhouse-gas emitters either did not ratify the Kyoto protocol (America) or were not obliged by it to cut emissions (China and India). That has left Europe as the main source of demand for credits, and the CDM has become a sort of annex to Europe’s cap-and-trade scheme, the Emissions Trading System. But the euro crisis has reduced industrial activity (cutting pollution) and European firms were anyway given overly generous carbon quotas under the cap-and-trade scheme. So carbon prices have collapsed, falling from $20 a tonne in August 2008 to below $5 now (see chart).

Global carbon trading scheme dead

While the argument over Global Warming still has some life in it, there is no doubt at all about the cures that Green economists have devised.

From ethanol production destroying rainforests, to inefficient windmills blighting the landscape and the solar industry going bankrupt, they are all utter failures.

Now the biggest rort of all, the mad carbon trading scam, is on the brink of collapse.

And the news doesn’t come from sceptic blogs – it is reported by The Guardian, the left-wing UK newspaper that is one of the most passionate advocates of the watermelon cause.

The world’s only global system of carbon trading, designed to give poor countries access to new green technologies, has “essentially collapsed”, jeopardising future flows of finance to the developing world.

Billions of dollars have been raised in the past seven years through theUnited Nations‘ system to set up greenhouse gas-cutting projects, such as windfarms and solar panels, in poor nations. But the failure of governments to provide firm guarantees to continue with the system beyond this year has raised serious concerns over whether it can survive.

A panel convened by the UN reported on Monday at a meeting in Bangkok that the system, known as the clean development mechanism(CDM), was in dire need of rescue. The panel warned that allowing the CDM to collapse would make it harder in future to raise finance to help developing countries cut carbon.

Joan MacNaughton, a former top UK civil servant and vice chair of the high level panel, told the Guardian: “The carbon market is profoundly weak, and the CDM has essentially collapsed. It’s extremely worrying that governments are not taking this seriously.”

Rodney Hide on the ETS

Herald on Sunday

Rodney Hide says the ETS is a scam, he’s right of course.:

Former Prime Minister Helen Clark declares me a denier, actor Lucy Lawless says I’m whacko and political columnist Chris Trotter wants to charge me with treason.

Phew. All because I say out loud what most Kiwis think: New Zealand’s Emissions Trading Scheme (ETS) is a scam and a waste. The ETS taxes our elderly trying to heat their homes and then uses the revenue to subsidise multi-national Japanese companies. These companies bought forests in New Zealand. Their trees are now subsidised because they suck up CO2.

And the reason for the money-go-round? To cool the planet. Even ETS architects say it won’t make a difference. So it’s a scam. And a waste.

It is a scam. Just like all the other eco-scams perpetrated on us:

The science is settled. Yada yada. Some extraordinary number of scientists have reached consensus. Blah, blah.

It all moves me not a jot. Science is not religion. It’s not politics. Science is never settled and truth isn’t decided by voting.

Besides, I’ve already survived innumerable environmental scares. We didn’t run out of oil as was scientifically predicted when I was at school.

Nor did we suffer the catastrophic ecological collapse that was the consensus. The ozone hole has gone the way of the Y2K bug. The population bomb never went off. We haven’t run out of food. And acid rain never killed the forests.

Back in the 1970s the earth was cooling. The frightener then was the impending ice age. I kid you not. It was front cover of Time magazine. The Earth then warmed. The frightener flipped to global warming. Then the Earth cooled. The scaremongers learned the lesson. They hedge their bets now, declaring the scare “climate change”. These flip-flops all happened in my lifetime. It’s hard to take the scares seriously.

Some of us don’t take them seriously other than to counter them because some, politicians included do take them seriously unfortunately. All scams have an element of fraud to them and the fraud is in the computer models:

 [Y]es, the Earth is warmer now than it was 100 years ago. The science shows that doubling CO2 in the atmosphere would increase the Earth’s temperature by a little over one degree.

It’s warmer now than it was but the present temperature is nothing out of the ordinary. It’s been warmer. And the present rate of temperature change is, again, nothing alarming. The Earth has seen it all before.

It’s all about what happens next. That’s where the leap occurs from science to computer models. The predicted rise in CO2 on its own doesn’t produce a rise in temperature that is at all worrying. Its effect must be multiplied within the models.

The chief greenhouse gas is not CO2, but water vapour. The models are programmed so increasing CO2 warms the earth, producing more water vapour which, in turn, warms the earth even more. It’s that multiplying effect through increased water vapour that causes the “climate change” scare, not the CO2 increase on its own.

The multiplication through water vapour is found only in the models. It’s not seen in nature. That’s despite spending billions of dollars looking. Indeed, it’s quite possible that water vapour has the opposite effect and dampens CO2′s warming effect.

It’s only the computer models that produce the scary future. And that’s precisely the result they programmed to produce. The models aren’t science and the science shows there’s nothing to be alarmed about. The scare is not from the real world. It’s a computer program, programmed to scare.

And a final word about crazy, silly Lucy Lawless:

I’m happy for Eco-Warrior Lucy Lawless to ditch her purple Mercedes, downsize her LA house, and swap electricity for solar panels to heat her swimming pool. Good for her. I am sure the planet heaved a sigh of relief.

But please, Lucy, lay off encouraging the Government to take ever more punishing action that makes it harder for the rest of us to heat our homes, get to work, and have work to go to.

We want to look after our kids too. For ordinary people it’s a job and a warm home that’s at stake. Not a downsized LA pad and switching the pool to solar.

Fracking to save the Planet

The American Interest

This news isn’t going make the Greens very happy:

But perhaps the greens should put down their megaphones and protest signs for a minute to take another look at the data. A new report discussed in the FT claims that American shale gas production has actually reduced carbon emissions by 450 million tons over the past five years, during which fracking came into widespread use. As the report mentions, gas—mostly obtained via fracking—has grown in usage by 38 percent over the past year alone, while much dirtier coal has fallen by nearly 20 percent over the same time period. The correlation between the rise of fracking and a fall in carbon output is not a coincidence. While greens have spent years chasing a global green unicorn, America has been moving towards reducing its carbon footprint on its own, and fracking has been the centerpiece of this change.

In fact, America’s drop in carbon emissions is greater than that of any other country in the survey. Greens have often praised Europe and Australia for their foresight in adopting forward-thinking carbon-trading schemes, while chastising America for its reluctance to do the same. Yet the numbers are out, and America has actually performed better than its carbon-trading peers. From an empirical standpoint, fracking has a much better track record at reducing emissions than the current green dream.

India joins China in revolt against EU emissions charges

The Telegraph

India has joined China in rejecting their stupid carbon charges for airlines and threatening retribution:

The threat of an aerospace trade war between Europe and the rest of the world has escalated after India joined China in threatening retaliation over the European Commission’s carbon emissions charges.

Chinese airlines have cancelled $14bn (£8.8bn) of orders with European aircraft manufacturer Airbus following the introduction of the charges and a senior Indian official has now warned there are “lots of measures” that India could take if the EC does not back down.

“The question is, are you [the European Union] provoking the world into a trade war?’,” the official told Reuters.

The EU Emissions Trading Scheme (ETS) requires airlines flying to or from Europe to buy carbon permits to offset their emissions from January 1 this year. However, non-European governments are furious that the charges cover the entire flight and not just European aerospace.

It is understood that India has told its airlines not to buy carbon credits from Europe or share emissions data, although it has not ordered the cancellation of orders from Airbus, which dominates the Asian aerospace market. India is also prepared to impose steep charges on European airlines to fly into India if Indian airlines are blocked from flying into Europe because of the ETS. “We have the power of the economy. We are not bleeding as they are,” the Indian official added.

What a waste of money

The Telegraph

Climate Change is such a crock:

Ed Davey, the Liberal Democrat Energy Secretary, said he would not scrap or water down the Climate Change Act, after a year-long review into reducing bureaucracy surrounding environmental laws.

The Act underpins all of the Government’s policies on reducing carbon dioxide emissions, from support for wind farms to higher road taxes for more polluting cars.
It costs up to £18 billion per year, the equivalent of £650 for every household, according to a government analysis.

ETS bust

Unfortunately not our one…it is the European ETS that is in trouble:

Europe’s largest employers’ group has warned against meddling in the carbon market to prop up sagging prices, just a day after one of the continent’s top energy executives declared the market “dead” and demanded urgent intervention to save it.

In a letter to parliament released on Wednesday, Philippe de Buck, president of BusinessEurope, warned that moves to withdraw carbon permits from the market to bolster prices “would, if implemented, create further uncertainty and price volatility, and establish a risky precedent of rapid political interference in the market”.

Mr De Buck, whose constituents have struggled to forge a common position on the issue, said he wanted “an open discussion … about the general climate policy framework and the longer term future” of the carbon market.

In December, the European parliament’s environment committee approved a resolution calling for the removal of more than 1bn surplus carbon permits from the market in an effort to shore up prices. The industry committee will vote on a similar measure at the end of this month.

Other elements of corporate Europe, particularly heavy industry, argue that such meddling would make a mockery of the market.

Johannes Teyssen, chief executive of Germany’s EON, urged policymakers to make fixes. “Let’s talk real: the ETS is bust, it’s dead,” Mr Teyssen said in Brussels this week, adding: “I don’t know a single person in the world that would invest a dime based on ETS signals.”

 I know of one person who would invest based on ETS signals…Nick Smith.