Climate policy and international coordination
The past and future of the Kyoto Protocol


The Kyoto protocol was initiated in 1997, it entered into force in 2005. The European Union has been on lead on this process. The EU introduced an emission trading scheme in 2005, putting an absolute cap for its carbon emissions. The EU-ETS was expected to be generalized first to industrial nations and then to the rest of the world, paving the way to an international multilateral agreement on a carbon price. On December 2009 the Copenhagen Conference put an end to these expectations. In 2013 the EU carbon emission rights were traded at record low levels, down to 3 to 4 €/t.
This so called comprehensive approach has been abandoned. In this approach climatologists define the world cap and economists define instruments to efficiently decentralize the efforts through a carbon price and make these efforts equitable with appropriate money transfers to less developed nations.
This conference will review:
1.    Why the planet needs a carbon price: the Tragedy of the Commons
2.    Why it did not work at the international level: Exit, Voice (and Loyalty)
3.    What has been done at the national regional levels: Kant (altruism) or Porter (competitive advantage)
4.    Will it be enough to save the planet: Neanderthal, Homo Sapiens and climate change

The emphasis will be on the contributions of economic modeling and on the articulation the research with the policies that were put in place at the different periods.

Professeur Jean-Pierre Ponssard
Laboratoire d'Econométrie
Ecole Polytechnique & CNRS