Counting on … day 83

10th April 2024

Carbon Tax – 3

Carbon emissions may be produced outside the country where the final product is consumed. This could be a way of avoiding paying a carbon tax by shifting the emission-producing part of the business elsewhere, or it could equally be a way for a foreign importer to achieve a price advantage over indigenous producers. A good carbon tax needs to be aware of these for means of tax evasion.

The Europe Union is phasing in such a tax avoidance mechanism – it will be 100% in place by 2026.

“The EU’s Carbon Border Adjustment Mechanism (CBAM) is the EU’s tool to put a fair price on the carbon emitted during the production of carbon intensive goods that are entering the EU, and to encourage cleaner industrial production in non-EU countries. By confirming that a price has been paid for the embedded carbon emissions generated in the production of certain goods imported into the EU, the CBAM will ensure the carbon price of imports is equivalent to the carbon price of domestic production, and that the EU’s climate objectives are not undermined. The CBAM is designed to be compatible with WTO-rules.” https://taxation-customs.ec.europa.eu/carbon-border-adjustment-mechanism_en

Just as  domestic carbon taxes can disproportionately affect the poor, so carbon taxes can disproportionately affect poor, less developed countries. Wealthy countries can afford to invest in, for example, electric arc furnaces for producing green steel, or in wind farms to generate green electricity, but poorer countries may struggle to invest to the same degree leaving them stuck with using carbon producing industrial processes and therefore subject to more taxation! Just as poorer households need to be supported with subsidies and grants to  enable them to shift to greener lifestyles, so poorer countries need to be supported with subsidies and grants from the wealthier nations, to enable them  to shift to to greener infrastructures.

Counting on … day 82

9th April 2024

Carbon Tax – 2

Carbon taxes are often criticised for impacting most on the poorest or the most vulnerable. People and businesses with wealth can more easily buy their way out of the situation either by absorbing the tax or through buying alternative products and services that avoid the tax. For example a richer person can more readily buy a new efficient electric car, where someone with less wealth may have to pay more on petrol to continue using their older car. A richer person can more readily afford a heat pump (powered by renewable electricity) and home insulation, whilst a less wealthy person – or someone who is rented accommodation- will have to pay more for running an existing gas boiler in an un-insulated home. 

Such issues need to be addressed. Improving public transport, implementing scrappage schemes for old cars and boilers, offering grants for insulation and heat pump installations – including for rented accommodation – are key. At the same time introducing a carbon tax incrementally over time to ensure users can plan and adapt, is also important. 

Given the urgency of the need to reduce greenhouse gas emissions to address the climate crisis, maintaining the status quo is not a good option. It is certainly not a good option for the poorest or most vulnerable as they are the ones who are – and will be – most affected by the impacts of the crisis.

Counting on … day 81

8th April 2024

Carbon Tax -1

“A carbon tax is a tax levied on the carbon emissions from producing goods and services. Carbon taxes are intended to make visible the hidden social costs of carbon emissions. They are designed to reduce greenhouse gas emissions by essentially increasing the price of fossil fuels. This both decreases demand for goods and services that produce high emissions and incentivises making them less carbon-intensive.” https://en.wikipedia.org/wiki/Carbon_tax

Many definitions of a carbon tax say it is designed to address the social cost of carbon emissions which is interesting. There is certainly a social cost in terms of threats to the stability of social systems, but the carbon tax (surely?) should aim to tackled those threats -physical ones arising from adverse weather and rising sea levels, and economic ones rising from the adverse affects of climate change on growing crops, ensuring a healthy work force and protecting commercial buildings from damage. 

The aim of a carbon tax should be to reduce and ultimately curtail the use of fossil fuels, whilst at the same time encouraging the development and use of alternative renewable energy. There will be a transition period as rapid changes cannot be made overnight. 

For example, to make transport systems free of fossil fuels, needs the development and delivery of sufficient electric vehicles, associated charging points and a proportionate increase in renewable energy supplies. It might also need to develop a wider spread, more frequent and affordable public transport system as a means of making best use of the resources needed to make both vehicles and batteries. A carbon tax would be too blunt an instrument to achieve all these changes unless supported by  legislation outlining the changes needed, and by grants and subsides to enable smaller and more vulnerable businesses and customers to make the transition. 

Counting on … day 80

5th April 2024

Green Steel 

Steel manufacturing produces more CO2 than any other heavy industry, comprising around 8% of total global emissions. 

Traditionally steel is made in a blast furnace where the iron ore is he@ted at high temperatures together with coal. As the coal burns it produces carbon monoxide which bonds with and removes oxygen in the iron ore so purifying it to produce metallic iron. The carbon monoxide binding with oxygen becomes carbon dioxide and is one of the main sources of carbon emissions. Other sources of emissions will vary depending how the furnace is heated etc. 

The industry is developing various ways of producing steel without – or with reduced – carbon dioxide emissions – known as green steel.

Replacing coal with hydrogen: Green steel can be produced by using hydrogen to remove the oxygen from the the ore – producing water (H2O). Ideally this would be green hydrogen – ie hydrogen produced using renewable energy. This method of producing steel requires heating the furnace to a higher temperature.

Reusing existing steel: steel can easily be recycled in arc furnaces powered by electricity – which ideally would be electricity from renewable energy sources with no carbon dioxide emissions.

Around 30% of the world’s steel is made from recycled steel. However steel cannot be recycled endlessly without loss of quality. Each time it is recycled the proportion of unwanted elements such as copper, nickel and tin increases. On the other hand steel has  long in-use life which means that the amount of steel made available for recycling does not at present keep up with the growing demand for more steel. Our modern economies are big users of steel!

(For more detail see https://theconversation.com/green-steel-is-hailed-as-the-next-big-thing-in-australian-industry-heres-what-the-hype-is-all-about-160282)

Which ever form of green steel is produced, the availability of large amounts of renewable energy is going to be critical. 

As important will be the way the transition is managed as furnaces are large and highly expensive pieces of kit – ie needing substantial investment – and can take years to install which in some instances has led to workers being laid off – as is proposed at the Tata steel works in Port Talbot. (https://www.theguardian.com/uk-news/2024/mar/25/tata-port-talbot-job-losses-labour-subsidy?CMP=Share_iOSApp_Other). 

Other important issues to address are how steel is used – with product design ensuring a long life, whether other materials could be used – timber for example in building construction, and how effectively scrap  steel is collected and recycled.

Further reading – https://www.bbc.co.uk/news/business-64538296

Counting on … day 79

4th April 2024

Bioenergy can also be obtained from trees – the timber is burnt to  either as direct form of heat from a stove of fire, or in a power station to  drive steam turbines that generate electricity.  Burning timber is the most common form of bioenergy used in the UK. Whilst it can be claimed that only waste timber is used – cuts and shavings from timber plants – the reality is that power stations such as Drax import timber which already starts to add to its carbon footprint. International rules imported timber is zero carbon as the emissions are counted in the country where the trees are harvested. In fact these emissions are often not recorded at all. And whilst the timber arrives here as preformed pellets, the timber intact comes from whole trees  from mono culture plantations or from virgin forests.

In reality burning timber as a bioenergy is not a zero carbon option. The carbon stored in the timber is going to be released at some point in the future but if that tree is left to grow, and in its own good time, die, that carbon is locked in longer. Even better as the tree decays in its natural environment it will take years to decay during which time it will provide a habitat for a great variety of different plants and creatures.  Further a large part of the carbon will be absorbed into the soil, again storing it away. If on the other hand the tree, having been felled, is used to make doors, floor boards, paper, furniture etc so the carbon is locked away for many more years to come. 

For further reading – https://www.rspb.org.uk/helping-nature/what-we-do/influence-government-and-business/nature-protection-and-restoration/bioenergy

Carbon capture and storage CCS for the ongoing burning of fossil fuels to generate energy – https://www.theguardian.com/environment/2024/mar/26/tone-deaf-fossil-gas-growth-in-europe-is-speeding-climate-crisis-say-activists?CMP=Share_iOSApp_Other

Counting on … day 78

3rd April 2024

Biofuels are fuels derived from biomass such as plant material, food waste, algae, or animal waste. There are two forms of biofuel – 

“Bioethanol is an alcohol made by fermentation, mostly from carbohydrates produced in sugar or starch crops such as maize, sugarcane, or sweet sorghum. Cellulosic biomass, derived from non-food sources, such as trees and grasses, is also being developed as a feedstock for ethanol production. Ethanol can be used as a fuel for vehicles in its pure form (E100), but it is usually used as a gasoline additive to increase octane ratings and improve vehicle emissions.

And “Biodiesel is produced from oils or fats using transesterification. It can be used as a fuel for vehicles in its pure form (B100), but it is usually used as a diesel additive to reduce levels of particulates, carbon monoxide, and hydrocarbons from diesel-powered vehicles.” (https://en.wikipedia.org/wiki/Biofuel)

Brazil is the largest producer of bioethanol and the EU is the largest producer of biodiesel. 

Both forms of biofuel differ from fossil fuels in that they are produced from organic materials being grown now as opposed to using organic materials that were decomposing millions of years ago.  

Both produce greenhouse gas emissions but less than do fossil fuels. Biofuels may be made using only waste materials, but often are made from crops that have been specifically grown for this purpose. This may have the affect of diverting land that would otherwise be used for growing food, or may involve deforestation to create new crop lands. 

Drax power station which burns timber as a biofuel to generate electricity uses wood pellets. Although wood pellets can be made from waste wood, most of the pellets that are burnt at Drax are made from whole trees that were once growing in virgin forests in South Carolina and British Columbia. These are then imported to the UK. For more information- https://www.bbc.co.uk/news/science-environment-68381160

Counting on … day 77

2nd April 2024

Land management is key in reducing damaging emissions and improving biodiversity. This is acknowledged by the Government but not always pursued.

“Globally, around a quarter of GHGs come from land management activities, including deforestation and agriculture. However, terrestrial and marine ecosystems take up carbon dioxide equivalent to over half of the emissions caused by people.  The challenge is to reduce anthropogenic emissions and increase uptake by ecosystems, storing carbon in soils, sediments and vegetation….

“In the UK our land, coast and seas have been managed for millennia to provide food and other resources for people.  Some patterns of management were sustainable over the centuries, supporting biodiversity and storing carbon as well as providing for the needs of people.  However, there has also been habitat destruction and degradation, leading to declining biodiversity and substantial emissions of carbon to the atmosphere. 

“Repairing this damage to stop emissions and capture more carbon is an essential element of achieving net zero, alongside deep cuts in emissions from other sectors such as energy and transport. The Climate Change Committee estimates that 20% of agricultural land will need to be released before 2050 to deliver actions that reduce emissions and sequester carbon. Such a shift in land use change will require us to prioritise opportunities that also deliver wider co-benefits for climate change adaptation, biodiversity, water management, air quality and soil health.” 

Counting on … day 76

28th March 2024

Biodiversity is “the variety and variability of life on Earth. Biodiversity is a measure of variation at the genetic, species and ecosystem levels. Biodiversity is not distributed evenly on Earth; it is usually greater in the tropics as a result of the warm climate and high primary productivity in the region near the equator. Tropical forest ecosystems cover less than 10% of Earth’s terrestrial surface and contain about 50% of the world’s species.” (https://en.wikipedia.org/wiki/Biodiversity)

Biodiversity is linked to climate change. When the climate is changing, ecosystems change and with them species must also adapt and change. If the climate change is rapid, some species may not be able to change at a sufficient pace and their numbers will decline rapidly. Conversely biodiversity is often boosted by practices designed to reduce climate change – eg planting more natural woodland, restoring natural habitats such as peat bogs and wet lands, etc benefits and therefore boosts biodiversity. 

Counting on … day 75

27th March 2024

Agroforestry offers another approach to farming that enables the long term increased sequestration of carbon dioxide. Agroforestry has two main forms: 

“Silvo-pastoral agroforestry: which means the grazing of animals under trees. The animals enrich the soil while the trees provide shelter and fodder for the animals.

Silvo-arable agroforestry: where crops are grown beneath trees, often in rows which are large enough for a tractor to tend to the crops without damaging the trees. This is farming in 3D, the trees and the crops occupy different levels above ground, and also below ground where the tree roots will reach down deeper than the crops.”(1)

The additions of trees in the farm enhances the amount of carbon dioxide that is being . At the same time the practice also benefits the condition of the soil. “Tree roots reach deep into the ground, releasing much-needed carbon into the soil. They cycle nutrients and bind the soil together, preventing it from being eroded by the wind or the rain.”(1)

(1) https://www.soilassociation.org/causes-campaigns/agroforestry/what-is-agroforestry/

Counting on … day 74

26th March 2024

Regenerative farming is one way in which carbon dioxide levels can be reduced. Regenerative farming aims both to increase the amount of carbon stored in the soil and the plants it sustains, and by lowering livestock numbers, reducing emissions. Livestock account for about 14% of greenhouse gas emissions. 

For further reading – https://greentau.org/2023/12/15/windows-of-opportunity-16/