OECD - US Economic Report

Nothing like curling up with a report from the Organisation for Economic Co-operation and Development (OECD) to ease any insomnia you might suffer from. To be fair the report is actually a great resource for US facts/figures, though I'm not sure about its claim that the US is accountable for only 15% of global emissions. This is far lower than the ~20% figure I've seen in the past (and ~22% for China). You can read the summary here.

A few highlights:

* The climate section of the report is framed in the context of reducing Americans' exposure to risk. It also identifies the corollary benefits of taking action - cleaner air, improved health conditions, enhanced energy/national security due to a reduction in foreign oil imports

* The report makes a very strong case for putting a price on carbon - least cost option, driver of RD&D, etc., and argues that the EPA is a less cost effective tool and unlikely to deliver the necessary emissions reductions

* It calls for passage of US climate legislation but: i) opposes the removal of provisions which do not take the indirect land use effect of bio-fuels into account (i.e., food shortages, increased prices, etc.); ii) opposes the inclusion of BTAs (border tax adjustments), also known as BAMs (Border Adjustment Mechanisms) in US parlance; and iii) suggests limiting offsets so revenues raised can be used as a deficit reduction tool.

I'm not sure what impact the report will have on the US debate, if any. But it's interesting to note that an organization set up to counterbalance OPEC is calling on the US to reduce its emissions and put a greater emphasis on investment in low carbon technology.