About the Book
In order to lower the carbon emissions that lead to global warming, Malaysia is considering the deployment of market-based carbon pricing policies such as carbon trading and a carbon tax. This paper, which is based on a memorandum submitted to the Malaysian government, presents a critical assessment of these policies from a climate justice perspective.
The very basis of the carbon offsets traded in carbon markets - that a reduction or removal of emissions in one place balances out emissions elsewhere - is scientifically unsound and allows for continuing emissions that the planet can ill afford. Offsetting projects can also displace indigenous peoples and local communities, while the carbon markets themselves are vulnerable to financial instability and even criminal activity. A carbon tax meanwhile will likely have only limited impact in cutting emissions, due to a myriad of loopholes, exemptions and political constraints in determining the tax rate.
Instead of these flawed market-based approaches, Malaysia - and other developing countries - is urged to adopt regulatory policies that set product, performance and technology standards for emission reduction. Given the important role they play in climate change mitigation and adaptation, the conservation of forests and biodiversity should be prioritised as well, with financing for these efforts sourced from international climate funds and other non-market approaches.
The underlying need, therefore, is to steer the climate policy discourse away from false solutions towards real action centred on equity and sustainability.
SAHABAT ALAM MALAYSIA (FRIENDS OF THE EARTH MALAYSIA) is an independent non-profit national organisation working to ensure that development choices and management of natural resources in Malaysia are sustainable and ecologically sound, guided by the principles of environmental justice.
Contents
Executive Summary v
1. Introduction 1
2. Background and Context: What We Know About the Carbon Pricing Plan in Malaysia
3. Why Carbon Markets Will Not Work
3.1 Unresolvable conceptual issues with carbon markets
3.2 Carbon markets and net zero are a false solution to the climate crisis
3.3 Forest carbon offsets risk bringing more harm than good
3.4 Carbon markets open up the opportunity for more dangerous and risky solutions
3.5 What it all adds up to: subprime carbon, carbon bubbles and carbon trading crime
3.6 Emission trading schemes abroad: The pitfalls and lessons learned
4. The Carbon Tax Is Not a Better Alternative
4.1 Critiques and lessons from other countries
5. Real Solutions: Beyond Carbon Markets and Carbon Taxes
5.1 Traditional regulation can be more effective in reducing emissions
5.2 Reject unilateral imposition of carbon border adjustment mechanism instead of using it to justify domestic carbon pricing policy
5.3 Real solutions through strengthening the rights of indigenous peoples and supporting community-based approaches
6. Conclusion
References
This product was added to our catalog on Wednesday 01 November, 2023.
