The Magic of Emissions TradingMarch 16th, 2009
Posted by: Roger Pielke, Jr.
Courtesy of Benny Peiser’s CCNet is this translated German news article (thanks to BP):
Germany’s environment minister Sigmar Gabriel (Social Democratic Party) is pushing for the construction of new coal-fired power plants in Germany. “We need eight to twelve new coal plants if we want to get out of nuclear energy,” Gabriel said on Friday at a meeting of the Mainz-Wiesbaden AG (KMW) in Mainz. With regard to the opponents of the planned coal-fired power in Mainz, the minister said: “Those who demonstrate against coal-fired power will get nuclear power plants instead.” Gabriel said, the decision about which power plants are built is the responsibility of companies and not politics. He added that new coal power plants would not increase carbon dioxide emissions.
First of all, old plants would be closed. In additon, the emissions trading scheme would limit the level of emissions. “You can build 100 coal-fired power plants and don’t have to have higher CO2 emissions,” said the environment minister.
Renewable energies would not be able to close the gap in energy supply that will arise due to the shutdown of nuclear power plants by 2020, said Gabriel. Even gas-fired power plants are not a real alternative because their power generation is expensive and thus not competitive for the energy supply of industrial production.
I think that these comments say more than is intended about the possibilities under a cap and trade system.