Implementing the Kyoto Protocol in Canada and the UK: a Discussion of the Economic Instruments Employed

Chapter Summary

This chapter examines the commonalities and disparities between Canada and the UK's early experiences as well as the current issues pertaining to the implementation of the Kyoto Protocol in both countries. It explores the role of fund and covenant mechanisms, highlighting how these tools can become stepping-stones for full Kyoto implementation based on prior UK and Canadian experiences. Both Canada and the UK have demonstrated that industry can get involved in combating climate change and that economic instruments are feasible. Significant players in myriad Kyoto negotiations, Canada and the UK tapped their respective emissions trading experience to formulate regulations aimed at optimal efficacy. In summary, within the international community both Canada and the UK are established leaders in devising innovative climate change legislation and avant-garde economic instruments for implementation. Proficiently employing economic instruments could make emissions trading a useful prototype for other sustainable development challenges.

Keywords: Canada; climate change; economic instruments; Kyoto protocol; UK