Tradable Units Research Articles

Leveraging self-sovereign identity & distributed ledger technology in renewable energy certificate ecosystems

Renewable Energy Certificates (RECs) are tradable units that represent the commodity in the form of environmental attributes generated for each unit of electricity produced by a renewable energy source. Furthermore, the energy sector's digitalization ushers in new crucial enablers like Distributed Ledger Technology (DLT), which may be used for REC record tracking and trading. Unfortunately, there are a number of outstanding issues such as the lack of a common standard for the representation, communication, and verification of REC, reliance on centralized entities, and others. In order to harness the true potential of energy DLT and REC, it is imperative to address these issues. In this visionary article, we propose a holistic approach which leverages a novel decentralized identity mechanism called Self-sovereign Identity (SSI) and DLT. We present its architecture, based on a rigorous threat model and requirement analysis as well as detailed use-cases to illustrate how the architecture can be used in different REC use-cases.

Ways of (un)knowing landscapes: Tracing more-than-human relations in regenerative agriculture

In the face of diverse socio-ecological crises, regenerative agriculture promises to enliven rural landscapes by positioning farmers as key actors in mitigating the ‘carbon problem’ on the one hand, and adapting to it on the other. This article troubles ways of knowing regenerative agriculture through soil-and-carbon centered representational knowledge practices. Conceptually, we build on relational scholarship and use the concept of (un)knowing landscapes to suggest that agricultural landscapes both become, and become (un)known in and through diverse more-than-human relations. Empirically, we draw from ethnographic fieldwork independently conducted at farms in Finland, Norway and Italy practicing diversified regenerative agriculture. By focusing specifically on the practices of composting and processes of decomposition, we show how farmers come to know and reciprocate the aliveness of their landscapes through both proximate and distant relational dynamics: balancing between control and cohabitation, caring for and taking care of, and attending to multiple rhythms of (re)production. We argue that placing a deeper focus on soils — even when representing them differently — not only risks making proximate relations in diversified regenerative agricultural landscapes unknown, but also permits these landscapes to become known primarily through relations of distance. This, in turn, enables the commensurability of regenerative agricultural landscapes into tradable units for carbon markets. We conclude that transformation towards ecological livelihoods requires a radical reevaluation of, and accounting for, diverse more-than-human landscape relations.

Stealing Air and Land – The Politics of Translating Global Environmental Governance in Suau, Papua New Guinea

Global environmental governance today is grounded in a set of ontological assumptions that involve measurement and commodification of carbon emissions as tradeable units between countries for mitigating climate change and preventing deforestation. These ontological assumptions are not necessarily shared by communities that are targeted for implementing projects developed under such agendas. This article provides an ethnographic account of the tensions around a REDD+ Pilot Project and a Save the Forest conservation program in Central Suau, Papua New Guinea. Despite efforts by project proponents to conduct 'awareness' on the programs to local communities, people feared these interventions as attempts to steal their air and land to sell to other countries. The study shows that differing assumptions of reality between project proponents and communities are related to the politics of translation that are embedded in past histories of colonisation, missionisation, and ongoing resource extraction. The ensuing disagreements highlight failures to mediate ontological intersections, which are manifested in local fears of new forms of power and external appropriation of their land and air through global environmental governance mechanisms.

Progressive supply-side policy under the Paris Agreement to enhance geological carbon storage

ABSTRACT As the Paris Agreement moves towards implementation, we explore opportunities it presents to move part of the climate change mitigation challenge upstream into supply-side climate policy. Supply-side climate policies have been sparsely employed to date, although interest is growing in approaches that can curtail and end fossil fuel production. Rather than focussing on fully eliminating fossil fuel production, we set out an alternative supply-side approach that involves fossil fuel producers taking progressive action to reduce and eliminate the climate impacts of their products. Our proposal uses the Paris Agreement’s framework for finance and international cooperation to establish supply-side climate action that supplements demand-side climate policies, and thereby enhance climate ambition. The concepts presented rely on large-scale geosequestration technologies that can deposit carbon into geological reservoirs at rates progressively aligned to those at which carbon is being extracted by fossil fuel producers. Convergence of extraction and deposition rates is a necessary condition for achieving net-zero CO2 emissions while still enabling some essential uses of fossil carbon. We propose an evolutionary approach to policy development, starting as a technology-support mechanism using results-based finance before transitioning into systematic measures under, firstly, Article 6 of the Paris Agreement, and, ultimately, decarbonised fuel standards. Collectively these could incentivise fossil fuel resource holders to manage both outflows and inflows of carbon in the geosphere, and in doing so, create, foster, accelerate and maintain an urgently needed market for geological CO2 storage. Key policy insights Balancing rates of carbon extraction from the geosphere (e.g. fossil fuel production) and rates of carbon deposition in stable geological reservoirs can achieve net-zero emissions alongside efforts to reduce emission flows to the atmosphere. Framing the climate mitigation challenge around carbon stock management on the supply-side of fossil fuel markets offers new ways to enhance climate ambition by mobilizing the financial and technical resources of fossil fuel producers in deploying carbon capture and storage. International cooperation under the Paris Agreement offers a powerful opportunity to establish tradeable units that support establishment of a liquid market in verified carbon storage.

International carbon markets under the Paris Agreement: Basic form and development prospects

Article 6 of the Paris Agreement introduces two international carbon markets that receive extensive attention and are expected to play an important role in the post-2020 climate regime. Three key elements of the two international carbon markets, including the scope, the types of tradable units and the governance, are identified, as the basis to clarify their basic forms. Based on the key issues and their different designs identified in negotiations, this study analyzes the contributions and challenges for China to participate in international carbon markets. Considering the inherent needs of climate change mitigation, climate finance, the development of a green “Belt and Road” and the China South–South cooperation in climate change, along with the existing domestic capacities on market mechanisms, this study puts forward the short-, medium- and long-term development prospects of the two international carbon markets.

International market mechanism under Paris Agreement: Insights from China

The international discussion on the design of international market mechanism proposed in Paris agreement is still pending and it is important to add our views to the discussion in the negotiation. It is important to understand companies’ preferences in designing and planning market-based instruments. This paper uses the conjoint analysis to evaluate companies’ preferences for policy alternatives of this mechanism. Data were collected from 81 companies in Shanxi province, China. The results show that companies are most concerned about four policy attributes, policies at the national level, transition of CDM projects, compliance period and flexible mechanism. The ideal policy alternative should distribute directly the tradable units to companies, co-exist with the clean developing mechanism, have longer compliance period and allow companies to bank or borrow the tradable units. The sectors with lower competition level, advanced production technologies and lower energy intensity should be given to priority when taking part in the international market mechanism.

Sectoral Crediting Mechanism: How to Work in China

Using the method of conjoint analysis, this paper assesses corporate preferences for the policy alternatives of the sectoral crediting mechanism (SCM) aiming at supporting the discussions and development of this instrument. Data was collected in all 11 prefecture-level cities of Shanxi province, China. Modeling analysis confirms that companies are most concerned about the following three policy attributes, domestic policy instruments, the relationship with the clean developing mechanism (CDM) and the principle of Common but Differentiated Responsibilities (CBDR). Companies prefer a policy alternative that has a domestic policy instrument in which installations with voluntary targets receive tradable units, can co-exist with the CDM, and can get financial and technical assistance from developed countries. Meanwhile, the coverage of the SCM has the potential to expand to small companies that are the most inefficient under the premise of controlling transaction costs.

A conjoint analysis of corporate preferences for the sectoral crediting mechanism: a case study of Shanxi Province in China

It is crucial to understand corporate preferences in designing and planning new market-based instruments. Using the method of conjoint analysis, this paper evaluates corporate preferences for policy alternatives of the sectoral crediting mechanism aiming at supporting its discussions and development. Data were collected from 94 companies in all 11 prefecture-level cities of Shanxi province, China. The results confirm that companies are most concerned about three policy attributes; domestic policy instruments, the relationship with the clean developing mechanism, and the principle of Common but Differentiated Responsibilities. From the viewpoint of the Chinese businesses surveyed, the ideal policy alternative has a domestic policy instrument in which installations with voluntary targets receive tradable units, while co-existing with the clean developing mechanism, and providing opportunities to get financial and technical assistance from developed countries. Meanwhile, the coverage of the sectoral crediting mechanism could be expanded to small companies that are the most inefficient and thus have the lowest abatement costs in some sectors. The results of this study are important in light of ongoing discussions and developments of the sectoral crediting mechanism in China.

Corporate preferences for domestic policy instruments under a sectoral market mechanism: a case study of Shanxi Province in China

Understanding corporate preferences for domestic policy instruments is crucial to designing and planning the sectoral market mechanism in China. Based on a detailed overview of nine domestic policy instruments under the sectoral market mechanism, this paper evaluates corporate preferences and identifies their relationship with potential determinants through an ordinal logistics model. The data was collected from 113 respondents in all 11 prefecture-level cities of Shanxi province, China. The results show that providing economic incentives is the most preferable policy for companies. The policy instrument in which installations with voluntary targets receive tradable units is not recommended unless the inequity in the distribution of responsibility could be reduced or alleviated effectively. If the government applies a mandatory policy, it is more effective to give companies mandatory targets and to allocate tradable units to them in order to offer more flexibility. This paper discusses policy implications in designing domestic policy instruments based on the determinants that impact corporate preferences.

Corporate Preferences for Domestic Policy Instruments Under a Sectoral Market Mechanism: A Case Study of Shanxi Province in China

Understanding companies’ preferences for various domestic policy instruments is crucial to designing and planning Sectoral Market Mechanism (SMM) in China. Based on a detailed overview of domestic policy instruments under SMM, this paper evaluates corporate preferences for diverse domestic policy instruments and identifies potential influencing factors through econometric analysis. The data were collected from 113 respondents in all 11 prefecture-level cities of Shanxi province, China. Regarding policy instruments under the system of government receiving tradable units, corporate energy saving potential, learning capacity and companies’ characteristics have shown significant influences on companies’ preferences. Dissemination and the popularization of knowledge are also important to help companies learn how to improve energy efficiency. In terms of policy measures with voluntary installation-level targets, corporate competition level, organizational size and ownership are the main factors influencing companies’ preferences. Reducing inequality in the distribution of responsibility is especially important to gain companies’ support. Under the policy with mandatory installation-level targets, it suggests that policymakers should focus on status of energy use management and internationalization orientation. Policy instruments familiar to companies that are able to relieve corporate financial press ures might be good options to gain higher acceptance. Moreover, our results show that it is very important to choose an issuance frequency of one to three years under sectoral crediting.

Corporate Preferences for Domestic Policy Instruments Under a Sectoral Market Mechanism: A Case Study of Shanxi Province in China

Understanding companies’ preferences for various domestic policy instruments is crucial to designing and planning Sectoral Market Mechanism (SMM) in China. Based on a detailed overview of domestic policy instruments under SMM, this paper evaluates corporate preferences for diverse domestic policy instruments and identifies potential influencing factors through econometric analysis. The data were collected from 113 respondents in all 11 prefecture-level cities of Shanxi province, China. Regarding policy instruments under the system of government receiving tradable units, corporate energy saving potential, learning capacity and companies’ characteristics have shown significant influences on companies’ preferences. Dissemination and the popularization of knowledge are also important to help companies learn how to improve energy efficiency. In terms of policy measures with voluntary installation-level targets, corporate competition level, organizational size and ownership are the main factors influencing companies’ preferences. Reducing inequality in the distribution of responsibility is especially important to gain companies’ support. Under the policy with mandatory installation-level targets, it suggests that policymakers should focus on status of energy use management and internationalization orientation. Policy instruments familiar to companies that are able to relieve corporate financial pressures might be good options to gain higher acceptance. Moreover, our results show that it is very important to choose an issuance frequency of one to three years under sectoral crediting.

International Students as Lucrative Markets or Vulnerable Populations: A Critical Discourse Analysis of National and Institutional Events in Four Nations

The migration of post-secondary students is an increasingly debated phenomenon as the number of students living outside of their home country has risen to more than three million in the past decade. Governments, regions and institutions have developed new structures and strategies to facilitate and benefit from this worldwide student movement. This research article uses Fairclough’s (1993) notion of critical discourse analysis to explore the relationship between two distinct discourses on foreign students: national-level economic competitiveness and institutional-level student success. A comparative approach examines these discursive events in the four leading, Anglophone destination countries: Australia, Britain, Canada and the United States. The findings suggest that foreign students are objectified as tradable units in the market-driven discourse of economic development with student support literature providing a buffer that limits the critique of the economic discourse. At the same time, potential exists for current events to highlight the tension surrounding the two discourses and provide new opportunities for dialogue.