However, over <strong>the</strong> years,Greenpeace’s critique of em<strong>is</strong>sionstrading and <strong>the</strong> role of industry hasfaded into <strong>the</strong> background, as it hassince focused almost exclusively onKyoto ratification and campaignsagainst corporations still opposed to<strong>the</strong> treaty such as ExxonMobil. 14 At itsrecent launch of <strong>the</strong> Choose PositiveEnergy campaign, <strong>the</strong> headlinespeaker was none o<strong>the</strong>r than formerShell boss and head of <strong>the</strong> corporatelobby group Business Action forSustainable Development (BASD),Mark Moody Stuart. 15Greenpeace also controversially allieditself publicly with <strong>the</strong> World BusinessCouncil for Sustainable Developmentat <strong>the</strong> Johannesburg Rio +10summit. 16 <strong>The</strong> two former adversariesannounced that <strong>the</strong>y were “shelving<strong>the</strong>ir differences” and called uponleaders to take action on climatechange. Soon after, <strong>the</strong> WBCSDclarified to <strong>the</strong> press that it did notnecessarily mean that <strong>the</strong> businessgroup was calling for Kyoto ratification,contradicting Greenpeace’s assertionsthat it was. 17Greenpeace’s increasingly mutedopposition to em<strong>is</strong>sions trading and itstacit and active endorsement ofcompanies that support <strong>the</strong> KyotoProtocol has been a major ideologicalvictory for soph<strong>is</strong>ticated corporatelobby groups such as <strong>the</strong> WBCSD,and has paved <strong>the</strong> way for fur<strong>the</strong>rexpansion and development of <strong>the</strong>market-based mechan<strong>is</strong>ms.Many image conscious corporationsseek to show off <strong>the</strong>ir environmentalcredentials and <strong>the</strong>reby allay publicconcern by teaming up with a trustedmajor environmnental brand such asWWF or Greenpeace. In turn <strong>the</strong>segroups feel <strong>the</strong>y can exerc<strong>is</strong>e greaterleverage over a company’s behaviour.However at what cost?38
Conclusion: can em<strong>is</strong>sions tradingwork?<strong>The</strong> answer to th<strong>is</strong> questionnecessarily lies in <strong>the</strong> deconstructionof what it means to say ‘work’. Ifsuccess <strong>is</strong> measured by financialindices and <strong>the</strong> continuation of <strong>the</strong>economic and social order as it standstoday, <strong>the</strong>n em<strong>is</strong>sions trading will behailed as a victorious solution. Evenwith all <strong>the</strong> inherent problems ofaccounting, verification andmonitoring, those constructing <strong>the</strong>em<strong>is</strong>sions markets will make <strong>the</strong>m‘work’. As can be seen with o<strong>the</strong>rcurrent financial markets, even <strong>the</strong>ongoing scandals of fraud andcheating and regular occurrences ofcurrency cr<strong>is</strong>es, capital flight andrecession never stopped <strong>the</strong>m in <strong>the</strong>irtracks. <strong>The</strong> corporate scandals in <strong>the</strong>US, sparked by <strong>the</strong>Enron saga, had <strong>the</strong>power to exposefundamental flaws in<strong>the</strong> current economicsystem. However itwas a m<strong>is</strong>sedopportunity. <strong>The</strong>markets may havesuffered slightly but<strong>the</strong> ‘cr<strong>is</strong><strong>is</strong>’ wasmomentary and faithwas soon restored in<strong>the</strong> system. Evenwhile fur<strong>the</strong>r scandalswere erupting, o<strong>the</strong>r political newssuch as <strong>the</strong> ‘War On Terror’ sooneclipsed <strong>the</strong>m in <strong>the</strong> news headlines.<strong>The</strong>se same problems encountered byo<strong>the</strong>r financial markets will apply toem<strong>is</strong>sions trading and will beexacerbated by <strong>the</strong> absence of acredible and independent monitoringand verification body. At <strong>the</strong> same timeas hundreds of millions of dollars areinvested in setting up trading schemesall over <strong>the</strong> world, virtually no financialsupport <strong>is</strong> channelled into vitalregulatory infrastructure. <strong>The</strong> UK alonehas spent UK £215 million on <strong>the</strong>ir trialtrading scheme. 1 As brokers,consultants, accountants, speculators,“<strong>The</strong> safeguards that youneed in place are ascomplex, or even morecomplex, as <strong>the</strong> regulationsthat industry complainedabout in <strong>the</strong> first place.” 2— Mike Belliveau, NaturalResources Council of Maineenergy corporations and politicians allscramble for a piece of <strong>the</strong> em<strong>is</strong>sionstrading pie, no equivalent level ofactivity <strong>is</strong> seen from credible verifiersor monitors. Th<strong>is</strong> imbalance can onlylead to an em<strong>is</strong>sions marketdangerously reliant upon <strong>the</strong> integrityof corporations to file accurate reportsof em<strong>is</strong>sions levels as well asem<strong>is</strong>sions reductions from projects.More worryingly, th<strong>is</strong> inactivity from <strong>the</strong>regulatory side, means thatcorporations such asPricewaterhouseCoopers and CantorFitzgerald are playing multiple roles ofaccountants for polluting firms,verifiers of em<strong>is</strong>sion reduction projectsas well as consultants. Th<strong>is</strong> can onlylead to a severe conflict of interests,resulting in fraud and ultimately littleguarantee of actual em<strong>is</strong>sionsreductions.However all <strong>the</strong>seproblems will not stop <strong>the</strong>markets from ‘working’.<strong>The</strong> markets will befunctional, in much <strong>the</strong>same way that o<strong>the</strong>rfinancial markets are ableto d<strong>is</strong>tract attention from<strong>the</strong>ir own fundamentalflaws and <strong>is</strong>olate Enronand o<strong>the</strong>rs by labelling<strong>the</strong>m ‘bad apples’. <strong>The</strong>very survival of a marketdepends on its ability toappear stable with minimal regulatory‘interference’. A well-financed publicrelations industry as well as a lack ofawareness and education on <strong>the</strong>se<strong>is</strong>sues in <strong>the</strong> world’s generalpopulation will help maintain asemblance of stability andfunctionality. Em<strong>is</strong>sions markets arenot an exception and will benefit from<strong>the</strong> same illusion-building process.<strong>The</strong> gap between <strong>the</strong>ory andpracticeHowever, once <strong>the</strong> meaning ofwhe<strong>the</strong>r or not trading will ‘work’ <strong>is</strong>expanded to include o<strong>the</strong>r values, <strong>the</strong>n<strong>the</strong> fog created by impenetrable free-39