{"id":3954,"date":"2023-07-02T17:33:56","date_gmt":"2023-07-02T14:33:56","guid":{"rendered":"https:\/\/www.cfwt.sua.ac.tz\/foresteconomics\/?p=3954"},"modified":"2023-07-02T17:35:46","modified_gmt":"2023-07-02T14:35:46","slug":"an-increased-resistance-to-global-shipping-emission-tax","status":"publish","type":"post","link":"https:\/\/www.cfwt.sua.ac.tz\/foresteconomics\/an-increased-resistance-to-global-shipping-emission-tax\/","title":{"rendered":"An increased Resistance to Global Shipping Emission Tax"},"content":{"rendered":"

At crunch talks in London, Latin American nations led by Brazil have fought against a tax on the emissions of the global shipping sector.<\/p>\n

The media is not allowed to watch the talks, hosted by the United Nation\u2019s shipping arm in London, but six sources in the room said Latin American countries were most vocal against the measure.<\/p>\n

A Brazilian foreign ministry spokesperson told Climate Home they opposed the levy, claiming it would distort trade, could push up the price of food and harm developing countries.<\/p>\n

Germany-sized emissions
\n<\/strong>Global shipping produces\u00a0about 3%<\/a>\u00a0of the world\u2019s emissions, a similar amount to Germany, and the emissions from burning its fuel are currently only untaxed.<\/p>\n

Pacific nations like the Marshall Islands and Solomon Islands, which are extremely vulnerable to climate change,\u00a0have led<\/a>\u00a0the push for nations to agree to a tax, also known as a levy, on emissions.<\/p>\n

They want that price to start at $100 per tonne of\u00a0greenhouse<\/a>\u00a0gas produced from burning ships\u2019 fuel, which they say would raise $60-80bn a year. This amount would decline as shipping cleans up.<\/p>\n

With journalists banned from the venue, the Marshall Islands lead shipping talks negotiator Albon Ishoda, spoke to\u00a0Climate<\/a>\u00a0Home in the lobby of the International Maritime Organisation.<\/p>\n

He said that shipping has a \u201cdirty past\u201d and has \u201ca responsibility, as the servant of global\u00a0trade<\/a>\u00a0to transition and to ensure a 1.5C future\u201d.<\/p>\n

Governments now have until July 7 to decide whether to tax\u00a0emissions<\/a>\u00a0from the shipping sector, which are not included in the UN climate change talks.<\/p>\n

Discomfort
\n<\/b>Ishoda from the Marshall Islands said that a levy causes \u201cdiscomfort\u201d among many states. There has been a lot of \u201cmisinformation guided by disinformation\u201d and\u00a0developing countries<\/a>\u00a0think a levy will hurt them disproportionately more, he said.<\/p>\n

\u201cFair enough, we\u2019re not saying a levy will be great all round\u201d, he said, but the $60-80 billion a\u00a0year their proposal will raise could be used to decarbonise shipping and to address any negative economic<\/a>\u00a0effects.<\/p>\n

As the talks are secret, Ishoda would not disclose who opposed the tax.<\/p>\n

But six sources present told\u00a0Climate<\/a>\u00a0Home that Brazil had led the resistance, joined\u00a0by Argentina, Chile, Uruguay, Guatemala, Ecuador, China and South Africa<\/p>\n

At a summit in Paris last week, none of these countries\u00a0signed<\/a>\u00a0a statement in support of the levy.<\/p>\n

On the other side, sources said, several European nations and Vietnam spoke in support of a levy while the\u00a0US<\/a>, UK, India and others neither supported nor opposed it.<\/p>\n

\u201cUnpredictable consequences\u201d
\n<\/strong>A spokesperson for Brazil\u2019s foreign ministry told Climate Home by email that they oppose a levy as it \u201cwould pose greater risks than other measures, especially for developing countries\u201d.<\/p>\n

They said a University of Sao Paulo study had shown that developing countries that export low value-added products to far away places are \u201clikely to be negatively affected\u201d by the measure.<\/p>\n

Brazil\u2019s\u00a0main exports<\/a>\u00a0are iron ore, soybeans, crude petroleum and sugar. The countries which take the most of its exports are\u00a0China<\/a>\u00a0and the USA.<\/p>\n

The spokesperson continued to say that the levy \u201ccould have unpredictable consequences\u201d like\u00a0changes to contracts and the substitution of agricultural crops and could increase food prices \u201cwith harmful effects<\/a>\u00a0for the poorest populations\u201d.<\/p>\n

Supporters of the $100 a tonne levy point out that the price of shipping\u00a0fuel<\/a>\u00a0swings drastically over time. Over the last few years, it has\u00a0varied<\/a>\u00a0from $200 a tonne to $600 a tonne, largely depending on the price of oil.<\/p>\n

While Ishoda said the levy\u2019s revenues could compensate for any negative effects, the Brazilian foreign ministry spokesperson said that this money was a problem too.<\/p>\n

They said that governments could come to rely on these revenues and then have to find substitute sources of income as the shipping sector decarbonises and the money stops coming in.<\/p>\n

Not a climate finance fix
\n<\/strong>Over the last year, the idea of a tax on shipping emissions has shot from obscurity onto the agenda of some of the world\u2019s most powerful people.<\/p>\n

Hosting a summit in Paris of nearly 40 heads of state last week, French president Emmanuel Macron said he was \u201cin favor of an international taxation\u201d to\u00a0finance climate<\/a>\u00a0action and later mentioned a tax on maritime transport as an option. US treasury sectretary Janet Yellen said at the summit that it was \u201csomething the\u00a0United States<\/a>\u00a0will look at\u201d.<\/p>\n

Ishoda said he was at the\u00a0Paris summit<\/a>\u00a0too. But \u201cmy message was simply to inform them \u2013 this money is not to fill in the gap where you failed\u201d, he said.<\/p>\n

The Brazilian foreign ministry spokesperson said they were also concerned\u00a0 that the levy \u201cmay have the effect of partly releasing developed countries of their [climate finance] commitments\u201d.<\/p>\n

The levy \u201cintroduces a debate on\u00a0climate financing<\/a>\u00a0that should not be undertook at the IMO\u201d, the spokesperson added.<\/p>\n

Rich nations have\u00a0failed<\/a>\u00a0to provide the developing world with the level of climate finance they promised, a failure large developing countries often hold up as a reason they can\u2019t cut emissions faster.<\/p>\n

Over this week and next, governments will decide whether to include a levy on shipping\u00a0emissions in their list of potential measures to reduce<\/a>\u00a0shipping\u2019s emissions.<\/p>\n

The level of the levy and what the money will be user for will be decided at future meetings.<\/p>\n","protected":false},"excerpt":{"rendered":"

At crunch talks in London, Latin American nations led by Brazil have fought against a tax on the emissions of the global shipping sector. The media is not allowed to watch the talks, hosted by the United Nation\u2019s shipping arm in London, but six sources in the room said Latin American countries were most vocal […]<\/p>\n","protected":false},"author":3,"featured_media":3956,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[83],"class_list":["post-3954","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-news","tag-carbon-emission-tax"],"yoast_head":"\nAn increased Resistance to Global Shipping Emission Tax - Department of Forest and Environment Economics| Sokoine University of Agriculture<\/title>\n<meta name=\"description\" content=\"Global shipping produces\u00a0about 3%\u00a0of the world\u2019s emissions, a similar amount to Germany, and the emissions from burning its fuel are currently only untaxed.Pacific nations like the Marshall Islands and Solomon Islands, which are extremely vulnerable to climate change,\u00a0have led\u00a0the push for nations to agree to a tax, also known as a levy, on emissions.They want that price to start at $100 per tonne of\u00a0greenhouse\u00a0gas produced from burning ships\u2019 fuel, which they say would raise $60-80bn a year. This amount would decline as shipping cleans up.With journalists banned from the venue, the Marshall Islands lead shipping talks negotiator Albon Ishoda, spoke to\u00a0Climate\u00a0Home in the lobby of the International Maritime Organisation.He said that shipping has a \u201cdirty past\u201d and has \u201ca responsibility, as the servant of global\u00a0trade\u00a0to transition and to ensure a 1.5C future\u201d.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.cfwt.sua.ac.tz\/foresteconomics\/an-increased-resistance-to-global-shipping-emission-tax\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"An increased Resistance to Global Shipping Emission Tax - Department of Forest and Environment Economics| Sokoine University of Agriculture\" \/>\n<meta property=\"og:description\" content=\"Global shipping produces\u00a0about 3%\u00a0of the world\u2019s emissions, a similar amount to Germany, and the emissions from burning its fuel are currently only untaxed.Pacific nations like the Marshall Islands and Solomon Islands, which are extremely vulnerable to climate change,\u00a0have led\u00a0the push for nations to agree to a tax, also known as a levy, on emissions.They want that price to start at $100 per tonne of\u00a0greenhouse\u00a0gas produced from burning ships\u2019 fuel, which they say would raise $60-80bn a year. 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