Abstract
Internationally, reporting of greenhouse gas emissions is currently based on the production-based (PB) accounting method, which measures emissions generated in the place where goods and services are produced. However, this allocation method has been criticised for excluding emissions embodied in trade. Consequently, consumption-based (CB) accounting has been proposed as an alternative, or as a complementary information tool. This approach allocates emissions from goods and services to the country of the final consumer. It therefore includes emissions embedded in imports, plus aviation and shipping emissions, but excludes emissions embodied in exports. The main aim of this chapter is to outline the arguments in favour of and against adoption of CB accounting. In addition, it reviews how CB accounting is used in policy-making processes.
| Original language | English |
|---|---|
| Title of host publication | Handbook on Trade Policy and Climate Change |
| Editors | Michael Jakob |
| Place of Publication | Cheltenham, UK |
| Publisher | Edward Elgar Publishing |
| Chapter | 15 |
| Pages | 239-255 |
| Number of pages | 17 |
| ISBN (Electronic) | 978 1 83910 324 7 |
| ISBN (Print) | 978 1 83910 323 0 |
| DOIs | |
| Publication status | Published - 15 Mar 2022 |
Publication series
| Name | Elgar Handbooks in Energy, the Environment and Climate Change |
|---|---|
| Publisher | Edward Elgar |
Bibliographical note
Publisher Copyright:© Michael Jakob 2022. All rights reserved.
Keywords
- CO2 EMISSIONS
- Consumption-based emissions
- Production-based emissions
- International Trade
- Carbon footprint
- Trade policy