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2010-01-25 14:55:03 | Weblog
[News] from [guardian.co.uk]

[Environment > Carbon emissions]
Copenhagen dampens banks' green commitment
Banks are pulling out of the carbon-offsetting market after Copenhagen failed to reach agreement on emissions targetsx

guardian.co.uk, Sunday 24 January 2010 20.06 GMT Article history

Banks and investors are pulling out of the carbon market after the failure to make progress at Copenhagen on reaching new emissions targets after 2012.

Carbon financiers have already begun leaving banks in London because of the lack of activity and the drop-off in investment demand. The Guardian has been told that backers have this month pulled out of a large planned clean-energy project in the developing world because of the expected fall in emissions credits after 2012.

Anthony Hobley, partner and global head of climate change and carbon finance at law firm Norton Rose, said: "People will gradually start to leave carbon desks, we are beginning to see that already. We are seeing a freeze in banks' recruitment plans for the carbon market. It's not clear at what point this will turn into a cull or a rout."

Paul Kelly, chief executive of Eco­Securities, which develops clean energy projects, said that while markets had not expected a definitive post-Kyoto Protocol deal at Copenhagen, they had expected some progress.

"The lack of regulatory certainty in the post 2012 world affects the market's view of what CERs [carbon credits from clean energy projects] will be worth and subsequently will constrain financing for projects. If you had an agreement at Copenhagen with a bit more detail, people would be more willing to take risk."

After two weeks of extenuating talks, world leaders delivered an agreement in Copenhagen that left campaigners disappointed as it failed to commit rich and poor countries to any greenhouse gas emission reductions.

Banks had been scaling back their plans to invest in carbon markets before Copenhagen. Fewer new clean energy projects need to be financed as, because of the recession, there are fewer global emissions to offset. The price of carbon credits has also fallen, while plans to introduce national trading schemes, particularly in the US and Australia, remain uncertain.

Two sources said that Australian bank Westpac had scaled back plans to increase its carbon desk in London. A bank spokeswoman denied there were plans to recruit more staff in London, adding: "We have always said that we would look to grow this business organically as carbon markets develop and that remains the case."

Carbon markets were central to the Kyoto Protocol, which expires in 2012 and obliged developed countries that exceed their targets to purchase credits from clean energy projects in the developing world. Policymakers will meet again in Mexico in November in an attempt to revive the climate change talks.


[News > World news > China]
Campaign to boost cycling in Beijing
> Measures fail to ease capital's car-choked roads
> Planners want city to be haven for cyclists

Jonathan Watts, Asia environment correspondent
guardian.co.uk, Sunday 24 January 2010 18.04 GMT Article history

After wrestling for years with Beijing's appalling traffic and pollution problems, city planners have come up with a distinctly old-fashioned solution: bicycles.

Municipal officials want to boost the number of cyclists by 25% during the next five-year plan, state media reported today. Twenty years ago, four out of five residents in the Chinese capital pedalled to work through one of the world's best systems of bicycle lanes. But the modern passion for cars has made two-wheeled transport so treacherous, dirty and unfashionable that barely a fifth of the population dares to use lanes that are now routinely blocked by parked cars and invaded by vehicles attempting to escape from the jams on the main roads.

Last year, China overtook the United States to become the world's biggest car market. Increasing affluence brings about a million new vehicles on to the roads every month, choking the streets with traffic and the air with smog.

The capital is among the worst affected cities. Since the 2008 Olympics, car owners have been ordered not to drive on certain days each week, but these controls have failed to ease congestion, so the authorities are considering additional measures.

According to the Xinhua news agency, the government hopes to improve the infrastructure for cyclists, including restored bicycle lanes and new rental programmes providing 50,000 bikes for hire by 2015. The authorities plan more bike parks near bus and subway stations in the expectation that half the city's residents will travel to work by public transport in five years.

Residents welcomed any improvement on the current system, which is so bad that some businessmen keep a fold-up bike in the boot of their chauffeur-driven cars so they can escape bad snarl-ups.

But despite unhappiness about driving, there was scepticism about the likelihood of a return of Beijing's bicycle culture.

"Fewer and fewer of my friends ride bicycles, but the interesting thing is they don't drive cars either," said Jiamin Zhao, an internet entrepreneur who still cycles his child to school each morning. "Some people are tired of driving. More are taking the subway or taxis."

Others questioned Beijing's willingness to prioritise cheap bicycles over expensive cars given the city's emphasis on economic development and its relatively lax car ownership regulations.

"I don't think they are serious about promoting bicycles. It's much easier to buy and own a car in Beijing than Shanghai," said Chen Ying, a language teacher who owns two cars. "When I started driving 10 years ago, it was something special because not many people had cars then, but now everyone has one and the traffic is terrible. If they really want me to use a bicycle, they should build clean and safe bicycle lanes. At the moment, the roads are dangerous and too smelly."

This is not the first time Beijing has promised to regain its reputation as the "Kingdom of Bicycles". Four years ago, the construction ministry announced that any bike lanes that had been narrowed or destroyed to make way for cars must be returned to their original glory. Civil servants were also encouraged to cycle to work or take public transport. Since then, however, the number of cars in Beijing has increased by more than 25% to pass the 4m mark, while there has been no obvious improvement in conditions for cyclists.

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