JRC report estimates global cost of climate-change policies
The report "Economic assessment of post-2012 global climate policies", published today by the JRC's Institute for Prospective Technological Studies (IPTS) presents in detail the economic estimations upon which the recently released Commission Communication "Towards a comprehensive climate change agreement in Copenhagen" is based.
The research gives an estimate of some €666 billion to the global cumulative cost of mitigation policies, which aim to reduce the effects of climate change by curbing greenhouse gas emissions, for the eight year period following the Kyoto protocol (2013-2020). By 2020, annual costs in the energy and industrial sectors will be €150 billion, with additional costs of about €25 billion that would be borne by land use-related sectors, amounting to a total cost of €175 billion. The JRC's estimations mean that most countries would face costs ranging from 0.4 to 1.2% of their respective Gross Domestic Product (GDP).