Comments by David Hone Subscribe

On Carbon Pricing in 2014

Bob, I found this useful summary (below) on the C2ES website. It is clearly not as simple as the BC approach, but it is largely recycled to households and industry. Over 50 percent of revenue generated from the carbon price is returned to households, particularly low-income ones, through tax relief and greater family benefit payments; Revenue generated by the program, along with additional government resources, will be used to ease the impact on trade-exposed industries and workers, and boost investments in renewable power, energy efficiency and other low-carbon alternatives; Implementation of the plan is expected to cost the government AUD 4.3 billion over the first four years, over and above revenue generated. David
January 8, 2015    View Comment    

On Carbon Pricing in 2014

My understanding of the Australian system (which is now gone) is that during the tax phase the money collected by the government was distribued back into the economy through a series of tax and levy reductions. It wasn't as clean as the BC approach, but it was essentially the same thing.
January 8, 2015    View Comment    

On Carbon Pricing in 2014

Bob, I agree that BC have done a great job and it seems to be sticking, but that's one part of one country. Contrast that with the political storm in Australia over the same thing and "difficult to implement" becomes an understatement. Unfortunately I see more jurisdictions at the Australia end of the spectrum than at the BC end of the spectrum. I certainly didn't mean to take away from the work that BC has done. David
January 8, 2015    View Comment    

On Yes, Virginia, There is CCS

Bob,

i agree that much of the CCS activity to date has involved EOR, but that is not always the case. Three projects in the pipeline that Shell is involved in do not involve EOR; Gorgon in Australia, Quest in Canada and Peterhead in Scotland  are all storage projects.

David

December 27, 2014    View Comment    

On Two Views on Mitigation Economics

Bob,

Perhaps you have misinterpreted what I mean here. If infrastructure already exists (e.g. oil platform) to extract from a known field or mine, the marginal cost of operation is possibly quite low, hence it is likely that this facility will continue to run even if prices fall as alternatives come into the market. Capital debt may not get serviced at such low prices, in which case the original operator may cease to trade, but a new operator may well come in and continue the extraction. New projects may not proceed, but there is already so much infrastructure in place that exisiting reserve extraction may just continue until fields and mines are depleted. This outlook can change with the use of a mechanism such as a carbon price.

David

November 19, 2014    View Comment    

On Fueling the Industrial Heartland

Edward,

This doesn't actually solve the CO2 issue though - it simply recycles CO2 that is already destined for the atmosphere.

David

April 2, 2014    View Comment    

On Fueling the Industrial Heartland

Edward,

This doesn't really make sense from an energy balance perspective. CO2 is the result of fuel combustion, so given the inefficiencies of manufacture you would have to put more energy into the process than you would get out when the fuel is used. Unfortunately you are fighting thermodynamics on this one.

David

April 2, 2014    View Comment    

On Living in a Renewables Distortion Field

Jens,

I didn't say nor do I think that business as usual will continue for decades. What I said is that even with some heroic assumptions about solar deployment it will still take a very long time for large scale displacement of fossil fuels. The assumptions in the Oceans scenario about solar rollout far outsrip even the most optimistic forecasts around today, yet it takes the rest of this century for the change to fully take place.

David

March 27, 2014    View Comment    

On How Much Is Efficiency Helping America Slash Its Carbon Emissions?

Stephen,

Energy efficiency is a powerful driver of economic growth and prosperity, but it really isn't an effective approach for reducing CO2 emissions. A variety of direct and indirect rebounds are almost ceratin to ensure it doesn't. After all, energy efficiency has been THE STORY of 200 years of industrial development and look what has happened.

In the case of the US at the moment, I suspect that the real cause of reductions (outside the natural gas switch) is continuing high oil prices. It is only now that car buyers are really reacting to this (the recession stopped them buying back in 2008-2010) and they are buying smaller, less energy hungry cars.

David

October 26, 2013    View Comment    

On How Much Is Efficiency Helping America Slash Its Carbon Emissions?

Stephen,

Energy efficiency is a powerful driver of economic growth and prosperity, but it really isn't an effective approach for reducing CO2 emissions. A variety of direct and indirect rebounds are almost ceratin to ensure it doesn't. After all, energy efficiency has been THE STORY of 200 years of industrial development and look what has happened.

In the case of the US at the moment, I suspect that the real cause of reductions (outside the natural gas switch) is continuing high oil prices. It is only now that car buyers are really reacting to this (the recession stopped them buying back in 2008-2010) and they are buying smaller, less energy hungry cars.

David

October 26, 2013    View Comment    

On Carbon Capture And Storage: One Step Forward, One Step Back

Joe,

I suggest you read the excellent article a bit down the page from yours (Understanding the Continued Dominance of Fossil Fuels) and then maybe you will recognise the importance of getting CCS going. I agree that progress is hopelessly slow, but that isn't a reason to then kick it when its down.

David 

October 15, 2013    View Comment    

On A Clear Explanation of Why We Need Carbon Capture and Storage [VIDEO]

Lindsay,

Carbon pricing will deliver CCS. Nuclear and RE do not reduce emissions unless they ensure that the fossil fuels they displace stay in the ground permanently. I think you are mixing solutions to energy needs with solutions to not emitting CO2. The point that the video makes is that if fossil fuels are used in the energy mix then they must be matched with CCS. Wide deployment of nuclear and RE may well stop fossil fuels from being used, but they have to reach 100% penetration 24/7 to do that. Nobody said that isn't a possible outcome.

With regards scale, I disagree.

David

September 25, 2013    View Comment