Actually, the option I was primarily thinking of was for air capture
to generate carbon credits in cap-and-trade.  But any binding
international agreement that limits net carbon emissions would
likewise provide an incentive for a country to fund air capture so
that it can gain an advantage in carbon-emitting activity.

On May 9, 10:43 pm, Sam Carana <[email protected]> wrote:
> The question is how we can best get carbon air capture started.
>
> With so many local things to fund (financial assistance for the poor,
> subsidies for solar energy, building insulation, electric cars, etc),
> what incentive is there for a country to fund air capture?
>
> Aviation causes lots of emissions. So, politicians are proposing all
> kinds of ways to make conventional jet fuel more expensive. However,
> what guarantees do they give that the proceeds will help reduce
> greenhouse gases? The proceeds may well end up in countries like India
> and Pakistan and cause people there to buy more polluting cars and eat
> more meat. Politicians may promise anything to get elected, without
> having to demonstrate that their proposals will indeed make any
> difference. By contrast, we should come up with proposals that are
> indeed effective in reducing greenhouse gases.
>
> One proposal is for aviation, by international agreement, to offset
> carbon emissions by means of fees imposed on conventional jet fuel,
> with the proceeds of those fees used to directly fund carbon-negative
> activities, e.g., carbon air capture and storage, biochar burial,
> afforestation, etc.
>
> Another proposal calls for an international agreement to reduce
> greenhouse gases, with reduction targets set for each country to
> reach. Local politics could decide how to reduce greenhouse gases,
> provided that the internationally agreed targets are indeed reached.
> Tariffs would be imposed on products imported from countries that fail
> to reach targets, and the proceeds of these tariffs would then be used
> to fund carbon-negative activities. Such carbon-negative activities
> could take place anywhere in the world. Market mechanisms can then
> sort out which methods are most cost-effective in reducing greenhouse
> gases, all government needs to do is to channel the proceeds of these
> tariffs to funding of activities that capture carbon and store it.
>
> Each of these propositions would get things like carbon air capture
> started in a big way. The promise of such funding will attract
> investors and business activities, while there's government
> supervision over the funding to ensure that things are done in clean
> and safe ways.
>
> Cheers!
> Sam Carana
>
> On Sun, May 10, 2009 at 8:23 AM, dsw_s <[email protected]> wrote:
>
> >> it is more economically sensible to tax where substitutes are readily 
> >> available.
>
> > If you're taxing to change behavior, yes.  If you're taxing to raise
> > revenue without distorting markets, no.  If we tax high-carbon
> > activities to fund mitigation in other areas, we're taxing for
> > revenue; if we tax high-carbon activities to encourage substitution of
> > lower-carbon alternatives, we're taxing to change behavior.  I don't
> > immediately see a reason to prefer one over the other, rather than
> > just going with cap-and-trade that's indifferent between having people
> > substitute or subsidize.
>
>
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