Consumption-based accounting of CO2 emissions
Key finding. In 2004, 23 per cent of global CO2 emissions — 6.2 gigatonnes — were traded internationally, primarily as exports from China and other emerging markets to consumers in developed countries; in Switzerland, Sweden, Austria, the United Kingdom, and France more than 30 per cent of consumption-based emissions were imported.
What question did this research address?
Emissions are conventionally attributed to the country where the fuel is burned. But goods are made in one country and consumed in another, so production-based inventories attribute the emissions of an export industry to the producing country rather than to the people who use what it makes.
This paper asked how the global picture changes when emissions are attributed instead to the consumption of goods and services.
What did we find?
The study presents a global consumption-based CO2 inventory together with the associated consumption-based energy and carbon intensities, using the then-latest available trade and emissions data.
Roughly a quarter of all global emissions cross a border before reaching the consumer who occasions them, moving predominantly from emerging markets to developed economies.
Several wealthy European countries import more than 30 per cent of their consumption-based emissions, amounting to net imports exceeding 4 tonnes of CO2 per person in 2004.
The United States is a net importer too, but less dramatically — 10.8 per cent of its consumption-based emissions, or 2.4 tonnes of CO2 per person.
Why does it matter?
The result changes who appears responsible. A country can reduce its production-based emissions by importing the goods it used to make, with no change in global emissions at all, and a production-only inventory records that as progress.
It also reframes what a wealthy country's mitigation options are. If a large share of the emissions occasioned by its consumption occur abroad, then policies confined to its own territory address only part of its footprint.
Citation
Steven J. Davis and Ken Caldeira (2010). Consumption-based accounting of CO2 emissions. Proceedings of the National Academy of Sciences 107, 5687-5692.