Chinese Scientists Advocate for Consumption-Based Carbon Accounting for Fair Emissions Reduction

Chinese Scientists Advocate for Consumption-Based Carbon Accounting for Fair Emissions Reduction

Chinese scientists have called for a global shift to consumption-based carbon accounting (CBA) to ensure a fair allocation of emissions reduction responsibilities among nations. In a study released on May 29 in Shanghai, researchers highlighted the need to consider the carbon footprint of consumed goods and services, rather than focusing solely on production-based emissions.

The “Research Report on Consumption-based Carbon Emissions (2024)” was jointly conducted by scientists from several institutes under the Chinese Academy of Sciences (CAS) and Tsinghua University. The report presents the latest findings on global carbon emissions from a consumption perspective, emphasizing the importance of attributing emissions to the end-users of products and services.

The study analyzed the evolution of CBA emissions in major developed and developing countries from 1990 to 2019, comparing the changes in China and the United States. Researchers focused on assessing the carbon transfer effects of key trade products, revealing significant disparities between production and consumption-based emissions.

“Carbon emission accounting is the key basis for global emission reduction and climate change governance,” said Wei Wei, one of the lead authors and a researcher at the Shanghai Advanced Research Institute of CAS. “The widely adopted production-based accounting (PBA) method overlooks the implicit contribution of economic activities, especially international trade, to carbon emissions.”

Wei explained that the CBA method could help clarify how the responsibility for global emissions reduction should be shared between producers and consumers. By accounting for the carbon emissions embodied in traded goods and services, nations can develop more equitable policies and cooperative strategies to combat climate change.

The report found that from 1990 to 2019, the CBA emissions of major developed countries were higher than their PBA emissions, while the opposite was true for developing countries. For non-OECD members, mainly developing countries, the gap between CBA and PBA emissions increased from 1.47 gigatonnes (Gt) in 1990 to 4.17 Gt in 2019. In contrast, the CBA emissions of OECD members have consistently been higher than their PBA emissions, with the gap peaking at 3.64 Gt in 2006 before decreasing to 1.42 Gt in 2019.

China remains the world’s largest undertaker of embodied trade carbon emissions. The gap between China’s PBA and CBA emissions grew from 0.7 Gt in 1990 to 1.8 Gt in 2019. During this period, China’s embodied carbon intensity in exported products decreased by 83.3 percent, demonstrating the nation’s efforts to provide greener and low-carbon products to the world.

Industrial raw materials and tech-intensive green products have become major trade commodities for China. In 2021, China bore 100 million tonnes of net carbon emissions from trade in steel products and 250 million tonnes from trade in photovoltaic products for other countries.

“To achieve global carbon reduction goals, all countries should work together to promote scientific and technological advancements,” Wei emphasized. “Nations have common carbon reduction responsibilities as well as specific obligations unique to each country.”

The report suggests that opportunities remain for further improvement in CBA emission methods. Calculating carbon footprints for products requires higher quality data and a broader range of products. The researchers recommend developing a CBA methodology that combines top-down and bottom-up approaches, focusing on both region-level and product-level emissions. This integrated method could lead to a fairer distribution of emission responsibilities and more effective reduction strategies.

By advocating for the adoption of consumption-based carbon accounting, Chinese scientists are encouraging a more just and collaborative approach to global emissions reduction. Recognizing the interconnectedness of international trade and carbon emissions is essential for formulating policies that reflect the shared responsibility of producers and consumers in combating climate change.

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