Podcasts about aldyen

John Palmisano Head of Climate & Risk, Changeblock What lessons have been learned that now set the stage for creating carbon markets in the right way, for a better world? John Palmisano, Head of Climate & Risk at Changeblock, and our Better Worlds guest host Aldyen Donnelly of Nori talk technicalities and rules on global trades during this episode of our podcast. The discussion surrounds tracking trades correctly; using double entry bookkeeping to reduce two entities receiving the same credits, to follow and report credits properly ensured through the use of blockchain. John surmises that Web 3 exhibits the power of enhanced tech that allows the maximization profits and trades, while blockchain tools will help developers in nations with less sophisticated property right structures in place that will be able to show attributes of their transactions. Hear more about how these tools will be used to counteract greenwashing and John's thoughts on a one-size-fits-all regulatory program and the tools important for establishing efficient solutions for big social problems due to their worldwide track record and benefits seen since the Kyoto protocol. Why would we switch to another worldwide regular regime where it's more difficult and sysyphisian, John asks. “It takes billions of dollars and hundreds of millions of person hours to create a worldwide trading program. When it started back in 1976 there were a handful of people who understood the offset interpretive ruling. Now there are 100,000 working on aspects of greenhouse emissions trading. Changing that would be futile. Look at the human capital, systems, history, thousands of transactions, culture, MRV, This concept has traction and it will and should be extended to other environmental commodities because we need these markets to reflect the price we are paying for destroying our habitat.” More about John: John serves as Head of Climate & Risk for Changeblock, a smart contract trading platform focused on facilitating trades of greenhouse gas related assets such as emission reduction credits and greenhouse gas allowances. An expert in environmental and energy matters, he created the first emissions credit brokerage firm and several others. He has advised governments, trade associations, companies, and NGOs on environmental management issues, energy and environmental trading, environmental auditing, sustainability, “green-energy” and climate change policies. Managed emission brokerage and environmental consulting offices in Athens, Hong Kong, London, Los Angeles, Kiev, Moscow, San Francisco, and Washington DC. Currently, he is developing an autonomous brokering methodology using blockchain-based smart contracts, developing an event-futures exchange, and developing blockchain-based supply chains to help companies demonstrate compliance with sustainable development commitments. More on Aldyen Aldyen Donnelly is a cofounder of Nori, and has been a small business developer and consultant for over 40 years. In the mid-1990s, Aldyen started to work on market-driven strategies to reduce atmospheric carbon concentrations. Having gathered together an "emission reduction credit" or "ERC" buyers group, Aldyen developed and executed the world's first major forward ERC purchase agreement to finance carbon sequestration in agricultural soils, as well as the first ERC sales-financed carbon capture and storage project.

Billions of credits traded on carbon markets worldwide have failed to move the needle for 20+ years. What changes are needed to make them work? S01E07 Better Worlds Podcast hosted by Vivi Lin. The trading of credits on voluntary and compliance carbon markets worldwide has failed to reduce emissions over the past 20 years. In this episode, Aldyen, co-founder of Nori, a carbon removal marketplace, shares extensive wisdom and a roadmap for success. This episode covers a ranges of problems and solutions including why trading emission rights will never work, why farmers and buyers don't have market access and brokers take 60% to 70% fees, why storing carbon in top-soil is beautiful, why trading carbon removal — not CO2 emission rights— is fundamental, how blockchain can support carbon traceability from farm to fork, and why crypto as an investment vehicle aligns investors and customers. Tune in to find out why Aldyen is firmly optimistic and believes the precipice of change is here. #carbon #co2 #markets #carbonmarkets #carbonremoval #ghgemissions #web3 #blockchain # About our Guest Aldyen Donnelly is a co-founder and director of carbon economics at Nori, a carbon removal marketplace launched in 2018. At Nori, she leads the development of methodologies to establish Carbon Removal Certificates and recruits early CRC buyers and suppliers into the marketplace. A small-business developer and consultant for over 40 years, Donnelly started to work on market-driven strategies to reduce atmospheric carbon concentrations in the mid-1990s. Her projects include using emission-reduction credits to finance carbon sequestration in agricultural soils, a stationary fuel-cell application, and carbon-capture and storage projects, among others. Donnelly also co-authored Canadian province Nova Scotia's 2009 GHG Emissions Regulations, the first of its kind in North America. # About Better Worlds Better Worlds is a communication and community building platform comprised of weekly podcasts, engaging international conferences and hack-a-thons to encourage and support the development of Web3 solutions. Our programs celebrate voices from every continent to forge a shared and abundant future.

We have talked at length on previous episodes about the flaws in compliance markets. And the team at Nori obviously believes in voluntary carbon markets, as we're building one ourselves. But there's a wide range of quality among voluntary markets, and the space is 1,000 times smaller than the compliance programs in progress around the world. So, have cap-and-trade markets contributed to a meaningful reduction in emissions in spite of their flaws? And are compliance markets the only way to address carbon emissions at scale? Michael Azlen is the Founder and CEO of Cabon Cap Management LLP and Co-Portfolio Manager of the World Carbon Fund. On this episode of Reversing Climate Change, Michael joins Ross and guest cohost Aldyen Donnelly to explain how he got interested in carbon as an asset class and share his take on the benefits of compliance markets. Aldyen offers insight on the two compliance market models, describing the problems associated with programs modeled after the SO2 Allowance Market—and why she prefers the framework of the Montreal Protocol. Listen in to understand how Michael thinks about regulating voluntary carbon markets and why he is optimistic about the global growth in compliance markets despite their imperfections. Connect with Nori Purchase Nori Carbon Removals Nori's website Nori on Twitter Check out our other podcast, Carbon Removal Newsroom Resources Carbon Cap Management Climate-Crypto, COP26, and Carbon Accounting Rules on Reversing Climate Change S3EP1 Michael's Paper on Carbon as an Emerging Asset Class World Carbon Fund The US Acid Rain SO2 Allowance Market The Montreal Protocol EU Emissions Trading System Fit for 55 Kyoto Protocol Clean Air Interstate Rule Cross-State Air Pollution Rule The Regional Greenhouse Gas Initiative California's Cap-and-Trade Program California Scoping Plan Documents UK Emissions Trading Scheme --- Send in a voice message: https://anchor.fm/reversingclimatechange/message Support this podcast: https://anchor.fm/reversingclimatechange/support

Subscribe to Nori's Reversing Climate Change podcast here: https://nori.com/podcasts/reversing-climate-change Prior to COP26, there was a big problem in international carbon accounting. Both the country where a carbon credit was generated and the country where it was sold could count those very same credits toward their Paris climate commitments. COP26 seeks to remedy this issue with the practice of double entry bookkeeping. But is it too late? What are the unintended consequences of implementing the new rules now? Aldyen Donnelly is a cofounder, advisor, and former Director of Carbon Economics here at Nori. She also serves as a carbon markets advisor to several organizations, including Terramerra, Inc. and the Livestock Carbon Exchange. On this episode of Reversing Climate Change, Aldyen joins Ross and Nori CEO Paul Gambill to discuss how the new rules will lead to export controls for carbon credits and describe how such protectionism is likely to impact developing nations. Aldyen and Paul share their concerns around blockchain crypto projects like KlimaDAO and weigh in on why carbon removals are preferable to carbon avoidance credits. Listen in to understand why throughput might matter more than permanence and learn how the upcoming Nori token launch aims create a true price discovery mechanism for carbon that others can use. Connect with Ross Purchase Nori Carbon Removals Nori Check out our other podcast, Carbon Removal Newsroom Resources Aldyen on Reversing Climate Change EP031 ‘Cryptocurrency Traders Move into Carbon Markets' in The Wall Street Journal KlimaDAO Toucan Protocol Olympus Careers at Nori See /privacy for privacy and opt-out information.

Subscribe to Nori's Reversing Climate Change podcast here: https://nori.com/podcasts/reversing-climate-change Prior to COP26, there was a big problem in international carbon accounting. Both the country where a carbon credit was generated and the country where it was sold could count those very same credits toward their Paris climate commitments. COP26 seeks to remedy this issue with the practice of double entry bookkeeping. But is it too late? What are the unintended consequences of implementing the new rules now? Aldyen Donnelly is a cofounder, advisor, and former Director of Carbon Economics here at Nori. She also serves as a carbon markets advisor to several organizations, including Terramerra, Inc. and the Livestock Carbon Exchange. On this episode of Reversing Climate Change, Aldyen joins Ross and Nori CEO Paul Gambill to discuss how the new rules will lead to export controls for carbon credits and describe how such protectionism is likely to impact developing nations. Aldyen and Paul share their concerns around blockchain crypto projects like KlimaDAO and weigh in on why carbon removals are preferable to carbon avoidance credits. Listen in to understand why throughput might matter more than permanence and learn how the upcoming Nori token launch aims create a true price discovery mechanism for carbon that others can use. Connect with Ross Purchase Nori Carbon Removals Nori Check out our other podcast, Carbon Removal Newsroom Resources Aldyen on Reversing Climate Change EP031 ‘Cryptocurrency Traders Move into Carbon Markets' in The Wall Street Journal KlimaDAO Toucan Protocol Olympus Careers at Nori Support the show: https://www.climactic.fm/p/support-the-collective/

Subscribe to Nori's Reversing Climate Change podcast here: https://nori.com/podcasts/reversing-climate-change Prior to COP26, there was a big problem in international carbon accounting. Both the country where a carbon credit was generated and the country where it was sold could count those very same credits toward their Paris climate commitments. COP26 seeks to remedy this issue with the practice of double entry bookkeeping. But is it too late? What are the unintended consequences of implementing the new rules now? Aldyen Donnelly is a cofounder, advisor, and former Director of Carbon Economics here at Nori. She also serves as a carbon markets advisor to several organizations, including Terramerra, Inc. and the Livestock Carbon Exchange. On this episode of Reversing Climate Change, Aldyen joins Ross and Nori CEO Paul Gambill to discuss how the new rules will lead to export controls for carbon credits and describe how such protectionism is likely to impact developing nations. Aldyen and Paul share their concerns around blockchain crypto projects like KlimaDAO and weigh in on why carbon removals are preferable to carbon avoidance credits. Listen in to understand why throughput might matter more than permanence and learn how the upcoming Nori token launch aims create a true price discovery mechanism for carbon that others can use. Connect with Ross Purchase Nori Carbon Removals Nori Check out our other podcast, Carbon Removal Newsroom Resources Aldyen on Reversing Climate Change EP031 ‘Cryptocurrency Traders Move into Carbon Markets' in The Wall Street Journal KlimaDAO Toucan Protocol Olympus Careers at Nori Support the show: https://www.climactic.fm/p/support-the-collective/

Subscribe to Nori's Reversing Climate Change podcast here: https://nori.com/podcasts/reversing-climate-changePrior to COP26, there was a big problem in international carbon accounting. Both the country where a carbon credit was generated and the country where it was sold could count those very same credits toward their Paris climate commitments. COP26 seeks to remedy this issue with the practice of double entry bookkeeping. But is it too late? What are the unintended consequences of implementing the new rules now?Aldyen Donnelly is a cofounder, advisor, and former Director of Carbon Economics here at Nori. She also serves as a carbon markets advisor to several organizations, including Terramerra, Inc. and the Livestock Carbon Exchange. On this episode of Reversing Climate Change, Aldyen joins Ross and Nori CEO Paul Gambill to discuss how the new rules will lead to export controls for carbon credits and describe how such protectionism is likely to impact developing nations.Aldyen and Paul share their concerns around blockchain crypto projects like KlimaDAO and weigh in on why carbon removals are preferable to carbon avoidance credits. Listen in to understand why throughput might matter more than permanence and learn how the upcoming Nori token launch aims create a true price discovery mechanism for carbon that others can use.Connect with RossPurchase Nori Carbon RemovalsNoriCheck out our other podcast, Carbon Removal NewsroomResourcesAldyen on Reversing Climate Change EP031‘Cryptocurrency Traders Move into Carbon Markets' in The Wall Street JournalKlimaDAOToucan ProtocolOlympusCareers at Nori See /privacy for privacy and opt-out information.

Prior to COP26, there was a big problem in international carbon accounting. Both the country where a carbon credit was generated and the country where it was sold could count those very same credits toward their Paris climate commitments. COP26 seeks to remedy this issue with the practice of double entry bookkeeping. But is it too late? What are the unintended consequences of implementing the new rules now? Aldyen Donnelly is a cofounder, advisor, and former Director of Carbon Economics here at Nori. She also serves as a carbon markets advisor to several organizations, including Terramerra, Inc. and the Livestock Carbon Exchange. On this episode of Reversing Climate Change, Aldyen joins Ross and Nori CEO Paul Gambill to discuss how the new rules will lead to export controls for carbon credits and describe how such protectionism is likely to impact developing nations. Aldyen and Paul share their concerns around blockchain crypto projects like KlimaDAO and weigh in on why carbon removals are preferable to carbon avoidance credits. Listen in to understand why throughput might matter more than permanence and learn how the upcoming Nori token launch aims create a true price discovery mechanism for carbon that others can use. Key Takeaways [1:26] How COP26 adopted new rules to implement double entry bookkeeping [4:33] How a failure to implement double entry bookkeeping in prior carbon markets led to the price crash of 2012 [8:00] Why double entry bookkeeping was blocked until now [12:33] Paul and Aldyen's fear that the new rules will lead to export controls around carbon credits [17:58] How export controls will negatively impact the carbon removal industry in developing nations [20:19] The 3-year window COP26 allows for the creation of an international carbon market oversight body (and the opportunity that gives us at Nori) [22:29] How crypto projects like KlimaDAO perpetuate a system where carbon credits are resold more than once and the underlying value isn't actually one tonne [26:10] The loophole in COP26 allowing the backlog of carbon credits to be sold without double entry bookkeeping [28:05] What differentiates carbon avoidance credits from carbon removal credits (and why large corporations don't necessarily care) [33:07] How Nori's take on the fundamental constraint of carbon markets differs from that of KlimaDAO [35:30] How Paul and Aldyen think about permanence and why It's more important to focus on throughput [41:40] How the upcoming Nori token launch will create a price discovery mechanism for carbon Connect with Ross Purchase Nori Carbon Removals Nori Check out our other podcast, Carbon Removal Newsroom Resources Aldyen on Reversing Climate Change EP031 ‘Cryptocurrency Traders Move into Carbon Markets' in The Wall Street Journal KlimaDAO Toucan Protocol Olympus Careers at Nori --- Send in a voice message: https://anchor.fm/reversingclimatechange/message Support this podcast: https://anchor.fm/reversingclimatechange/support

Direct air capture or DAC is one of the many strategies we need to employ to achieve the goal of net-zero carbon emissions by 2050. So, how do we scale up the DAC industry to capture the hundreds of millions of tons of CO2 we need to remove from the atmosphere? And what would that kind of growth mean in terms of business opportunities and job creation? John Larsen is a Director at Rhodium Group, an independent research firm that analyzes global disruptive trends. He leads the firm’s US power sector and energy systems research, specializing in the analysis of clean energy policy and market trends. Today, John joins Ross, Christophe, and Aldyen to discuss his team’s most recent report and associated webinar, Capturing New Jobs and New Business: Growth Opportunities from Direct Air Capture Scale-Up. John outlines the policy recommendations he suggests to ramp up the construction of DAC plants, offering insight around potential government subsidies for decarbonization and sharing what policy solutions work (and which ones don’t). Listen in as John explores the clean tech innovations he finds interesting and introduces us to the most promising commercialization pathways for reaching net-zero emissions by 2050! Resources: Rhodium Group John at Rhodium Group Capturing New Jobs and New Business: Growth Opportunities from Direct Air Capture Scale-Up Capturing Leadership: Policies for the US to Advance Direct Air Capture Technology 45Q Tax Credit for Carbon Sequestration California’s Low Carbon Fuel Standard The DOD’s Plan to Produce Jet Fuel from Seawater on Aircraft Carriers Klaus Lackner at Arizona State University Purchase Nori Carbon Removals Nori Nori on Twitter Nori on Medium Nori on YouTube Nori on Patreon Nori Newsletter Email podcast@nori.com Subscribe on iTunes Carbon Removal Newsroom --- Send in a voice message: https://anchor.fm/reversingclimatechange/message Support this podcast: https://anchor.fm/reversingclimatechange/support

The team at Nori prides themselves on including individuals across the political spectrum in the climate conversation and being open to the idea of energy companies as partners in the fight against climate change. Is this a naive position to take? Is it possible to rekindle the social trust we need to work together on climate solutions?   David Roberts is a staff writer for Vox, and his work focuses on energy, politics and climate change. On this episode of the podcast, David joins Ross and Aldyen to share his take on the disappearance of the center-right as a faction of the Republican Party and discuss the role social trust plays in the health of a society. Aldyen introduces the idea of a common goal as key to the survival of an empire, and David explains why climate change is unlikely to serve as our national purpose here in the US.   David goes on to describe what drew him to the topic of carbon utilization and how he thinks about applying emissions performance standards to carbon removal. Listen in for David’s warning around allowing what he sees as bad actors (potentially like the oil and gas industry) into the fold as partners and learn why we can’t solve climate change with a spreadsheet—and would do well to prepare ourselves for a messy process.   Key Takeaways   [1:53] David’s take on the center-right as a faction Erudite, fiscal conservatives used to serve as face of Republican Party Most abandoned moral + economic principles in wake of Trump’s win Still worth holding space for center-right in climate conversation   [8:01] Why most major environmental laws were signed by Republicans Not because genuinely motivated to protect environment Concessions made to Democrats as part of compromise    [13:03] The challenge around creating a multi-ethnic democracy Core group with power and privilege more inclined to make concessions Demographics pushing us to create system with no one subculture on top Never been done before, open question re: whether possible    [15:20] How the health of a society is linked to the idea of social trust Must believe those who run institutions working on your behalf Current decline in trust in science, media, government and academia   [19:28] Why empires need a common, driving goal to survive All domestic and foreign policy organized around Cold War  With help of right-wing media, conservatives now see liberals as enemy   [24:28] Why David doesn’t think climate change can serve as our national purpose People need people to hate, climate change doesn’t have villain Must accept collective responsibility even if participation unconscious   [31:58] What drew David to the topic of carbon utilization Capture and bury requires brute force of government action Carbon used in industrial processes creates viable market   [34:59] How David defines the emissions performance standard Establish fixed goal, allow industries or people to compete Reward companies based on progress toward goal Facilitates perpetual improvement in performance   [41:30] How David thinks about employing emissions performance standards to carbon removal Sector specific (i.e.: building vs. auto efficiency standards) Specific focus on ultimate goal of less carbon in atmosphere ‘No net new’ regulation to shock oil and gas industry awake   [48:23] The potential for oil and gas companies to transition to energy companies Possibility of returning to old model as integrated energy supplier Won’t match size and power of companies as exist today Long-term corporate survival depends on self-cannibalization   [56:02] David’s criticism of Republican climate efforts Entered fray to protect interests of oil and gas donors Empowers oil and gas industry as partner (doesn’t share long-term goals)   [1:01:49] David’s insight around our cognitive and emotional blind spots Conservatives + liberals both tell selves stories re: why what we’re doing is good Defend other interests under guise of furthering climate solutions Need institutions like scientific community and media to keep in check   [1:11:27] Why solving climate change will be a messy process Must rekindle social trust, many strategies can work if in it together Solving at scale and speed we need requires more than carbon tax   Connect with Ross & Christophe   Nori Nori on Facebook  Nori on Twitter Nori on Medium Nori on YouTube Nori on GitHub Nori on Patreon Nori Newsletter Email podcast@nori.com  Nori White Paper Subscribe on iTunes Carbon Removal Newsroom   Resources   David on Twitter David on Vox Political Climate Podcast David on Political Climate William F. Buckley, Jr. Environmental Protection Agency The Clean Air Act  Regional Greenhouse Gas Initiative Massachusetts’ GHG Emissions and Mitigation Policy (We will add in Aldyen's economics of empire book when we can figure out what it is.) Green New Deal White Fragility: Why It’s So Hard for White People to Talk About Racism by Robin DiAngelo Designing Climate Solutions: A Policy Guide for Low-Carbon Energy by Hal Harvey with Robbie Orvis and Jeffrey Rissman Japan’s Top Runner Program California’s Building Standards Code Joseph Majkut on RCC EP051 United National Global Cap-and-Trade Policy Naomi Klein Jonathan Haidt Niskanen Center

Aldyen and Paul are back in episode 3 to discuss the moves large oil and gas companies are making when it comes to investing in the future of direct air capture technology.   Links discussed in this episode: https://techcrunch.com/2019/01/09/oil-and-gas-giants-chevron-and-occidental-are-backing-tech-to-combat-carbon-emissions/ https://www.chron.com/business/texas-inc/article/Heady-energy-thinker-envisions-an-atmospheric-13532169.php#item-85307-tbla-8   Guests: Paul Gambill, Nori CEO https://twitter.com/paulgambill   Aldyen Donnelly, Nori Director of Carbon Economics https://twitter.com/aldyendonnelly

In this first episode of Carbon Removal Newsroom, Alexsandra and Aldyen discuss what happened at the United Nations COP24 in Katowice, Poland in December 2018, and what it means for market-based mechanisms for trading carbon dioxide certificates.   Guests: Alexsandra Guerra, Nori's Director of Strategic Planning https://twitter.com/CleanEnergyGrl   Aldyen Donnelly, Nori's Director of Carbon Economics https://twitter.com/aldyendonnelly   Email us with stories you want covered at podcast@nori.com.

  Aldyen Donnelly is the Director of Carbon Economic at Nori, a startup company dedicated to creating trust and transparency while lowering transaction costs throughout the carbon trading industry. Her mission is to reward carbon sequestering farmers with blockchain-backed carbon credit certificates. Nori is a blockchain-enabled platform allowing users to trace where carbon dioxide is sequestered and is currently the world’s only carbon dioxide sequestration marketplace.   Aldyen joins me to share the mission behind Nori and how it can help both the environment and farmers. She shares how she became inspired to help the world reduce its carbon emissions, where carbon emissions are primarily derived, and the company’s business strategy to help reverse this problem. She also explains the role of blockchain with regards to transparency in their platform and how farmers can benefit from regenerative and carbon sequestering practices.   “When we create a market that is transparent, a whole bunch of ideas about how to do this will come up that have never entered our mind yet.” - Aldyen Donnelly   This Week on The Future of Agriculture Podcast:   Where greenhouse gases are primarily stored. How soon can we reduce the greenhouse gases to 350 ppm? The theory behind Cap and Trade and why it’s not an optimal strategy to address the greenhouse gas emission issues. The true value of one carbon certificate. Why California is a special case when it comes to emissions certificates. How Nori works and how it utilizes blockchain. Who are the buyers of the carbon certificates? How regenerative practices allows farmers to generate marketable carbon credits, even during natural disasters. Causes of the downward pressure on the price of carbon certificates. How funding U.S. farmers to sequester carbon can offset transport and gas plant emissions. Aldyen Donnelly’s Key Takeaways:   When most people are buying a certificate in the state of California market for $15, they think it’s costing $15 to reduce one ton of CO2, but if a certificate is really only worth 25% of a ton, they’re actually paying $60 a ton. Every cap and trade pollution market has crashed and burned within seven years. If we fund U.S. farmers to sequester carbon at top price, they can offset all of the U.S. transportation emissions and all of the gas plant emissions.   Connect with Aldyen Donnelly:   Nori Twitter   Check Out Our Sponsor for the “Sustainability at Scale” Series Have you ever heard of Marrone’s BIO WITH BITE? Marrone Bio Innovation offers crop pest protection for the modern organic and conventional production systems. To make sure every grower using their products realize the best possible return on investment, Marrone invests time and resources to thoroughly test and demonstrate the efficacy of those new state of the art products. With serious trial data to back it up! You can see more and connect directly with Marrone by visiting them at www.marronebio.com Marrone is very proud to support The Future Of Agriculture blog series on sustainability in agriculture with Tim Hammerich.   We Are a Part of a Bigger Family!    The Future of Agriculture Podcast is now part of the Farm and Rural Ag Network. Listen to more ag-related podcasts by subscribing on iTunes or on the Farm and Rural Ag Network Website today.      Share the Ag-Love!    Thanks for joining us on the Future of Agriculture Podcast – your spot for valuable information, content, and interviews with industry leaders throughout the agricultural space! If you enjoyed this week’s episode, please subscribe on iTunes and leave your honest feedback. Don’t forget to share it with your friends on your favorite social media spots!    Learn more about AgGrad by visiting:  Future of Agriculture Website AgGrad Website AgGrad on Twitter  AgGrad on Facebook  AgGrad on LinkedIn  AgGrad on Instagram   

If we don’t learn from history, we are doomed to repeat it. Yet when it comes to reducing carbon in the atmosphere, the current solutions fail to recognize what has worked in the past. So, what can we learn from the pollution reduction success stories in our history? What can those successes tell us about the shortcomings of existing strategies like cap-and-trade and carbon taxes? Why do our current methods of carbon pricing fail so spectacularly? Aldyen Donnelly is Nori’s Director of Carbon Economics. She has been working to develop market-driven strategies for reducing carbon in the atmosphere since the mid-1990’s, creating a consortium of Canadian energy companies that developed the world’s first ‘emission reduction credit’ or ‘ERC’ purchase agreement to finance soil carbon sequestration as well as the first ERC-financed carbon capture and storage project. Today, Aldyen joins Ross, Christophe and Paul to explain the fundamentals of cap-and-trade, discussing why allowances don’t represent a real reduction in emissions. They cover the inaccuracy of carbon prices as set by cap-and-trade markets and the Nori team’s eye-opening experience with the CarbonSim trading simulation game. Aldyen speaks to what we can learn from successful pollution reductions in history, describing how market competitors will find ways to innovate if we order fossil carbon reductions in the energy supply chain. Listen in for Aldyen’s insight on the failure of carbon taxes and learn how such measures have resulted in a negligible reduction in emissions while shifting the tax burden from the rich to the poor.   Resources ‘Why Carbon Pricing Isn’t Working’ in Foreign Affairs Verified Carbon Standard Climate Action Reserve The Gold Standard RECLAIM CarbonSim   Key Takeaways [3:48] The fundamentals of cap-and-trade Quota-based management regime Government creates limited amount of entitlements Purchase allowances or buy carbon offsets if go over Allowances don’t represent real reduction in emissions  [8:23] Why cap-and-trade doesn’t work Theory that allowances purchased from those who reduced emissions Government supplies more quota than everyone needs Intention to decline entitlements over time too hard politically [12:27] Aldyen’s take on the ‘success’ of RECLAIM Reduced value of allowance by half every four years Punished for overcompliance, banking allowances  [17:12] Why carbon pricing set my cap-and-trade markets is inaccurate Price per certificate = fraction of cost of permanent reduction of emissions ‘Trading pieces of paper for $12’ Storing carbon in cropland looks expensive by comparison  [20:36] The Nori team’s experience with CarbonSim Trading simulation game, goal to hit cap numbers and make profit [24:21] What we can learn from successful pollution reductions in history  Order fossil carbon reductions in energy supply chain (e.g.: 3% per annum) Market competitors will innovate (i.e.: lead out of gasoline)  [28:42] Why a carbon tax doesn’t work to reduce emissions Regulations that dictate solution or price tie hands of private sector Better for participants to compete for market share (innovation) [31:00] Aldyen’s top insights for government officials Concentrations high enough that removing CO2 from atmosphere is essential Offer same $35-$50/ton tax credits to farmers as gas-fired power plant [32:53] Why carbon taxes don’t change behavior Recent increase in gas prices of 56¢, total sales still up Retail pump price not same signal as price at wellhead Consumers put off other capital expenditures to compensate [38:29] How carbon taxes have impacted Sweden, Denmark and Norway Negligible reduction in emissions Massive shift of cost burden for electricity to smallest consumers [41:58] Aldyen’s view on British Columbia’s carbon tax One 18-month period when gasoline use dipped 100% of dip attributed to low-income group Added $117/year to typical commute by car Increased cost of public transit by $480/year

Why don’t voluntary or compliance carbon offset markets work? The numbers simply don’t add up. A lack of connection between the certificates and the physical inventory means that both parties—the seller and buyer—take credit for a reduction in emissions. And this double counting (issuing two certificates for a single credit) leads to a surplus of certificates under which the associated markets crash and burn. The good news is, the blockchain will allow us to start over and do the math correctly, ensuring that a traded certificate represents a real reduction in emissions.  Ross and Christophe are joined by Aldyen Donnelly, the Director of Carbon Economics for Nori. She has enjoyed a 40-plus year career as a small business developer and consultant, with a focus on cost-effective methods of reducing pollutants. In 1996, Aldyen designed a non-profit consortium of Canada’s largest emitters, bringing those corporations together to reduce and remove emissions via a carbon offset market. By 2002, the Greenhouse Emissions Management Consortium (GEMCo) was the largest private sector buyer of carbon credits in the world.  Aldyen joins Ross and Christophe to discuss how GEMCo employed double-entry bookkeeping to trade in certificates that represented an actual reduction in inventory and why the voluntary and compliance markets that followed did not. Aldyen explains the fundamentals of cap and trade, the concept of ‘pump and dump,’ and the function of a derivatives market. She shares her experiences with landmark climate change work like the Kyoto treaty, COPT, and the Vancouver Stock Exchange. Listen in for Aldyen’s insight into how the transparency of blockchain technology can help farmers become more productive and profitable—with or without the benefit of carbon credit sales!   Key Takeaways [2:18] Aldyen’s experience through the GEMCo Brought together consortium of Canada’s largest emitters Pretend that existing carbon offset markets work Purchase offset credits, seek emissions reduction/removal   [3:40] The fundamentals of cap and trade ‘Quota-based supply management’ Government-induced limits on particular sector   [5:44] Aldyen’s involvement with COPT and the Kyoto treaty Proposed global cap and trade on carbon emissions of developing nations Work with tech innovation, company adoption led to her focus on greenhouse gasses   [9:18] How the principles of GEMCo differed from current markets GEMCo offset credits represented reduction in physical inventory (double-entry bookkeeping) Other markets lack connection between certificates and physical inventory (double counting) Surplus of compliance certificates cause markets like Chicago Climate Exchange to crash in 3-7 years   [15:30] The elements of a good market Trade in certificates that represent real emissions reductions Removing carbon from atmosphere only viable path forward   [18:33] How the ‘additionality test’ limits innovation Must prove that project wouldn’t make profit without carbon credit sales Cannot build sustainable new economy, eliminates incentive to find new ways to make money   [20:38] The difference between voluntary and compliance markets Voluntary means no obligation to offset (e.g.: airplane) Compliance indicates obligation imposed by government (i.e.: California Cap and Trade) Both implement additionality test Both lack contractual link between inventory and certificate   [27:06] Aldyen’s role in the Vancouver Stock Exchange Served as public governor (not part of brokerage community) Brought in for experience in carbon markets   [29:10] The concept of ‘pump and dump’ Create illusion of increased demand, sell at higher price Cryptocurrency can contain without regulations Nori token = one credit, link with physical commodity   [34:07] How a derivatives market could be useful for Nori Commodities markets about allocation, distribution of ownership Derivatives markets about allocation, distribution of risk Accounting discipline required for lasting derivatives opportunity Easier to build accounting discipline on foundation of blockchain   [39:02] The benefits of blockchain technology for farmers Changing farm practices costs money up front 50% quit between year three and year five More productive, profitable by year seven Blockchain transparency provides asset to borrow against in tough time   [44:42] Aldyen’s climate change solution Everyone who sells energy, building products worldwide would report global fossil content Obliged to reduce at 3% per annum with option to buy carbon removal credits   Connect with Ross & Christophe Nori   Resources Aldyen’s Website Aldyen on Twitter Kyoto Protocol