Energy, Oil & Gas Magazine EOG 215 July | Page 27

________________________________________________________________________________________ Carbon Currency
climate change , as it provides a mechanism for putting a price on carbon emissions . The carbon dioxide concentration is rising , with current levels of carbon dioxide roughly 45 percent higher than they were before the Industrial Revolution . Human activities - including the use of fossil fuels - serve as the biggest contributors to rising carbon emissions and climate change .
Carbon emissions carry a social cost as well . An estimate of the economic damages caused by each additional ton of carbon dioxide released into the atmosphere is a measure of the long-term costs that society will bear because of climate change , including the impact on human health , agriculture , infrastructure , and ecosystems . There is debate as to the actual social cost of carbon , but current US policy indicates $ 51 per ton of emission . The Environmental Protection Agency has proposed to raise this figure to $ 190 .
Embracing carbon as a currency has numerous benefits . For instance , a carbon currency would create a financial incentive for companies and individuals to reduce their carbon emissions , as they would be able to earn credits for doing so . A carbon currency would also encourage the development of new technologies , practices , and green
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