On Substack, John Robson discusses the state of the fake green economy in the wake of a carbon market scandal where a now-bankrupt “green” company appears to have sold far more “carbon credits” than they should have:
One problem among many with the “Green Energy Transition” is that it was always a watermelon, green on the outside and red on the inside. It wasn’t market-driven, it was designed, and hyped, by people who didn’t care what people actually wanted to buy and indeed, in many cases, who actively believed that consumer preferences were inefficient and unenlightened. As when Bloomberg Green worries about “What a Clean Cookstove Company’s Bankruptcy Means for Carbon Markets”. Why one company’s bankruptcy should mean anything for “carbon markets” is less clear even than what a “clean cookstove” would be. One where you sprayed and wiped the backsplash as well as the main surface? But both are clearer than “carbon markets”. You just can’t go into a store and buy carbon. What are they talking about? Why, another face-plant by central planning, of course.
According to the article, in case you weren’t independently aware of it:
This year was supposed to be a turning point for carbon markets, with the United Nations’ long-delayed country-to-country trading system coming into force and airlines preparing to enter a mandatory program to offset their emissions.
Before we get to “a turning point for carbon markets” let us give a bit of attention to “supposed to be”. Supposed by whom? Perhaps people who think the United Nations was an efficient central planner, or some subset of them. But we’ll bet that nobody normal ever said to you, or anyone else, in the course of a chat last year, “2026 will be a turning point for carbon markets”. Nobody.
Also, who was going to compel airlines to enter a “mandatory program”? Laws are made at the national level, not internationally. Turns out it’s the UN too, via the International Civil Aviation Organization, so no one was going to bungle or cheat, obviously. What could go wrong?
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Why? If a company selling stoves went bankrupt in Peoria, would it cause people in Kenya, or Patagonia, or Tokyo to reconsider the whole issue of applying heat to transform food and decide that stoves, food or both were overrated? No. Of course not. The problem here is that this whole business of carbon credits was flummery.
First you made an estimate of how much harm carbon dioxide did which was nonsense. Then you made an estimate of how much CO2 some activity would release that was also nonsense. And then you made an estimate of how much CO2 some activity would not release (in this case cooking with ethanol in Mombasa) that was also nonsense. And on that basis you proposed to link the worlds of high finance, aviation and having stuff generally to a system that would have been economic rubbish even if it weren’t flashing a big bright sign “Defraud the gullible foreigners HERE!!!” Which it was.
Mathiness being in vogue, Bloomberg Green has a colourful chart explaining that “Cookstove credits are expected to become more important from 2027” that deserves as much respect as the journalistic passive voice typically does. Or perhaps even less.
The story also says:
Prices on Corsia, the marketplace for airlines where Koko was looking to sell its credits, fell as low as $12.25 from about $15 just before the firm’s collapse, according to data compiled by Bloomberg, and now sit at $12.85.
As prices for tulips softened abruptly in the Netherlands in 1637. Except at least there really were tulips and markets for same. Corsia is not a marketplace. It is, instead, the ICAO’s (remember: the International Civil Aviation Organization) “Carbon Offsetting and Reduction Scheme for International Aviation”. As if ethanol stoves in Kenya, a land of some 53.3 million people who presumably only eat three meals a day on average, could offset the vast clouds of so-called “carbon pollution” that travellers, including the big-carbon-footprint bigmouths who lead most western countries, emit every day. The whole thing is speculation piled on ignorance atop mismeasurement built on the sand of dishonesty. What could go wrong?
