Sean J. Hernandez
University of Southern California
Abstract
Geoengineering has been a possible climate policy option since the 1960’s; although its feasibility was known only to a handful of climate scientists. As the probability and expected magnitude of future climate change damages has grown, the number of hypothetical geoengineering schemes has increased. These alleged “techno-fixes” to global warming were, for decades, kept out of the public policy stage because of a widespread fear that popular awareness would lead to an exacerbation of carbon emissions. These mechanisms, by which emissions levels might increase, are collectively known as the “moral hazard” argument. In this paper, I employ Ben Hale’s nomenclature for the various moral hazard pathways to examine whether they are logically sufficient to de-justify geoengineering research and deployment. The small body of empirical evidence collected on public perception of geoengineering and moral hazard is discussed. I conclude that the inadequacy of carbon control regimes significantly weakens the persuasive appeal of moral hazard arguments in all its forms.
With the moral hazard argument aside, researchers interest in the economics of geoengineering should feel more free to explicitly model physical and economic evaluations of geoengineering side effects to prescribe the efficient level of SRM and CDR conditional on how little mitigation takes place during this century.
Economics isn’t all about money. It’s about human action, decisions and choices. In fact, economists and environmentalists could be natural allies in solving climate change. Unfortunately, a good number of environmentalists take a hardline stance on geoengineering, arguing that any further human manipulation of the environment is a bad idea. But with CO2 levels reaching more than 400 PPM, mitigation alone will not solve our problem. So how would an economist approach climate change?
Sean Hernandez is a professional economist, data scientist, and environmental policy expert with a Master’s degree in economics from USC. In his current role at an energy utility, Sean specializes in energy marketing, trading and financial analysis. Today, he joins Ross and Christophe to define what is meant by the phrase ‘moral hazard’ and explain the argument against a technofix for global warming. They discuss the problem with lumping all forms of geoengineering together, pointing out that some techniques are widely accepted while others are much more controversial.
Sean employs his national champion debate skills to explore the mitigation camp’s moral hazard argument against geoengineering and offer insight around cap and trade as well as carbon market policy in California. Christophe, Ross, and Sean cover the accelerating effect of climate change, the risks around solar radiation management, and the fuel switching issue. Listen in for Sean’s take on a portfolio-based approach to climate change that continues civilization while employing a combination of advanced techniques—including geoengineering.
Resources
Is Geoengineering an Immorality of Last Resort? by Sean J. Hernandez
“Arctic Temperatures Soar 45 Degrees Above Normal” in the Washington Post
“Dutch Move to Ban Sale of Combustion Engines from 2025” in The Irish Times
The Population Bomb by Paul R. Ehrlich
Guns, Germs and Steel: The Fates of Human Societies by Jared M. Diamond
Key Takeaways
[2:21] The definition of ‘moral hazard’
[4:04] The moral hazard argument against a technofix for global warming
[9:14] The problem with lumping all forms of geoengineering together
[11:50] The counter to the mitigation camp’s disincentivization argument
[14:14] The problem with the moral hazard argument in carbon removal
[16:34] Why a portfolio-based approach to climate change is necessary
[19:33] The accelerating effect of climate change
[20:37] The challenge around cap and trade
[23:06] Sean’s insight on carbon market policy
[25:07] The failings of the California cap and trade market
[26:18] The flaw in the Netherlands’ plan to ban the sale of internal combustion engines
[32:02] The risks of solar radiation management (SRM)
[36:51] Sean’s take on natural gas and fracking
[40:14] Sean’s approach to solving climate change
Sean and others,Respecting this statement--"If researchers and the public can realize that the moral hazard concern is insufficient because mitigation is already dangerously low, then they can have some consolation and develop the resolve to research geoengineering to the fullest extent scientifically possible."
Whether labeled "moral hazard" or something else, I think we all need to recognize the high probability that those who have been effective in stalling serious action on emissions mitigation will seize on the prospect of BECCS, CDR, and SRM as reasons to not proceed with rapid mitigation programs.Those of us who believe that we need rapid mitigation programs need to keep thinking and acting to develop effective counters to the inevitable attempts to use SRM and NETs as a reason not to mitigate.Attempting to ban research or work on these techniques is unwise because ignorance is dangerous, but also because not researching these techniques will not prevent opponents of mitigation from using the notions of these techniques as an alternative to rapid mitigation.All of us on this list know the arguments against delaying mitigation because of the existence of these other possible techniques. But repeating these arguments to each other is not an adequate response. We need to recognize the political attractiveness of claims that we can afford to delay mitigation because "SRM and NETS might save us with less pain." We need to develop effective communications programs that will serve as an antidote to these latest reasons for delay. This is a subset of the communications challenge we have faced and largely failed to meet for the past 30 years or more.
David
From: geoengineering@googlegroups. com <geoengineering@googlegroups. com> on behalf of Sean Hernandez <sean.j.h...@gmail.com>
Sent: Saturday, March 17, 2018 4:55 PM
To: Greg Rau
Cc: Leon Di Marco; Carbon Dioxide Removal; Geoengineering
Subject: [geo] Re: [CDR] Re: Medium Is Geoengineering an Immorality of Last Resort?
Hi Greg and Leon et al.,
Thanks so much for looking into the paper and for your kind comments and questions. Thank you for pointing out the last sentence - I can see how that would be confusing and sort of rushed through. But there, I mean to say that researchers were previously restricted by their own fears of the moral hazard argument. If researchers and the public can realize that the moral hazard concern is insufficient because mitigation is already dangerously low, then they can have some consolation and develop the resolve to research geoengineering to the fullest extent scientifically possible. I really mean that the restrictions are from within. The same people who are the climate scientists looking at geoengineering are often the same ones sounding the alarms for mitigation, so you can understand how there has been internal conflict brewing. By side effects I do mean negatives. Absolutely I agree the real issue is net benefits - and it is quite clear that potential negative environmental consequences of SRM or CDR need to be weighed against the advantage of stalling climate change in an emergency. In fact, I think that several of the 16 moral hazard arguments become a lot more interesting when you look at them as side effects rather than moral hazard. For example, a side effect of living in an SRM world could be higher ocean acidification (cooler planet + higher CO2 level). We could either assess that as a side effect and try to find the net benefit, or we could reject geoengineering on "moral" grounds by vaguely asserting it makes climate change worse.
Thank you again.All the best,Sean
On Fri, Mar 16, 2018 at 10:18 PM, Greg Rau <gh...@sbcglobal.net> wrote:
Thanks Leon. Seems to be the definitive work on the subject, with broad referencing. Was puzzled by the report's last sentence, however: "With the moral hazard argument aside, researchers interest in the economics of geoengineering should feel more free to explicitly model physical and economic evaluations of geoengineering side effects to prescribe the efficient level of SRM and CDR conditional on how little mitigation takes place during this century."
This implies that researchers were not free before to explore side effects(?) Restricted by who or what? Side effects meaning co-benefits or negatives? Isn't the real issue net benefits (=positives - negatives)? Anyway, so glad we're now "more free" to explore this and I don't have to look over my shoulder any more. What other restrictions are keeping us from saving the world?
Greg
Sent: Friday, March 16, 2018 8:12 PM
Subject: [CDR] Re: Medium Is Geoengineering an Immorality of Last Resort?
Further discussion about this with Sean Hernandez in a new Nori podcast
#15 Sean Hernandez, Energy Economist
March 13, 2018
5:03 38:42
Economics isn’t all about money. It’s about human action, decisions and choices. In fact, economists and environmentalists could be natural allies in solving climate change. Unfortunately, a good number of environmentalists take a hardline stance on geoengineering, arguing that any further human manipulation of the environment is a bad idea. But with CO2 levels reaching more than 400 PPM, mitigation alone will not solve our problem. So how would an economist approach climate change?Sean Hernandez is a professional economist, data scientist, and environmental policy expert with a Master’s degree in economics from USC. In his current role at an energy utility, Sean specializes in energy marketing, trading and financial analysis. Today, he joins Ross and Christophe to define what is meant by the phrase ‘moral hazard’ and explain the argument against a technofix for global warming. They discuss the problem with lumping all forms of geoengineering together, pointing out that some techniques are widely accepted while others are much more controversial.Sean employs his national champion debate skills to explore the mitigation camp’s moral hazard argument against geoengineering and offer insight around cap and trade as well as carbon market policy in California. Christophe, Ross, and Sean cover the accelerating effect of climate change, the risks around solar radiation management, and the fuel switching issue. Listen in for Sean’s take on a portfolio-based approach to climate change that continues civilization while employing a combination of advanced techniques—including geoengineering.Resources
Is Geoengineering an Immorality of Last Resort?
Sean J. HernandezUniversity of Southern CaliforniaAbstractGeoengineering has been a possible climate policy option since the 1960’s; although its feasibility was known only to a handful of climate scientists. As the probability and expected magnitude of future climate change damages has grown, the number of hypothetical geoengineering schemes has increased. These alleged “techno-fixes” to global warming were, for decades, kept out of the public policy stage because of a widespread fear that popular awareness would lead to an exacerbation of carbon emissions. These mechanisms, by which emissions levels might increase, are collectively known as the “moral hazard” argument. In this paper, I employ Ben Hale’s nomenclature for the various moral hazard pathways to examine whether they are logically sufficient to de-justify geoengineering research and deployment. The small body of empirical evidence collected on public perception of geoengineering and moral hazard is discussed. I conclude that the inadequacy of carbon control regimes significantly weakens the persuasive appeal of moral hazard arguments in all its forms.
With the moral hazard argument aside, researchers interest in the economics of geoengineering should feel more free to explicitly model physical and economic evaluations of geoengineering side effects to prescribe the efficient level of SRM and CDR conditional on how little mitigation takes place during this century.
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Another way not to get into trap of NETs delaying mitigation is not agree that 1.5-2 C will be an acceptable long-term situation, which seems to be the position that is conveyed in the IPCC SOD of its 1.5 special report. If instead it is made clear that it is vital (based on evident and prospective impacts--on economic, public safety, risk and other grounds) to get back to below 0.5 C or so temperature increase over preindustrial, then we need all approaches--full mitigation plus NETs (and indeed SRM to shave off peak warming given that a number of important consequences will likely be determined primarily the peak temperature reached, and right now we are on track for an overshoot to above 3 C warming).
If instead we have a temperature goal that is above where we are now, then one can see how NETs might be seen as a possible substitute for mitigation. So, it seems to me what the goal is really matters.
Mike
From: geoengineering@googlegroups.com <geoengineering@googlegroups.com> on behalf of Sean Hernandez <sean.j.h...@gmail.com>
Sent: Saturday, March 17, 2018 4:55 PM
To: Greg Rau
Cc: Leon Di Marco; Carbon Dioxide Removal; Geoengineering
Subject: [geo] Re: [CDR] Re: Medium Is Geoengineering an Immorality of Last Resort?
Hi Greg and Leon et al.,
Thanks so much for looking into the paper and for your kind comments and questions. Thank you for pointing out the last sentence - I can see how that would be confusing and sort of rushed through. But there, I mean to say that researchers were previously restricted by their own fears of the moral hazard argument. If researchers and the public can realize that the moral hazard concern is insufficient because mitigation is already dangerously low, then they can have some consolation and develop the resolve to research geoengineering to the fullest extent scientifically possible. I really mean that the restrictions are from within. The same people who are the climate scientists looking at geoengineering are often the same ones sounding the alarms for mitigation, so you can understand how there has been internal conflict brewing. By side effects I do mean negatives. Absolutely I agree the real issue is net benefits - and it is quite clear that potential negative environmental consequences of SRM or CDR need to be weighed against the advantage of stalling climate change in an emergency. In fact, I think that several of the 16 moral hazard arguments become a lot more interesting when you look at them as side effects rather than moral hazard. For example, a side effect of living in an SRM world could be higher ocean acidification (cooler planet + higher CO2 level). We could either assess that as a side effect and try to find the net benefit, or we could reject geoengineering on "moral" grounds by vaguely asserting it makes climate change worse.
Thank you again.All the best,Sean
On Fri, Mar 16, 2018 at 10:18 PM, Greg Rau <gh...@sbcglobal.net> wrote:
Thanks Leon. Seems to be the definitive work on the subject, with broad referencing. Was puzzled by the report's last sentence, however: "With the moral hazard argument aside, researchers interest in the economics of geoengineering should feel more free to explicitly model physical and economic evaluations of geoengineering side effects to prescribe the efficient level of SRM and CDR conditional on how little mitigation takes place during this century."
This implies that researchers were not free before to explore side effects(?) Restricted by who or what? Side effects meaning co-benefits or negatives? Isn't the real issue net benefits (=positives - negatives)? Anyway, so glad we're now "more free" to explore this and I don't have to look over my shoulder any more. What other restrictions are keeping us from saving the world?
Greg
Sent: Friday, March 16, 2018 8:12 PM
Subject: [CDR] Re: Medium Is Geoengineering an Immorality of Last Resort?
Further discussion about this with Sean Hernandez in a new Nori podcast
#15 Sean Hernandez, Energy Economist
March 13, 2018
5:03 38:42
Economics isn’t all about money. It’s about human action, decisions and choices. In fact, economists and environmentalists could be natural allies in solving climate change. Unfortunately, a good number of environmentalists take a hardline stance on geoengineering, arguing that any further human manipulation of the environment is a bad idea. But with CO2 levels reaching more than 400 PPM, mitigation alone will not solve our problem. So how would an economist approach climate change?Sean Hernandez is a professional economist, data scientist, and environmental policy expert with a Master’s degree in economics from USC. In his current role at an energy utility, Sean specializes in energy marketing, trading and financial analysis. Today, he joins Ross and Christophe to define what is meant by the phrase ‘moral hazard’ and explain the argument against a technofix for global warming. They discuss the problem with lumping all forms of geoengineering together, pointing out that some techniques are widely accepted while others are much more controversial.Sean employs his national champion debate skills to explore the mitigation camp’s moral hazard argument against geoengineering and offer insight around cap and trade as well as carbon market policy in California. Christophe, Ross, and Sean cover the accelerating effect of climate change, the risks around solar radiation management, and the fuel switching issue. Listen in for Sean’s take on a portfolio-based approach to climate change that continues civilization while employing a combination of advanced techniques—including geoengineering.Resources
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Sean J. Hernandez
Is Geoengineering an Immorality of Last Resort?
Sean J. HernandezUniversity of Southern CaliforniaAbstractGeoengineering has been a possible climate policy option since the 1960’s; although its feasibility was known only to a handful of climate scientists. As the probability and expected magnitude of future climate change damages has grown, the number of hypothetical geoengineering schemes has increased. These alleged “techno-fixes” to global warming were, for decades, kept out of the public policy stage because of a widespread fear that popular awareness would lead to an exacerbation of carbon emissions. These mechanisms, by which emissions levels might increase, are collectively known as the “moral hazard” argument. In this paper, I employ Ben Hale’s nomenclature for the various moral hazard pathways to examine whether they are logically sufficient to de-justify geoengineering research and deployment. The small body of empirical evidence collected on public perception of geoengineering and moral hazard is discussed. I conclude that the inadequacy of carbon control regimes significantly weakens the persuasive appeal of moral hazard arguments in all its forms.
With the moral hazard argument aside, researchers interest in the economics of geoengineering should feel more free to explicitly model physical and economic evaluations of geoengineering side effects to prescribe the efficient level of SRM and CDR conditional on how little mitigation takes place during this century.
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Take note: the back-up plan for saving the world is no joke. A major scientific institution has published a comprehensive review of possible ways to engineer the climate to reverse global warming.
The UK Royal Society‘s review of geoengineering will make it difficult for governments to ignore the issue. It says that while reducing emissions of greenhouse gases “absolutely” must remain a priority, there is a serious chance that this will not be enough to stave off global warming of 2 °C.
“My guess would be that there is a 50-50 chance that we can achieve something with emissions reductions,” says John Shepherd of the University of Southampton in the UK, chair of the Royal Society group behind the report.
If humanity wants to avoid the worst effects of climate change, it must be ready to safely deploy geoengineering methods as and when necessary, the report says. “We are already staring 1.6 °C in the face,” says Shepherd.
He believes we should know some time in the next two decades whether or not efforts to curb emissions will be enough to avoid 2 °C of warming. If not, his personal view is that we should be prepared for a two-step plan B.
Step one: deploy some sort of sun shield to deflect solar energy away from Earth. Reflective technologies could cool the planet within a year, and according to the Royal Society’s findings the most promising method in terms of cost and effectiveness would be to pump sulphate particles into the stratosphere (see illustration). However, this will not curb ocean acidification and other side effects of greenhouse emissions, and could disrupt weather patterns, so another method is required.
Step two: enact a means of sucking carbon dioxide out of the atmosphere. Several methods are already being investigated, which fall broadly into two categories: “tech-heavy” solutions, such as artificial trees that filter air and extract CO2 for storage, and “biological” methods, such as planting trees, using biofuels and fertilising the oceans.
According to Shepherd, tech-heavy methods are preferable because they are less likely to interfere with complex ecosystems. “Most of the things that have gone wrong in the past have happened when we’ve tampered with biological systems,” he says.
Geoengineering methods have so far been on the fringe of climate discussions and research. Few, if any, could be developed tomorrow or even tested on a large scale. The Royal Society report calls on the UK government to invest £10 million a year towards an international research effort into geoengineering. This amounts to roughly 10 per cent of the UK climate research budget.
Campaigners welcome move to update low-carbon emissions roadmap, saying it sends an important political signal
By Megan Darby
EU leaders have directed the European Commission to produce a long-term climate strategy “by the first quarter of 2019”.
They set the deadline for a 2050 greenhouse gas emissions cutting plan at a European Council meeting finishing on Friday. It will update the 2050 low-carbon economy roadmap drafted in 2011.
Climate commissioner Miguel Arias Canete tweeted there was “no time to lose” as the EU forges ahead with the low-carbon transition.
EU steps up climate action as we forge ahead with the low-carbon transition. No time to lose, @EU_Commission will deliver. 💪🏻🇪🇺Longer perspective, more action, more jobs and investments, more innovation, better societies. #EUCO #ParisAgreement https://t.co/ytxk8YBjeepic.twitter.com/j4H38819Ld
— Miguel Arias Cañete (@MAC_europa) March 23, 2018
Campaigners welcomed the move.
“It’s hard to succeed on the climate transition unless you know where you’re going,” tweeted Jonathan Gaventa, director at environmental think-tank E3G, adding that the previous 2050 roadmap was “already badly out of date on technology costs”.
The EU has a target to reduce greenhouse gas emissions 80% by 2050, agreed when the international goal was to limit global warming to 2C.
In the Paris Agreement, governments upped ambition, saying temperature rise should be held “well below 2C” and to 1.5C if possible. Noting that voluntary national commitments were collectively inadequate, it created a framework for periodically ratcheting up efforts.
The European Council decision sent “an important political signal,” said Gaventa. “Some within EU institutions had begun to see big climate questions as too difficult and too divisive, and so started to drag their feet. Today’s unanimous conclusions shows the top-level political appetite is there.”
A good long-term strategy will expose the choices that Europe faces. How quickly do we need to transform our infrastructure, our buildings, our industries? What signals do investors need?
— Jonathan Gaventa (@jonathangaventa) March 22, 2018
Wendel Trio, director of Climate Action Network (CAN) Europe, said: “This is an important step that will set the wheels in motion for raising the EU’s climate target. The new strategy needs to outline what efforts the EU will pursue to keep temperature rise within the 1.5C limit set in the Paris Agreement. This will prove beyond doubt that the current climate target for 2030 is insufficient and trigger its review and increase.”
The latest analysis from the International Energy Agency this week showed EU emissions rose slightly in 2017, for the second year in a row, as renewables deployment slowed.
Greenpeace EU climate and energy policy adviser Tara Connolly said: “Governments are effectively admitting that Europe’s climate change policy needs a reality check. This is good news, but real change needs more than just words. To be a climate leader, Europe must act fast, ditch fossil fuels and fully embrace renewables and energy efficiency.”