ABSTRACT
The international community has responded to the threat of global warming by negotiating an international agreement under the aegis of the United Nations, the United Nations Framework Convention on Climate Change (the 'Framework Convention') of 1992.2 The Framework Convention set an ultimate objective of stabilising 'green house gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic [human-induced] interference with the climate system', but did not specify what those levels should be. Following protracted negotiations, however, broad targets for the reduction of greenhouse gases were set in fire Kyoto Protocol to the
United Nations Framework Convention on Climate Change (the 'Kyoto Protocol') of 1997.3
Under Article 3 of the Kyoto Protocol, developed countries agreed to targets for reducing their emissions of six greenhouse gases by 2008-12.4 The European Union agreed to a reduction of 8 per cent below 1990 levels, in June 1998; the UK took on a legal target of a 12.5 per cent reduction as its share of the EU commitment. The Kyoto Protocol does not specify the means by which states should meet their targets, although under paragraph 2 of Article 2 parties agree to 'strive to implement policies and measures ... in such a way as to minimize [sic] adverse effects, including the adverse effects of cli mate change, effects on international trade, and social, environmental and economic impacts on other Parties'. The UK has set its own domestic aim of a 20 per cent reduction from 1990 levels in emissions of one greenhouse gas, carbon dioxide, by the year 2010.5
In March 1998, the chancellor of the exchequer established a task force, headed by Sir Colin Marshall and comprising senior civil serv ants from HM Treasury, the Department of the Environment, Transport and the Regions, the Department of Trade and Industry and HM Customs & Excise, to consider whether economic instruments such as an 'energy tax' had a role to play in meeting the government's commitments under the Kyoto Protocol. The task force issued a con sultation paper in March, 1998 and, after a period of consultation, its final report was issued on 9 November 1998, at the time of the chancellor's autumn pre-budget statement.6
