A fundamental element to realizing a sustainable energy future is a long-term shift to a low carbon economy. The principal catalyst behind this transition will be efforts to slow, stop and reverse the growth of greenhouse gas emissions (GHGs) while preserving economic growth and future prosperity.
Dow believes an important first step to simultaneously reduce emissions and accelerate innovation is a combination of measures that puts a price on carbon. We support the enactment of environmentally effective and economically sustainable energy and climate legislation. A flexible, market-based approach to lower emissions is the only real solution.
Also, the right mix of fundamental research, innovation and aggressive implementation is needed to achieve both this transition and continued economic growth. To support the transition, federal and state policies should be designed to facilitate basic research to drive the development, commercialization and deployment of yet to be discovered technologies necessary to increase efficiency, bolster our energy security and drive emissions even lower.
An effective U.S. commitment to reduce greenhouse gas (GHG) emissions including short and long term targets will help to spur commitments by other major emitting countries to reduce absolute levels of GHGs in the atmosphere. Ultimately, the problem of climate change must be solved globally, so American policy must include incentives that encourage actions by other countries to implement GHG emission reduction strategies and introduce new, global markets for clean technologies.
Dow calls for:
- Coordinated policies which allow an adequate timeframe to reduce GHGs without sacrificing economic growth.
- A price on carbon that is primarily pursued through market-based mechanisms to assure the lowest cost of compliance without hindering innovation.
- A targeted approach to promote aggressive basic research and development with accelerated demonstration and deployment of clean energy and new generation energy efficient technologies
- Minimizing carbon leakage by maintaining the competitiveness of energy-intensive, trade-exposed manufacturers