Fiji In the Wake of IPCC Findings

 

Andrew Irvin, Project Officer for Micronesia Centre for Sustainable Transport

The International Panel on Climate Change released its Sixth Assessment Report (AR6) August 9th, drawing grave conclusions while outlining an increasingly limited set of trajectories to avoid scenarios resulting in catastrophic temperature increases.

Rapid decarbonisation is now required even to slow the effects of what is now recognized as inevitable change , including sea level rise which will continue for decades (or perhaps centuries) after net zero GHG emission levels are reached.

As a nation dependent upon its maritime industry and shipping services, Fiji has the opportunity to join its island neighbours in leading the global call for shipping decarbonisation in excess of the current, insufficient global targets.

Shipping sector

In light of the IPCC AR6, and in recognition of the fact that if the shipping sector were nation, it’d be the sixth largest emitter in the world , the Marshall Islands & Solomon Islands have just submitted a resolution to the IMO recognizing international maritime transport must reach zero GHG emissions by 2050.

source: Fiji Sun, 25th August.

This follows their joint proposal introducing a US$100 (FJ$ 210.97)/ tCO2e GHG levy entry price on the global shipping industry.

This would potentially raise US$90b/year (FJ$189.88b) in tax revenue, with a focus on financing adaptation measures and addressing the issue of loss and damages for the Climate Most Vulnerable nations.

GHG levy and fuel taxation proposals 

In the most recent edition of Marine Policy, MCST’s partners at University College of London assessed GHG levy and fuel taxation proposals, finding many billions could be raised each year from the shipping sector with less than 1% increase in the average total import price of goods to consumers.

In the most ambitious GHG levy scenario, proposing US$387–443 (FJ$817407.87)/tCO2e, costs to consumers would be expected to rise by 6-8 per cent on average globally.

Considering the disproportionately high costs Fiji and other Pacific nations pay for imported goods, it is absolutely imperative any revenue raised through GHG tax measures instituted in the global market is appropriately directed towards enabling nations such as Fiji to adapt and contend with a much less hospitable global climate.

The “Aid-for-Trade” offers common in bilateral discussions between SIDS and the over-developed nations (which have already expended their carbon budgets) need to be reframed in terms of common but differentiated responsibilities (CBDR) and international/intergenerational equity.

Domestic industry 

 For Fiji’s domestic industry to transition successfully in the next 10-30 years and “build back better”, now is the time to rewrite the rules of engagement with those nations which have benefitted from rapid industrialization, otherwise we’ll see a similarly rapid disintegration of socio-economic and environmental systems upon which we all rely.


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