How will the kyoto protocol affect companies?

Answer 1

Oh yes, depend to which companies, wether they are directly in a sector included or not

Not all sectors are in and it is not a flat carbon tax... therefore is creates distortion in the competition. Just one example:
Since recently, airlines weren´t part so they didn´t need allocations while railroads (which competes for passenger) has the effect of a more expensive electricity supply due to the KP... so now airlaines are also going to be part of... knowing that if they achieve emission reductions for a lower cost than the market one, they can sell their credits and make profits...

So many factors are to consider... but generally, just notice that the increased price of electricity due to the KP is neglectable compared to the increases due to oil prices.

It also created a dynamic for energy efficiency and created a financial opportunity for it. The boost is visible for Germany with almost 300.000 direct jobs in renewables and Great Britain with 350 000 jobs in the environmental field.

A whole new sector of the economy has emerged with one clear center: London and its AIM (Alternative Investment Market).

But also Companies affect the Kyoto Protocol since they give a lot of feedback on how to improve it, especially by creating "sectorial crediting mechanism" and other trade agreements.

Some companies influence the KP positively, some in a negative way, some are influenced in a positive, others in a negative way.

Answer 2

The few companies that are still in the US and the EU will run to China and Mexico where the Kyoto protocol is not. If they do not the cost will just kill them.

Answer 3

Screws over any company in the 1st world and encourages them to move their operations to the 3rd world.

The Kyoto protocal is purely about state welfare. Even if the "science" on which it is based was accurate.. it would have no impact.

Answer 4

why does it matter the government we have will kiss there asses and give them what they want..