Despite Tax on Carbon,Norway’s Emissions Rose 15 Percent

Despite a hefty tax on carbon imposed in 1991, Norway’s greenhouse gas emissions have continued to climb because of robust economic growth, according to The Wall Street Journal. The newspaper offers a sobering analysis of the difficulties of reining in carbon emissions in countries with booming economies, such as Norway, China, and India. Norway’s emissions have risen 15 percent because of activity associated with its burgeoning oil and gas sector and because its gross domestic product has soared 70 percent since 1990, leading to an increase in driving despite $10-per-gallon gasoline, the newspaper reports. Another reason emissions have climbed is that numerous industries, including fishing and paper production, were exempted from the $65-per-ton carbon tax for fear it would hurt those sectors. The tax has spurred some impressive efficiencies, most notably in the oil and gas business, where one company, Statoil, has pumped 10 million tons of carbon dioxide under the sea floor, saving the firm $60 million a year on its carbon tax bill.