An innovative indicator of carbon dioxide emissions for developing countries: A study of Taiwan

Ever since the Kyoto Protocol entered into force, the issues of climate change and greenhouse gas (GHG) emissions have drawn more and more attention globally. However, the major concern of the Kyoto Protocol to reduce the overall GHG emissions might be inaccessible for most developing countries, which rely heavily on the energy-intensive industries for exports and economic growth. In this study, an innovative indicator of net carbon dioxide (CO₂) emissions, which excludes the emissions corresponding to the exports, is proposed to explicitly reveal domestic situations of developing countries. By introducing the indicator of net CO₂ emissions to top five energy-intensive industries in Taiwan, the analysis indicates that the increase in CO₂ emissions from 1999 to 2004 is mostly contributed by the expanded exports rather than the domestic demand. The distinct growth patterns of the apparent and net CO₂ emissions also imply the transformation of the industrial sector. It is expected that, for developing countries, the concept of net emissions may not only serve as a proper interim target during the process of international negotiations over GHG reductions but also highlights the prominence of addressing the emissions from the industrial sector as the top priority.