Please cite this page as:
Chen, D. B (2016). Global 4C – Monetary Policy for Climate Change Mitigation. www.global4c.org
Youtube videos cited in this webpage do not imply endorsement of Global 4C by the people in those videos or anybody associated with those videos.
The climate emergency is a global problem that will require a global response to avoid a human and environmental catastrophe. The Global 4C policy has not been discussed at the United Nations, because the approach involves new economic theory for a parallel world currency, and the new theory is missing in the narrative. Global 4C is a reward-based scheme to complement carbon taxes and regulations for limiting greenhouse pollution.
The Global 4C approach will offer Solar Dollar rewards to people everywhere for greenhouse mitigation, including in developing countries where many people have mobile phone access for micro-finance payments. Protecting human rights will be an objective of Global 4C when developing and applying the policy. Below we discuss the key implications of Global 4C for the rights of people living in urban, remote, and rural areas, and especially for indigenous peoples living on or near their native lands.
Global 4C offers positive benefits to people who wish to be financially independent, who want to be involved in decision making, and who seek self-determination, but who also want to contribute to a global goal of avoiding extremely dangerous climate change. The decision to participate in the Global 4C policy will be made locally as a community, or as individuals, because participation in the policy will be voluntary. The policy will be designed to ensure that participants and communities will be able to interact through the policy within a decentralised network for assessments, auditing, and micro-finance payments over mobile phones and the internet. Co-benefits of doing mitigation work under Global 4C could be to improve social resilience, protect bio-diversity, improve the local environment, improve agricultural methods, and provide access to the best scientific advice and information.
Global 4C is a genuine alternative to REDD, but Global 4C has not been addressed by the U.N. because the Global 4C approach is currently overlooked by mainstream economists. Only very recently has the new policy and the new economic theory been presented. The theory is termed ‘Market Policy Dualism‘. The new theory espouses the idea that market-based environmental policies actually form a ‘Family’ with the two most important of these policies being the ‘Father’, which is the simple pollution tax, and the ‘Mother’, which is the world currency and global reward for mitigation. Global 4C is the Mother of the family, and she can be implemented using the Solar Dollar and the World Tree. Global 4C will create new socio-economic systems to counter-balance the negative effects of globalisation and centralised decisions-making of governments.
REDD was developed with good intentions and it may create positive outcomes, however it can also create problems for indigenous people and communities because it is not a ‘pure’ reward. It is not ‘pure’ because the finance is provided through carbon markets and is prone to centralised decision-making. When Global 4C is fully implemented, it will be financed independently of existing carbon markets. For this reason the Global 4C policy can be developed with specific new rules and systems that promote transparency and decentralised participation. In the long term, Global 4C will reduce the exploitation of natural resources and people.
REDD is a zero-sum benefit for mitigation if its function is to offset carbon pollution (CO2) in developed economies. The REDD approach allows industrial pollution to continue at a marginally cheaper cost. The Global 4C approach is different to REDD because Global 4C will be financed by a global inflation tax that spreads the cost of mitigation (including the cost of forest bio-sequestration) across the world economy. Global 4C will raise the price of carbon offsets (by offering Solar Dollars as a competing financial reward) and over the long run it could eliminate carbon offset trading completely. Global 4C will also offer polluters a financial reward for reducing emissions at source, and this will create a new roadmap for deep decarbonisation.
A weakness of REDD and REDD+ policies, is that they do not address the growing demand for natural resources which encourages deforestation, forest degradation, and mono-crop agriculture. Global 4C will regulate global economic growth (automatically) through a currency trading mechanism that transfers purchasing power (i.e. value and embodied energy) into the Solar Dollar. The Global 4C policy does not predetermine rates of economic growth or de-growth, because scientists and economists will operationally manage the Solar Dollar price to achieve a specific climate mitigation goal (such as avoiding abrupt climate change). The Solar Dollar may be described as a technocratic currency.
Global 4C will give people greater rights and responsibility. For example, each community member may be offered a geo-statistically determined financial reward in the form of digital currency over their mobile phone. The authority to accept the reward is decentralised to the individual. Communities will need to self-organise and establish their own mitigation projects in open markets and then submit their data to a public network for assessment (The World Tree). The same will apply to all firms and communities, and in all geographic locations and economic sectors (transport, primary energy, land management, agriculture, education, etc.). The Global 4C approach is to establish a progressive global social-and-environmental movement through the new world currency. Also, the Global 4C approach is to encourage information sharing and education as an integral part of mitigation. The Global 4C rewards can be weighted for improved biodiversity protection, agricultural sustainability, cultural resilience, and social cohesion.
The following interviews highlight the human rights issues that can result from a reliance on centralised planning and financing of REDD or REDD+. Note that the proposed Global 4C digital administrative network, called the World Tree, will seek to have a decentralised decision-making architecture that mimics the biophysical traits of living trees.
(Interview 1) Tom Goldtooth answering press questions at COP21 in Paris on his opposition to REDD:
“…these forested areas are now used for carbon credits that allow polluters in the North to continue to pollute.”
“There is no way to make the REDD project better, it cannot be fixed. It is not a solution. It involves a climate market regime that has been part of a big capitalist market system that has never protected front line communities, indigenous peoples, fisher peoples. And that’s why we have to look for other alternatives to product the trees but not in these market systems that just allowed more dumping of pollution in the North.”
“As indigenous people we’re saying enough is enough we’re not going to get exploited anymore.”
(Interview 2) Brazilian indigenous leader Chief Ninawa Huni Kui (Brazil) commenting on REDD:
Carbon Trading Scheme “REDD” a False Solution to Climate Change. The controversial carbon trading scheme known as REDD, or Reducing Emissions from Deforestation and Forest Degradation, has set off protests not only in Africa, but also in South America, especially in the Amazon region.