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Current Global Climate Legislation, by Region

Our world is beginning to be dominated by the threats of the climate crisis. Governments globally are acting to mitigate greenhouse gas emissions and transition towards a future free from fossil fuel reliance. To maintain an understanding of the plethora of global climate legislation that is constantly being enacted and revised, keep reading!

 

United Kingdom Climate Legislation

The United Kingdom has implemented extensive legislation to maintain their commitment to being net-zero by 2050. Legislation has been enacted to promote clean energy, invest in climate change mitigation, and regulate corporate emissions.

UK Climate Legislation, at a glance

  • UK Emissions Trading Scheme (ETS)

    • a limited number of emission allowances are allocated to companies, which they can trade with each other

    • Forces corporations to mitigate their emissions or be subject to financial penalties

      • Emit more GHG → buy more allowances

    • Enacted in 1/2021 to replace participation in the EU ETS

    • Applicable to energy intensive industries, the power generation sector, and aviation

  • UK Green Finance Strategy

    • As of 2022, required the largest companies and financial firms (listed companies and large asset owners/managers) to make public how they are responding to financial risks and opportunities from climate change

    • Comply or explain basis, so no financial penalties yet

 

Read our in-depth guide here to learn more about UK Climate Legislation, how it could affect your corporation, and how DitchCarbon can help you!

 

European Union Climate Legislation

The European Union has committed to becoming the first climate-neutral continent through their establishment of a European Green Deal. By 2030, the EU plans to reach at least 55% less net greenhouse gas emissions than in 1990. To achieve this feat, they enacted the Fit for 55 legislative package. The EU has also been enacting legislation that requires public and large companies, both in the EU and beyond, to report their carbon emissions. 

 

EU Climate Legislation, at a glance

  • Corporate Sustainability Reporting Directive

    • In July 2023, required that specific companies provide detailed reporting on sustainability issues, publishing basically an Environmental Social Governance Report

    • Applicable to all public and large companies in the EU or those generating a net turnover of €150 million in the EU and which have at least one subsidiary or branch in the EU

    • Three stages of implementation

      • 1 January 2024 for companies already subject to the non-financial reporting directive

      • 1 January 2025 for large companies that are not presently subject to the non-financial reporting directive

      • 1 January 2026 for listed SMEs, small and non-complex credit institutions and captive insurance undertakings

  • Fit for 55 

    • Legislative package intended to reduce greenhouse gas emissions by at least 55% by 2030, using 1990 as a baseline

    • includes the EU Emissions Trading System (ETS), Effort Sharing Reduction (ESR), and Carbon Border Adjustment Mechanism (CBAM)

  • EU ETS

    • Cap-and-trade system where a limit is placed on GHG emissions from specific sectors each year

    • Created tradable emissions allowances and distributed to market participants

    • Forces corporations to mitigate their emissions (w/in allowances) or be subject to financial penalties by purchasing more

    • Applicable to the power, heat generation, energy intensive industrial sectors, aviation, and the maritime sector

    • Revised in 2021 to reflect an overall target of a 62% reduction in emissions from the sectors involved by 2030

  • EU ESR

    • Establishes bank and borrow system, similar to ETS but for the transport, buildings, and agriculture sectors

    • Emission allowances can be banked and used in the future or borrowed from subsequent year allowances

    • In May of 2023, revised regulation was enacted with a proposal to reduce emissions under ESR by at least 40% using 2004 as a baseline. 

  • CBAM

    • Enacted to prevent carbon leakage and the offshoring of emissions through imposing a price of carbon emitted during the production of goods entering the EU

    • Mirrors the EU ETS for foreign producers, but with harsher carbon emissions prices

    • Between now and the end of 2025, importers will have to report emissions embedded in their goods subject to CBAM without paying a financial adjustment in a transitional phase

    • CBAM encompasses cement, iron and steel, aluminum, fertilizers, electricity, and hydrogen 

 

Read our in-depth guide here to learn more about EU Climate Legislation, how it could affect your corporation, and how DitchCarbon can help you!

 

United States Climate Legislation

Climate legislation in the U.S. is highly susceptible to political agendas and varies among states with differences in the scope and the degree of the legislation. The Biden/Harris Administration maintains climate policy as a key aspect of their political agenda and has proposed legislation to promote the transition to a future free from reliance on fossil fuels. Certain states have committed to mitigating the impacts of the climate crisis and are promoting climate conscious agendas. 

 

Climate Legislation, at a glance

Federal Legislation

  • The Inflation Reduction Act

  • The Inflation Reduction Act is the most ambitious investment in combating the climate crisis, aiming to cut U.S. greenhouse gas emissions by up to 41 percent below 2005 levels by 2030 and designating $369 billion in funding for climate and energy-related purposes

  • Provides financial incentives for consumers and corporations through tax subsidies

  • The vast majority of this funding ($216 billion) is designated towards tax credits to corporations to catalyze private investment in clean energy, transport, and manufacturing

  • Enacted in 2022

  • Federal Supplier Climate Risks and Resilience Rule

    • An executive order to force federal contractors to publicly disclose their carbon emissions

    • Federal contractors receiving more than $50 million in annual contracts will be subject to these requirements:

      • disclose Scope 1, Scope 2, and relevant categories of Scope 3 emissions

      • disclose climate-related financial risks

      • set science-based emissions reduction targets

    • Federal contractors with more than $7.5 million in annual contracts but less than $50 million would be required to only report Scope 1 and Scope 2 emissions

    • Proposed by the Biden administration in November 2022

California Legislation

  • California’s Cap and Trade Program 

  • Minimizes GHG emissions by setting a limit on major emitters through extending businesses carbon allowances

  • Has been applied to emissions that account for around 80% of California’s GHG emissions

  • Each year, fewer allowances are created and the annual cap declines

  • Launched in 2013 

  • California’s Corporate Data Accountability Act

    • Requires that large corporations that do business in California publicly disclose their greenhouse gas emissions

    • Applicable to businesses that generate over $1 billion in annual revenue and either are engaging in any transaction for the purpose of financial gain within California, are organized or commercially domiciled in California, or have California sales exceeding either the threshold amount for that year or 25 percent of total sales 

    • Corporations must provide annual disclosures for scope 1 and scope 2 emissions starting in 2026 and must report scope 3 emissions starting in 2027

    • Enacted October 7th, 2023 

New York Legislation

  • New York’s Climate Leadership and Community Protection Act

    • Intends to reduce GHG emissions by 40% by 2030 and 85% by 2050 using 1990 as a baseline

    • Through the CLCPA, a cap-and-invest program has been implemented, similar to the cap and trade program in CA

    • Anticipated that corporations with large greenhouse gas emissions will be required to purchase emissions allowances

    • Enacted in 2019

 

Read our in-depth guide here to learn more about US Climate Legislation, how it could affect your corporation, and how DitchCarbon can help you!

 

Asia Climate Legislation

The leading economies in Asia are striving towards eventual carbon neutrality, and utilizing cap-and-trade systems to achieve this feat. China has committed to achieving carbon neutrality by 2060. Intending to generate 1,200 gigawatts of renewable energy by 2025, China is by far the global leader in solar and wind power production. As one of the fastest growing economies in the world, Indian climate policy is incredibly important to ensure that growth can be decoupled from increased emissions. India has committed to be net-zero by 2070 and to have 50% of its electricity generated from renewable energy sources by 2030. Currently, 40% of electricity is generated from clean energy as India is making significant investments in the construction of renewable energy sources, including green hydrogen.

 

Climate Legislation, at a glance

China

  • Emissions Trading Scheme (ETS)

    • Implemented to mitigate greenhouse gas emissions in the power sector through utilizing a cap-and-trade system

    • Corporations in the power sector are allocated a certain amount of emission permits and can trade these permits with a cap on total allocation.

    • Revised in 2021 included clause that all corporations subject to the ETS will have to publicly disclose their carbon emissions

India

  • Cap and Trade System

    • Initial stages of the cap-and-trade system intended to increase demand and supply of carbon credits in India, then will evolve into a mandatory emissions reduction structure in which sectors are granted emissions allowances

  • In July 2022, the parliament published a bill establishing the framework for a carbon credit trading scheme, enacting the first stage of the cap and trade system

 

Read our in-depth guide here to learn more about Asia Climate Legislation, how it could affect your corporation, and how DitchCarbon can help you!

 

Carbon Footprint

What Scope 3 looks like traced back to the land

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For most companies, the largest figure in the carbon inventory is not the office, the vehicle fleet, or the electricity bill. It sits upstream, in the goods and materials a business buys to make and sell its products. These purchased inputs form the bulk of a company’s Scope 3 emissions, which routinely exceeds everything the business controls directly, and can add up to 90% of their global footprint.

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Carbon Footprint

Unlike A.I., climate change’s existential threat is not hypothetical. It is killing people now.”

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Leah Stokes, professor of environmental politics at U-C, Santa Barbara, in New York Times, The Big Threat Has Been Climate Change. Now Comes A.I., Sept. 22.

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Carbon Footprint

Why I’m Pro-Nuke Now: Beginning

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I composed this essay over much of 2026, as I was writing Beyond Vogtle — my detailed study (co-authored with James Boucher) of U.S. nuclear costs from the 1980s post-Three Mile Island reactors to the Vogtle 3 and 4 units completed earlier in this decade. It traces my journey from nuclear power doubter to proponent.

My story is both general and personal: what was changing in the wide world of nuclear power, energy policy and climate; and how I viewed those changes. I  hope this mode of story-telling resonates with a wide audience and also provide a backdrop to “Beyond Vogtle.”

It’s in three parts.

Detail from 1979 rally poster. Full poster appears below.

The first installment begins at the big Washington rally called to mark the Three Mile Island reactor accident, and covers the recession of nuclear dread, the advent of virtually always-on reactor operation, and nuclear’s status as the least carbon-emitting energy supply technology. 

Installment #2 begins with the failure (to date) of carbon tax advocacy — “A Climate Cure No One Wanted” — and continues with the closure of Indian Point and the concurrent slow dissolve of my dream that renewable energy could do it all.

The third and final installment begins with a slight detour in which I contrast the appalling human damage from automobility with nuclear power’s increasingly remote dangers, and then return to energy policy with a fresh way to regard nuclear power’s potential contribution to decarbonizing U.S. grids.

Thank for reading. Enjoy. And be sure to look at Beyond Vogtle: What History Tells Us About the Cost of New Nuclear (yes, that’s the full title).

  — C.K.

*  *  *  *  *  *  *  *  *

I’m pro-nuclear power. Big time.

I don’t just want the U.S. to keep running its 95 extant reactors. I want us to build more. Lots more. Hundreds.

I’m not alone. Public opinion is shifting toward nuclear power. But I came to that conclusion after spending years arguing the other side. From the mid-1970s to the late 1980s, I published a raft of critical analyses that got a good deal of public attention ― and even some traction within the nuclear industry itself. My core argument was that the cost of building nuclear plants was rising much faster than the costs of competing sources of energy. The main driver, I said, was a cascade of safety-requirement changes triggered by widespread fears of reactor accidents.

Here’s the full poster.

That work earned me a speaking spot at the massive May 6, 1979 rally in Washington demanding a halt to reactor construction in the wake of the March 28 meltdown at Three Mile Island in Pennsylvania. In the weeks before the rally, my research was cited in hundreds of news stories. At the Capitol, I stood alongside consumer advocate Ralph Nader, the leading figure in the U.S. antinuke movement; actress Jane Fonda, whose new film, “The China Syndrome,” had eerily foretold the Three Mile Island meltdown; and folk-rock icon Jackson Browne. I told the cheering throng that nuclear power was finished.

Cost overruns and canceled reactor projects were putting billions of dollars on the line, and I spent much of the next decade in courtrooms all over the country, explaining patiently to utility regulators why investors, not customers, should bear those losses. I eventually moved on to other public policy work, sparking big-city bicycling and helping bring congestion pricing to New York. But I kept watching nuclear power and the broader energy landscape. Over time, what I saw led me to turn from skeptic to supporter. Here’s why, in eight parts.

1. Fear and Dread Recede

Ask 100 random people today what “TMI” means, and at least 90 will say “Too Much Information.” Maybe one will mention the 1979 accident at Three Mile Island.

That’s a real shift.

The 1970s were commercial nuclear power’s first decade, and the Three Mile Island accident brought it to a terrifying close. Sixty hours into the slow-unfolding crisis, as fears grew that a “hydrogen bubble” in the reactor might explode and rupture the containment dome, CBS Evening News anchor Walter Cronkite captured the nation’s dread: “The world has never known a day quite like today. It faced the considerable uncertainties and dangers of the worst nuclear power plant accident of the atomic age. And the horror tonight is that it could get much worse.”[1]

The stricken reactor was eventually stabilized. But a combination of soaring costs and public apprehension brought an end to nuclear power’s rapid expansion in the United States.

Cronkite’s warning was about Three Mile Island itself, but it seemed to foreshadow more disasters to come. Yet since 1979, the U.S. nuclear industry has accumulated nearly 20 times as much reactor operating experience as it had built up in its entire history before the meltdown, without a sequel.[2] Like the dog that didn’t bark, this quiet fadeout of reactor calamities is an overlooked shift ― and it is prompting a rethink of long-held certitudes about nuclear power.

With each passing year there are fewer people who grew up with dread from Cold War-era A-bomb drills and weapons test fallout that got bundled into nuclear power. There are more young people like Zeke, a Brooklyn high-schooler who in 2019 went to Battery Park City to greet climate activist Greta Thunberg after her sail-powered trans-Atlantic voyage, but who this past May called fears about nuclear power “over-exaggerated.”[3] (Thunberg herself has said that Germany made a mistake by phasing out its nuclear plants, since it led to a sharp rise in coal-fired electricity.)

I’ve heard the same sentiment in hundreds of casual conversations over the past decade ― at climate rallies and on Trader Joe’s checkout lines, in California and in New York. These conversations suggest that the oppositional currents that once compelled federal nuclear regulators to keep piling on costly new safety requirements are losing force.

2. Permanent Peak Performance

Even before construction costs began to soar in the 1970s, nuclear power had another Achilles heel: spotty operating performance.

Throughout the 1970s and 1980s, the U.S. nuclear power sector struggled to maintain even a 60 percent “capacity factor” ― a measure of how much of a plant’s potential output it generates. That’s a dismal rate for equipment that’s expensive to build. I know this because I researched and wrote the first full-length study of shortfalls in U.S. nuclear plant performance, in 1976.[4]

That started to change in the mid-1980s. Plants finished safety upgrades required after Three Mile Island. The industry began sharing best practices ― and mistakes to avoid. Economic incentives helped too, as utility earnings became tied to how often plants actually ran.

A remarkable turnaround, though seldom credited in climate and nuclear discourse.

The turnaround has been dramatic. Since 2000, U.S. nuclear plants have averaged 90 percent capacity factor ― a huge leap from the earlier 60 percent. In effect, downtime has dropped four-fold, from 40 percent of the time to just 10 percent. Repair jobs and retrofits that used to drag on are now precision-scheduled like the train heist in “Breaking Bad.”

The higher reliability brings a huge symbolic benefit. In the 1970s, U.S. reactors seemed to stumble from one fiasco to the next. In Alabama, a technician using a lit candle to locate an air leak started a fire that burned through a thousand cables and knocked two brand-new reactors offline for 19 months. At some ocean-cooled plants, saltwater corroded delicate heat-transfer tubes, forcing protracted repairs. Profits and industry morale took a beating, and nuclear power became a punchline on “The Simpsons.”

Those days are long past. Nuclear power, uniquely, has blossomed into both grid bulwark and climate hero. Thanks to those higher ― much higher! ― capacity factors, each nuclear plant now displaces 50 percent more carbon-emitting power generation than it used to.[5] In fact, at a 90 percent capacity factor, a kilowatt of nuclear power delivers double or triple the climate benefit of a kilowatt of wind power (which averages 30 to 40 percent capacity factor) and roughly five times that of solar (15 to 20 percent) ― a crucial distinction that’s often missing from gushing coverage of renewable energy.

3. Climate to the Fore

Nuclear power’s newfound operational mastery would matter much less but for the urgency of the climate crisis and the persistence of U.S. and global carbon emissions. Like wind and solar, nuclear power generates electricity without burning carbon.

Squint to see that nuclear lifecycle greenhouse gas emissions range from 5.1 to 6.4 (in g CO2 equivalent per kWh); analogous range for solar-PV is 7.4 – 83.0; wind, 7.8 – 23.0. Source, Dinon et al., in report linked in this section’s second paragraph.

It is true that fossil fuels are implicated in nuclear power’s supply chain. Uranium mining uses petroleum, and enriching nuclear fuel requires electricity. But even counting upstream carbon, nuclear power’s climate footprint is smaller than that of wind, solar or hydropower, according to an authoritative 2022 analysis by a multinational team for the UN Economic Commission for Europe. (Their finding matched that of the similarly comprehensive 2018 report by the UN-chartered Intergovernmental Panel on Climate Change.[6])

That’s another big change. In nuclear power’s early years, uranium fuel enrichment was so energy-intensive that the three U.S. “gaseous diffusion” plants were said to consume 10 percent of all electricity used by American factories. But diffusion enrichment has given way to gas centrifuges and, more recently, laser isotopic separation ― methods that use 20 times less energy to isolate fissile U-235 from U-238.

The bottom line: kilowatt-hour for kilowatt-hour, nuclear-generated electricity is at least as effective as solar and wind at cutting climate pollution. Meanwhile, Hurricane Katrina, Superstorm Sandy, “heat domes” and wildfires, and, in August, the first Himalayan glacial collapse, have made once-hypothetical climate death and disruption a daily reality. More than rising electricity demand from A.I., it’s the climate crisis that’s driving renewed interest in nuclear power.

Click here for the second installment, Why I’m Pro-Nuke Now: Beginning.

[1] Quoted passage is from a local (PA) news site, though the an archived Channel 2 broadcast it cited is no longer on line.

[2] The sole “near-miss,” and a major one, was the 2002 discovery by operators at the Davis-Besse nuclear plant near Toledo, OH of extensive corrosion of the reactor vessel head — a vital barrier against loss of coolant and release of radiation. The U.S. General Accounting Office sternly rebuked the Nuclear Regulatory Commission for failing to identify and prevent the corrosion. See GAO, Nuclear Regulation: NRC Needs to More Aggressively and Comprehensively Resolve Issues Related to the Davis-Besse Nuclear Power Plant’s Shutdown, GAO-04-415, May 2004.

[3] In-person conversation at People’s Policy Conference at the New School for Social Research in New York, May 2, 2026.

[4] C. Komanoff, Power Plant Performance: Nuclear and Coal Capacity Factors and Economics (15 MB pdf), Council on Economic Priorities, 1976.

[5] Dividing today’s 90% uptime by the former 60% yields 1.50, indicating 50 percent more kilowatt-hours per kW.

[6] IPCC Annex III report, Technology-Specific Cost and Performance Parameters, 2018. See table on p. 1333.

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