Industrialisation has long started before the 18th century every country has developed on its

own platform despite being cursed by the world war I, II But no wonder the curse of world
war has forced some countries to bring developments through industrialisation and trade.
even though several countries didn’t participate in the world war still have been suffering
without proper development. because of rapid growth in trade there has been issues in
relation to the environment (irrespective of nature, wildlife and natural resources). there has
been conflicts between trade and environment even though countries did take steps to curb
the destruction of the environment. Since the 1970’s there has been many agreements and
decisions made for the conflict between trade and environment but it all started in the year
1971 when the GATT director started taking steps in the Stockholm round 1 .the GATT
wanted to form a group on Environmental Measures and International Trade but it was to
start only when the member countries needed it but it wasn’t happening until 1991 till that
many developments happened with regard to the trade and environment during 1982 there
were debate going on between them regarding the anti-dumping measures. Then in 1992 after
the Uruguay round WTO was formed and As a result, the preamble to the Marrakesh
Agreement Establishing the World Trade Organization, refers to the importance of working
towards sustainable development. It states that WTO members recognize:

“that their relations in the field of trade and economic endeavour should be conducted with a
view to raising standards of living, while allowing for the optimal use of the world’s
resources in accordance with the objective of sustainable development, seeking both to
protect and preserve the environment and to enhance the means for doing so in a manner
consistent with their respective needs and concerns at different levels of economic
development.”2

and they formed the Committee on Trade and Environment this comiitee was started in 1995
for solving the trade and environmental disoiuted which arises but this is more of a statue
because it wasn’t able to apply its recommendations on the disputes as its powers were less 3

1
The Stockholm Declaration of the United Nations Conference on the Human Environment, 11 I.L.M. 1416
(1972).
2
https://www.wto.org/english/tratop_e/envir_e/hist1_e.htm
3
In 1972, the GATT .created the Working Group on Environmental Measures and International Trade to
address growing concerns about the impact of environmental measures on trade liberalization; the Working
Group did not meet until 1991. Further, between 1991 and 1995 the Working Group failed to make significant
progress in addressing the issue. See, Gregory C. Shaffer, "The World Trade Organization under Challenge:
Democracy and the Law and Politics of the WTO's Treatment of Trade and Environment Matters," Harvard
Environmental Law Review, Vol. 25,2001, p. 17-25.
The United Nations Framework Convention on Climate Change (FCCC) is a framework
reduce emissions of greenhouse gases (GHGs), such as carbon dioxide which have drastically
increased because of the human activities. Since there is a lot of green house gas emissions in
the atmosphere there has been a significant change in the climate. This might lead to a
catastrophic state of the world or even extinction. The ultimate objective of the UNFCCC is
"stabilization of the greenhouse gas concentration in the atmosphere at a level that would
prevent dangerous anthropogenic interference with the climate system"4 It says countries
should cooperate and support for the ultimate goal of achieving sustainable development to
take this farther more came the KIYOTO PROTOCOL which was taking UNFCC goals on
its own and started to fix certain targets on the emission reduction to achieve for the
developed countries .the member countries had to comply to it

It was adopted on 1997 and came into force on 2005 first commitment period 2008 to 2012
and 2013 to 2020. the idea was to reduce the green house gas emission by 5% against
whatever level was in 1990 and by the end of second commitment it has to reduce by 18%
cfc, sulphur di oxide and carbon di oxide

Idea of CARBON TRADING/ CAP AND TRADE came from here. it is nothing but aim to
reduce carbon emissions by incentives

ILLUSTRATION: suppose industry A is producing 20% emission of greenhouse gas and

industry B is producing 30% emission of greenhouse gas but the government decided or
permitted percentage or capped percentage is only 25%,here the industry A has produced
only 20% which is well less than the permissible limit of 25% do the industry A can sell the
remaining 5% permit to industry B which is producing beyond the government allowance
.here industry A is benefiting out of it this kind of method is called cap and trade.

There should be a eligibility for carbon trading and they are

There should be a national registry to keep record of all the carbon being traded and all
trading must be recorded

Assigned amount of carbon di oxide must be recorded

4
See, the UNFCCC, art. 2 (THIS IS FROM ARTCILE
http://shodhganga.inflibnet.ac.in/bitstream/10603/14533/14/14_chapter%205.pdf
The party must ratify to the kyoto protocol and must provide an annual report on emission
standards

It gave 3 implementation mechanisms and they are:

JOINT IMPLEMENTATION

A relation between a developed nation ANNEX A and a developed nation ANNEX B e.g.:
Ukraine and Russia working on join implementation program and both work on carbon in
particular and green house in general

CLEAN DEVELEOPMENT MECHANISM

In this mechanism one developed nation ANNEX A and one developing nation ANNEX B
will be involved .the ANNEX A industry will have higher gas emissions than of the ANNEX
B industry so if the ANNEX B industry sells its credits to the ANNEX A industry it will get
incentive but not in terms of money ,in terms of development the ANNEX A industry will
provide incentive by helping it build a new plant or new technology or any development
related aspect.

INTERNATIONAL EMISSION TRADING

It is the same as the clean development mechanism but incentive is provided in terms on
money

There were many reasons which lead to the failure of the Kyoto protocol one major
accusation is the non-ratification by U.S, and some say it’s the framework in which the
protocol is designed which has many flaws within itself but before these let’s see why U.S
didn’t go into ratification

The senators in the U.S congress passed a resolution that U.S shouldn’t sign any agreements
that would reduce the U.S economy. Just to reduce the greenhouse gas emissions which were
harmful they weren’t ready to sacrifice the economy of the country even though the president
at that time Bill Clinton wanted to sign the agreement he couldn’t just because the resolution
was passed by their senators at a majority of 95-0 .there were democrats and republicans who
had interests over industries so they weren’t ready to agree for limiting pollution emission
.other countries thought just by convincing the president would be enough for them to make
U.S ratify to the agreement but that was not the case .Barack Obama who was the last
president who gave so much importance for the climatic issues and also had good number of
strength who support in both houses still was unsuccessful it is because of the politics done
by the country within itself which payed way for non-ratification 5then came George Bush’s
the 43rd president he was also of the opinion that U.S wont ratify because most of the
developing countries were being left out and if America agrees to it then they have to suffer
economic crisis at large and it needs more than 4 years to adapt to it 6apart from the U.S
backing out some of the other reasons were

DIFFERENTIATED TREATMENT:

Each country were treated differently developed countries which are in the ANNEX A should
have to bind by the laws but the developing countries which were in the ANNEX B weren’t
forced to bind by the law .this seemed to be unfair for many of the developed countries which
prevented them from ratifying the agreement except the European Union which mostly had
followed according to the agreement and one country which was able to achieve near to the
agreement was Germany which was very serious about it .

It also makes the very part of POLLUTERS PAY PRICIPLE go useless as it is for the ones
who polluter the most. The one who pollutes is responsible for the pollution and he pays the
entire amount for it. this was bought so that it reduces pollution but here by following the
kyoto protocol it might Destroy the very purpose of why polluters pay principle was brought.7
might take advantage by producing more and more pollution since there is less amount As
part of the kyoto protocol initiative on step which the Canada government took was the ONE
TONNE CHALLENGE the positive side of this challenge was that on one had all
environmentalists wanted only highly polluted countries to reduce their GHC emissions this
challenge went on to have a equal contribution from all nations and reduce to a particular
percentage this was done in Canada in domestic level in various sectors and GHC emissions
were set up in each sector from automobile to gas and industrial sectors though it was highly
applauded there were criticism that sector that were largest in producing were least penalised
as the percentage set up was high for them based on the growth rate .if we take the similar to
the current situation of Kyoto protocol the ANNEX B countries that is the developing
countries such as India and china which produces less than the amount of the ANNEX A

5
https://www.forskningsradet.no/en/Newsarticle/Why_the_Kyoto_agreement_failed/1253963392536
6
See among others, Benedick, R.“How workable is the Kyoto protocol?, how to salvage the Kyoto protocol”,
weathervane, March 1998.
7
The principle is considered to provide an economically efficient solution because it requires polluters to
internalize costs of pollution. When the principle is in effect, the cost of goods and services reflect the expense
of pollution control: C. Stevens, “Interpreting the Polluter Pays Principle in the Trade and Environment
Content” (1994), 27 Cornell Int. L.J. 577.
countries they should be charged the same cause there is no use of it these were the reasons
why it lead to the failure of kyoto protocol there has been a great amount of increase in the
green house gas emissions and glaciers have been falling off soon nothing has changed that
much but this could be seen as good step taken with care for the environment the 1970’s .the
world is in a alarming state which has to be addressed properly and taking into account of all
countries and leaving the politics behind there should be new and practical methods which
can help to achieve sustainable development.

THE 2020 AGREEMENT, WILL U.S STAND MAKE A IMPACT ON THE FATE OF
2020:

The Paris convention started in the year 2015 and it will not be a reputation of the Kyoto
protocol which failed to make a impact on the environment issues because of the flaws which
it had in itself and the lack of consistency with the other principles 8 .over the years the
members and great scholars have come to a conclusion that the plans which they make should
not only be a temporary or immediate relief but a permanent one which can cooperate and
apply to the state of the respective countries which the Kyoto protocol failed to do.it has more
transparency and five yearly reviews which can solve the issues by consulting and help in
achieving the required targets or setting the targets high there has been a optimistic vibe
going on for the Paris convention as it is considered to be a game changer .the NGO are
allowed to criticise the actions ,the targets set by them and the achievement they have done it
can also be a transnational one .there will be more transparency. Much of the big
businessmen and others have urged to prepare a worthy and useful agreement which can
benefit the environment and at the Same time which doesn’t create problems with the
economy that much9..in this agreement the counties are allowed to decide their own pledges
according to their sufficiency. This was one of the main reasons for many countries to drop
from the Kyoto protocol10

When we look at the history of U.S in the protocol Bill Clinton who was the president of U.S
at that time came out of it because most of the republicans and democrats at the house had
some sufficient interest in the industrial sector which made them to oppose on the climatic
bill then came the new president George Bush who wanted to ratify it but because of the
8
Nachmany et al., The 2015 global climate legislation study.
9
Madeleine Cuff, ‘Global CEOs issue rallying call for “ambitious” COP-21 deal’, business Green, 23 Nov. 2015,
http://www.businessgreen.com/bg/news/2435987/global-ceos-issue-rallying-call-for-ambitious-cop21-deal.
10
Robyn Eckersley, ‘Ambushed: the Kyoto Protocol, the Bush administration's climate policy and the erosion of
legitimacy’, International Politics 44: 2–3, 2007, pp. 306–24; Robert Falkner, ‘American hegemony and the
global environment’, International Studies Review 7: 4, 2005, pp. 585–99.
pressure from the house with a clear 95-0 majority it was unsuccessful .but another reason
stated by them is that there weren’t enough time to adapt to it so they have rejected the idea
of joining. But now Donald Trump has taken the hot seat, as soon as he got elected as the
president of America the first thing he did was the withdrawal from the agreement. The
Kyoto agreement which flawed because of the binding features does not give any binding
enforcements or any penalties for the Paris convention, and since it has the flexibility of
setting the target which suits the economy it is more easy for U.S to choose it .there has been
theories that trump’s decision to walk out of the Paris convention was because of the fossil
fuel company interests he had or because of trump is trying to eliminate the policies which
were brought into act in the Obama period. 11.the state taken by the U.S wont affect the Paris
convention apart from causing problems for achieving the targets set by the protocol ,but if
the same state is taken by other countries or the other countries try to take advantage of the
agreement as it is flexible it might lead to a chaos .

11
https://www.nytimes.com/2017/05/09/climate/paris-climate-agreement-kyoto-protocol.html