The G8 Climate Change Roundtable was formed in January 2005 at the World Economic Forum in Davos, Switzerland. Its purpose was to address the global climate change issue facing governments, business and civil society. The first meeting was held in Gleneagles, Scotland, from 6–8 July 2005, to coincide with the 31st G8 summit.
The roundtable was established by twenty-three leading international businesses with the assistance of G8 President and Prime Minister of the United Kingdom Tony Blair, to co-operatively engage in a global plan of action. The aim of the group was to ensure that a long-term policy framework was set up to enable consistent and transparent market-based solutions in mitigating climate change, while also addressing issues linked to climate change; such as economic growth, poverty, and adequate energy supplies. Carbon trading is one of the most popular pricing mechanisms used to the reduce greenhouse emissions worldwide.
The group devised a Framework for Action which called for technology incentive programs, the establishment of common metrics, for example in energy efficiency, and the expansion of emissions trading schemes.
Environmentalists raised concerns that the body's statement does not call for targets or include timetables. Friends of the Earth noted that the roundtable represented a major shift by the business community towards efforts to mitigate climate change.
The G8 Climate Change Roundtable stated 5 key points to be addressed:
The G8 Climate Change Roundtable developed 5 key principles for businesses to consider when crafting a climate change mitigation strategy. These principles are:
The G8 Climate Change Roundtable developed 3 key principles for governments to consider when addressing climate change. Governments should:
The G8 Climate Change Roundtable aimed to create a long-term policy framework which was both transparent and consistent. Through market based solutions such as carbon trading, the Roundtable established a policy framework which now encompasses 150 businesses across the globe.
By creating long term value, these members established a market based framework extending to 2030 and indicative signals extending to 2050. This policy framework they hoped would take on a global scale, with consistent policies throughout the various states. The framework was meant to not only mitigate climate change but also promote sustainable development by addressing issues of poverty, energy and economic growth in emerging markets.
The Roundtable recommended encouraging technological innovation through performance based incentives. By quickly commercializing low carbon technologies they aimed to mitigate climate change quickly. They noted that by ensuring that climate change mitigation goals aligned with societal goals, governments would be able to optimize greenhouse gas reductions. By ensuring that emerging markets, such as China, India, Brazil, South African and Mexico, invest in low carbon economic growth, new technologies can be applied globally while streamlining emerging markets. New investments should align with societal goals, creating partnerships between G8 nations as well as emerging nations. Through such a partnership, members can effectively collaborate on specific projects within countries or rapid dissemination of specific technologies.
Members of the new policy framework should establish common metrics. By streamlining greenhouse emissions reporting processes and systems, countries can achieve this goal. Business and G8 governments should use supply chain drivers and the power of procurement to integrate climate change solutions into their global supply chain requirements. By committing to the use of the Roundtable’s policy framework throughout the supply chain, optimal greenhouse gas mitigation can be achieved.