Each company in the Partnership for Climate Action has already set a firm target for greenhouse gas emissions reductions. The targets will result in an annual reduction of at least 80 million metric tons of carbon dioxide equivalent by 2010. Further, each company agrees to measure and publicly report its emissions.

The partners include petroleum and petrochemical companies BP and Shell International, the energy company Suncor, a chemical company (DuPont), the electric utility Ontario Power Generation, and the world’s second and third largest aluminum companies (Alcan of Canada and Pechiney of France). Together, the annual 1990 emissions of the Partnership members are 360 million metric tons, placing them among the top 15 industrialized countries in terms of emissions. Never before have such a wide cross section of industry and a major environmental organization joined forces to institute such dramatic cuts in global pollution. To better understand and learn the benefits of market mechanisms, the participants intend to use emissions trading to cut greenhouse gas pollution swiftly and affordably.

“The Partnership for Climate Action shows that companies can cut greenhouse gas pollution while continuing to provide products to customers and profits to shareholders. The goal is to share learning and highlight the value of solid, market-oriented rules, which will encourage even more companies to step forward and reduce pollution,” said Fred Krupp, Executive Director of Environmental Defense.

“Alcan is a committed, engaged company that has taken early action and reduced emissions for a number of years. This Partnership for Climate Action is a significant opportunity to join a reputable group of companies in translating action — emissions reductions — into the future that includes emissions trading,” said Dan Gagnier, Alcan’s Senior Vice President, Corporate and External Affairs.

“Three years ago BP made a commitment to substantially reduce its emissions of CO2 – and since then we have been working hard to achieve this goal,” said John Mogford, BP Vice President of Health, Safety, and Environment. “The formation of the Partnership for Climate Action will strengthen these efforts by creating a forum where like-minded participants can benefit from each other’s practical experience and action. By working together we hope to further encourage real and verifiable reductions of CO2.”

“DuPont is proud to be a founding member of the Partnership for Climate Action. We believe that the Partnership will demonstrate that market-based programs can provide the means to simultaneously achieve both environmental protection and economic development goals. Beginning with a commitment in 1991, we are very pleased to have achieved a 60% reduction in greenhouse gas emissions, on a CO2-equivalent basis, from our global operations. Over the next decade we have set goals to further reduce greenhouse gas emissions through point source reduction, improved energy efficiency and the use of renewable energy for 10% of our global needs. This Partnership will provide a forum for emissions trading and sharing of best practices to ensure that all of the members’ goals can be met in the most cost effective manner,” said Paul V. Tebo, DuPont Vice President, Safety, Health and Environment.

“Like many companies represented here today, Ontario Power Generation is committed to improving the quality of our air and to reducing the impact of global warming. I say this not just because of the obvious ecological and moral importance of these activities, but also because environmental performance is a significant business imperative and a source of competitive advantage for us. We believe this trend will intensify as new electricity suppliers strive to differentiate themselves in the new, deregulated and competitive marketplace,” said Ron Osborne, President & CEO, Ontario Power Generation Inc.

“Pechiney is particularly keen to develop a system of emission trading that will allow taking into account the benefits of reduced greenhouse gas emission created by the use of aluminum-based products, including the use of aluminum in lightweight automobiles,” said Philippe Varin, Senior Executive Vice President of the aluminum sector of Pechiney.

“Market-based solutions are the most effective way of addressing environmental challenges, including bringing down the cost of reducing GHG emissions. This initiative to develop and share best practice is yet another step in the right direction,” says Aidan Murphy, Vice-President, Global Climate Change, Shell International.

We are pleased to be working alongside other leading organizations who share our belief in the power of market mechanisms to contribute to climate change solutions, said Rick George, Suncor President and CEO. It is my hope that by announcing our Partnership for Climate Action, we will send a clear message that it is possible for companies to address climate change and still meet the growing economic, environmental and social expectations of stakeholders.