“Spill-over effects” (also referred to as “rebound effects” or “take-back effects”)

♤ Reverberations in developing countries caused by actions taken by developed countries to cut greenhousegas emissions.

♤ For example, emissions reductions in developed countries could lower demand for oil and thus international oil prices, leading to more use of oil and greater emissions in developing nations, partially off- setting the original cuts.

♤ Current estimates are that full-scale implementation of the Kyoto Protocol may cause 5 to 20 per cent of emissions reductions in industrialized countries to “leak” into developing countries.