The founding of a Global Commons Climate Trust followed by the implementation of a Cap & Dividend scheme will have a profound impact on institutions, companies, nation-states, organizations and people of which most are beneficial on the short term and all are beneficial on the long term.
- Nation-state: By allowing only certified fossil fuels to enter the economy countries take appropriate action as promised in 1992 to avoid dangerous climate change, preventing them from lawsuits.
- Fossil fuel company: The carbon bubble is increasingly being seen as a serious threat to the financial viability of fossil fuel companies. A sudden removal of the unburnable carbon of the balance sheet of these companies will be disastrous. CapGlobalCarbon does not render all carbon immediately unburnable. As the cap tightens over time the discoveries with the lowest EROEI could be written off gradually and give the fossil fuel companies time to transition towards other practices than extractivism.
- Community: A decline in available energy will mean that localization will accelerate. Low energy practices that are often more labour intensive become more viable as mass-produced industrial goods become more expensive because of the high energy intensity of these products. This can give a boost to the local economy. Next to that the funds generated by the scheme will be spent on strengthening communities.
- Climate Scientist: The cap is set based on climate science. Because knowledge about the climate system will advance the Cap is set on a year by year basis allowing us to deal with unexpected changes. There will be no (political) negotiation process and no involvement of government or companies in determining the cap.