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intentions of the sponsor is critical to its acceptability. The EU was in a position to
fundamentally shape the emissions trading regime with the support of environmental NGOs and
the European public. European leadership only became viable once the US was removed from
the emissions trading debate. If the US had continued in the negotiations, the international
emissions trading debate would have continued to be tainted by American sponsorship and the
perception of American attempts to buy its way out of its commitments. The EU did not face this
perception and was thus free to undertake a leadership position in the development of the
emissions trading mechanism.
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