Regulating Knowledge Monopolies: the Case of the IPCC

Authors: Richard Tol
Climatic Change , Vol. 108 , No. 4, 2011 , pp. 827-839

The Intergovernmental Panel on Climate Change has a monopoly on theprovision of climate policy advice at the international level and a strong market position innational policy advice. This may have been the intention of the founders of the IPCC. Iargue that the IPCC has a natural monopoly, as a new entrant would have to invest time andeffort over a longer period to perhaps match the reputation, trust, goodwill, and network ofthe IPCC. The IPCC is a not-for-profit organization, and it is run by nominal volunteers. Ittherefore cannot engage in the price-gouging that is typical of monopolies. However, theIPCC has certainly taken up tasks outside its mandate. The IPCC has been accused ofhaughtiness. Innovation is slow. Quality may have declined. And the IPCC may have usedits power to hinder competitors. There are all things that monopolies tend to do, against thepublic interest. The IPCC would perform better if it were regulated by an independent bodywhich audits the IPCC procedures and assesses its performance; if outside organizationswould be allowed to bid for the production of reports and the provision of services underthe IPCC brand; and if policy makers would encourage potential competitors to the IPCC.