Is Stern Report 'alarmist and incompetent'?

The US government which withdrew from the Kyoto Protocol on climate change in 2001, downplayed the importance of the Stern Report saying that it was one of many others on the costs of climate-change mitigation. Spokespeople of the Bush administration refered to their government's huge investments in new technologies to tackle climate change.

OPEC, the organisation of petroleum exporting countries, called the Stern report "misguided". OPEC's Secretary-General Mohammed Barkindo said: "The mitigation and adaptation to climate change can only be accomplished on the principles of common responsibility and respected capabilities and not by scenarios that have no foundations in either science or economics as we had yesterday from London".

The Wall Street Journal called the Stern report a "politicised edifice" and compared it negatively to the Copenhagen Consensus of Danish economist Björn Lomborg, saying "there are far more urgent, and far less speculative, problems that we know how to solve with the right policies. That message may not get scary headlines, but it would improve the lives of more human beings around the world." The Copenhagen consensus is a project that aims to establish policy priorities for advancing global welfare.

In the Guardian's blog "Comment is free", solar industry entrepreneur Jeremy Leggett criticised the Stern Report for not being "stern enough" and "playing down the scale of the problem".

One of the most renowned experts on the economics of climate change, Richard Tol, produced a detailed, four-page critique of the Stern report, saying that it uses only the most pessimistic impact studies, starts from a too-low discount rate and has no real cost-benefit analysis. Tol therefore called the report "alarmist and incompetent". "This is not to say that climate change is not a problem, nor that greenhouse-gas emissions should not be reduced. There are sound arguments for emission reduction. However, unsound analyses like the Stern Report only provide fodder for those sceptical of climate change and climate policy," Tol concludes.