The role of developing countries in helping to solve the problem of climate change is increasingly a focus of political controversy. With levels of greenhouse gas emissions projected to exceed those of developed countries by 2020, some industrialized countries are calling on developing countries to take stronger actions to meet the commitments they have made in the Framework Convention on Climate Change (FCCC), This review of recent policy changes in developing countries, however, suggests that they are already taking little appreciated steps that reduce rates of growth in carbon emissions. Indeed, since the 1992 signing of the FCCC, carbon emission savings in developing countries may be greater than those attained by industrialized countries. A major source of these gains can be attributed to energy price reforms that are likely to have led to substantial gains in production and end-use efficiency.