Turkish 'Environmental' Accession to the EU: The European Union Emissions Trading System

2011 ◽  
Author(s):  
Josephine A. W. van Zeben
Keyword(s):  
European Union ◽  
Emissions Trading ◽  
The European Union ◽  
Trading System ◽  
Emissions Trading System ◽  
The Eu

scholarly journals The European Union Emissions Trading System reduced CO2 emissions despite low prices

2020 ◽  
Vol 117 (16) ◽  
pp. 8804-8812 ◽  
Author(s):  
Patrick Bayer ◽  
Michaël Aklin
Keyword(s):  
European Union ◽  
Carbon Emissions ◽  
Emissions Trading ◽  
Carbon Markets ◽  
Eu Ets ◽  
The European Union ◽  
Trading System ◽  
Market Prices ◽  
Emissions Trading System ◽  
The Eu

International carbon markets are an appealing and increasingly popular tool to regulate carbon emissions. By putting a price on carbon, carbon markets reshape incentives faced by firms and reduce the value of emissions. How effective are carbon markets? Observers have tended to infer their effectiveness from market prices. The general belief is that a carbon market needs a high price in order to reduce emissions. As a result, many observers remain skeptical of initiatives such as the European Union Emissions Trading System (EU ETS), whose price remained low (compared to the social cost of carbon). In this paper, we assess whether the EU ETS reduced CO2 emissions despite low prices. We motivate our study by documenting that a carbon market can be effective if it is a credible institution that can plausibly become more stringent in the future. In such a case, firms might cut emissions even though market prices are low. In fact, low prices can be a signal that the demand for carbon permits weakens. Thus, low prices are compatible with successful carbon markets. To assess whether the EU ETS reduced carbon emissions even as permits were cheap, we estimate counterfactual carbon emissions using an original sectoral emissions dataset. We find that the EU ETS saved about 1.2 billion tons of CO2 between 2008 and 2016 (3.8%) relative to a world without carbon markets, or almost half of what EU governments promised to reduce under their Kyoto Protocol commitments. Emission reductions in sectors covered under the EU ETS were higher.

scholarly journals Price Relationships in the EU Emissions Trading System

2011 ◽  
pp. 212-220 ◽  
Author(s):  
Julien Chevallier
Keyword(s):  
European Union ◽  
Emissions Trading ◽  
Eu Ets ◽  
The European Union ◽  
Trading System ◽  
Trading Scheme ◽  
Price Relationships ◽  
Eu Emissions Trading System ◽  
Emissions Trading System ◽  
The Eu

The European Union Emissions Trading Scheme (EU ETS) constrains industrial polluters to buy/sell CO2 allowances depending on a regional depolluting objective of -8% of CO2 emissions by 2012 compared to 1990 levels. Companies may also buy carbon offsets from developing countries, funding emissions cuts there instead, under a Kyoto Protocol Clean Development Mechanism (CDM). This chapter critically analyzes the price relationships in the EU emissions trading system. The United Nations Framework Convention on Climate Change (UNFCCC) delivers credits that may be used by European companies for their compliance needs. Certified Emissions Reductions (CERs) from CDM projects are credits flowing into the global compliance market generated through emission reductions. EUAs (European Union Allowances) are the tradable unit under the EU ETS. Besides, the EU Linking Directive allows the import for compliance into the EU ETS up to 13.4% of CERs on average. This chapter details the idiosyncratic risks affecting each emissions market, be it in terms of regulatory uncertainty, economic activity, industrial structure, or the impact of other energy markets. Besides, based on a careful analysis of the EUA and CER price paths, this chapter assesses common risk factors by focusing more particularly on the role played by the CER import limit within the ETS.

scholarly journals European union emissions trading system with regard to climate change mitigation in Latvia

2012 ◽  
Vol 8 (-1) ◽  
pp. 29-35 ◽  
Author(s):  
Ilze Pruse
Keyword(s):  
European Union ◽  
Climate Change Mitigation ◽  
Emissions Trading ◽  
Ghg Emissions ◽  
Eu Ets ◽  
The European Union ◽  
Ghg Emission ◽  
Trading System ◽  
Change Mitigation ◽  
The Eu

Abstract The goal of this paper is to analyse the volumes of greenhouse gas (GHG) emissions from the European Union Emissions Trading System’s (EU ETS) participants in Latvia in relation to their participation therein. After describing and discussing the EU ETS mechanism and its operation in Latvia in the period 2005-2010, the interconnectedness between the GHG emissions and the EU ETS participants’ operation is analysed. The analysis concludes that, although the EU ETS has contributed towards GHG emission reduction, due to the growth of the economy, overall GHG emissions from the EU ETS participants in Latvia are increasing.

The EU Emissions Trading System in Crisis-Ridden Greece: Climate under Neoliberalism

2020 ◽  
pp. 048661342091054
Author(s):  
Andriana Vlachou ◽  
Georgios Pantelias
Keyword(s):  
Emissions Trading ◽  
Eu Ets ◽  
Low Carbon ◽  
The European Union ◽  
Trading System ◽  
Distributional Effects ◽  
Low Carbon Economy ◽  
Environmental Effectiveness ◽  
Emissions Trading System ◽  
The Eu

Neoliberal capitalism has extended the use of markets to address climate and energy issues. Carbon trading characteristically exemplifies the neoliberalization of climate policy. This paper discusses the workings of the European Union’s Emissions Trading System (EU ETS) in the European Union (EU) with a focus on its application in crisis-ridden Greece. Beyond environmental effectiveness and distributional effects, the paper explores the interactions of the EU ETS with crisis, austerity programs, energy poverty, and uneven development. Despite adjustments and changes, the EU ETS continues to indicate limited environmental effectiveness and unjust distributional effects. Moreover, by forging a centralized neoliberal transition to a low-carbon economy without consideration of the issues faced by unevenly developed and crisis-stricken EU members such as Greece, the EU ETS leads to additional disturbances and problems for the Greek economy as a whole, its pauperized working people, and its energy and climate options to reduce emissions on its own potential, needs, and priorities.

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