Asset Details
Do you wish to reserve the book?
Cost-efficiency of the EU Emissions Trading System
Hey, we have placed the reservation for you!
By the way, why not check out events that you can attend while you pick your title.
Oops! Something went wrong.
Looks like we were not able to place the reservation. Kindly try again later.
Are you sure you want to remove the book from the shelf?
Cost-efficiency of the EU Emissions Trading System
Do you wish to request the book?
Cost-efficiency of the EU Emissions Trading System
Please be aware that the book you have requested cannot be checked out. If you would like to checkout this book, you can reserve another copy
We have requested the book for you!
Your request is successful and it will be processed during the Library working hours. Please check the status of your request in My Requests.
Oops! Something went wrong.
Looks like we were not able to place your request. Kindly try again later.
Journal Article
Cost-efficiency of the EU Emissions Trading System
2019
Overview
Cap and trade systems are considered to be one of the most cost-efficient options to achieve emission reduction targets. This paper extends the literature on the evaluation of emissions trading systems (ETS) by providing insights into the methodology of the ex-post evaluation of cost-efficiency. Based on data from the second trading period of the EU ETS, this paper compares different settings for ex-post cost-efficiency analyses. A highly disaggregated base scenario reveals average cost savings from trade of about 865 million Euro p.a., an efficiency gain of 47% compared to the alternative policy scenario without trade. Sensitivity scenarios indicate lower efficiency gains in cases with higher sectoral and regional aggregation emphasising the importance of intra-industry and inter-country trade. Furthermore, assumptions regarding the abatement requirements under the alternative policy play a key role, along with the choice of marginal abatement cost curves. In line with ex-ante results from the literature, the backward looking empirical results of this paper uniformly support the theoretical cost-efficiency of the EU ETS.
Publisher
International Association for Energy Economics
