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Emissions Trading, CDM, JI, and More: The Climate Strategy of the EU

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  • Gernot Klepper
  • Sonja Peterson

Abstract

The objective of this paper is to assess the likely allocation effects of the current climate protection strategy as it is laid out in the National Allocation Plans (NAPs) for the European Emissions Trading Scheme (ETS). The multi-regional, multi-sectoral CGE-model DART is used to simulate the effects of the current policies in the year 2012 when the Kyoto targets need to be met. Different scenarios are simulated in order to highlight the effects of the grandfathering of permits to energy-intensive installations, the use of the project-based mechanisms (CDM and JI), and the restriction imposed by the supplementarity criterion.

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Bibliographic Info

Article provided by International Association for Energy Economics in its journal The Energy Journal.

Volume (Year): Volume 27 (2006)
Issue (Month): Number 2 ()
Pages: 1-26

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Handle: RePEc:aen:journl:2006v27-02-a01

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  1. Franck Lecocq & Karan Capoor, . "State and Trends of the Carbon Market 2005," World Bank Other Operational Studies 13411, The World Bank.
  2. Gernot Klepper & Sonja Peterson, 2005. "Trading Hot-Air. The Influence of Permit Allocation Rules, Market Power and the US Withdrawal from the Kyoto Protocol," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 32(2), pages 205-228, October.
  3. Franck Lecocq, 2005. "State and Trends of the Carbon Market—2004," World Bank Publications, The World Bank, number 7457, October.
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