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Towards a successful international greenhouse gas emissions trading

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  • Zhang, ZhongXiang

Abstract

The inclusion of emissions trading in the Kyoto Protocol reflects an important decision to address climate change issues through flexible market mechanisms. In this paper, we have addressed a number of policy issues that must be considered in designing and implementing an international greenhouse gas (GHG) emissions trading scheme. These include how much of a Party’s assigned amounts of GHG emissions can be traded internationally; emissions trading models; competitiveness concern in the allocation of emissions permits; banking and borrowing; accountability; emissions trading system enlargement; and bubbles. Although our focus has been exclusively on emissions trading, we have discussed its relationship with the clean development mechanism, joint implementation and bubbles wherever necessary. By providing some new insights, the paper aims to contribute to the design and operationlization of an international emissions trading scheme.

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File URL: http://mpra.ub.uni-muenchen.de/13023/
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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 13023.

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Date of creation: Jul 1998
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Handle: RePEc:pra:mprapa:13023

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Related research

Keywords: Bubbles; carbon tax; clean development mechanism; emissions trading; greenhouse gases; international competitiveness; joint implementation; Kyoto Protocol;

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  1. Zhang, ZhongXiang, 1998. "Greenhouse gas emissions trading and the world trading system," MPRA Paper 12971, University Library of Munich, Germany.
  2. Ian W. H. Parry & Roberton C. Williams III & Lawrence H. Goulder, 1997. "When Can Carbon Abatement Policies Increase Welfare? The Fundamental Role of Distorted Factor Markets," NBER Working Papers 5967, National Bureau of Economic Research, Inc.
  3. Cramton, Peter & Kerr, Suzi, 2002. "Tradeable carbon permit auctions: How and why to auction not grandfather," Energy Policy, Elsevier, vol. 30(4), pages 333-345, March.
  4. Fischer, Carolyn & Toman, Michael & Kerr, Suzi, 1998. "Using Emissions Trading to Regulate U.S. Greenhouse Gas Emissions: An Overview of Policy Design and Implementation Issues," Discussion Papers dp-98-40, Resources For the Future.
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