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Premières simulations de la directive européenne sur les quotas d'émission avec le modèle GEMINI-E3

Author

Listed:
  • Alain Bernard
  • Marc Vielle
  • Laurent Viguier

Abstract

The article assesses the European Directive on CO2 emission quotas using the GEMINI-E3 model. After summarizing the Directive and briefly describing the model, we present and analyze scenarios for different potential allocation rules. While the European quota mechanism creates a single market for eligible firms, it can also cause distortions vis-à-vis other economic sectors in each country. The arrangement does yield a single carbon price for all eligible firms, but a different carbon price for other sectors?with variations from country to country. The resulting excess costs can be significant.

Suggested Citation

  • Alain Bernard & Marc Vielle & Laurent Viguier, 2005. "Premières simulations de la directive européenne sur les quotas d'émission avec le modèle GEMINI-E3," Economie & Prévision, La Documentation Française, vol. 0(3), pages 171-196.
    • Handle: RePEc:cai:ecoldc:ecop_169_0171
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    Cited by:

    1. Demailly, Damien & Quirion, Philippe, 2008. "European Emission Trading Scheme and competitiveness: A case study on the iron and steel industry," Energy Economics, Elsevier, vol. 30(4), pages 2009-2027, July.
    2. Gildas De Muizon, 2006. "How to Improve the Efficiency of the EU Emission Trading Scheme?," EcoMod2006 272100016, EcoMod.
    3. Damien Demailly & Philippe Quirion, 2006. "CO 2 abatement, competitiveness and leakage in the European cement industry under the EU ETS: grandfathering versus output-based allocation," Climate Policy, Taylor & Francis Journals, vol. 6(1), pages 93-113, January.
    4. Pierre Villa, 2009. "Equivalence entre taxation et permis d'émission échangeables," Working Papers 2009-05, CEPII research center.
    5. Damien Demailly & Philippe Quirion, 2006. "CO2 abatement, competitiveness and leakage in the European cement industry under the EU ETS: Grandfathering vs. output-based allocation," Post-Print halshs-00639327, HAL.

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