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What Is the Policy Effect of Coupling the Green Hydrogen Market, National Carbon Trading Market and Electricity Market?

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  • Hao-Ran Wang

    (School of Economics and Management, China University of Geosciences, Beijing 100083, China)

  • Tian-Tian Feng

    (School of Economics and Management, China University of Geosciences, Beijing 100083, China
    Key Laboratory of Carrying Capacity Assessment for Resource and Environment, Ministry of Land and Resources, Beijing 100083, China
    Key Laboratory of Strategic Studies, Ministry of Land and Resources, Beijing 100083, China)

  • Yan Li

    (School of Economics and Management, China University of Geosciences, Beijing 100083, China)

  • Hui-Min Zhang

    (School of Economics and Management, China University of Geosciences, Beijing 100083, China)

  • Jia-Jie Kong

    (School of Economics and Management, China University of Geosciences, Beijing 100083, China)

Abstract

Green hydrogen has become the key to social low-carbon transformation and is fully linked to zero carbon emissions. The carbon emissions trading market is a policy tool used to control carbon emissions using a market-oriented mechanism. Building a modular carbon trading center for the hydrogen energy industry would greatly promote the meeting of climate targets. Based on this, a “green hydrogen market—national carbon trading market–electricity market” coupling mechanism is designed. Then, the “green hydrogen market—national carbon trading market–electricity market” mechanism is modeled and simulated using system dynamics. The results are as follows: First, coupling between the green hydrogen market, carbon trading market and electricity market can be realized through green hydrogen certification and carbon quota trading. It is found that the coupling model is feasible through simulation. Second, simulation of the basic scenario finds that multiple-market coupling can stimulate an increase in carbon price, the control of thermal power generation and an increase in green hydrogen production. Finally, the proportion of the green hydrogen certification, the elimination mechanism of outdated units and the quota auction mechanism will help to form a carbon pricing mechanism. This study enriches the green hydrogen trading model and establishes a multiple-market linkage mechanism.

Suggested Citation

  • Hao-Ran Wang & Tian-Tian Feng & Yan Li & Hui-Min Zhang & Jia-Jie Kong, 2022. "What Is the Policy Effect of Coupling the Green Hydrogen Market, National Carbon Trading Market and Electricity Market?," Sustainability, MDPI, vol. 14(21), pages 1-21, October.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:21:p:13948-:d:954541
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    References listed on IDEAS

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    Cited by:

    1. Lei Yang & Shuning Wang & Zhihu Zhang & Kai Lin & Minggang Zheng, 2023. "Current Development Status, Policy Support and Promotion Path of China’s Green Hydrogen Industries under the Target of Carbon Emission Peaking and Carbon Neutrality," Sustainability, MDPI, vol. 15(13), pages 1-21, June.
    2. Squadrito, Gaetano & Maggio, Gaetano & Nicita, Agatino, 2023. "The green hydrogen revolution," Renewable Energy, Elsevier, vol. 216(C).
    3. Liu, Jicheng & Sun, Jiakang & Bao, Hongyan & Lu, Yunyuan, 2025. "Research on value co-creation of green hydrogen value chain considering carbon emission trading: A multi-layer complex network evolutionary game perspective," Renewable Energy, Elsevier, vol. 242(C).

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