Emissions trading systems with cap adjustments
This working paper analyses the design of the market stability reserve proposed as part of the reform of the European Union emissions trading system. read more »
Topic: Carbon pricing and markets
How green are economists?
The market for voluntary carbon offsets has grown steadily in the last decade, yet it remains a very small niche. While 10% of greenhouse gas emissions generated by transportation are … read more »
Renewables, allowances markets, and capacity expansion in energy-only markets
We investigate the combined effect of an Emission Trading System (ETS) and renewable energy sources on electricity generation investment in energy-only markets. We propose a simple representation of the capacity … read more »
Green taxes in a post-Paris world: are millions of nays inevitable?
Turning greenhouse gas emissions pledges into domestic policies is the next challenge for governments. We address the question of the acceptability of cost-effective climate policy in a real-voting setting. First, … read more »
Inclusion of Consumption of carbon intensive materials in emissions trading – An option for carbon pricing post-2020
A project led jointly by Climate Strategies and DIW Berlin has been exploring whether inclusion of domestic sales of selected energy intensive commodities (e.g. steel) in domestic emission trading schemes … read more »
Offsetting emissions: It’s not just the cost of carbon that matters to businesses
This commentary reflects on a recent report which looked at why some companies offset their emissions outside of Europe and why others don’t. read more »
Demand for offsetting and insetting in the EU Emissions Trading System
International carbon offsetting can help reduce compliance costs in emissions trading schemes and at the same time support carbon mitigation projects in developing countries. A surprising observation from the European … read more »
Climate policy confidence indicator: final report to CCCEP
The CCCEP Policy Innovation fund supported a project to explore the feasibility and perceived usefulness of an indicator of confidence in climate change policies. This final report presents the analysis … read more »
Environmental Policy and Directed Technological Change: Evidence from the European Carbon Market
This paper investigates the impact of the European Union Emissions Trading System (EU ETS) on technological change, exploiting installations level inclusion criteria to estimate the System’s causal impact on firms’ … read more »
Dynamic supply adjustment and banking under uncertainty: the Market Stability Reserve
This working paper analyses the design of the market stability reserve proposed as part of the reform of the European Union emissions trading system. read more »