Over-Allocation or Abatement? A Preliminary Analysis of the EU Emissions Trading Scheme Based on the 2005 Emissions Data
Name
MITJPSPGC_Rpt141.pdf
Size
522.97 KB
Format
Adobe PDF
Checksum (MD5)
d9bf7a2110b19504d42fefb9976d09b7
Author(s) •
Ellerman, A. Denny.
Buchner, Barbara.
Date Issued
December 2006
Publisher
MIT Joint Program on the Science and Policy of Global Change
Citation
Report no. 141
Series/Report no.
Report No. 141
Abstract
This paper provides an initial analysis of the European Union Emissions Trading Scheme (EU ETS) based on the installation-level data for verified emissions and allowance allocations in the first trading year. Those data, released on May 15, 2006, and subsequent updates revealed that CO2 emissions were about 4% lower than the allocated allowances. The main objective of the paper is to shed light on the extent to which over-allocation and abatement have taken place in 2005. We propose a measure by which over-allocation can be judged and provide estimates of abatement based on emissions data and indicators of economic activity as well as trends in energy and carbon intensity. Finally, we discuss the insights and implications that emerge from this tentative assessment.
Description
Abstract in HTML and technical report in PDF available on the Massachusetts Institute of Technology Joint Program on the Science and Policy of Global Change website (http://mit.edu/globalchange/www/).
Persistent DSpace Link