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A Nutrient Quota Trading Scheme to Reduce the Eutrophication of the Baltic Sea

Finding an appropriate institutional design for the management of environmental resources that have suffered from the “tragedy of the commons” is a challenge as old as the exploitation of such resources.

While environmental policy has traditionally focused on the use of command and control regulation, it has increasingly included market mechanisms as a viable instrument to achieve environmental objectives in a cost-effective manner. One of the pioneers of this trend, the European Commission has recently adopted a Green Paper on market-based instruments for environment and related policy purposes to launch “a discussion on advancing the use of market-based instruments in the Community.” One central market-based instrument has been enjoying a veritable surge in interest: emissions trading, which is based on the allocation of environmental policy burdens through market forces by way of tradable emission allowances. An appropriately designed emissions trading scheme can have significant benefits for both the environment and the economy.

Copyright:	© Lexxion Verlagsgesellschaft mbH
Quelle:	JEEPL 04/2007 (September 2007)
Seiten:	16
Preis:	€ 16,00
Autor:	Karl Upston-Hooper Michael Mehling
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