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The European Emissions Trading Scheme - Coming of Age? An Assessment of the EU Commission Proposal for a Review of the Scheme

Based on the first three years of experience with the European Union (EU) Emissions Trading Scheme, the European Commission put forward its suggestions for a review of the scheme on 23 January 2008. The main changes proposed by the European Commission include the introduction of a single EU cap for the trading scheme, and the harmonisation of allocation rules across the EU. The Commission proposes auctioning as the basic principle of allocation, with some types of installations receiving free allocation until 2020 on the basis of transitional rules. Likewise, exemptions may be granted to sectors exposed to international competition in order to manage the risk of carbon leakage. As a result, the distribution of auctioning proceeds among Member States, as well as the identification of sectors eligible for exemptions, will probably take centre stage in the forthcoming political negotiation process.



Copyright: © Lexxion Verlagsgesellschaft mbH
Quelle: Issue 1/2008 (März 2008)
Seiten: 5
Preis: € 16,00
Autor: M. Sc Benjamin Görlach
Hauke Hermann
Olaf Hölzer-Schopohl
 
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