If BCAs are to gain international acceptance, they must be motivated by clear, economically-sound arguments, but the reasons normally put forward do not seem to persuade critics. For instance, the European Union still needs to convince the world about the appropriateness of the extraterritorial features of the extension of its emissions trading system to aviation. To gain international acceptan...

The EU Emissions Trading System (ETS) is the largest cap-and-trade scheme for CO2 emissions globally. This study evaluates impact on CO2-equivalents emission of increased stringency Phase 3, which marked a significant shift from previous phases ETS and significantly reduced number permits (EU Allowances—EUA) freely allocated. Our analysis reveals that increase purchased EUA had statistically si...

the demand for fossil fuel in the transport sector is constantly increasing and transportation is ranked amongst the highest greenhouse emitting sectors globally. today, tackling co2 emissions from road transport a widely discussed topic and constitutes a milestone towards reaching a sustainable, carbon neutral economy. this challenge is being described in various initiatives adopted in the eur...

A framework was devised for policy-makers to assess direct bilateral cap-and-trade linkages. A systematic analysis of the economic, political and regulatory implications indicates potential benefits along with a number of potentially negative side effects. Theoretically, economic benefits are expected from quasi-static short-term and dynamic efficiency gains. However, a careful review of these ...

In order to tackle climate change and build a low-carbon economy, China has selected seven provinces and cities as carbon trading pilots and plans to establish the national emissions trading scheme (ETS) in 2017. However, since China has not yet reached peak carbon emissions, and as a major developing country, the conflict between increasing energy demand and the requirement to reduce emissions...

In an e¤ort to meet its obligations under the Kyoto Protocol, in 2005 the European Union introduced a cap-and-trade scheme where mandated installations are allocated permits to emit CO2. Financial markets have developed that allow companies to trade these carbon permits. For the EU to achieve reductions in CO2 emissions at a minimum cost, it is necessary that companies make appropriate investme...

Historical trends and levels of nitrogen (N) budgets and emissions to air and water in the European Union and the United States are markedly different. Agro-environmental policy approaches also differ, with emphasis on voluntary or incentive-based schemes in the United States versus a more regulatory approach in the European Union. This paper explores the implications of these differences for a...