The Covid-19 crisis has caused an economic downturn that may reverberate throughout the European carbon market. This makes a review of the EU ETS supply mechanisms imperative.
Read More
The new EU Commission is taking office and at the same time Mistra Carbon Exit is publishing a policy brief concerning the EU emissions trading system, the EU ETS.
Read More
The EU ETS has just been reformed, so can we sit back and watch it work? Unfortunately, not. The time of cheap greenhouse gas emission reductions is over.
Read More
I’m on my way to Sacramento, the capital of California. The grass is brown and the air is yellowish and hazy due to fires. In a week from now the fires will spread rapidly, consume homes and vineyards in the wine districts north of San Francisco and kill more than 20 people. The fires fuel the debate of climate change and strengthen the engagement from people and politicians in California. One may think that with Trump as United States’ president climate action has halted in the US. But not here in California.
Read More
The brief outlines different perspectives on the past performance of the EU Emissions Trading System (ETS) in terms of its allowance price (Section 1), analyses how the recent reform responded to related challenges (Section 2), and considers the case for introducing a carbon price floor in the EU ETS (Section 3). The main part of the brief (Section 4) identifies five myths in the debate of an EU ETS price floor and critically confronts them. Section 5 concludes by discussing potential entry points for introducing a carbon price floor in the context of the upcoming EU climate policy process.
Read More
This paper by Mistra Carbon Exit research fellows, Dallas Burtraw, RFF, Lars Zetterberg, IVL and Amelia Keyes, RFF, reviews the interaction of cap and trade with other (companion) air quality and sectoral policies and discusses mechanisms that address inefficiencies, with lessons for the EU.
Read More