Sectoral approaches can be considered part of a transition towards a global carbon market. Providing the potentially strongest link between the EU emissions trading scheme (EU ETS) and sectoral approaches, sectoral benchmarks can be used for setting caps, free allocation, or can become a...

Taking stock of the experience of the EU Emissions Trading Scheme, this CEPS Task Force report analyses its purposes and potential for improving the cost-effectiveness of mitigation actions by expanding its scope to new sectors, linking with future flexible mechanisms and enhancing the long-term...

To date, Southern Mediterranean countries have hosted a limited number of projects under the Clean Development Mechanism (CDM). There are three challenges to the participation of middle- income countries in future carbon markets: the limited size of future demand for offsets or credits;...

With the EU Emissions Trading System (ETS) now entering in its seventh year of operation, this report takes stock of the largest multi-sector greenhouse gas trading scheme in the world. It reviews the experiences of the pilot phase from 2005-07, assesses the adjustments introduced in the second...

Drawing on discussions within a CEPS Task Force on the revised EU emissions trading system, this report provides a comprehensive assessment of the pros and cons of the various measures put forward by different stakeholders to address the level and stability of the price of carbon in the EU. It...

This study analyses the economic and political consequences of introducing a tax on the carbon content of imported goods at EU borders and whether such a tax would be compatible with WTO rules. The major findings are: 1. A CO2 border tax or import tariff would increase global welfare; 2. Such a...

The EU emissions trading system (ETS) is expected to make a major contribution towards achieving the EU’s target to reduce greenhouse emissions by at least 40% by 2030 compared with 1990 levels. Moreover, there is a strong need to address an accumulated over-supply of emissions allowances and...

From 2006 to 2011, the Asia-Pacific Partnership on Clean Development and Climate (APP) provided a non-legally binding framework based on a public–private partnership to support projects towards clean development and climate objectives in seven countries in the region. Three of the eight...

Warsaw was in effect a halfway step from Durban, where Parties agreed to develop “a protocol, another legal instrument or an agreed outcome with legal force under the Convention applicable to all Parties” Decision/COP17), with a view to adopting it in COP21 in 2015 for its entry into effect...