Economics at your fingertips  

Carbon dioxide emissions allocation: A review

Peng Zhou () and M. Wang

Ecological Economics, 2016, vol. 125, issue C, 47-59

Abstract: Carbon dioxide (CO2) emissions allocation plays a fundamental role in determining reduction responsibility at economy level or emission permits at firm level. Past decades have seen the development and applications of various methods for CO2 emissions allocation. This paper provides a literature review of CO2 emissions allocation with emphasis on the evolution of allocation methods used. It begins with a summary of the most popular allocation principles and criteria that lay a foundation for the development of allocation methods. We then classify the existing allocation methods into four groups, namely indicator, optimization, game theoretic and hybrid approaches. The main features and findings of past studies are identified and summarized. While the fairness principle prevails in earlier studies, the efficiency principle has been found to receive increasing attention recently. We also present a comparison of the empirical results based on ten popular indicator methods to show how indicator choice affects the allocation results. Issues related to selecting appropriate methods in CO2 emissions allocation are finally discussed. Further research may be carried out to strike a balance between fairness and efficiency so that the allocation results become more widely acceptable and economically feasible.

Keywords: Carbon dioxide (CO2); Emissions allocation; Indicator; Fairness; Efficiency (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (28) Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

DOI: 10.1016/j.ecolecon.2016.03.001

Access Statistics for this article

Ecological Economics is currently edited by C. J. Cleveland

More articles in Ecological Economics from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

Page updated 2020-02-19
Handle: RePEc:eee:ecolec:v:125:y:2016:i:c:p:47-59