Quantitative Approaches for Analyzing the Potential Effectiveness of Vietnam’s Emissions Trading System: A Systematic Review

Anh Quynh Tang and Takeshi Mizunoya ()
Additional contact information
Anh Quynh Tang: Graduate School of Science and Technology, University of Tsukuba, 1-1-1 Tennodai, Tsukuba 305-8572, Ibaraki, Japan
Takeshi Mizunoya: Institute of Life and Environmental Sciences, University of Tsukuba, 1-1-1 Tennodai, Tsukuba 305-8572, Ibaraki, Japan

Sustainability, 2024, vol. 16, issue 13, 1-14

Abstract: Carbon pricing initiatives have been developed globally in recent decades. Among carbon pricing initiatives, direct carbon pricing, particularly the emissions trading system (ETS), has attracted the interest of stakeholders and nations. With its ambitious potential for climate change mitigation, Vietnam has considered establishing a domestic ETS. However, studies on the effectiveness and impact of Vietnam’s ETS are scarce. This study reviews the quantitative approaches to assessing Vietnam’s ETS and evaluates the methodologies, limitations, and challenges of current quantitative assessments such as the simple reduced-form emission projection method, computable general equilibrium (CGE), input–output analysis (IOA), and multi-criteria analysis. CGE and IOA are highly recommended to obtain comprehensive results. However, IOA is more capable of avoiding numerous assumptions, complicating the use of CGE. This study recommends directions for possible innovative improvements for utilizing IOA in future research on Vietnam’s ETS; thus, suggesting a competent approach for effectively analyzing ETS.

Keywords: carbon market; Vietnam; emissions trading system; direct carbon pricing; quantitative methodologies; input–output analysis; computable general equilibrium; systematic review (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/2071-1050/16/13/5504/pdf (application/pdf)
https://www.mdpi.com/2071-1050/16/13/5504/ (text/html)

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: https://EconPapers.repec.org/RePEc:gam:jsusta:v:16:y:2024:i:13:p:5504-:d:1424166

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().