The economic design of a potential tradable permit system for SO2 emissions in the European Union

Olivier Godard and Christine Cros
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Christine Cros: CIRED - centre international de recherche sur l'environnement et le développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique

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Abstract: This paper contains two main parts. The first develops the issues of the European acid policy, and sets out the general background of the related regulatory regime. It also gives an overview of the theoretical and actual features of emissions trading mechanisms. It then considers the potential attractiveness of SO2 trading in the EU. This background throws light on the more specific analyses and proposals described in the second part of the paper, which is devoted to a presentation of possible frameworks for SO2 trading in the power generation sector in the EU. In section 2.1., we look at some key design variables. In section 2.2., we present three alternative ways of designing a trading scheme. In section 2.3., we consider specific issues related to zoning and scaling.

Date: 1998-01-01
Note: View the original document on HAL open archive server: https://hal.science/hal-00622840v1
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Citations: View citations in EconPapers (2)

Published in 1998, pp.91-127

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-00622840

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