The impacts of the EU ETS on Norwegian plants' environmental and economic performance

Marit E. Klemetsen (), Knut Einar Rosendahl and Anja Lund Jakobsen ()
Additional contact information
Anja Lund Jakobsen: Statistics Norway, https://www.ssb.no/en/forskning/ansatte

Discussion Papers from Statistics Norway, Research Department

Abstract: This paper examines the impacts of the EU Emissions Trading System (ETS) on the environmental and economic performance of Norwegian plants. The EU ETS is regarded as the cornerstone climate policy both in the EU and in Norway, but there has been considerable debate regarding its effects due to low quota prices and substantial allocation of free allowances to the manufacturing industry. Both quota prices and allocation rules have changed significantly between the three phases of the ETS. The rich data allow us to investigate potential effects of the ETS on several important aspects of plant behavior. The results indicate a weak tendency of emissions reductions among Norwegian plants in the second phase of the ETS, but not in the other phases. We find no significant effects on emissions intensity in any of the phases, but positive effects on value added and productivity in the second phase. Positive effects on value added and productivity may be due to the large amounts of free allowances, and that plants may have passed on the additional marginal costs to consumers.

Keywords: Tradable emissions quotas; emissions intensity; productivity; propensity score matching; difference-in-differences (search for similar items in EconPapers)
JEL-codes: C23 C54 D22 Q54 Q58 (search for similar items in EconPapers)
Pages: 44 pages
Date: 2016-02
New Economics Papers: this item is included in nep-eff, nep-ene, nep-env, nep-eur, nep-reg and nep-res
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16)

Downloads: (external link)
https://www.ssb.no/en/forskning/discussion-papers/_attachment/254379 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found

Related works:
Journal Article: THE IMPACTS OF THE EU ETS ON NORWEGIAN PLANTS’ ENVIRONMENTAL AND ECONOMIC PERFORMANCE (2020)
Working Paper: The impacts of the EU ETS on Norwegian plants' environmental and economic performance (2016)
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:ssb:dispap:833

Ordering information: This working paper can be ordered from
https://www.ssb.no/e ... economic-performance

Access Statistics for this paper

More papers in Discussion Papers from Statistics Norway, Research Department P.O.Box 8131 Dep, N-0033 Oslo, Norway. Contact information at EDIRC.
Bibliographic data for series maintained by L Maasø ().