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Carbon Trading in the Policy Mix
Open accessAbstract
The Kyoto Protocol is stimulating the development of emissions-trading schemes at the national and international levels. These are being introduced alongside existing policy instruments such as carbon taxes and negotiated agreements, leading to complex problems of policy interaction. But the topic of policy interaction remains under-researched. This paper aims to improve understanding of such interactions by examining the conditions under which a cap-and-trade scheme for carbon-dioxide emissions may usefully coexist with carbon/energy taxes, support mechanisms for renewable electricity, and policies to promote energy efficiency. The paper argues that each of these instrument combinations may be acceptable, provided they contribute to either improving the static or dynamic efficiency of the trading scheme, or delivering other valued policy objectives. But, since the coexisting instruments may raise overall abatement costs while contributing nothing further to emission reductions, the objectives and trade-offs within the policy mix must be explicit.
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Cited by
Kern, F., Rogge, K. S., & Howlett, M. (2019) · Research Policy · doi:10.1016/j.respol.2019.103832 · Cited by 443
An overview of current research on EU ETS: Evidence from its operating mechanism and economic effect
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Conceptual and empirical advances in analysing policy mixes for energy transitions
Rogge, K. S., Kern, F., & Howlett, M. (2017) · Energy Research & Social Science · doi:10.1016/j.erss.2017.09.025 · Cited by 270
Green promotes the dirtiest: on the interaction between black and green quotas in energy markets
Böhringer, C., & Rosendahl, K. E. (2010) · Journal of Regulatory Economics · doi:10.1007/s11149-010-9116-1 · Cited by 215
Combining Policies for Renewable Energy: Is the Whole Less Than the Sum of Its Parts?
Fischer, C., & Preonas, L. (2010) · International Review of Environmental and Resource Economics · doi:10.1561/101.00000030 · Cited by 185
Metadata
- Authors
- Sorrell, S.
- Venue
- Oxford Review of Economic Policy
- Publisher
- Oxford University Press (OUP)
- Published
- 2003-09-01
- Volume
- 19
- Issue
- 3
- Pages
- 420-437
- ISSN
- 0266-903X (ISSN-L)
- 1460-2121
- OpenAlex
- W2144730537
- Cited by
- 265
- References
- 20
- FWCI
- 8.75
- Type
- journal article
- Language
- en
- Open access
- green
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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
