THE IMPACTS OF THE EU ETS ON NORWEGIAN PLANTS’ ENVIRONMENTAL AND ECONOMIC PERFORMANCE
Open accessAbstract
This paper examines the impacts of the EU Emissions Trading System (ETS) on the environmental and economic performance of Norwegian plants. The ETS is regarded as the cornerstone climate policy in the EU and Norway, but there has been considerable debate regarding its effects due to low quota prices and substantial allocation of free allowances. 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. These positive effects may be due to the large amounts of free allowances, and that plants may have passed on additional marginal costs to consumers.
The claims and statistics of this paper haven’t been checked yet.
Run the check — free, no account needed. It reads the open-access text and checks the sources it cites.
Integrity signals
Registry
Cites
Statistics
Claims the paper makes
The claims and statistics of this paper haven’t been checked yet.
Run the check — free, no account needed. It reads the open-access text and checks the sources it cites.
Self-check
Percentages, sums and reported differences re-computed from the paper’s own numbers.
The self-check needs the paper’s full text.
Cites
Toward a New Conception of the Environment-Competitiveness Relationship
Porter, M. E., & Linde, C. V. D. (1995) · Journal of Economic Perspectives · doi:10.1257/jep.9.4.97 · Cited by 13,365 · see citing works
Regression discontinuity designs in economics
Lee, D. S., & Lemieux, T. (2010) · Journal of Economic Literature · doi:10.1257/jel.48.2.281 · Cited by 4,534 · see citing works
Markets in licenses and efficient pollution control programs
Montgomery, W. D. (1972) · Journal of Economic Theory · doi:10.1016/0022-0531(72)90049-x · Cited by 1,818 · see citing works
Shove, G. F., & Hicks, J. (1933) · The Economic Journal · doi:10.2307/2224288 · Cited by 1,384 · see citing works
Environmental Policy and Directed Technological Change: Evidence from the European Carbon Market
Calel, R., & Dechezleprêtre, A. (2016) · Review of Economics and Statistics · doi:10.1162/rest_a_00470 · Cited by 1,147 · see citing works
Borghesi, S., Cainelli, G., & Mazzanti, M. (2014) · Research Policy · doi:10.1016/j.respol.2014.10.014 · Cited by 576 · see citing works
Ellerman, A. D., & Buchner, B. K. (2008) · Environmental and Resource Economics · doi:10.1007/s10640-008-9191-2 · Cited by 452 · see citing works
Allowance price drivers in the first phase of the EU ETS
Hintermann, B. (2010) · Journal of Environmental Economics and Management · doi:10.1016/j.jeem.2009.07.002 · Cited by 441 · see citing works
Martin, R., Muûls, M., & Wagner, U. J. (2016) · Review of Environmental Economics and Policy · doi:10.1093/reep/rev016 · Cited by 432 · see citing works
Comparing policies to combat emissions leakage: Border carbon adjustments versus rebates
Fischer, C., & Fox, A. K. (2012) · Journal of Environmental Economics and Management · doi:10.1016/j.jeem.2012.01.005 · Cited by 425 · see citing works
The impact of a carbon tax on manufacturing: Evidence from microdata
Martin, R., de Preux, L. B., & Wagner, U. J. (2014) · Journal of Public Economics · doi:10.1016/j.jpubeco.2014.04.016 · Cited by 397 · see citing works
Martin, R., Muûls, M., de Preux, L. B., & Wagner, U. J. (2014) · American Economic Review · doi:10.1257/aer.104.8.2482 · Cited by 333 · see citing works
Carbon price drivers: Phase I versus Phase II equilibrium?
Creti, A., Jouvet, P.-A., & Mignon, V. (2012) · Energy Economics · doi:10.1016/j.eneco.2011.11.001 · Cited by 330 · see citing works
The European Union Emissions Trading System: Ten Years and Counting
Ellerman, A. D., Marcantonini, C., & Zaklan, A. (2015) · Review of Environmental Economics and Policy · doi:10.1093/reep/rev014 · Cited by 325 · see citing works
Fowlie, M., Holland, S. P., & Mansur, E. T. (2012) · American Economic Review · doi:10.1257/aer.102.2.965 · Cited by 315 · see citing works
Firm competitiveness and the European Union emissions trading scheme
Chan, H. R., Li, S., & Zhang, F. (2013) · Energy Policy · doi:10.1016/j.enpol.2013.09.032 · Cited by 241 · see citing works
Abatement and Allocation in the Pilot Phase of the EU ETS
Anderson, B. J., & Maria, C. D. (2010) · Environmental and Resource Economics · doi:10.1007/s10640-010-9399-9 · Cited by 232 · see citing works
Emission abatement: Untangling the impacts of the EU ETS and the economic crisis
Bel, G., & Joseph, S. (2015) · Energy Economics · doi:10.1016/j.eneco.2015.03.014 · Cited by 205 · see citing works
Profiting from Regulation: Evidence from the European Carbon Market
Bushnell, J. B., Chong, H., & Mansur, E. T. (2013) · American Economic Journal: Economic Policy · doi:10.1257/pol.5.4.78 · Cited by 199 · see citing works
Anger, N., & Oberndorfer, U. (2007) · Energy Policy · doi:10.1016/j.enpol.2007.09.007 · Cited by 196 · see citing works
The impact of the European Emission Trading Scheme on multiple measures of economic performance
Marin, G., Marino, M., & Pellegrin, C. (2018) · Environmental and Resource Economics · doi:10.1007/s10640-017-0173-0 · Cited by 195 · see citing works
Origins and Development of the EU ETS
Convery, F. J. (2009) · Environmental and Resource Economics · doi:10.1007/s10640-009-9275-7 · Cited by 180 · see citing works
Capital market response to emission rights returns: Evidence from the European power sector☆
Veith, S., Werner, J. R., & Zimmermann, J. (2009) · Energy Economics · doi:10.1016/j.eneco.2009.01.004 · Cited by 177 · see citing works
Did the EU ETS Make a Difference? An Empirical Assessment Using Lithuanian Firm-Level Data
Jaraitė, J., & Maria, C. D. (2015) · The Energy Journal · doi:10.5547/01956574.37.2.jjar · Cited by 144 · see citing works
The Impact Of Carbon Trading On Industry: Evidence From German Manufacturing Firms
Wagner, U. J., Rehdanz, K., & Petrick, S. (2014) · SSRN Electronic Journal · doi:10.2139/ssrn.2389800 · Cited by 140 · see citing works
Löschel, A., Lutz, B. J., & Managi, S. (2018) · Resource and Energy Economics · doi:10.1016/j.reseneeco.2018.03.001 · Cited by 139 · see citing works
Economic Implications of Alternative Allocation Schemes for Emission Allowances*
Böhringer, C., & Lange, A. (2005) · Scandinavian Journal of Economics · doi:10.1111/j.1467-9442.2005.00423.x · Cited by 106 · see citing works
Climate Policy & Corporate Behavior
Commins, N., Lyons, S., Schiffbauer, M., & Tol, R. S. J. (2011) · The Energy Journal · doi:10.5547/issn0195-6574-ej-vol32-no4-4 · Cited by 105 · see citing works
Environmental and Resource Economics
(2013) · Environmental and Resource Economics · doi:10.1007/10640.1573-1502 · Cited by 100 · see citing works
Cost-effective unilateral climate policy design: Size matters
Böhringer, C., Fischer, C., & Rosendahl, K. E. (2014) · Journal of Environmental Economics and Management · doi:10.1016/j.jeem.2013.12.008 · Cited by 96 · see citing works
Self-citationCO2-emissions from Norwegian oil and gas extraction
Gavenas, E., Rosendahl, K. E., & Skjerpen, T. (2015) · Energy · doi:10.1016/j.energy.2015.07.025 · Cited by 74 · see citing works
Self-citationIncentives and prices in an emissions trading scheme with updating
Rosendahl, K. E. (2008) · Journal of Environmental Economics and Management · doi:10.1016/j.jeem.2007.12.003 · Cited by 60 · see citing works
Self-citationEgenhofer, C., Alessi, M., Georgiev, A., & Fujiwara, N. (2011) · SSRN Electronic Journal · Cited by 59 · see citing works
Price and welfare effects of emission quota allocation
Golombek, R., Kittelsen, S. A. C., & Rosendahl, K. E. (2012) · Energy Economics · doi:10.1016/j.eneco.2012.11.006 · Cited by 35 · see citing works
Self-citationALLOCATION OF EMISSION ALLOWANCES: IMPACTS ON TECHNOLOGY INVESTMENTS
Rosendahl, K. E., & Storrøsten, H. B. (2015) · Climate Change Economics · doi:10.1142/s2010007815500104 · Cited by 7 · see citing works
Self-citation
Flagged first, then by citations
Cited by
Sorted by citations
Dechezleprêtre, A., Nachtigall, D., & Venmans, F. (2023) · Journal of Environmental Economics and Management · doi:10.1016/j.jeem.2022.102758 · Cited by 416 · see citing works
Sato, M., Rafaty, R., Calel, R., & Grubb, M. (2022) · WIREs Climate Change · doi:10.1002/wcc.796 · Cited by 59 · see citing works
The Impact of Carbon Pricing on Corporate Sustainability: Evidence From the European Union
García, C. J., Herrero, B., & Morillas‐Jurado, F. (2026) · Business Strategy and the Environment · doi:10.1002/bse.70324 · Cited by 4 · see citing works
- Authors
- KLEMETSEN, M., ROSENDAHL, K. E., & JAKOBSEN, A. L.
- Affiliations
- Statistics Norway (NO)
- Norwegian University of Life Sciences (NO)
- Corresponding author
- ROSENDAHL, KNUT EINAR
- Venue
- Climate Change Economics
- Publisher
- World Scientific Pub Co Pte Ltd
- Published
- 2020-02
- Volume
- 11
- Issue
- 01
- Pages
- 2050006
- ISSN
- 2010-0078 (ISSN-L)
- 2010-0086
- OpenAlex
- W2256617423
- Cited by
- 76
- References
- 35
- Citations by year
- 2026: 9 · 2025: 16 · 2024: 12 · 2023: 10 · 2022: 12 · 2020: 8 · 2019: 3 · 2018: 3 · 2017: 1 · 2016: 2
- FWCI
- 6.37
- Type
- journal article
- Language
- en
- Open access
- green
- hdl.handle.net
- Licence
- other-oa
- Locations
- Climate Change Economics (publishedVersion)
- RePEc: Research Papers in Economics (submittedVersion)
- NORA - Norwegian Open Research Archives (submittedVersion, other-oa)
- SSRN Electronic Journal (submittedVersion)
- Econstor (Econstor) (submittedVersion)
- NORA - Norwegian Open Research Archives (submittedVersion, cc-by-nc-sa)
- Topics
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Climate Change Policy and Economics
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Energy, Environment, Economic Growth
- Physical Sciences › Environmental Science › Pollution › Environmental Policies and Emissions
- Keywords
- EU Emissions Trading System, emission intensity, free allowances, emissions trading, climate policy, value added, productivity, emission reduction, cost pass-through, carbon pricing
About these checks
Registry, retraction, Cites and statistics results are computed, not judged, with one exception: a printed reference that no index lists is read once by a model before it counts as a citation error. Claims are extracted by a model and kept only when their quote appears verbatim in the text; each cited source is then checked, with a model’s help, for whether it says what the claim relies on. Those verdicts can be wrong — read the claim’s quote and the cited source before relying on one.
Statistics and arithmetic are recomputed, not judged.
Confidence bands are shown only for fields calibrated on our annotated test set. None is calibrated yet, so no band is shown.
What counts as a claim ›How we measure confidence ›How we check this ›
Are you an author, or do you see a problem with this page? Request a review
