European Union emission trading scheme (ETS). An analysis of its impact for Romanian economy ant its effectiveness

Drumea, Cristina (2010): European Union emission trading scheme (ETS). An analysis of its impact for Romanian economy ant its effectiveness. Published in: , Vol. XXIV., (March 2010): pp. 179-184.

Abstract

The world is allegedly warming in a detrimental way because our industrial activity is increasingly emitting the putative culprit for the warming which is the carbon dioxide. The preferred way to deal with the issue is to force an emission reduction by, among others, imposing quotas, creating a sophisticated system of allowances, cap and trade and technology transfers. The European Union, as well as several member States had, at times, pledged various reductions which became law. These pledges come at a cost to the industrial activity. Romania duly signed and ratified all the EU decisions taken after her accession but no clear bill was presented to the taxpayer. In the light of the Copenhagen accord and in preparation of the 2010 Mexican summit on the environment there’s a need to know what are the modeled benefits of limiting the carbon dioxide emissions, and at what costs to the Romanian economy. This paper attempts to shed a light on those issues and to make it easier for the public to follow the intricate details of the trading scheme and its effects.

• Item Type: MPRA Paper
• Language: English
• Keywords: ETS, Copenhagen accord, Kyoto target, Carbon credit
• Subjects: Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q50 - General; F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F42 - International Policy Coordination and Transmission; F - International Economics > F3 - International Finance > F36 - Financial Aspects of Economic Integration

References

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2. Convery, F.G (2009). “Reflections-The Emerging Literature on Emissions Trading in Europe”. Review of Environmental Economics and Policy 3(1): 121-137

3. Grubb, M. et al. (3 August 2009). ”Climate Policy and Industrial Competitiveness: Ten Insights from Europe on the EU Emissions Trading System”

4. Stauffer, N. (2008). "Carbon emissions trading in Europe: Lessons to be learned". Massachusetts Institute of Technology Energy Initiative (MITEI).

5. Romania’s Greenhouse Gas Inventory 1989-2007; http://www.anpm.ro/Files/Romanian%20NIR%201989-2007%20v.1_20095111521328.pdf

6. Romanian Member State National Allocation Plan; http://www.mmediu.ro/departament_mediu/schimbari_climatice/1_Documentatie/PNASC_en.pdf