Oggioni, Giorgia; Smeers, Yves - Center for Operations Research and Econometrics (CORE), … - 2008
Carbon leakage in this pape ris the phenomenon whereby Electricity Intensive Industries subject to harsh environmental … free emission allowances with a pricing of electricity whereby energy emissions and transmission costs are bundled and sold …. Industries purchase electricity according to some form of average cost price, the rest of the market is supplied at marginal cost …