The creation of the EU ETS led to changes in the merit order of the different plants competing on the electricity grid, and in the fuel-switching opportunities in the UK. This country has the greatest potential for CO<SUB align="right"><SMALL>2</SMALL></SUB> emissions reduction through fuel-switching within the EU, thanks to its...</small></sub>

Since the launch of the European Union Emission Trading Scheme (EU ETS), the interest in the trade of EUAs is constantly increasing among academics and market participants. The objective of this paper is twofold: (a) a detailed description of this new market is provided for portfolio managers...

By proposing the hypotheses for carbon price volatility, this paper uses variance ratio and Ensemble Empirical Mode Decomposition (EEMD) to analyse the carbon price. Results show that carbon market is temperature-sensitive, affected by seasonal changes, which presents a style of movement...

This paper applies insights from behavioural economics literature to design options in climate policy in order to make suggestions on how to create and pass effective climate regulation. It posits that policymakers can have a more comprehensive toolkit for tackling climate change by utilising...

The topic of this paper is the question of what would be an optimum solution for a country or a greater region that wants to become a forerunner in the abatement of greenhouse gases. Tradeable emission permits are identified as being most beneficial from an environmental efficiency point of view...

Market-based instruments increasingly shape international environmental governance. Against this background, this paper puts forward a conceptual framework on the development of regulated global carbon markets. Regarding the adoption of carbon trading as an instance of wider shifts in governance...

This paper discusses the relation of spot and futures CO<SUB align="right"><SMALL>2</SMALL></SUB> allowances, used to model and test forward premium and convenience yield (CY) concepts during 2005-2011. We analyse allowances futures from an ex-post perspective and find positive forward premia for both Phase I and Phase II and for...</small></sub>