Much attention has been paid to the complex risk transmission between carbon and energy markets along with the increasing global financial market integration. This research thus uses the DCC-MVGARCH model and spillover index method to investigate volatility linkages between the European carbon...

European countries aim to achieve net zero CO2 emissions by mid-century. Consequently, the European energy system and particularly the electricity system must undergo major changes. An increasing electrification of the mobility and heating sector is required for decarbonisation, which reserves...