Rescuing EU Emissions Trading

1. Front Matter

   Pages i-xiii

   PDF

2. Introduction

   • Jørgen Wettestad, Torbjørg Jevnaker

   Pages 1-4

3. Analytical Framework

   • Jørgen Wettestad, Torbjørg Jevnaker

   Pages 5-20

4. Background: Initiation and First Reform of a Frontrunner System

   • Jørgen Wettestad, Torbjørg Jevnaker

   Pages 21-35

5. The ETS Post-2008 Years: From Crisis and Turmoil to ‘Market Thermostat’

   • Jørgen Wettestad, Torbjørg Jevnaker

   Pages 37-70

6. Analysis: Exploring the Six Explanations

   • Jørgen Wettestad, Torbjørg Jevnaker

   Pages 71-101

7. Conclusions and Reflections

   • Jørgen Wettestad, Torbjørg Jevnaker

   Pages 103-112

8. Back Matter

   Pages 113-119

   PDF

This book draws upon a meticulous study of background documents and a string of fresh interviews to tell the fascinating story of how the EU’s climate flagship was significantly improved. The EU’s emissions trading system (ETS) covers almost half of its greenhouse gas emissions and has been hailed as the cornerstone and flagship of EU climate policy. But in spring 2013 the ETS was in severe crisis, with a huge surplus of allowances and a sagging carbon price. Even a formally simple measure to change the timing of auctioning was initially rejected by the European Parliament. Two years later a much more important ‘market thermostat’ was adopted (i.e. the Market Stability Reserve) and proposals for a complete ETS overhaul were put on the table. This book examines and explains how it was possible to turn the flagship around so quickly. Crucial changes at EU and national levels are identified, chief among them in Germany and the European Parliament.                                                    

• Climate change
• Energy
• Sustainable development
• Innovation
• Policy

• Fridtjof Nansen Institute, Lysaker, Norway

  Jørgen Wettestad, Torbjørg Jevnaker

Jørgen Wettestad is Research Professor at the Fridtjof Nansen Institute in Oslo, Norway.  He has published several books and numerous articles on international and EU environmental policy, with particular attention to emissions trading.

Torbjørg Jevnaker is Research Fellow at the Fridtjof Nansen Institute in Oslo, Norway. She has contributed to books and journals on EU energy and environmental policy, particularly emissions trading, climate and energy packaging and internal energy market policy.

Policies and ethics