USE OF CARBON AUCTIONS REVENUES TO SUPPORT RENEWABLE ENERGY AND IMPACT ON THE COMPETITIVENESS OF THE EUROPEAN INDUSTRY

摘要

While the use of emissions trading schemes (ETS) to mitigate greenhouse gases emissions is developing in the world, behavioural economic studies show that the public and political acceptability of these market-based instruments can be improved by the way carbon revenues are used. The economic, environmental and social impacts of different carbon revenues recycling options may vary and need to be examined. This study focuses on the European Union, where the ETS has existed since 2005 and auctions have taken place several times a week since 2013. The 2030 climate and energy framework (EC, 2014) adopted by the EU in 2014 includes (i) a binding EU target to domestically reduce GHG emissions by at least 40% by 2030 compared to the levels of 1990, (ii) a binding target to increase the share of renewable energy consumed in the EU to at least 27% by 2030 and (iii) an indicative target to improve energy efficiency by at least 27% by 2030. As underlined in the Impact Assessment, emissions from the sectors covered by the Emissions Trading System (ETS) need to be cut by around 43% and non-ETS emissions by around 30% (both compared to 2005) to achieve the 40% GHG reduction target efficiently. In parallel of these climate objectives, the European Commission has also set competiveness goals in its energy union strategy (EC, 2015). This aims at establishing a “resilient Energy Union with an ambitious climate policy” and hence at transforming the EU’s energy system in order to provide “secure, sustainable, competitive and affordable energy” to consumers. This work focuses on the analysis of the impact of one auctions revenues recycling option on the competitiveness on the European industry, namely the use of these revenues to support renewable energy.