Potential for US-China carbon trading from the electric power sector

摘要

This paper presents the results from a non-linear optimiza- tion model for China's electric power system. This model de- termines the optimal capacity-expansion pate of the power sectorby calculating the least-cost investment strategy for the required additional capacity to meet the predicted electricity demand and environmental goals It is used to run different scenarios, which combine the policies already in force, with potential national and regional SO_2 (sulphur dioxide) con- straints, CO_2 (carbon dioxide) targets, and carbon taxes.