Analysis of the market mechanisms of regulating greenhouse gas emissions in the world and their consideration in existing models for the forecasting of power industry development

Lebid M.V.
Institute of General Energy of the National Academy of Sciences of Ukraine, 172 Antonovycha str., Kyiv, 03150, Ukraine
Language: Ukrainian
Source: Problemy zahal`noi enerhetyky - The Problems of General Energy, 2018, 1(52):51-58
https://doi.org/10.15407/pge2018.01.051
Section: Systemic studies and complex problems of the energy sector
UDC: 504: 620.9
Received: 14.03.2018
Abstract: This article provides an overview of the system of trading quotas for greenhouse gas emissions. The current experience shows that, under conditions of a well-implemented system, emission trading can be an efficient, reliable, and transparent instrument for achieving cost-effective reductions of greenhouse gas emissions. At the same time, the mobilization of representatives of the private sector is attained, investments are attracted, and the intensification of international cooperation is activated. The largest of these systems works in the European Union since 2005. The agreement on association between Ukraine and EU in the field of environmental security and sustainable development envisions the introduction of a similar system in Ukraine. The article provides an overview of the models used for forecasting the development of power industry, including emission prices. The author relies on the conceptual analysis and some of the most practical lessons learned during the implementation of greenhouse-emission trading system in the European Union and around the world.
Keywords: trade, quotas, market mechanisms, greenhouse gas price, forecasting models.
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