Sascha Kollenberg

Emissions Trading Systems (ETSs) with fixed caps lack provisions to address systematic imbalances in the supply and demand of permits in response to economic shocks. This paper proposes a new mechanism which adjusts the allocation of permits based on the current bank of permits to create a dynamic system of permit allocation. Read more

This working paper analyses the design of the market stability reserve proposed as part of the reform of the European Union emissions trading system. Read more