About

Luca is an economist, working at the intersection of environmental economics, energy markets, and industrial organisation. His current research projects include work on market-based instruments and climate finance.

Background

Luca completed his formal training in economics in Italy. He holds a PhD in Economics from the University of Zurich. He is also an alumnus of the Joint Program on the Science and Policy of Global Change (MIT) and is a visiting scholar at the Research Center for Sustainability Science, Ritsumeikan University in Japan.

Research interests

  • Permits market design, price manipulation and participation restrictions;
  • System linking and networking;
  • Investment decisions under uncertainty;
  • Energy economics;
  • Real options;
  • Experimental markets for emission permits.

Prospective PhD students

Luca welcomes enquiries from prospective PhD students with shared interests, and strong backgrounds in economics and statistics.
Visit the ‘Study with us’ page for further information on applying to be a PhD student with us.

Research

Research - 2019

Research - 2018

Research - 2017

Research - 2016

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

Research - 2015

The decision of whether to retain forest or convert to another land use is affected by uncertainty over future land use returns. This paper examines the design of conservation payments to landowners under uncertainty. Payments are either indexed to the returns from deforestation (agriculture), or to a market value associated with forest nonuse benefits. Payment size depends on the degree of correlation between payments and agricultural returns, and their relative volatility. Market-based payments for reducing emissions from deforestation and degradation (REDD) are simulated for Brazilian soybean growers. Payments indexed to carbon prices are larger than those indexed to international soybean prices. (JEL Q23, Q24) Read more

Research - 2014

Research - 2013

Research - 2012

Research - 2011

Research - 2010

Policy

Policy - 2020

This is a response to the Bank of England's discussion paper, 'The 2021 biennial exploratory scenario on the financial risks from climate change'. The response has been prepared by authors from the Grantham Research Institute on Climate Change and the Environment at LSE, the Grantham Institute – Climate Change and the Environment at Imperial College London, and the University of Edinburgh Business School. Read more

Policy - 2019

Policy - 2017

Policy - 2016

This submission explores whether the UK should seek to stay in or leave the EU emissions trading system (EU ETS) as part of Brexit negotiations. It finds that leaving the EU ETS would result in the UK losing access to low-cost emission reduction opportunities that are only available in what is currently the world’s largest carbon market. It also highlights that leaving the EU ETS to link with other existing or planned emissions trading systems could generate significant administrative costs that potentially offset any economic benefits. Read more

Policy - 2015

Policy - 2014

Policy - 2013

Policy - 2011

Books

Books - 2015

Books - 2013

Events

Events - 2020

News

News - 2020

News - 2017

News - 2016

News - 2015

News - 2014

High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail. Email ftsales.support@ft.com to buy additional rights. https://www.ft.com/cms/s/0/78c72aca-80ec-11e3-95aa-00144feab7de.html#ixzz3HdnxY4WU

The European Commission has resisted calls for a carbon “central bank” to revive Europe’s moribund emissions trading system but is poised to unveil a less ambitious plan to fix flaws in a market that has foundered since the global financial crisis slashed prices. Read more

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