Seven emissions trading scheme (ETS) pilots have been established in China. They have introduced some unique methods to set emissions caps and allocate allowances, different from textbook models and their counterparts in the EU, California, and many other regions. This article provides a detailed introduction to the methods for cap setting and allowance allocation adopted by the pilots, and presents detailed comparisons of these methods. In terms of cap setting, the pilots adopt flexible caps that can be adjusted where necessary, which primarily depends on the outcomes of the bottom-up approach, namely aggregating the allowances allocated to participants. As for allowance allocation, the pilots not only adopt such methods as grandfathering and benchmarking, which are also widely applied in other existing schemes, but also some special methods that require ex post adjustment, such as those based on enterprises’ historical emissions intensity (including both physical quantity and added-value intensity) and current production/output. The factors influencing the design are further analysed, including the impacts of theory and experience from foreign systems, concerns about economic development, traditions regarding intensity targets and policy, constraints from data availability and preparation time, tight regulation of the electricity and heat generation sector, and concerns regarding price stability. The practice of pilots presents an improvement opportunity and a challenge for China to further balance the theoretical and practical requirements in ETS design in establishing its national system.
Policy relevance
China is piloting emissions trading in seven regions, as part of efforts to try to rely more on market-based instruments to achieve GHG emissions control targets. All seven pilots have been confronted with special issues in the design process when compared with existing foreign schemes. This article analyses in depth the special issues related to cap setting and allowance allocation and the approaches adopted to address these issues. Flexible cap setting through a bottom-up approach and different types of allocation methods with or without ex post adjustment are adopted in the pilots. The flexible and innovative approaches the pilots have developed could provide useful experience for designing the nationwide ETS in China and promoting emissions trading policy in other parts of the world. 相似文献
The objectives of this study are to assess land suitability and to predict the spatial and temporal changes in land use types (LUTs) by using GIS-based land use management decision support system. A GIS database with data on climate, topography, soil characteristic, irrigation condition, fertilizer application, and special socioeconomic activities has been developed and used for the evaluation of land productivity for different crops by integrating with a crop growth model—the erosion productivity impact calculator (EPIC). International food policy simulation model (IFPSIM) is also embedded into GIS for the predictions of how crop demands and crop market prices will change under alternative policy scenarios. An inference engine (IE) including land use choice model is developed to illustrate land use choice behavior based on logit models, which allows to analyze how diversified factors ranging from climate changes, crop price changes to land management changes can effect the distribution of agricultural land use. A test for integrated simulation is taken in each 0.1o by 0.1o grid cell to predict the change of agricultural land use types at global level. Global land use changes are simulated from 1992 to 2050. 相似文献