The countries of the European Union are negotiating a revision of the Union's Emissions Trading System (ETS) in order to reduce emissions. FNI has provided key input to that process.
The European Commission has recently proposed to revise the EU ETS for the period 2021-2030. The system includes approximately 45% of all greenhouse gas emissions in the 28 member countries' industrial, power and aviation sectors. The sectors covered by the ETS have to reduce their emissions by 43% compared to 2005 to achieve the EU 40% reduction target. Norway is also part of the system.
In its assessment report on possible impacts of the proposed revision, the Commission looks at how the current trading system has affected behaviour in different business sectors.
In this, it uses and refers extensively to the book Corporate responses to EU Emissions Trading, edited by FNI researchers Jon Birger Skjærseth og Per Ove Eikeland and published by Ashgate in 2013. In the book, most of the major industry sectors are studied, including chapters on electric power (Per Ove Eikeland), oil (Jon Birger Skjærseth), steel (Jørgen Wettestad and Liv A. Løchen), pulp and paper (Lars H. Gulbrandsen and Christian Stenqvist) and cement (Anne R. Christensen).