Print Email Facebook Twitter Carbon policies: Do they deliver in the long run? Title Carbon policies: Do they deliver in the long run? Author Chappin, E.J.L. Dijkema, G.P.J. De Vries, L.J. Faculty Technology, Policy and Management Department Infrastructures, Systems and Services Date 2010-01-01 Abstract Carbon taxation and emission trading are policy instruments for achieving significant CO2 emission reduction by inducing a shift in technology and fuel choice. Simulations with a quantitative agent-based model of a competitive electricity generation sector show that under both policies CO2 emissions increase for 10-15 years due to the long life cycle of power plants. Dramatic reductions materialize after 20-40 years when a tight cap or sufficient tax level is maintained. When taxes are set equivalent to trading prices, taxation induces earlier investment in CO2 abatement, a better balance between capital and operating costs and lower long-run electricity prices. To reference this document use: http://resolver.tudelft.nl/uuid:8b2a1801-3cd0-42e6-abc7-3af4dac4dd3e Publisher Elsevier ISBN 9781856176552 Source Generating Electricity in a Carbon-Constrained World, F.P. Sioshansi (ed.) Part of collection Institutional Repository Document type book chapter Rights (c) 2010 The Author(s); Elsevier Files PDF Chappin_2010.pdf 436.47 KB Close viewer /islandora/object/uuid:8b2a1801-3cd0-42e6-abc7-3af4dac4dd3e/datastream/OBJ/view