This technical document explains the rationale for an emission trading system (ETS) and sets out a 10-step process for designing an ETS – each step involves a series of decisions or actions that will shape major features of the policy. In doing so, the document draws both on conceptual analysis and on some of the most important practical lessons learned to date from implementing ETSs around the world, including from the European Union, several provinces and cities in China, California and Québec, the Northeastern United States, Alberta, New Zealand, Kazakhstan, the Republic of Korea, Tokyo, and Saitama.
Organization: WB, Partnership for Market Readiness, International Carbon Action Partnership, Motu Economic and Public Policy Research, Environmental Defense Fund, Vivid Economics
Topics: Mitigation, Carbon Financing and CDM
Type of material: Analytical-Technical Document
Publication date: 2016