| 来源类型 | Research papers
|
| 规范类型 | 报告
|
| Interactions of EERS with GHG Mitigation Regulations in Energy Market |
| K. H. Jeong
|
| 发表日期 | 2012-12-31
|
| 出版年 | 2012
|
| 语种 | 英语
|
| 摘要 | ABSTRACT
1. Research Purpose
Burdens from energy and environment regulations should be minimized in order to achieve sustainable economic growth. Korean government is now considering adoption of EERS while implementing 'GHG and energy target management system(thereafter, TMS)' and 'emission trading scheme(thereafter, ETS)' from 2015 onward. Thus, a study on effective interactions between EERS and ETS should be conducted. Firstly, this study analyzes graphically the impact of implementation of both ETS/TMS and EERS on Korea's energy market. Moreover, I discuss major issues related to interactions between ETS/TMS and EERS, and suggest corresponding solutions of the issues.
2. Summary
The major issues and solutions in terms of combining ETS/TMS with EERS are as follows.
Firstly, MRVs of energy savings occurring from investments for energy efficiency enhancement programs are uneasy tasks. Consequently, energy suppliers under EERS are likely to face the moral hazard problem. To solve this problem, the implementation scopes of the regulations should be clearly specified. At the same time, MRV system should be precisely established because it requires fairly large social costs.
Secondly, the scope of energy savings should be clarified with the definition of EERS additionality. Static baseline is better than dynamic baseline in that the additionality of EERS with static baseline can avoid fairness issues raised from accuracy of MRV and from different magnitudes of indirect effects of energy savings across industrial sectors.
Thirdly, customers that are eligible for EERS programs should not be covered by ETS and/or TMS in order to avoid double regulations and double counting of energy savings when EERS and ETS/TMS are introduced simultaneously.
Fourthly, the most important issue in terms of introduction of EERS with environment regulations is how to recoup the expenses of EERS programs. There are four ways to recover the costs of EERS programs: (1) to pass the costs of EERS programs on to consumers, (2) to use GHG reduction achieved from EERS as an offset option in ETS, (3) to use funds raised from auction in ETS to support the expenses of EERS implementation, (4) to combine the previous two measures, to use funds from auction supporting EERS programs and to use GHG reduction achieved from EERS as an offset option in ETS. Among these, the first one is not appropriate to apply for the korean energy market where energy pricing system is rigid.
3. Policy Implications
This study suggests the following policy implications on interactions between EERS and ETS/TMS.
Firstly, the implementation scopes of the regulations should be clearly specified in order to establish concrete MRV systems for the regulations. EERS and ETS/TMS are the compulsory regulations that require clear definitions of boundaries of the regulations and additionality of EERS for MRV.
Secondly, GHG reductions from EERS should be included as a qualified project in notifications of the offset programs in ETS.
Thirdly, Supporting measures for energy efficiency enhancement programs are needed in order to alleviate double burdens of business that face EERS and ETS/TMS simultaneously. For example, funds from auctions in ETS can be used to support the investments of energy efficiency enhancement programs. |
| URL | http://www.keei.re.kr/web_keei/en_publish.nsf/by_report_year/CAB4E3F743F162D949257C74002EE331?OpenDocument
|
| 来源智库 | Korea Energy Economics Institute (Republic of Korea)
|
| 资源类型 | 智库出版物
|
| 条目标识符 | http://119.78.100.153/handle/2XGU8XDN/322714
|
推荐引用方式
GB/T 7714 |
K. H. Jeong. Interactions of EERS with GHG Mitigation Regulations in Energy Market. 2012.
|
除非特别说明，本系统中所有内容都受版权保护，并保留所有权利。
