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A Guide to Linking Emissions Trading Systems

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In September 2018, ICAP launched its report, A Guide to Linking Emissions Trading Systems, which consolidates the experiences from ICAP Members that have considered or operate a linked market alongside insights from the literature. It provides policymakers with step-by-step guidance throughout the whole process of linking.

Distilling practical experience with linking to date, the guide details the achievable advantages of linking and details ways to avoid possible pitfalls. Pathways to implementing a linked market and strategies to align different system designs are also covered, as well as stakeholder perspectives, the linking agreement and management of the linked market.