Publications

This paper explores different market stability mechanisms (MSMs) used in ETSs around the world to balance policy predictability with the need for flexibility to respond to changing circumstances or unexpected shocks.

This report examines options for simplification in both the design phase and specific areas of operation, outlining approaches, experiences, and lessons from existing systems to date.

This report examines how different emissions trading systems (ETSs) manage and distribute revenue generated from auctioning allowances. Directing revenue from auctions toward projects that generate tangible benefits is a key way to increase the political and social acceptability of an ETS.

Check out the 2019 ICAP Status Report with the latest developments in emissions trading around the world.

The report includes:
- Insights from international emissions trading experts
- Infographics
- Factsheets on each system in operation and under consideration

The paper looks at internationally linked emissions trading systems, examining four approaches to account for the flow of allowances across international borders under the Paris Agreement. The findings can inform the ongoing negotiations on the Paris Rulebook, as well as bilateral agreements between jurisdictions. 

How to best link emissions trading systems? This guide provides policymakers with a step-by-step for the whole process. Complete with practical experiences, how to avoid possible pitfalls, stakeholder perspectives, and much more.

An accessible resource that summarizes the main conceptual and theoretical arguments for ETS, supported by a consolidated body of up-to-date empirical evidence.

In theory, ETS offers a cost effective tool to achieve emission reduction targets, but in practice, electricity sector regulation interacts with emissions trading in ways that may prevent or change how participants respond to the allowance price. This report provides a conceptual framework to understand this interaction.

Check out the 2018 ICAP Status Report with the latest developments in emissions trading around the world.

The report includes:
- Insights from international emissions trading experts
- Infographics
- Factsheets on each system in operation and under consideration

How can emissions trading provide a carbon price signal that incentivizes cost-effective emissions abatement over the long term? A framework to understand dynamic cost effectiveness under an ETS.