Renewable energy standards undermine carbon pricing, increasing climate mitigation costs.
This article examines how adding a renewable energy requirement for power plants in China affects efforts to cut greenhouse gases through a national carbon trading system. The study uses a complex model to analyze how these policies interact. Results show that while renewable energy rules encourage green power, they make it more expensive to reach emissions targets. In other words, pushing for renewable energy can cost more when there's already a system in place to cut carbon pollution.