EU Emissions Trading Scheme Drives Significant Greenhouse Gas Reductions Across Europe
The EU Emission Trading Scheme has been in place for over a decade and aims to reduce greenhouse gas emissions in EU countries. By analyzing data and using statistical methods, it was found that the price of emission allowances has a significant impact on reducing emissions. The way emission allowances are distributed also plays a crucial role in achieving environmental goals. The recommendation is to increase auctioning of allowances to further improve the effectiveness of the EU ETS in reducing emissions.