Manipulation of the carbon emissions system threatens climate targets

Manipulation of European Union Emissions Trading system (EU ETS) by the buy, bank, burn program compensates unregulated emissions while regulated sectors carry a large part of the burden. This distorts the balance between regulated firms and non-regulated projects, so parties outside the EU ETS can be virtuous at the cost of others. Environmental economists Reyer Gerlagh and Roweno Heijmans of the Tilburg School of Economics & Management discovered a leak in the system.


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Source: Phys.org