The European Emissions Trading System in Belgium

Johan Eyckmans () and Sandra Rousseau

No 2009/26, Working Papers from Hogeschool-Universiteit Brussel, Faculteit Economie en Management

Abstract: In this paper we analyze the allocation of allowances to Belgian industry during the first phase of EU ETS. Overall, Belgian industry was allocated long during phase 1 but there are marked differences between the regions. Allocations in Flanders were on average less generous than in the other regions and especially the power sector in Flanders has been allocated substantially short. This trend persists in 2008, the first year of Phase 2. The potential impact on economic performance of the companies involved was very limited but this is likely to change in Phase 3 when allowances will be auctioned. Especially for the extraction and cement sector, the potential impact could be large if they cannot transmit the cost increase in their product output prices.

Keywords: CO2 emissions trading; Emission Trading Scheme EU-ETS; National Allocation Plan (search for similar items in EconPapers)
Pages: 23 page
Date: 2009-11
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