The European Trade Scheme explored: using the ETS to overcome the clean dark/clean spark margin: a case study on Germany

Akse, G. (2013) The European Trade Scheme explored: using the ETS to overcome the clean dark/clean spark margin: a case study on Germany.

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Abstract:Within this paper we aim to conduct research on how the European Union can influence the European Trade Scheme and thereby challenge the clean dark and clean spark margins. Once it is capable of determining the main variables, the EU can promote gas-fired plants, which compared to coal-fired plants, have 50% less GHG output. Germany will be our case study. This study aims to show that under the model of Delarue E., Lamberts H., & D’haeseleer W. (2007) we are capable of calculating the break-even allowance price in which gas-fired plants will become more efficient than coal-fired power plants. Data will include the efficiency levels of both gas and coal-fired power plants. We also have to take into account the GHG-output levels of both the former and the latter. Both coal and gas prices are also in the model. There has been a lot of research on switching from fossil fuels to green energy. While the EU should keep promoting green energy, a switch from coal- to gas fired plants already reduces output with 50%. We want to show that while the ETS might have failed in promoting green energy options, a switch to gas may remain an option for the EU to use. From the research done in this paper I can conclude that choosing to implement and promote legislation towards natural gas efficiency levels would be the most effective way in trying to influence the bandwidth.
Item Type:Essay (Bachelor)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:88 social and public administration
Programme:European Studies BSc (56627)
Link to this item:http://purl.utwente.nl/essays/63618
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