The European Union’s Emissions Trading System: Global Model or Regional Muddle?
The European Union’s Emissions Trading System (EU-ETS) is the engine of the global carbon market, accounting for more than 80% of the global market value of emissions trading permits. Additionally, a number of other States and sub-national actors have either linked their emissions trading systems to the EU-ETS, or contemplate doing so in the future. Given the size of the EU-ETS, these countries are thus largely tying the viability of their emissions trading schemes to the health of the EU-ETS.