Introduction of a carbon price floor for industry: an analysis

This analysis, carried out for WISE and Greenpeace, shows that a CO2 price floor for the direct emissions of industries participating in the EU ETS would probably lead to only slightly higher costs for industry if ETS prices indeed fluctuate between 20 and 30 euro per tonne the coming decade. For these industries this would mean an overall additional burden of 500 million euro at most. In all likelihood some proportion of this could be passed on to customers: industries in neighbouring countries appear to be paying more for their energy than their Dutch counterparts. In addition, revenue from the charge would be used to achieve a permanent reduction in Dutch industry energy costs via dedicated subsidies, limiting any negative effects on competitiveness.

Projectleader

Sander de Bruyn

Introduction of a carbon price floor for industry: an analysis (in Dutch)

Authors CE

Sander de Bruyn
Frans Rooijers

Delft, October 2018