Utility regulators and the market for emission allowances
When it comes to emission trading under the Clean Air Act, a major concern of most people in the electric utilities industry is the effect of this new form of environmental regulation on the industry and the way it is regulated. This paper focuses on a different concern: the effect of the industry and the way it is regulated on the emission trading program. Emission trading must prove to be successful in lowering the cost of reducing sulfur dioxide emissions if this approach to environmental regulation is to be regarded as a viable substitute for traditional command-and-control regulation. In addition, whether or not utilities will buy and sell allowances as intended depends on the actions of the public utility regulators. This paper covers both setting the cost recovery rules and the incentive to sell and the capital gain.
- Research Organization:
- National Regulatory Research Inst., Columbus, OH (United States)
- OSTI ID:
- 75498
- Report Number(s):
- NRRI-93-8; CONF-9205161-Exc.; CONF-9204302-Exc.; CONF-930334-Exc.; ON: DE95008741; TRN: 95:004730-0005
- Resource Relation:
- Conference: Regulatory policy issues and the clean air workshop, St. Louis, MO (United States); Charlotte, NC (United States); Oxford (United Kingdom), 7-8 May 1992; Apr 1992; 29-31 Mar 1993; Other Information: PBD: Jul 1993; Related Information: Is Part Of Regulatory policy issues and the Clean Air Act: Issues and papers from the state implementation workshops; Rose, K. [ed.]; Burns, R.E.; PB: 217 p.
- Country of Publication:
- United States
- Language:
- English
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