SEEK Project 2012: Competitiveness Impacts in the World with Uneven Carbon Constraints: Examining the Implications of the EU Emissions Trading Scheme on Energy-Intensive Industries

SEEK Project 2012: Competitiveness Impacts in the World with Uneven Carbon Constraints: Examining the Implications of the EU Emissions Trading Scheme on Energy-Intensive Industries

The EU advocates minimising potentially significant competitiveness losses in energy-intensive industries as a politically feasible approach to climate policy. The overall objective of this project was to reduce uncertainties persisting over the industry-distributional impacts of future climate change policy in the EU (sectoral incidence). Using highly disaggregated data and advanced time-series techniques, the project was estimated the ability of energy-intensive industries to pass-through additional costs induced by environmental regulation. The construction of a database with a focus on energy-intensive industries for an extensive country coverage represented an important intermediate step of the project. By combining empirical work on the pass-through potential with a numerical analysis within a general equilibrium set-up, this project provided a more solid understanding of competitiveness implications of climate policies.

Project members

Michael Hübler

Michael Hübler

Coordinator

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Andreas Löschel

Andreas Löschel

Research Associate

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Oliver Schenker

Oliver Schenker

Kommissarische Leitung

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Contact

, Michael Hübler