Emission Trading North — important findings from a business perspective

Abstract

In co-operation with the Association of the Chambers of Industry and Commerce in Schleswig-Holstein and the Union of Employers’ Associations in Hamburg and Schleswig-Holstein, the Energy Foundation Schleswig-Holstein carried out the pilot project Emission Trading North - Benefits for the Economy and the Environment (May 2002 – May 2003). It focused on capacity building, communication of important findings into the national political decision-making process (based on detailed company focused case studies) and the positioning of the Energy Foundation in a future emissions trading system. The opportunity to prepare for EU emissions trading at an early stage was taken by nine companies: three from the power sector, three from the pulp and paper sector, one from the cement industry and non ferrous metal sector each and one from the renewable energy sector. Special attention was paid to questions relating to internal requirements within the corporations, the identification and evaluation of emission reduction measures, the development of an emissions trading strategy, including an internet based trading simulation and the allocation of emission allowances in the context of the national allocation plan. Emission Trading North revealed a number of important findings on information, reporting and decision-making processes and on an optimal emission management strategy in the short, medium and long term and it, finally, allowed the identification of research questions for future work. Detailed information on the project can be obtained from www.emisssionshandel-nord.de.