Partnership for Market Readiness2015-04-292015-04-292012-04https://hdl.handle.net/10986/21831This document provides an overview and summary assessment of lessons and insights learned from various existing and presented domestic cap and trade schemes. For each scheme, a set of general characteristics (or issues) is considered. The characteristics (or issues) covered include the following: (i) coverage and scope; (ii) setting a cap; (iii) setting the points of obligation; (iv) allocation of allowances; (v) systems for domestic monitoring, reporting and verification, (MRV) and compliance; (vi) enabling trading and fostering stability; (vii) institutional arrangements, including technical and legal infrastructures; and (viii) use of offsets and linking. The domestic emissions trading schemes (ETS) included in this assessment are the following: (i) European Union (EU) ETS; (ii) New Zealand (NZ) ETS; (iii) United States (U.S.) northeast states regional greenhouse gas initiative (RGGI); (iv) California (Cal) ETS; (v) Australia clean energy future carbon pricing mechanism (Aus CPM); and (vi) Tokyo cap and trade program (C and T).en-USCC BY 3.0 IGOABATEMENT COSTSAFFORESTATIONAIRAIR RESOURCESALLOCATIONALLOCATION OF ALLOWANCESALLOWANCEALLOWANCE ALLOCATIONSAMMONIAANNUAL CAPANNUAL EMISSIONSAPPROACHATMOSPHEREATMOSPHERIC CONCENTRATIONSAUCTIONAVAILABILITYBALANCEBASE-YEAR EMISSIONSCAPSCARBONCARBON CREDITSCARBON MARKETCARBON OFFSETCARBON PRICECARBON TRADINGCARBON UNITSCEMENTCEMENT PLANTCEMENT PLANTSCLEAN ENERGYCLEAN ENERGY TECHNOLOGIESCLIMATECLIMATE CHANGECLIMATE CHANGE MITIGATIONCO2COALCOAL MINESCOMBUSTION ACTIVITIESCOST OF ENERGYCRUDE OILDISTRIBUTION OF COSTSDISTRICT HEATINGDOMESTIC EMISSIONSECONOMIC ACTIVITYELECTRIC UTILITIESELECTRICITYELECTRICITY GENERATINGEMISSIONEMISSION LEVELEMISSION REDUCTIONSEMISSION TRADINGEMISSIONSEMISSIONS FACTORSEMISSIONS FROM AGRICULTUREEMISSIONS FROM AVIATIONEMISSIONS FROM DEFORESTATIONEMISSIONS FROM ENERGYEMISSIONS FROM FUELEMISSIONS FROM FUEL COMBUSTIONEMISSIONS FROM INDUSTRYEMISSIONS INTENSITYEMISSIONS LEVELSEMISSIONS REDUCTIONEMISSIONS REDUCTIONSENERGY CONSUMPTIONENERGY EFFICIENCYENERGY PRICESENERGY-SAVING MEASURESENVIRONMENTAL INTEGRITYFEASIBILITYFINANCIAL LOSSFINANCIAL MARKETSFORESTFOREST LANDSFOREST PROJECTSFORESTRYFORESTRY ACTIVITIESFORESTSFOSSILFOSSIL FUELFOSSIL FUEL POWERFOSSIL FUELSFREE ALLOCATIONFUELSFUGITIVE EMISSIONSGAS EMISSIONGAS PROJECTSGENERATIONGEOTHERMAL POWERGHGGHGSGREENHOUSEGREENHOUSE GASGREENHOUSE GASESHISTORICAL EMISSIONSHYDROPOWERINSURANCEINTERNATIONAL CREDITSINVESTMENT DECISIONSIRONLAND-USE CHANGELANDFILLSLEVEL OF EMISSIONSMAJOR EMITTERMARGINAL ABATEMENTMARKET DISTORTIONSMEMBER STATESMETHANEMINIMUM PRICEN2ONATIONAL EMISSIONSNATURAL GASNATURAL GAS INFRASTRUCTURENATURAL GAS SYSTEMSNITROUS OXIDENUCLEAR ENERGYNUCLEAR POWEROFFSET CREDITSOFFSET PROJECTSOIL EQUIVALENTOIL REFINERIESORGANIC CHEMICALSOZONEOZONE DEPLETING SUBSTANCESPENALTIESPETROLEUMPETROLEUM PRODUCTSPFCSPOLICY MAKERSPOWER PLANTPRICE OF ALLOWANCESPRICE SIGNALPRICE VOLATILITYREGIONAL GREENHOUSE GAS INITIATIVERENEWABLE ENERGIESRENEWABLE ENERGYSECONDARY MARKETSSF6SINKSOLAR POWERTHERMAL INPUTTOTAL EMISSIONSTRADING PROGRAMSUSE OF OFFSETSVALUE OF ALLOWANCESWASTEWINDWIND POWERWINDFALL PROFITSZERO EMISSIONSWorking PaperWorld Bank10.1596/21831