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Sailing into a dilemma: An economic and legal analysis of an EU trading scheme for maritime emissions

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  • Hermeling, Claudia
  • Klement, Jan Henrik
  • Koesler, Simon
  • Köhler, Jonathan
  • Klement, Dorothee

Abstract

On the basis of a joint economic and legal analysis, we evaluate the effects of a 'regional' (European) emission trading scheme aiming at reducing emissions of international shipping. The focus lies on the question which share of emissions from maritime transport activities to and from the EU can and should be included in such a system. Our findings suggest that the attempt to implement an EU maritime ETS runs into a dilemma. It is not possible to design a system that achieves emission reductions in a cost efficient manner and is compatible with international law.

Suggested Citation

  • Hermeling, Claudia & Klement, Jan Henrik & Koesler, Simon & Köhler, Jonathan & Klement, Dorothee, 2014. "Sailing into a dilemma: An economic and legal analysis of an EU trading scheme for maritime emissions," ZEW Discussion Papers 14-021, ZEW - Leibniz Centre for European Economic Research.
    • Handle: RePEc:zbw:zewdip:14021
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    References listed on IDEAS

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    1. Koesler, Simon & Achtnicht, Martin & Köhler, Jonathan, 2012. "Capped steam ahead: A case study among ship operators on a maritime ETS," ZEW Discussion Papers 12-044, ZEW - Leibniz Centre for European Economic Research.
    2. Anger, Annela & Köhler, Jonathan, 2010. "Including aviation emissions in the EU ETS: Much ado about nothing? A review," Transport Policy, Elsevier, vol. 17(1), pages 38-46, January.
    3. Koesler, Simon & Schymura, Michael, 2012. "Substitution elasticities in a CES production framework: An empirical analysis on the basis of non-linear least squares estimations," ZEW Discussion Papers 12-007, ZEW - Leibniz Centre for European Economic Research.
    4. Marcel Timmer & Abdul A. Erumban & Reitze Gouma & Bart Los & Umed Temurshoev & Gaaitzen J. de Vries & I–aki Arto & Valeria Andreoni AurŽlien Genty & Frederik Neuwahl & JosŽ M. Rueda?Cantuche & Joseph , 2012. "The World Input-Output Database (WIOD): Contents, Sources and Methods," IIDE Discussion Papers 20120401, Institue for International and Development Economics.
    5. Erik Dietzenbacher & Bart Los & Robert Stehrer & Marcel Timmer & Gaaitzen de Vries, 2013. "The Construction Of World Input-Output Tables In The Wiod Project," Economic Systems Research, Taylor & Francis Journals, vol. 25(1), pages 71-98, March.
    6. Koesler, Simon & Pothen, Frank, 2013. "The Basic WIOD CGE Model: A computable general equilibrium model based on the World Input-Output Database," ZEW Dokumentationen 13-04, ZEW - Leibniz Centre for European Economic Research.
    7. Pierre Franc & Lisa Sutto, 2014. "Impact analysis on shipping lines and European ports of a cap- and-trade system on CO2 emissions in maritime transport," Post-Print halshs-01366279, HAL.
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    Cited by:

    1. I. Mallidis & S. Despoudi & R. Dekker & E. Iakovou & D. Vlachos, 2020. "The impact of sulphur limit fuel regulations on maritime supply chain network design," Annals of Operations Research, Springer, vol. 294(1), pages 677-695, November.
    2. Adland, Roar & Cariou, Pierre & Wolff, François-Charles, 2018. "Does energy efficiency affect ship values in the second-hand market?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 111(C), pages 347-359.
    3. Patrizia Serra & Gianfranco Fancello, 2020. "Towards the IMO’s GHG Goals: A Critical Overview of the Perspectives and Challenges of the Main Options for Decarbonizing International Shipping," Sustainability, MDPI, vol. 12(8), pages 1-32, April.
    4. Tobia Piccoli & Matteo Fermeglia & Daniele Bosich & Paolo Bevilacqua & Giorgio Sulligoi, 2021. "Environmental Assessment and Regulatory Aspects of Cold Ironing Planning for a Maritime Route in the Adriatic Sea," Energies, MDPI, vol. 14(18), pages 1-31, September.
    5. Koesler, Simon & Achtnicht, Martin & Köhler, Jonathan, 2015. "Course set for a cap? A case study among ship operators on a maritime ETS," Transport Policy, Elsevier, vol. 37(C), pages 20-30.
    6. Gu, Yewen & Wallace, Stein W. & Wang, Xin, 2018. "Can an Emission Trading Scheme really reduce CO2 emissions in the short term? Evidence from a maritime fleet composition and deployment model," Discussion Papers 2018/10, Norwegian School of Economics, Department of Business and Management Science.
    7. Anastasia Christodoulou & Dimitrios Dalaklis & Aykut I. Ölçer & Peyman Ghaforian Masodzadeh, 2021. "Inclusion of Shipping in the EU-ETS: Assessing the Direct Costs for the Maritime Sector Using the MRV Data," Energies, MDPI, vol. 14(13), pages 1-20, June.
    8. Sheng, Dian & Li, Zhi-Chun & Fu, Xiaowen & Gillen, David, 2017. "Modeling the effects of unilateral and uniform emission regulations under shipping company and port competition," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 101(C), pages 99-114.

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    More about this item

    Keywords

    emission trading; international shipping; maritime emissions; regional emission trading; international jurisdiction for emission trading schemes;
    All these keywords.

    JEL classification:

    • L91 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Transportation: General
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy

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