<p>The aim of the thesis is to analyze the design of the present climate and energy policies. The main focus is on how the policy instruments affect the Swedish stakeholders who are included in the European Union’s Emission Trading Scheme (EU-ETS). In-depth interviews have been carried out with representatives from the basic industry, energy utilities as well as industrial and green organizations. The purpose is to illustrate have how these stakeholders view the current policy framework and what amendments that they view as necessary.</p><p>Suggestions to the Government are given regarding the design of national policies and policy instruments to provide for an improved policy framework. The information and synthesis have furthermore been collected through extensive literature studies as well as participating at conferences and seminars.</p><p>The thesis is written as a monograph in order to address a larger group of readers interested in the transition of energy systems towards sustainability as well as policy makers and Swedish stakeholders. The common understanding that the global energy systems have to undergo a transition to renewables and higher energy efficiency due to the earth’s finite sources of fossil fuels and uranium presents large challenges for policy makers and business sectors as well as the society in general.</p><p>Global greenhouse gas (GHG) emissions have to be drastically reduced and the work to achieve this has started through international negotiations such as the Kyoto Protocol. As the present commitment levels are low, an important issue in a short-term perspective is to develop a more comprehensive and efficient system with a much wider participation and more stringent emission targets.</p><p>In order to achieve current national policy goals and international GHG emission commitments the Swedish Government utilizes a number of policy instruments that are either nationally self-assumed or called for by international agreements or the European Union. The Swedish stakeholders that are included in the EU-ETS face a broad policy framework that has a large impact on their daily operations and future investment strategies. It is imperative for the policymakers, i.e. the Government, to act in accordance with the long-term perspective that the climate change issue and the transition of the energy system require. It is likewise important that any actions are in accordance with the operational and investment climate that the business sector faces. It is argued that these aspects are not fully considered as the success of the next national budget or term of public office seems to overshadow these issues. A long-term perspective is required to provide the business sector with stable and reliable incentives. This is needed to provide the economic conditions under which the businesses can realize investments that will result in emission reductions. Short-term policies reinforce the view of environmental investments as a form of risk investments. This negatively affects the possibility of the policy instruments to effectively achieve established policy goals.</p><p>Paying attention to these requirements is however not a simple task for policy makers as it will require agreements between the political parties. This demonstrates the main political difficulty with climate change – the requirement of a long-term and full commitment by all state authorities. It should be noted that the thesis does not attempt to describe the Swedish policy makers as neglecting the urgency of acting to mitigate climate change. The national agenda is far to advanced from an international perspective for such statements. The thesis however pinpoints some important issues highlighted by stakeholders, within the business sector and other organizations, who are concerned with the present climate and energy policy framework.</p><p>Some of the findings are as follows:</p><p>• Reducing GHG emissions in order to combat climate change must include a long-term perspective</p><p>• The design of policy instruments should consequently be long-term to increase the support for investments in GHG emission reducing technologies</p><p>• The design of policies that promote low GHG production alternatives within the energy utilities should be improved</p><p>• The large potential for reduced GHG emission available through fuel switching and energy efficiency improvements in the Swedish basic industry should be promoted by amended policies</p><p>• Reformulate or abandon the national GHG emissions target goal with the current formulation</p><p>• Strive for an emission rights allocation system that is as transparent, fair and predictable as possible</p><p>• The policy framework should aim for a high level of stability through interaction with the affected stakeholders</p><p>• These factors are inherently important for the overall efficiency of the policy framework</p>

The aim of the thesis is to analyze the design of the present climate and energy policies. The main focus is on how the policy instruments affect the Swedish stakeholders who are included in the European Union’s Emission Trading Scheme (EU-ETS). In-depth interviews have been carried out with representatives from the basic industry, energy utilities as well as industrial and green organizations. The purpose is to illustrate have how these stakeholders view the current policy framework and what amendments that they view as necessary. Suggestions to the Government are given regarding the design of national policies and policy instruments to provide for an improved policy framework. The information and synthesis have furthermore been collected through extensive literature studies as well as participating at conferences and seminars. The thesis is written as a monograph in order to address a larger group of readers interested in the transition of energy systems towards sustainability as well as policy makers and Swedish stakeholders. The common understanding that the global energy systems have to undergo a transition to renewables and higher energy efficiency due to the earth’s finite sources of fossil fuels and uranium presents large challenges for policy makers and business sectors as well as the society in general. Global greenhouse gas (GHG) emissions have to be drastically reduced and the work to achieve this has started through international negotiations such as the Kyoto Protocol. As the present commitment levels are low, an important issue in a short-term perspective is to develop a more comprehensive and efficient system with a much wider participation and more stringent emission targets. In order to achieve current national policy goals and international GHG emission commitments the Swedish Government utilizes a number of policy instruments that are either nationally self-assumed or called for by international agreements or the European Union. The Swedish stakeholders that are included in the EU-ETS face a broad policy framework that has a large impact on their daily operations and future investment strategies. It is imperative for the policymakers, i.e. the Government, to act in accordance with the long-term perspective that the climate change issue and the transition of the energy system require. It is likewise important that any actions are in accordance with the operational and investment climate that the business sector faces. It is argued that these aspects are not fully considered as the success of the next national budget or term of public office seems to overshadow these issues. A long-term perspective is required to provide the business sector with stable and reliable incentives. This is needed to provide the economic conditions under which the businesses can realize investments that will result in emission reductions. Short-term policies reinforce the view of environmental investments as a form of risk investments. This negatively affects the possibility of the policy instruments to effectively achieve established policy goals. Paying attention to these requirements is however not a simple task for policy makers as it will require agreements between the political parties. This demonstrates the main political difficulty with climate change – the requirement of a long-term and full commitment by all state authorities. It should be noted that the thesis does not attempt to describe the Swedish policy makers as neglecting the urgency of acting to mitigate climate change. The national agenda is far to advanced from an international perspective for such statements. The thesis however pinpoints some important issues highlighted by stakeholders, within the business sector and other organizations, who are concerned with the present climate and energy policy framework. Some of the findings are as follows: • Reducing GHG emissions in order to combat climate change must include a long-term perspective • The design of policy instruments should consequently be long-term to increase the support for investments in GHG emission reducing technologies • The design of policies that promote low GHG production alternatives within the energy utilities should be improved • The large potential for reduced GHG emission available through fuel switching and energy efficiency improvements in the Swedish basic industry should be promoted by amended policies • Reformulate or abandon the national GHG emissions target goal with the current formulation • Strive for an emission rights allocation system that is as transparent, fair and predictable as possible • The policy framework should aim for a high level of stability through interaction with the affected stakeholders • These factors are inherently important for the overall efficiency of the policy framework

La thèse se concentre sur le secteur non-électrique agrégé couvert par le SCEQE. La contribution du secteur non-électrique aux variations des émissions de CO2 pendant les deux premières phases du marché (2005-2012), tant du point de vue de la demande finale que de celui de l’offre, est comparée à celle du secteur électrique. Les implications du mode d’allocation gratuite de quotas au secteur non-électrique durant la troisième phase du marché (2013-2020) sont examinées, ce qui constitue l’une des premières évaluations approfondies des benchmarks institués en Phase 3. Il est montré que, tant du point de vue de la demande finale que de celui de l’offre, le secteur non-électrique, du fait de ses interdépendances et de son niveau d’activité, a davantage contribué aux variations des émissions de CO2 que ne l’a fait le secteur électrique, au cours la période 2005-2012. Il est également montré que, en dépit de ses effets redistributifs, le mode d’allocation gratuite par benchmarks tel qu’il a été défini, demeure imparfait et n’est ainsi pas à la hauteur du rôle central du secteur non-électrique dans le fonctionnement du marché. / The thesis focuses on the aggregated non-power sector covered under the EU ETS. First, the non-power sector contribution to CO2 emissions changes in the first two phases of the Scheme (2005-2012), both from a final demand perspective and a supply perspective, is compared to that of the power sector at first. Then, the implications of the non-power sector specific free allocation methodology in the third phase of the Scheme (2013-2020) are scrutinized, which constitutes one of the first thorough assessment of Phase 3 benchmarking. It is showed that both from a final demand perspective and a supply perspective, the non-power sector, through its interrelated character and its activity levels, has contributed to changes in EU ETS CO2 emissions more than the power sector did, over the 2005-2012 period. It is also showed that, despite its free allocation redistribution effects, benchmark-based Phase 3 free allocation remains flawed and may benefit from further improvements to be up to the central role of the non-power sector in the EU ETS dynamics.

This thesis deals with the EU energy policy and its impact on the energy sector of the Czech Republic. The main objective is to analyze the implemantation and impact of the EU climate-energy package on the czech energy sector. The first part is devoted to describing the current state of the energy sector in the country.The second part is the theory of externalities due to the fact that carbon dioxid emissions are externalities, which the EU is trying tu reduce through its climate-energy measures. The third part delas with EU energy policy and the fourth one with its applications and implications in the Czech Republic.

Cette thèse se concentre sur le lien entre la politique sur le changement climatique, le commerce international et la compétitivité pour les industries exposées au commerce à forte intensité énergétique (EITE). En particulier, elle explore la question: la politique climatique peut-elle être conçue de telle sorte que les décideurs politiques puissent dissiper l'inquiétude que toute tentative sérieuse de décarbonation des secteurs EITE conduise à des résultats pervers de délocalisation de la production et des émissions EITE (les « fuites de carbone »)? La thèse aborde cette question en s'appuyant notamment sur les dix années d'expérience de l'UE en matière de tarification du carbone en tant qu'instrument dominant de décarbonation des secteurs EITEs. Ceci est fait en deux étapes. Premièrement, en évaluant empiriquement les solutions politiques existantes de l'UE et en se demandant si les politiques répondent finalement aux critères fondamentaux d'efficacité environnementale, d'efficacité économique et de cohérence des politiques par rapport aux objectifs à long terme de l'atténuation climatique de l'UE. Un certain nombre de lacunes et d'incohérences importantes dans les politiques sont identifiées de cette manière, elles-mêmes intéressantes et pertinentes par rapport aux paramètres politiques actuels. Deuxièmement, cette thèse prend du recul et remet en cause l'idée que le cadre politique global de l'UE- en particulier le rôle dominant du marché du carbone EU ETS - est suffisant pour décarboner ces secteurs à plus long terme. / This thesis focuses on the nexus between climate change policy, international trade and competitiveness for energy-intensive trade-exposed industries (EITEs). In particular, it explores the question: Can climate policy be designed such that policy makers can do away with the concern that any serious attempt to decarbonise EITE sectors will lead to perverse results of offshoring of EITE production and emissions – a phenomenon known as “carbon leakage”? The thesis approaches this question by drawingin particular on the 10 years of experience of the EU with carbon pricing as the dominant tool for decarbonising EITE sectors. This is done in two steps. Firstly, by empirically evaluating existing EU policy solutions and asking whether the policies ultimately meet basic criteria for environmental effectiveness, economic efficiency, and policy coherence with respect to the long-term goals of EU climate mitigation. A number of important policy gaps and incoherencies are identified in this way that are of themselves interesting and of relevant to current policy settings. Secondly, this thesis takes a step back and questions and ultimately challenges the idea that the overarching policy framework of the EU– in particular the dominant role of the EU ETS carbon market – is sufficient for decarbonising these sectors in the longer term.

In this diploma thesis about the trading of permits CO2 to focus on the issue of release of carbon dioxide in a European context and its control through a system of tradable CO2 - EU ETS. I focus on the first two trading period of the EU ETS, in terms of allocated permits, price trends, and number of permits traded in the two periods in selected EU countries and the Czech Republic. The aim is to determine how appears a system of tradable CO2 permits in selected EU countries and the Czech Republic in the context of fulfillment obligations to reduce CO2 emissions under the Kyoto Protocol. The work compare the situation in the Czech Republic with selected EU countries in selected indicators of specific emissions trading and CO2. The work seeks to determine to what extent the ETS helps in improving the situation of individual countries in absolute production of CO2. The first chapter introduces the issue of climate change. It explains what are greenhouse gases, greenhouse effect and how this effect works. It acquaints readers with one greenhouse gas and that is carbon dioxide. Then the work explains how climate change takes place and there is also described climate history of the Earth, which is necessary to closer understanding of the issue. Then follows the description of international organizations, which deal with climate protection and have international influence. The second chapter focuses on ways to solution climate change. The bigger attention is devoted to the trading with carbon dioxide, than the work explaines the functioning of the European ETS, its development and global influence on the production and reduction of CO2. Than is the chapter devoted to notes and obligations that are promised in the Kyoto Protocol and closer specified the position of the Czech Republic in this Convention. In the third chapter compares the work selected countries of the European Union, which are the largest issuers of the Union's carbon dioxide. If it is possible to compare states in terms of their commitments and reduce CO2 implementation of these commitments. It appears that a large part of the EU Member States fulfill their obligations only partially, and some states it does not meet at all. For some selected countries we can see even an absolute increase in these emissions. Production of CO2 emissions is expressed in the comparison of selected countries in various indicators such as a production of CO2 per GDP or per inhabitant or per hectare of forest. It seems that not all states have aligned their emissions, which are important for sustainable development in that states. The last part compares selected countries in terms of allocated permits in the first and second ETS trading period and describes the evolution of both periods. Finally we performed a detailed analysis of price trends of permits especially in the first ETS period.

The interaction between competition and environmental policy is quite complex, particularly before state aids, whose control level reflects the emerging opportunity cost between both policies. In order to illustrate the potential efficiency losses or the imbalances on level playing field of competition, this article analyzes the legal, economic and political dimensions of the European Union Emissions Trading System (EU ETS) free allocation of allowances mechanism for the power generation sector. / La interacción entre la política de competencia y la medio ambientales bastante compleja, especialmente en el caso de las ayudas estatales, cuyo nivel de control refleja el coste de oportunidad emergente entre ambas. Con el fin de ilustrar las potenciales pérdidas de eficiencia o los desequilibrios en la equidad de condiciones de competencia, este artículo analiza las dimensiones legal, económica y política del mecanismo de asignación gratuita de permisos de emisión del Régimen Comunitario de Comercio de Derechos de Emisión (RCCDE) de la Unión Europea para el sector de la generación eléctrica.

In order to cope with the changing climate, there will be a need for mitigating transformations of a scope, speed and magnitude that are unprecedented in human history, but the consensus- and market-driven approach is inhibiting this transformation. This thesis reviews how various discourses and debates on energy policy within Swedish governments have changed between 1974 and 2017, through the lenses of energy security and depoliticisation, and how a better understanding of these debates and discourses may inform the impending large-scale transformation required to meet the challenge of climate change. Some of the main findings are that (1) nuclear power and the result of the nuclear power referendum have been decisive for energy policy, and that nuclear power will remain of vital importance in the twenty-first century. (2) Energy has become increasingly depoliticised since the 1980s, ensuing the referendum on nuclear power. (3) The discourse on energy security has shifted towards market-based solutions: in the 2000s, climate change is to be mitigated through consumer- oriented solutions such as green certificates. Through privatisation, it essentially has become up to the consumer, deciding whether to participate in mitigation of climate change.

Cette thèse porte sur les relations entre le Système Communautaire d'Échange de Quotas d'Émission (SCEQE) et les marchés de l'énergie. Une attention particulière est donnée au changement de combustible, le principal moyen de réduire les émissions de CO2 à court-terme dans le SCEQE. Cela consiste à substituer des centrales gaz aux centrales charbon dans la production d'électricité en dehors des heures de pointes. Ainsi, les centrales charbon fonctionnent sur de plus courtes périodes, ce qui permet de réduire les émissions de CO2. Le Chapitre 1 décrit différentes approches expliquant les relations entre les marchés de l'énergie et du CO2. Une revue de littérature est ensuite présentée. Nous donnons une description détaillée du processus de changement de combustible. En particulier, l'influence de l'efficacité des centrales est analysée. Le Chapitre 2 fournit une étude théorique de l'impact des différences d'efficacité parmi les centrales gaz pour le changement de combustible. Le principal résultat montre que la sensibilité du prix du CO2 vis-à-vis du prix du gaz dépend du niveau des émissions de CO2.Le Chapitre 3 examine les interactions entre les prix de l'électricité, du charbon, du gaz et du CO2 dans une étude empirique. Les résultats montrent une qu'il existe une relation significative entre le gaz et le CO2 à l'équilibre de long-terme. Le Chapitre 4 étudie le processus de découverte des informations qui influencent laformation des prix du gaz et du CO2. La forte relation entre le gaz et le CO2 indique que leurs prix sont affectés par les mêmes informations. Nous montrons dans une étude empirique que le marché du CO2 domine le processus de découverte de ces informations. / This thesis investigates relationships between the European Union Emission Trading Scheme (EU ETS) and energy markets. A special focus is given to fuel switching, the main shortterm abatement measure within the EU ETS. This consists in substituting Combined Cycle Gas Turbines (CCGTs) for hard-coal plants in off-peak power generation. Thereby coal plants run for shorter periods, which allows power producers to reduce their CO2 emissions. In Chapter 1, we outline different approaches explaining relationships between carbon and energy markets. We also review the literature relating to these issues. Next, we further describe the fuel switching process and, in particular, we analyze the influence of energy and environmental efficiency of thermal power plants (coal and gas) on fuel switching. In Chapter 2, we provide a theoretical analysis that shows how differences in the efficiency of CCGTs can rule interactions between gas and carbon prices. The main result shows that the allowance price becomes more sensitive to the gas price when the level of CO2 emissions increases. In Chapter 3, we examine interactions between carbon, coal, gas and electricity prices in an empirical study. Among the main results, we find that there is a significant link between carbon and gas prices in the long-run equilibrium.In Chapter 4, we analyze the cross-market price discovery process between gas and CO2 markets. We identified in previous chapters that there is a robust significant link between gas and CO2 markets. They are linked commodities, and their prices are affected by the same information. In an empirical analysis, we find that the carbon market is the leader in cross-market price discovery process.

Hlavným cieľom diplomovej práce je kriticky analyzovať politiku Európskej Únie a jej dopad na činnosť nadnárodnej spoločnosti E.ON. Keďže politika Európskej Únie má za cieľ zefektívniť spôsob podnikania vykonávaného v rámci Európskej Únie a okrem iného má predstavovať garanciu zodpovednosti jak spotrebiteľov, tak dodávateľov operujúcich na trhu, tak zámer práce bol definovaný na analýzu politického vplyvu rozhodnutí Európskej Únie a ich dopad na následné strategické rozhodnutia firmy. Analytická čas práce je preto zameraná na analýzu Európskej energetickej politiky s kladením dôrazu na profil spoločnosti E.ON, Európsku energetickú stratégiu, obnoviteľné zdroje, jadrovú energetiku, bezpečnosť energetickej dodávky a na Európsky systém obchodovania s emisiami.