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Pass-through rate emisních povolenek na trhu elektrické energie v ČR 2009-10 / Pass-through rate of Emission Allowances In Energy Market of the Czech Republic in 2009 and 2010

Introduction of emission trading scheme of tradable permits become a great phenomena among energy business agents. Each emitter of CO2 is granted or allocated definite amount of tradable permitts. These allow him to produce one tonne of CO2 or to sell them on the spot or forvard market. Since these tradable permits became valuable (behave as a commercial instrument) they carry two possible usage. To be consumed when producing MWh of energy of to be sold on the market. These alternative usage are according to economy theory opportunity costs, therefore should be considered as the implicit costs and implemented into the price setting. When operating on competitive market, this cost increase should be fully passed on to the price. In this paper we analyze this pass-through of the permits costs. By using regression analysis we try to estimate the pass-through rate of the permits costs in power energy market. We analyze the spot and futures market in the Czech Republic (PXE) and in Germany (EEX). Estimated pass through rate ranges between 0,65 and 1,2. The results emphasize that the energy market is quite competitive, because the costs are more or less fully passed on consumers. One interesting feature arose from results. The pass-through rate greater than one is sort of economically counter-intuitive and should be studied in more detail in some future work.

Identiferoai:union.ndltd.org:nusl.cz/oai:invenio.nusl.cz:71787
Date January 2010
CreatorsRázek, Michal
ContributorsBartoň, Petr, Koubek, Ivo
PublisherVysoká škola ekonomická v Praze
Source SetsCzech ETDs
LanguageCzech
Detected LanguageEnglish
Typeinfo:eu-repo/semantics/masterThesis
Rightsinfo:eu-repo/semantics/restrictedAccess

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