INDEK researcher granted 5.1 million SEK for project about CO2 emissions

About the project

Man-made climate change is the most pressing challenge in our quest to reach a sustainable society and represents a massive market failure in need of policy intervention. Carbon pricing is often emphasized as one of the most important policy tools for achieving decarbonization and create a more sustainable growth path for the economy. Still, there is a paucity of comprehensive empirical evidence on whether, and if so, to what extent, carbon pricing affects firm behavior and most notably carbon dioxide (CO2) firm-level emissions. In this project, we examine the impact of the EU Emissions Trading System (EU ETS), the largest carbon pricing market in the world, on plant and firm-level emissions, performance and technical change by utilizing and expanding on a unique dataset of plant and firm level outcomes.

The grant for the joint project has been allocated to: Christian Thomann , KTH INDEK, Per Strömberg , SSE, principal investigator and Gustav Martinsson , SBS.