Carbon markets—price of Carbon
Produced in partnership with Navraj Singh Ghaleigh of Senior Lecturer in Climate Law, University of Edinburgh
Carbon markets—price of Carbon

The following Environment guidance note Produced in partnership with Navraj Singh Ghaleigh of Senior Lecturer in Climate Law, University of Edinburgh provides comprehensive and up to date legal information covering:

  • Carbon markets—price of Carbon
  • Brexit impact
  • Carbon pricing: Background

Brexit impact

As of exit day (31 January 2020), the UK is no longer an EU Member State. However, in accordance with the Withdrawal Agreement, the UK has entered an implementation period, during which it continues to be subject to EU law. This has an impact on this content.

For further guidance, see Practice Note: Brexit—impact on environmental law and News Analysis: Brexit Bulletin—key updates, research tips and resources.

Carbon pricing: Background

Carbon pricing has been the most prominent instrument in efforts to address climate change. At the international level the Kyoto Protocol and its flexibility mechanisms (the Clean Development Mechanisms (CDM), Joint Implementation, and International Emissions Trading: arts 12, 6, 17 respectively) provided countries with commitments under the Kyoto Protocol with market-based means to limit or reduce greenhouse gas emissions, in addition to national measures. In turn the Kyoto Protocol inspired the European Union’s Emission Trading System established by Directive 2003/87/EC of the European Parliament and of the Council of 13 October 2003 establishing a scheme for greenhouse gas emission allowance trading within the Community and amending Council Directive 96/61/EC (EU ETS Directive), which has since been followed by a wide variety of carbon pricing schemes, whether established, in pilot form, or prospective, see (Practice Note: Carbon markets—international emissions trading schemes).

Each does much the same thing—create a