Abstract
Trading in emission allowances based on an cap-and-trade system is broadly recognised as a cost efficient and environmentally effective instrument for emission reductions in the theoretical literature. However, there is considerable debate about the efficiency and effectiveness of these schemes in practices. Issues of concern are the potential impacts of market imperfections, the organisational efforts of allowance allocation and market establishment, and the position of so-called exposed sectors. Untill recently, tradable pollution permits (TPP) have recived limites attendtion in agri-environmental policy. They are rarely discussed, in contrast to environmental taxes on for example fertiliser, pesticides or nutrient surpluses. To our knowledge there is only one example of a TPP specifically for agriculture, namely the Dutch system of phosphate quota in animal production. The experiences with the Dutch quota system example are very useful in view of the recent interest of including non-point source pollution from agriculture in trading programmes that traditionally only would cover point source pollution.
| Original language | English |
|---|---|
| Title of host publication | Tradeable Permits: Policy Evaluation, Design and Reform |
| Place of Publication | Paris |
| Publisher | Organisation for Economic Co-operation and Development |
| Pages | 99-120 |
| Number of pages | 21 |
| ISBN (Print) | 92-64-1502-7 |
| Publication status | Published - 15 May 2004 |
Keywords
- environmental policy for nonpoint source pollutants
