Yihsu Chen

TL;DR: In this article, the authors analyzed the implications of the EU ETS for the power sector, notably the impact of free allocation of CO2 emission allowances on the price of electricity and the profitability of power generation.

TL;DR: In this paper, the authors analyzed the relationship between EU emissions trading and power prices, notably the implications of free allocation of emissions allowances for the price of electricity in countries of North-western Europe.

TL;DR: In this paper, the authors used the complementarity approach to simulate the interaction of pollution permit markets with electricity markets, considering forward contracts and the operating reserve market, and the results showed that forward contracts effectively mitigate market power in PJM energy market and both simulated solutions of perfect and Cournot (oligopoly) competition are a good approximation to actual prices in 2000, except that the Cournot model yielded higher peak prices.

TL;DR: In this paper, the authors examined the short run implications of CO2 trading for power production, prices, emissions, and generator profits in northwest Europe in 2005 and compared with theoretical analyses to quantify price increases and windfall profits earned by generators.

TL;DR: Analysis of the computed solution for the Pennsylvania–New Jersey–Maryland electricity market shows that the leader can gain substantial profits by withholding allowances and driving up NOx allowance costs for rival producers.