Environmental Protection

How does the European Trading Scheme work?
Answered by Planet Green
  • Planet Green

    Planet Green

  1. The European Trading Scheme (ETS) is a mandatory cap-and-trade program that has spread across Europe to include more than two dozen countries and more than 10,000 businesses and utilities. Though emission allowances are determined using the Kyoto Protocol and national targets, individual countries have quite a bit of freedom regarding how they trade, distribute and charge for their allocations.

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