Carmen Bunzl - Universidad Pontificia Comillas

Chapter 4. Case Study: Spain 215
Moreover, reduction efforts use as a base year 2005, this being very beneficial
for countries that have reduced less than others, like Spain.
3.3.2.5 Emissions trading
Spain acts as a buyer (Figure 4 – 18), except for the Triptych plus Marginal
abatement costs approach (case C1), in which Spain would act as a seller of
emission allowances.
The implications for Spain regarding the traded emission permits, could be
anticipated from the results of the emission allowances. The Grandfathering
cases (B1, B2 and B4) lead to the largest transfer of permits. The transfer flows
are much lower under the Triptych cases (C1 and C3) and evidently the lowest
for Marginal abatement costs cases (A1 and A2).
Under the ‘EU 20% unilateral with CDM’ scenario, the total internal
reduction is substantially lower than the ‘EU 20% unilateral without scenario’,
as a large amount of cheap emission reductions from outside the EU enter the
emissions trading market. The lower permit price on the emissions trading
market also results in increased emissions being traded within the EU.
Nevertheless, the emissions trading for the different approaches and
scenarios show similar trends.
Escuela Técnica Superior de Ingeniería ICAI Carmen Bunzl Boulet Junio 2008