päästökauppajärjestelmässä

Päästökauppajärjestelmässä, commonly known in English as the Emissions Trading System (ETS), is a market-based instrument designed to reduce greenhouse gas emissions in a cost-effective manner. The core principle is to set a cap on the total amount of certain greenhouse gases that can be emitted by installations covered by the system. Within this cap, companies receive or buy emission allowances, which represent the right to emit a certain amount of greenhouse gases.

If a company emits less than its allocated allowances, it can sell the surplus to other companies that have exceeded their limits. Conversely, if a company emits more than its allowances, it must purchase additional allowances from the market or face penalties. This trading mechanism creates a financial incentive for companies to reduce their emissions, as allowances become a commodity with a price. The more expensive emissions become, the greater the incentive to invest in cleaner technologies and processes.

The European Union Emissions Trading System (EU ETS) is one of the largest and most well-known examples of this policy. It covers emissions from power stations, industrial plants, and aviation within the European Economic Area. The system aims to help the EU meet its climate targets by reducing emissions from these large sources. Other countries and regions have also implemented or are developing similar emissions trading schemes. The effectiveness of the system is influenced by factors such as the stringency of the emissions cap, the scope of covered sectors and gases, and the design of the allowance allocation and trading mechanisms.