Policies toward transformation Sample Clauses

Policies toward transformation. ‌ Xxxx Xxxxxxxx (University College London), chaired the penultimate session of the day, on ‘Policies toward transformation’. The first presentation in this sesson was delivered by Xxxxxx Xxxxxxxxx (Potsdam Institute for Climate Impact Research), focussing on ‘strengthening the EU ETS’, and other supporting policy instrumentsm under increased EU targets for 2030. Xxxxxx outlined the model that was used to analyse the role of the EU ETS in the power sector under these conditions. A key result was that the EU ETS cap must become tigher and xxxxx rise substantially (to above €100/tCO2), to drive a strong expansion of solar PV and wind, with fossil fuel almost completely phased out. The economic impacts would be minor, with small increases in total system costs, and marginal increases of electricity prices. However, to achieve this, expections of high carobn prices must be established, principal-agent and chicken and egg problems must be overcome, workers must be trained to deliver the transition, and consumer inertia must be addressed. Various measures are available to tackle these problems. The second presentation was delivered by Xxxxxxxxxx Xxxxxxx (E3 Modelling), on ‘socioeconomic and industrial impacts of decarbonisation: the role of CBAM’. A key insight is that the total costs of the transition will be low, but the issue will be on issues of structural change. Policies must be in place to minimise the negative economic imapcts of the transition. The model used to analyse this question was described. Key otptions are effective recycling of EU ETS revneues to R&D and worker retraining, and a carbon border adjustment mechanism can prevent carbon leakage, but implementation barriers can remain. Xxxx Xxxxxx (European Commission) led the subsequent discussion. He believed the insights generated are closely alighned with questins currently only the table in the EU policy cycle. Important point that both carbon pricing and other supporting policies are needed. But, issues of equity and justice are very important when implementing such policies.