Free allocation of EU ETS emission allowances to installations for electricity production from a State aid law perspective

Marcin Stoczkiewicz
2012 Environmental Economics  
According to in-depth examination of the free allocation of emission allowances which could be granted by the European Union Member State to electricity undertakings under the derogation established in Article 10c of Directive 2003/87/EC, this transitional free allocation will constitute a State aid measure in the meaning of Article 107(1) of the Treaty of Functioning of European Union. The recently adopted European Commission guidelines on certain State aid measures in the context of the
more » ... ontext of the greenhouse gas emission allowance trading scheme post-2012 established rather general conditions and lowered the level of protection of the environment and the competition on the electricity market.
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