Towards the brave new world of carbon trading

The UK has got ahead of the competition by publishing a framework for its greenhouse gas emission trading scheme, which opens in earnest next January.1 Further concessions have been made to encourage business participation - with some likely to raise eyebrows about the impact on the sectoral climate change agreements and the relationship between trading and IPPC. But companies may be nervous about entering the scheme following the release of a draft EU Directive on emissions trading which cuts across key features of the UK scheme.

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