Simulation of greenhouse gas cap-and-trade systems with ENERGY 2020

Abstract

Greenhouse gas cap-and-trade systems have been developed and proposed as a partial solution to climate change due to greenhouse gas emissions. ENERGY 2020 has been used to simulate cap-and-trade systems for 15 years. This chapter provides an overview of the ENERGY 2020 simulation model, describes using ENERGY 2020 to simulate various greenhouse gas cap-and-trade systems, and reflects on the lessons learned in the modeling process. ENERGY 2020 is an integrated, multi-region, energy model that has been actively used by state, provincial, and national governments as well as private energy companies since the early 1980s to conduct energy and emission related policy analysis and forecasting. Beginning in 1998, ENERGY 2020 has also been used to analyze several different cap-and-trade systems in the US and Canada. © Springer Science+Business Media New York 2013.