배출권의 할당과 시장지배적지위

We have experienced strong growth in the global carbon market. It is based on emission permits which have been allocated free of charge. It is possible to abuse market power with ‘hot air’. This paper aims to discuss the possibility of dominant market position and its factors. The emissions trading is one of the flexible mechanisms which have been adopted in the Kyoto Protocol. Global warming and climate change leads politicians to adopt the UNFCCC and the Kyoto Protocol to reduce anthropogenic emissions. The emissions trading is to reduce the cost. They have allocated emission permits to participants which are obliged to reduce greenhouse gases’ emission. There are some ways to allocate permits: grandfathering, benchmarking, and auctioning. European Union has used grandfathering in the EU Emissions Trading Scheme, which have allocated ‘hot air’ for Economic In Transition. Competition law requires fair and free trading in a market in which a company shall not abuse its market power. A carbon market should be regulated in the same way. To decide whether there is a dominant market position or not, the relevant market should be determined first. Then a dominant market position should be determined with market share, market access, and the size of the competitors. In a carbon market, the relevant product market encompasses emissions permits including allowances and credits. For market shares, they should consider allowances which are held by participants according to the initial allocation, business as usual emissions,and marginal abatement costs. The international climate regime will be changed and enlarged to include all the parties. Korea should be prepared for the post 2020. The emissions trading may be implemented in a way to cope the climate change in Korea. And fair and free trading should be embodied in the carbon market. It is needed to study for the competitive carbon market considering the charististics of the carbon market.