Carbon Tax and Trading Price on Power Plant with Carbon Capture and Storage under Incentive Regulation Theory

This paper investigates how the government can develop subsidies or tax policies to incent power plants to effectively carry out carbon capture to reduce carbon emissions. According to the government’s incentive model for carbon capture power plants, the regulation mechanism is developed when govern...

Full description

Saved in:
Bibliographic Details
Main Authors: Huan Zhang, Xinxin Xu, Jianli Jiang, Meimei Zhang
Format: Article
Language:English
Published: Wiley 2020-01-01
Series:Discrete Dynamics in Nature and Society
Online Access:http://dx.doi.org/10.1155/2020/8509834
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1850107451221737472
author Huan Zhang
Xinxin Xu
Jianli Jiang
Meimei Zhang
author_facet Huan Zhang
Xinxin Xu
Jianli Jiang
Meimei Zhang
author_sort Huan Zhang
collection DOAJ
description This paper investigates how the government can develop subsidies or tax policies to incent power plants to effectively carry out carbon capture to reduce carbon emissions. According to the government’s incentive model for carbon capture power plants, the regulation mechanism is developed when government controls carbon emission. When regional or national carbon emission quota is tense, significant effect can be obtained when regulators make regulations to take off low efficiency power plants. In addition, it is verified that the regulators should not blindly pursue a reduction in carbon emissions regardless of the cost. Therefore, regulators need to pay more attention to control the costs of carbon capture equipment and technology. Finally, by parametric and numerical analyses, the conditions of the power plant to maximize corporate surplus are further studied.
format Article
id doaj-art-4af1ea8e82bd4cd9adaf294e391ba9c1
institution OA Journals
issn 1026-0226
1607-887X
language English
publishDate 2020-01-01
publisher Wiley
record_format Article
series Discrete Dynamics in Nature and Society
spelling doaj-art-4af1ea8e82bd4cd9adaf294e391ba9c12025-08-20T02:38:35ZengWileyDiscrete Dynamics in Nature and Society1026-02261607-887X2020-01-01202010.1155/2020/85098348509834Carbon Tax and Trading Price on Power Plant with Carbon Capture and Storage under Incentive Regulation TheoryHuan Zhang0Xinxin Xu1Jianli Jiang2Meimei Zhang3Department of Economic Management, North China Electric Power University, Baoding 071100, ChinaDepartment of Economic Management, North China Electric Power University, Baoding 071100, ChinaDepartment of Economic Management, North China Electric Power University, Baoding 071100, ChinaDepartment of Economic Management, North China Electric Power University, Baoding 071100, ChinaThis paper investigates how the government can develop subsidies or tax policies to incent power plants to effectively carry out carbon capture to reduce carbon emissions. According to the government’s incentive model for carbon capture power plants, the regulation mechanism is developed when government controls carbon emission. When regional or national carbon emission quota is tense, significant effect can be obtained when regulators make regulations to take off low efficiency power plants. In addition, it is verified that the regulators should not blindly pursue a reduction in carbon emissions regardless of the cost. Therefore, regulators need to pay more attention to control the costs of carbon capture equipment and technology. Finally, by parametric and numerical analyses, the conditions of the power plant to maximize corporate surplus are further studied.http://dx.doi.org/10.1155/2020/8509834
spellingShingle Huan Zhang
Xinxin Xu
Jianli Jiang
Meimei Zhang
Carbon Tax and Trading Price on Power Plant with Carbon Capture and Storage under Incentive Regulation Theory
Discrete Dynamics in Nature and Society
title Carbon Tax and Trading Price on Power Plant with Carbon Capture and Storage under Incentive Regulation Theory
title_full Carbon Tax and Trading Price on Power Plant with Carbon Capture and Storage under Incentive Regulation Theory
title_fullStr Carbon Tax and Trading Price on Power Plant with Carbon Capture and Storage under Incentive Regulation Theory
title_full_unstemmed Carbon Tax and Trading Price on Power Plant with Carbon Capture and Storage under Incentive Regulation Theory
title_short Carbon Tax and Trading Price on Power Plant with Carbon Capture and Storage under Incentive Regulation Theory
title_sort carbon tax and trading price on power plant with carbon capture and storage under incentive regulation theory
url http://dx.doi.org/10.1155/2020/8509834
work_keys_str_mv AT huanzhang carbontaxandtradingpriceonpowerplantwithcarboncaptureandstorageunderincentiveregulationtheory
AT xinxinxu carbontaxandtradingpriceonpowerplantwithcarboncaptureandstorageunderincentiveregulationtheory
AT jianlijiang carbontaxandtradingpriceonpowerplantwithcarboncaptureandstorageunderincentiveregulationtheory
AT meimeizhang carbontaxandtradingpriceonpowerplantwithcarboncaptureandstorageunderincentiveregulationtheory