Environment

Pre-release from full report – EUROFER – Hot Metal Benchmarking Curve

This memo provides a review of the study ‘Does the energy intensive industry obtain windfall profits through the EU ETS?’ by CE Delft. The CE Delft study attempts to use statistical methods to investigate whether the prices of products in three EU industries (iron and steel, refineries, and selected plastics) have increased as a result of the emissions costs imposed by the EU Emissions Trading Scheme.

Nera review has identified a series of serious problems with the econometric analysis undertaken for the CE Delft study, and with the interpretation of the results of the study.

The IPPC Directive and related Guidance provide a 4-step procedure to derive BAT and BAT-AELs.