EU Allowance

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Environmental policy - carbon pricing - European Union (EU) - Emission Trading Scheme.

(EUA).

In carbon pricing, a European Union Allowance is the right to emit one tonne of carbon dioxide (CO2), or its equivalent in other greenhouse gases.

At the end of each compliance cycle, all participants in the EU Emission Trading Scheme must surrender enough EUAs to cover all of their emissions in that cycle.


See also