The Reform of EU Emissions Trading Scheme Phase III.

The EU ETS is now in its third phase starting from 2013. The revised directive approved in 2009 reforms the structural design of the EU ETS for Phase III, which is significantly different from Phase I and Phase II. The major change is the abolishment of the previous "national allocation plan", which is replaced by a single, EU-wide cap and more auctioning. Besides, other changes are as follows: expanding and streamlining the scope, limiting on the use of offsets and reinforcing the power at EU level. In conclusion, EU ETS is far more harmonized than before because of this reform which can provide reference for China's carbon emissions trading pilots. [ABSTRACT FROM AUTHOR]