Abstract
To achieve China’s determined contributions by 2030 and establish nationwide carbon emission trading system (ETS) which main participants are sectors, appropriated carbon emission allowance (CEA) allocation among sectors is crucial. In CEA distribution, fairness is primary; and sectoral efficiency is another significant factor. Nevertheless, considering fairness and efficiency while covering various sectors is a challengeable issue. Hence, combined with a new tow-objective data envelopment analysis (DEA) model and genetic algorithm (GA), a novel allocation framework is proposed, i.e., dual level allocation scheme incorporated with GA (DLA-GA). On the basis of evaluating the CO2 emission performance of various sectors in China, the corresponding allocation steps are put forward. Through the value convergence and value repetition tests, the stability and feasibility of DLA-GA are justified. Then, the results of the DLA-GA and grandfathering principle are compared. The research shows that: (1) under the same constraint conditions, the emission right of CO2 is allocated with DLA-GA, which leads to lower cost and higher overall sectoral performance; (2) through utilizing the En-Lorenz and En-Gini coefficients, it has found that higher allocation equity among sectors emerges via DLA-GA;(3) the key reduction sectors have been revealed through emission value estimation. This work may contribute to enrich the methodologies in CEA allocation at different dimensions, and provide some references for policymaker regarding the achievement of 2030 carbon reduction target.
Similar content being viewed by others
Data availability
Not applicable.
References
Azamathulla HM, Wu FC, Ab Ghani A, Narulkar SM, Zakaria NA, Chang CK (2008) Comparison between genetic algorithm and linear programming approach for real time operation. J Hydro-Environ Res 2:172–181. https://doi.org/10.1016/j.jher.2008.10.001
Beasley J (2003) Allocating fixed costs and resources via data envelopment analysis. Eur J Oper Res 147:198–216. https://doi.org/10.1016/S0377-2217(02)00244-8
China Academy of Engineering (2011) Research on the medium- and long-term (2030, 2050) development strategy of China’s energy. Sci Press
Cong RG, Wei YM (2010) Potential impact of (CET) carbon emissions trading on China’s power sector: a perspective from different allowance allocation options. Energy. 35:3921–3931. https://doi.org/10.1016/j.energy.2010.06.013
Cui X, Zhao T, Wang J (2021) Allocation of carbon emission quotas in China’s provincial power sector based on entropy method and ZSG-DEA-dea. J Clean Prod 284:124683. https://doi.org/10.1016/j.jclepro.2020.124683
Damon M, Cole DH, Ostrom E, Sterner T (2019) Grandfathering: environmental uses and impacts. Rev Environ Econ Policy 13:23–42. https://doi.org/10.1093/reep/rey017
Dhanachandra N, Manglem K, Chanu YJ (2015) Image segmentation using k-means clustering algorithm and subtractive clustering algorithm. Proc Comput Sci 54:764–771. https://doi.org/10.1016/j.procs.2015.06.090
Dong F, Han Y, Dai Y, Long R, Yu B (2018a) How carbon emission quotas can be allocated fairly and efficiently among different industrial sectors: the case of Chinese industry. Pol J Environ Stud 27:2883–2891. https://doi.org/10.15244/pjoes/81210
Dong F, Long R, Yu B, Wang Y, Li J, Wang Y, Dai Y, Yang Q, Chen H (2018b) How can China allocate CO2 reduction targets at the provincial level considering both equity and efficiency? Evidence from its Copenhagen Accord pledge. Resour Conserv Recycl 130:31–43. https://doi.org/10.1016/j.resconrec.2017.11.011
Fang K, Zhang Q, Long Y, Yoshida Y, Sun L, Zhang H, Dou Y, Li S (2019) How can China achieve its intended nationally determined contributions by 2030? A multi-criteria allocation of China’s carbon emission allowance. Appl Energy 241:380–389. https://doi.org/10.1016/j.apenergy.2019.03.055
Feng Z, Tang W, Niu Z, Wu Q (2018)Bi-level allocation of carbon emission permits based on clustering analysis and weighted voting: a case study in China. Appl Energy 228:1122–1135. https://doi.org/10.1016/j.apenergy.2018.07.005
Gao Y (2016) China’s response to climate change issues after Paris Climate Change Conference. Adv Clim Chang Res 7:235–240. https://doi.org/10.1016/j.accre.2016.10.001
Habib A, Sou C (2018) Analytical review on the trends and present situation of large-scale sustainable energy storage technology. Eur J Sust Dev Res 2:1–11. https://doi.org/10.20897/ejosdr/86200
Haines A, Kovats R, Campbell-Lendrum D, Corvalan C (2006) Climate change and human health: impacts, vulnerability, and mitigation. Lancet. 367:2101–2109. https://doi.org/10.1016/S0140-6736(06)68933-2
Han R, Yu BY, Tang BJ, Liao H, Wei YM (2017) Carbon emissions quotas in the Chinese road transport sector: a carbon trading perspective. Energy Policy 106:298–309. https://doi.org/10.1016/j.enpol.2017.03.071
He W, Zhang B (2020) A comparative analysis of Chinese provincial carbon dioxide emissions allowances allocation schemes in 2030: an egalitarian perspective. Sci Total Environ 765:142705. https://doi.org/10.1016/j.scitotenv.2020.142705
Holland JH (1992) Adaptation in nature and artificial systems: an introductory analysis with applications to biology, control and artificial intelligence. MIT Press, Massachusetts
Huang H, Chen W (2019) Modelling deep decarbonization of industrial energy consumption under 2-degree target: comparing China, India and Western Europe. Appl Energy 238:1563–1572
ICNEA (2017) http://www.stats.gov.cn/tjsj/tjbz/hyflbz/201710/t20171012_1541679.html [access on October 10th 2019]
IPCC (2006) https://www.ipcc-nggip.iges.or.jp/public/2006gl/ [access on May 14th 2020]
Kong Y, Zhao T, Yuan R, Chen C (2019) Allocation of carbon emission quotas in chinese provinces based on equality and efficiency principles. J Clean Prod 211:222–232. https://doi.org/10.1016/j.jclepro.2018.11.178
Kwedlo W (2011) A clustering method combining differential evolution with the k-means algorithm. Pattern Recogn Lett 32:1613–1621. https://doi.org/10.1016/j.patrec.2011.05.010
Li R, Tang BJ (2016) Initial carbon quota allocation methods of power sectors: a China case study. Nat Hazards 84:1075–1089. https://doi.org/10.1007/s11069-016-2473-z
Li F, Emrouznejad A, Yang GL, Li Y (2020) Carbon emission abatement quota allocation in Chinese manufacturing industries: an integrated cooperative game data envelopment analysis approach. J Oper Res Soc 71:1259–1288. https://doi.org/10.1080/01605682.2019.1609892
Liao Z, Zhu X, Shi J (2015) Case study on initial allocation of shanghai carbon emission trading based on shapley value. J Clean Prod 103:338–344. https://doi.org/10.1016/j.jclepro.2014.06.045
Lin B, Tan R (2017) Sustainable development of China’s energy intensive industries: from the aspect of carbon dioxide emissions reduction. Renew Sust Energ Rev 77:386–394. https://doi.org/10.1016/j.rser.2017.04.042
Liu Y, Tan XJ, Yu Y, Qi SZ (2017) Assessment of impacts of Hubei pilot emission trading schemes in China–aCGE-analysis using TermCO2 model. Appl Energy 189:762–769. https://doi.org/10.1016/j.apenergy.2016.05.085
Luo GL, Li YL, Tang WJ, Wei X (2016) Wind curtailment of China’s wind power operation: evolution, causes and solutions. Renew Sust Energ Rev 53:1190–1201. https://doi.org/10.1016/j.rser.2015.09.075
Ma G, Li X, Zheng J (2020) Efficiency and equity in regional coal de-capacity allocation in China: a multiple objective programming model based on gini coefficient and data envelopment analysis. Res Policy 66:1–14. https://doi.org/10.1016/j.resourpol.2020.101621
Mao M, Chirwa EC (2006) Application of grey model GM(1,1) to vehicle fatality risk estimation. Technol Forecast Soc Chang 73:588–605. https://doi.org/10.1016/j.techfore.2004.08.004
Marín Celestino AE, Martínez Cruz DA, Otazo Sánchez EM, Gavi Reyes F, Vásquez Soto D (2018) Groundwater quality assessment: an improved approach to k-means clustering, principal component analysis and spatial analysis: a case study. Water 10:437. https://doi.org/10.3390/w10040437
Marklund PO, Samakovlis E (2007) What is driving the eu burden-sharing agreement: efficiency or equity? J Environ Manag 85:317–329. https://doi.org/10.1016/j.jenvman.2006.09.017
National Bureau of Statistics, National Data (2020)https://data.stats.gov.cn/
National Energy Administration (2020) http://www.nea.gov.cn/2020-02/28/c_138827923.htm [access on Novemeber 17th 2020]
Pan X, Teng F, Ha Y, Wang G (2014) Equitable access to sustainable development: based on the comparative study of carbon emission rights allocation schemes. Appl Energy 130:632–640. https://doi.org/10.1016/j.apenergy.2014.03.072
Qin Q, Liu Y, Li X, Li H (2017) A multi-criteria decision analysis model for carbon emission quota allocation in China’s east coastal areas: efficiency and equity. J Clean Prod 168:410–419. https://doi.org/10.1016/j.jclepro.2017.08.220
Qiu R, Xu J, Zeng Z (2017) Carbon emission allowance allocation with a mixed mechanism in air passenger transport. J Environ Manag 200:204–216. https://doi.org/10.1016/j.jenvman.2017.05.036
Ringius L, Torvanger A, Underdal A (2002) Burden sharing and fairness principles in international climate policy. Int Environ Agreements 2:1–22. https://doi.org/10.1023/A:1015041613785
Sadegheih A (2011) Optimal design methodologies under the carbon emission trading program using MIP, GA, SA, and TS. Renew Sust Energ Rev 15:504–513. https://doi.org/10.1016/j.rser.2010.07.035
Tang BJ, Hu YJ, Yang Y (2021) The initial allocation of carbon emission quotas in china based on the industry perspective. Emerg Mark Financ Trade 57:931–948. https://doi.org/10.1080/1540496X.2019.1645006
Troldborg M, Heslop S, Hough RL (2014) Assessing the sustainability of renewable energy technologies using multi-criteria analysis: suitability of approach for national-scale assessments and associated uncertainties. Renew Sust Energ Rev 39:1173–1184. https://doi.org/10.1016/j.rser.2014.07.160
Wang K, Li M (2013)Dea-based carbon emission allowance allocation modeling and application. J Beijing Institut Technol 15:7–13+20 (in Chinese)
Wang JJ, Jing YY, Zhang CF, Zhao JH (2009) Review on multi-criteria decision analysis aid in sustainable energy decision-making. Renew Sust Energ Rev 13:2263–2278. https://doi.org/10.1016/j.rser.2009.06.021
Wang K, Zhang X, Wei YM, Yu S (2013) Regional allocation of CO2 emissions allowance over provinces in china by 2020. Energy Policy 54:214–229. https://doi.org/10.1016/j.enpol.2012.11.030
Wang HH, Liu HC, He XJ, Zeng WH (2016) Allocation of carbon emissions right based on the intergenerational equity. China. Environ Sci 36:1895–1904
Wang L, Chen W, Zhang H, Ma D (2017) Dynamic equity carbon permit allocation scheme to limit global warming to two degrees. Mitig Adapt Strat Gl 22:609–628. https://doi.org/10.1007/s11027-015-9690-8
Wang Y, Li M, Wang L, Wang H, Zeng M, Zeng B, Qiu F, Sun C (2020) Can remotely delivered electricity really alleviate smog? An assessment of China’s use of ultra-high voltage transmission for air pollution prevention and control. J Clean Prod 242:1–14. https://doi.org/10.1016/j.jclepro.2019.118430
Wardlaw R, Bhaktikul K (2004) Comparison of genetic algorithm and linear programming approaches for lateral canal scheduling. J Irrig Drainage Eng-ASCE 130:311–317. https://doi.org/10.1061/(ASCE)0733-9437(2004)130:4(311)
Wihartiko F, Buono A, Silalahi B (2017) Integer programming model for optimizing bus timetable using genetic algorithm. In IOP Conf Series: Materials Science and Engineering 166:1–10
Wu J, Fan Y, Xia Y (2016) The economic effects of initial quota allocations on carbon emissions trading in China. Energy J 37:129–151
Xi H, Li MJ, Xu C, He YL (2013) Parametric optimization of regenerative organic rankine cycle (ORC) for low grade waste heat recovery using genetic algorithm. Energy 58:473–482. https://doi.org/10.1016/j.energy.2013.06.039
Xie NM, Liu SF (2009) Discrete grey forecasting model and its optimization. Appl Math Model 33:1173–1186. https://doi.org/10.1016/j.apm.2008.01.011
Yang J, Wang J, Zhang ZY (2012)Inter-provincial discrepancy and abatement target achievement in carbon emissions: a study on carbon Lorenz curve. Acta Sci Circumst 8:2016–2023
Yang B, Liu C, Su Y, Jing X (2017) The allocation of carbon intensity reduction target by 2020 among industrial sectors in China. Sustainability 9:148. https://doi.org/10.3390/su9010148
Yao C, Chen H, Yu J, Li J (2007) Application of distributed genetic algorithm based on migration strategy in image segmentation. In Third International Conference on Natural Computation 4:218–222. https://doi.org/10.1109/ICNC.2007.250
Yao L, Yang B, Cui H, Zhuang J, Ye J, Xue J (2016) Challenges and progresses of energy storage technology and its application in power systems. J Mod Power Syst Clean Energy 4:519–528. https://doi.org/10.1007/s40565-016-0248-x
Yi WJ, Zou LL, Guo J, Wang K, Wei YM (2011) How can China reach its CO2 intensity reduction targets by 2020? A regional allocation based on equity and development. Energy Policy 39:2407–2415. https://doi.org/10.1016/j.enpol.2011.01.063
Yu Y, Chen D, Zhu B, Hu S (2013)Eco-efficiency trends in China, 1978–2010: decoupling environmental pressure from economic growth. Ecol Indic 24:177–184. https://doi.org/10.1016/j.ecolind.2012.06.007
Yu H, Wang J, Bai Y, Yang W, Xia GS (2018) Analysis of large-scale UAV images using a multi-scale hierarchical representation. Geo Spat Inf Sci 21:33–44. https://doi.org/10.1080/10095020.2017.1418263
Zhang YJ, Hao JF (2017) Carbon emission quota allocation among China’s industrial sectors based on the equity and efficiency principles. Ann Oper Res 255:117–140. https://doi.org/10.1007/s10479-016-2232-2
Zhang X, Wang F (2017)Life-cycle carbon emission assessment and permit allocation methods: a multi-region case study of China’s construction sector. Ecol Indic 72:910–920. https://doi.org/10.1016/j.ecolind.2016.09.023
Zhang YJ, Wang AD, Tan W (2015) The impact of China’s carbon allowance allocation rules on the product prices and emission reduction behaviors of ets-covered enterprises. Energy Policy 86:176–185. https://doi.org/10.1016/j.enpol.2015.07.004
Zhang X, Shao XX, Jiang HQ (2018) Initial allocation of carbon emission rights in the industry-literature review. Resour Dev Mark 34:1520–1525
Zhao BY, Yang WP (2020a)Short-run forecast and reduction mechanism of CO2 emissions: a Chinese province-level study. Environ Sci Pollut Res 1–20. https://doi.org/10.1007/s11356-020-09936-1.
Zhao BY, Yang WP (2020b) Does financial development influence CO2 emissions?. A Chinese province-level study. Energy 200:117523. https://doi.org/10.1016/j.energy.2020.117523
Zhao R, Min N, Geng Y, He Y (2017) Allocation of carbon emissions among industries/sectors: an emissions intensity reduction constrained approach. J Clean Prod 142:3083–3094. https://doi.org/10.1016/j.jclepro.2016.10.159
Zhao S, Shi Y, Xu J (2018) Carbon emissions quota allocation based equilibrium strategy toward carbon reduction and economic benefits in China’s building materials industry. J Clean Prod 189:307–325. https://doi.org/10.1016/j.jclepro.2018.03.073
Zhou P, Wang M (2016) Carbon dioxide emissions allocation: a review. Ecol Econ 125:47–59. https://doi.org/10.1016/j.ecolecon.2016.03.001
Zhou J, Li Y, Huo X, Xu X (2019) How to allocate carbon emission permits among China’s industrial sectors under the constraint of carbon intensity? Sustainability. 11:914. https://doi.org/10.3390/su11030914
Zhou Y, Jiang J, Ye B, Zhang Y, Yan J (2020) Addressing climate change through a market mechanism: a comparative study of the pilot emission trading schemes in China. Environ Geochem Health 42:745–767. https://doi.org/10.1007/s10653-019-00258-x
Funding
Research presented in this manuscript is supported by the Key Research Project of Shaanxi Provincial Federation of Social Sciences (20ZD195-65), and the Key Projects in Philosophy and Social Sciences Research of Ministry of Education, China (grant number: 20JZD012).
Author information
Authors and Affiliations
Contributions
Conception and design of this study: Wanping Yang; acquisition of data: Bingyu Zhao; analysis and/or interpretation of data: Bingyu Zhao; drafting the manuscript: Bingyu Zhao.
Corresponding author
Ethics declarations
Ethics approval and consent to participate
Not applicable.
Consent for publication
Not applicable.
Conflict of interest
The authors declare no competing interests.
Additional information
Responsible Editor: Nicholas Apergis
Publisher’s note
Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.
Rights and permissions
About this article
Cite this article
Zhao, B., Yang, W. Allocation of carbon emission allowance based on DLA-GA model: a case study in China. Environ Sci Pollut Res 29, 15743–15762 (2022). https://doi.org/10.1007/s11356-021-16643-y
Received:
Accepted:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s11356-021-16643-y