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Which carbon derivatives are applicable in practice? A case study of a European steel company

The result's identifiers

  • Result code in IS VaVaI

    <a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F67985556%3A_____%2F17%3A00484650" target="_blank" >RIV/67985556:_____/17:00484650 - isvavai.cz</a>

  • Alternative codes found

    RIV/61989100:27510/17:10236288

  • Result on the web

    <a href="http://dx.doi.org/10.14736/kyb-2017-6-1071" target="_blank" >http://dx.doi.org/10.14736/kyb-2017-6-1071</a>

  • DOI - Digital Object Identifier

    <a href="http://dx.doi.org/10.14736/kyb-2017-6-1071" target="_blank" >10.14736/kyb-2017-6-1071</a>

Alternative languages

  • Result language

    angličtina

  • Original language name

    Which carbon derivatives are applicable in practice? A case study of a European steel company

  • Original language description

    This paper constructs and analyses a model for optimal production and emission covering of a real-life European steel company. The emissions may be covered by a combination of EUA and CER allowances and their derivatives. The company is assumed to be risk-averse, maximizing the Mean-CVaR criterion. The problem is analysed given continuum of risk-aversion coefficients and three scenarios of the demand. It is found that the production does not depend on the risk aversion and is always maximal, but the optimal composition of the (spot) allowances and their derivatives depends non-trivially on both the risk aversion and the demand. Out of all the derivatives, only futures are used. Surprisingly, options are never used.

  • Czech name

  • Czech description

Classification

  • Type

    J<sub>imp</sub> - Article in a specialist periodical, which is included in the Web of Science database

  • CEP classification

  • OECD FORD branch

    10103 - Statistics and probability

Result continuities

  • Project

    <a href="/en/project/GA16-01298S" target="_blank" >GA16-01298S: Dynamic Decision-making of a Steel Producer under Emission Control</a><br>

  • Continuities

    P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)

Others

  • Publication year

    2017

  • Confidentiality

    S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Data specific for result type

  • Name of the periodical

    Kybernetika

  • ISSN

    0023-5954

  • e-ISSN

  • Volume of the periodical

    53

  • Issue of the periodical within the volume

    6

  • Country of publishing house

    CZ - CZECH REPUBLIC

  • Number of pages

    15

  • Pages from-to

    1071-1085

  • UT code for WoS article

    000424732300007

  • EID of the result in the Scopus database

    2-s2.0-85040713548