1. 1 Technology Transfer and Investment Risk in International Emissions Trading FP6 – Priority 8 - Policy-oriented Research Funded by: European Commission, DG Research Duration: June 2005 until November 2007

2. 2 TETRIS Partners ZEW, Germany ECN, The Netherlands Ecoplan, Switzerland CCAP, Czech Republic Natsource, United Kingdom

3. 3 T E T R I S TETRIS - Background European Emissions Trading Scheme (EU ETS)  Primary instrument for EU climate policy  World’s largest trading system UNFCCC and Kyoto Protocol  Frame for international climate policy  Allows for international emissions trading (ET)  Establishes project-based emissions trading (CDM / JI) Kyoto Flexible Mechanisms  Linkage of different emissions trading schemes  Enables efficient global abatement  May provide technology transfer  Potential for Investment in CDM host countries

4. 4 TETRIS – Objectives Objectives and novel aspects of the TETRIS project  Analysis of technology transfer related to Kyoto mechanisms in developing countries (Experience to date)  Development of comprehensive indicators of the investment risk for GHG abatement projects and their incorporation into the analysis of emissions trading markets  Assessment of potential and problems of linking different emissions trading schemes to form an efficient common market  Quantitative analysis of the economic and industrial impacts of international emissions trading – model EU-market for CO 2 and extend it to include JI and CDM

5. 5 Integration of Workpackages Risk Indicators Technology Transfer CDM Supply Linking Schemes Eastern Europe Quantitative Analysis

6. 6 Dissemination of Results (I) D1 Marginal Abatement Cost Curves for the non Annex-B Region D2 Linking Domestic Emissions Trading Schemes to the EU ETS D3 Joint Implementation and Emissions Trading in Eastern Europe D4 Measuring the Risk of Investments in Climate Change Mitigation: A Composite Indicator D5 Technology Transfer and the Kyoto Protocol‘s Flexible Mechanisms D6 Quantitative Analysis of International Emissions Trading

7. 7 Dissemination of Results (II)  Final conference open to the public  Planned: Special Issue, Climate Policy  Project Website (www.zew.de/TETRIS)