Allocation approaches

Three articles apply economic modelling to focus directly upon how the EU ETS and allocation decisions may affect sector profits, pricing, market share and incentives an overview study of five key sectors, complemented by finer-grained modelling of the electricity and cement sectors, to study the incentive aspects of different allocation approaches. 

Acknowledging the problems associated with defining future allocations as a function of output levels in the past, some governments have declared that they will not allow the use of updating. Such an announcement s credibility can be enhanced if accompanied by a clear outline of the allocations approach in future trading periods. 

Free allocation based on recent emissions is widely perceived as unfair, as it results in the allocation of more allowances to less carbon-efficient installations and fewer allowances to better-performing installations. As an expression of the recognition of the downside of such an allocation approach Annex in of the Directive makes reference both to benchmarking (in criteria 3 and 7) and to accommodating early action (criterion 7). However, a strong lesson that emerges from the first allocation round is that the attempt to introduce a wide spread around recent or current emission levels at installation level met strong political... 

The Consultation NAP was based on a two-stage allocation approach, in which sector-level allocations were based on projected business as usual emissions including relevant environmental policies. However, because of the misalignment issues discussed above, most sector emissions projections were calculated in a bottom-up fashion from installation-level historic emissions data. Sector growth rates were then applied to the bottom-up historical emissions totals to arrive at future projections. 

Regarding allowance distribution, different allocation approaches in Europe and the USA should not significantly affect competitiveness unless allocations are updated in ways that distort product prices (Blyth and Bosi, 2004 Jaffe and Stavins, 2008). Moreover, the EU and the USA seem to be heading in similar directions on allowance distribution. Phase 3 of the EU system and most leading US proposals would start with significant auctions and would phase out all or most free allocation over time. 

Supply chains such as those for wool textiles give a range of co-products that must be considered as part of an LCA study. In ALCA an allocation approach is commonly used to divide the environmental burden between the multiple co-products, whilst in... 

Song, B.L., Wong, W.K., Chan, S.F. and Fan, J.T., 2006. A recursive operator allocation approach for assembly-line optimization problem with the consideration of operator efficiency. Computers and Industrial Engineering, 51(4), 585-608. 

With reference to Figs 1.8 and 1.9, if we specifically look at the components making up the altitude display system, then we will probably find that the PFD is an ETSO item (see ETSO-ClOb). If we then purchase an item with ETSO approval, we do need to tailor our requirements allocation approach by considering three aspects ... 

This chapter presents an auction-based approach with the closed-loop bid adjustment mechanism to dynamic task allocation for robots. The bid adjustment mechanism fine-tunes bid prices based on the performance track records of each robot. A simulator is developed, with a case study of AGVs transporting containers, to validate this task allocation approach. Simulation results show that the bid adjustment mechanism can effectively reduce the discrepancies between the submitted bid prices and the corresponding actual costs of tasks. The stability of the approach is also verified in light of some operational uncertainties. This bid adjustment mechanism enhances the likelihood of allocating tasks to competent robots that submit more accurate bids, and as a result, improves the overall team performance substantially. 

N. Wehn, M. Held, and M. Glesner. A novel scheduling/allocation approach for data-path synthesis based on genetic paradigms. Proc. IFIP Working Conference on Logic and Architecture Synthesis, Paris, Prance, May 1990. 

This section provides several examples of actual ATP business practices. Each example has its own special features in terms of customer order format, customer response strategy, problem complexity, and resource allocation approach. We start with a generic description of the so-called conventional ATP, which represents the traditional view of ATP and which is probably the approach still most broadly used today. 

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