Calculations on employment impact of ETS installations by NUTS 2 region

European Emission Trading System (ETS) is a cornerstone of the EU's policy to combat climate change and its key tool for reducing greenhouse gas emissions (GHG). The system operates in all EU countries plus the UK, Iceland, Liechtenstein, and Norway covering over 11,000 heavy energy-using installations (power stations & industrial plants) and airlines. The EU ETS works on the 'cap and trade' principle. A cap is set on the total amount of certain GHG that can be emitted by installations covered by the system. Then within the cap, companies receive or buy emission allowances.

Under this study, PPMI will consolidate the data from three datasets into a single database: 1. ETS installation identifiers and emissions provided by DG REGIO; 2. Company identifiers and data on economic parameters, such as a number of employees and annual turnover, for years 2011-2019 from Orbis database; 3. General employment data by economic activity (NACE) in NUTS 2 and NUTS 3 regions from Eurostat. Based on the data collected, PPMI will provide calculations to the European Commission (DG REGIO) on the employment impact of ETS installations in the EU regions.

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