Optimization of Initial Carbon Emission Allowance Allocation in Industrial Industries: A Case Study of Zhejiang Province, China

Abstract

The construction of carbon market is one of the important means for China to reach the goal of carbon peaking and carbon neutrality, and the allocation of initial carbon emission right quota is the key link in carbon market transaction. At present, the historical method is the commonly used allocation method of initial carbon emission rights in China, and the use of this method is unfair and inefficient. Therefore, this paper proposes an allocation optimization model, selects a number of indicators, and optimizes the allocation of initial carbon emission rights based on the hierarchical analysis method and entropy weight method. Example analysis shows that the allocation optimization model helps to share the carbon emission responsibility and improve the allocation efficiency, realizes the optimal allocation of initial carbon emission rights among industrial sectors, and provides support for the emission reduction of industrial sectors.