Nowadays one of the most important global issues in the heavy industry and specially in metallurgical sector is the allocation of carbon dioxide emission allowances. The equity in allocation of emission allowances is discussed offend with this problematic. In the metallurgical sector the unfair allocation may cost problem of development of some metallurgical sectors or countries. Therefore, the proper emission trading system must be used and all countries have to accept and implement the system properly. This paper is based on the model by Gomes and Lins (2008) and uses the zero sum game data envelopment analysis (ZSG-DEA). The emission allowance is input variable and energy consumption, spending and gross domestic product are output variables. The paper explore and evaluate the allocation of emission allowances in European Union countries. The empirical results show that allocation of emission allowances is inefficient as in paper by Chiu et al. (2015).Keywords: CO2 emission allowances, data envelopment analysis, zero sum gains, EU ETS, EUA.
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