With the delegation of the Greenhouse Gas Reduction and Management Act (the Act) which promulgated on July 1, 2015, Taiwan Environmental Protection Administration (EPA) has since finalized the accounting, verification and registration system of greenhouse gas emissions. This article, along with Article 20 and 21, form the legal basis for further development on allocation, offset, auctioning, sale and trading. This project accordingly assists EPA in the establishment of and the improvement in all of these functions for the purpose of finalizing cap-and-trade system. The project consists of three pivotal tasks: 1) improving the emissions reduction measures of the 3rd chapter of the Act; 2) Reviewing and amending Regulations pertaining to cap-and-trade scheme; 3) Exchanging the best practices with other countries and obtaining international information. Results of the aforementioned tasks include: a) Developing cap setting methodology and plausible scenario; b) Developing benchmark methodologies and quantifying the results of allocation; c) Recommending feasible regulatory measures; d) drafting subsidiary regulations of cap-and-trade scheme; e) Arranging subsidiary measures of registry and emissions trading; f) Obtaining the most updated information on implementation experiences and legalization process of cap-and-trade scheme worldwide; g) Exchanging best practices with German Emissions Trading Authority.

Greenhouse gases, Cap-and-trade, Cap setting