Policy Simulation Research on Carbon Market and Green Certificate Market —Based on the CGE Model

The simulation of the economic and social impacts of carbon emission trading and green certificate trading systems is a significant concern in light of their current deployment. An “energy-policy” module that integrates the advantages and disadvantages of such policies into a computable general equilibrium (CGE) is presented in this paper. The effects of selling carbon emissions and green certificates are simulated using a computable dynamic general equilibrium model of China’s energy market. The findings show that the economy, carbon pricing, green certificate prices, and power costs are all impacted differently by different carbon emission reduction targets.