On March 19th, Professor Billy Pizer, Associate Dean of the School of Public Administration of Duke University, gave an academic lecture titled “Global Climate Policy and Price Adjustment in the Carbon Market” at the invitation of the School of Political Science and Public Administration of Shandong University. Professors and students from various majors attended the lecture.
Firstly, Professor Pizer introduced his current research on how public policies that promote energy cleanliness can effectively use private sector investment, how environmental regulation and climate policies affect production costs and competitiveness and how market environmental policy design meets the needs of different stakeholder’ demands.
Professor Pizer introduced the most widely used regulatory policy, the Tradable Performance Standards (TPS), with examples of automotive fuel economy standards, renewable energy allocation rates and low-carbon fuel standards. He then explained China's national carbon market through three important indicators in China. He focused on the theory and experiment of the traditional total control and trading system. The experimental results show that setting the quota low price, the top price, and the quota reserve to plays an important role in price regulation.
Subsequently, Professor Pizer briefly introduced Weizman's research results and introduced an analytical model showing that the benefit comparison between the tradable performance standard based on the quantitative mechanism and the price-based alternative is a variant of the traditional Weizman quantity and price comparison. Professor Pizer used this method to estimate the benefits of California's low-carbon fuel standards and the price mechanism used in China's carbon market, pointing out that a mixed mechanism should be adopted for price regulation in tradable performance standards in actual policy development.
In the interactive session, the on-site professors and students raised questions around the content, and had a heated discussion with Professor Pizer on each issue. They conducted in-depth conversations on relevant academic issues, widening scientific horizon and enriching the lecture.
Professor Billy Pizer, Associate Dean of the School of Public Administration of Duke University, Professor of Environmental Science and Policy at Duke University, Professor of Environmental Science and Policy at Duke Kunshan University, Associate Dean of Sanford School of Public Policy, Master and Doctor of Economics at Harvard University .
From 2001 to 2002, he served as a senior economist for environmental issues at the White House Council of Economic Advisers.
From 2008 to 2011, Pizer served as Deputy Assistant Secretary for Environment and Energy at the US Treasury. He created and led a new office in the Treasury responsible for the role of the Department in the US domestic and international environmental and energy agendas.
