A tangled web: assessing overlaps between energy and environmental policy instruments along the electricity supply chain

In OECD countries, many overlapping energy and environmental policy instruments aretargeting the various stakeholders in the electricity supply chain (producers, transmissionand distribution companies and various consumers). Although synergies between differentpolicy instruments exist, e.g. reducing acidification and climate change by reducing energyconsumption, there are also measures whose effects counter each other. Such counter ef-fects arise not only within different environmental policy instruments but also with energypolicy instruments. This paper surveys the overlaps in the policy instruments that targetthe European Union electricity system and characterizes their interactions. A frameworkfor further assessment and analysis of overlaps and co-effects between policy instrumentsis presented. The development of policies and their implementation using specificinstruments may then be better aligned. A brief discussion on how trade-offs can be struc-tured is made, as well as some notes on issues to be considered towards policy integration.Industrial Ecolog