ABSTRACT
ITEA includes the non-C02 greenhouse gases, which have very different abatement costs and 'no regret' options. Therefore we have created a second marginal cost curve for each country representing the other GHGs, grouped together according to their global warming potential (GWP). The allocations of the Kyoto Protocol are defined in C02-equivalents, therefore we have summed the two marginal cost curves of each country. As can be seen in Figure A3.1 the marginal abatement cost curve for all GHGs consists of three components, due to differences in marginal cost curves and emission projections for C02 on the one side and the other GHGs on the other. The formula used, however, represents only the first two, the third component being irrelevant for all reasonable solutions. The formula for the marginal abatement cost for all GHGs is:
mc = 0, for v < d\ (4) mc-c-(y-d), for y > d\ with \lc = (Vcc02)Hl/cotherGHGs\ andd = dCQ2 + dotherGHG.
