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The electricity industry is one of the main contributors of carbon to the atmosphere. Reducing these emissions is critical to achieving international targets and mitigating climate change. Economic instruments, including emissions trading, taxes and voluntary agreements will be crucial, but across Europe there are widely different electricity systems, and policies will have different effects. This book describes the characteristics of the main European electricity regimes, defines the range of instruments available and assesses the potential of each in each regime and for Europe as a whole.