The phrase "allowance allocation" is correct and usable in written English.
It can be used in contexts related to budgeting, finance, or resource distribution where allowances are being assigned or distributed.
Example: "The committee discussed the allowance allocation for the upcoming fiscal year to ensure all departments received adequate funding."
Alternatives: "budget distribution" or "fund allocation".
On the other hand, output-based allowance allocation is the second best method.
The performance of the Jiangsu SO2 emission trading market was examined under different allowance allocation methods and transaction costs.
However, the above findings are sensitive to various policy arrangements such as renewable energy development and carbon allowance allocation method.
Allowance allocation is one of the most important policy design issues in emission trading, not only for equity but also for policy performance.
The auction allowance allocation method was more efficient and had the lowest total emission control costs than the other three allocation methods examined.
This paper examines the implications of alternative allowance allocation designs for industry profits and GDP under a federal cap-and-trade program to reduce greenhouse gas emissions.
With proper design, allowance allocations can be used effectively to address leakage and competitiveness.
"Transparent" is an adjective no one can honestly apply to the House bill with its complex trading system, allowance allocations, exemptions and other machinery.
But the upstream architecture would be more likely to meet Boxer's test: simple, transparent, no safety valves, off ramps, giveaways or complicated allowance allocations.
There are, however, some legitimate concerns about this approach of linking annual allowance allocations with production levels, as I wrote in my previous post, "The Wonderful Politics of Cap-and-Trade: A Closer Look at Waxman-Markey".
At an average allowance price of $10 to $20 dollars per ton of CO2 between 2012-2025, that would amount to clean energy investments of just $6-9 6-9 billion year, and just $490-980 million for clean energy R&D (see our full analysis of the allowance allocations in ACES for more).
