nep-ene New Economics Papers
on Energy Economics
Issue of 2007‒12‒19
seven papers chosen by
Roger Fouquet
Imperial College, UK

  1. Subsidies for Wind Power: Surfing down the Learning Curve? By Bläsi, Albrecht; Requate, Tilman
  2. The Downside of Domestic Substitution of Oil with Biofuels: Will Brazil Catch the Dutch Disease? By James A. Giesecke; J. Mark Horridge; José A. Scaramucci
  3. Climate Policy and Ancillary Benefits: A Survey and Integration into the Modelling of International Negotiations on Climate Change By Pittel, Karen; Rübbelke, Dirk T. G.
  4. Nationalization of Energy Assets and Regional Welfare; Sakhalin 2007 By Judith Thornton
  5. Le marché gazier russe : les enjeux de moyen terme By Catherine Locatelli
  6. Do Equity Preferences Matter in Climate Negotiations? An Experimental Investigation By Dannenberg, Astrid; Sturm, Bodo; Vogt, Carsten
  7. Captage et stockage du CO2: quels enjeux en France By Benoît De Guillebon; Minh Ha-Duong

  1. By: Bläsi, Albrecht; Requate, Tilman
    Abstract: We develop a model with two types of electricity producers, fossil fuel utilities generating emissions, and suppliers of electricity from renewable resources such as wind energy. We account for the vertical structure of the wind-energy sector by considering wind-turbine producers engaged in learning by doing and selling their turbines to turbine operators. We show that in the absence of learning spillovers a first-best policy requires Pigouvian taxes only. We also study second-best optimal subsidies on electricity generated by wind power when (optimal) emission taxes are ruled out. We further investigate the impact of subsidies on prices, output, the number of firms, and environmental damage. It turns out that, in the case of purely private learning, secondbest optimal subsidies should only account for the environmental damage but are not necessary to spur learning.
    Keywords: learning by doing, renewable energies, environmental policy, Pigouvian taxes, subsidies, feed-in tariffs
    Date: 2007
  2. By: James A. Giesecke; J. Mark Horridge; José A. Scaramucci
    Abstract: In response to oil price rises and carbon emission concerns, policies promoting increased ethanol usage in gasoline blends are being implemented by many countries, including major energy users such as USA, EU and Japan. As a result, Brazil, as the largest ethanol producer and exporter in the world, can expect growing foreign demand for ethanol exports. Also, the introduction of flex-fuel vehicles in Brazil is causing domestic sales of ethanol to increase steadily. In this paper, we investigate the regional and industrial economic consequences of rapid growth in Brazilian ethanol consumption and exports. For this, we use a disaggregated multi-regional computable general equilibrium (CGE) model with energy industry detail. Our modelling emphasises a number of features of ethanol production in Brazil which we expect to be important in determining the adjustment of its regional economies to a substantial expansion in ethanol production. These include regional differences in ethanol and sugar production technologies, sugarcane harvesting methods and the elasticity of land supply to sugarcane production.
    Keywords: CGE models, energy, ethanol, Brazil
    JEL: D58 Q13 Q42 R11 R49
    Date: 2007–12
  3. By: Pittel, Karen; Rübbelke, Dirk T. G.
    Abstract: Currently informal and formal international negotiations on climate change take place in an intensive way since the Kyoto Protocol expires already in 2012. A post-Kyoto regulation to combat global warming is not yet stipulated. Due to rapidly increasing greenhouse gas emission levels, industrialized countries urge major polluters from the developing world like China and India to participate in a future agreement. Whether these developing countries will do so, depends on the prevailing incentives to participate in international climate protection efforts. This paper identifies ancillary benefits of climate policy to provide important incentives to attend a new international protocol and to positively affect the likelihood of accomplishing a post-Kyoto agreement which includes commitments of developing countries.
    Keywords: ancillary benefits, climate change, international negotiations, chicken game
    Date: 2007
  4. By: Judith Thornton (Department of Economics University of Washington)
    Date: 2007–06
  5. By: Catherine Locatelli (LEPII - Laboratoire d'Économie de la Production et de l'Intégration Internationale - CNRS : UMR5252 - Université Pierre Mendès-France - Grenoble II)
    Abstract: Compte tenu de l'importance de la Russie pour l'approvisionnement gazier russe, il s'agit d'analyser les évolutions possibles de l'industrie gazière russe et de sa capacité à faire croître sa production compte tenu des bas prix gaziers en interne.
    Date: 2007–04–11
  6. By: Dannenberg, Astrid; Sturm, Bodo; Vogt, Carsten
    Abstract: This paper investigates in how far equity preferences may matter for climate negotiations. For this purposes we conducted a simple experiment with people who have been involved in international climate policy. The experiment, which was run via the Internet, consisted of two simple non-strategic games suited to measure the parameters of inequity aversion in a Fehr and Schmidt (1999) utility function. We find that our participants show aversion against advantageous as well as disadvantageous inequity to a considerable amount. Moreover, the degree of inequity aversion is higher compared to that of students in the similar study of Dannenberg et al. (2007). Regarding the geographical variety in our sample, we cannot confirm significant differences in the degree of inequity aversion between different regions in the world, which is in line with previous findings from the experimental literature. This finding lends support to the hypothesis that equity preferences are "hard-wired" and not much influenced by socio-economic or cultural circumstances.
    Keywords: individual preferences, inequity aversion, climate policy, experimental economics, public goods
    JEL: C91 C92 H41
    Date: 2007
  7. By: Benoît De Guillebon (APESA - Association Pour l'Environnement et la Sécurité en Aquitaine - APESA); Minh Ha-Duong (CIRED - Centre international de recherche sur l'environnement et le développement - CIRAD : UMR56 - CNRS : UMR8568 - Ecole des Hautes Etudes en Sciences Sociales - Ecole Nationale des Ponts et Chaussées - Ecole Nationale du Génie Rural des Eaux et des Forêts)
    Abstract: Ce article est issu de présentations et d'un débat menés lors d'un atelier de dialogue tenu le 27/04/2007 dans le cadre des projets de recherche SOCECO2 et METSTOR. Cet atelier de dialogue rassemblait des représentants des différents acteurs concernés par la problématique du captage et stockage du CO2 : scientifiques, industriels, pouvoirs publics, collectivités, associations, journalistes. L'objectif de cet atelier de dialogue était de réfléchir ensemble sur les conditions nécessaires au développement de cette nouvelle technologie. Le présent article reprend de manière simplifiée les principaux enjeux identifiés et les questions qu'il reste à résoudre.
    Keywords: CSC; captage et stockage du CO2
    Date: 2007–06

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