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on Energy Economics |
| By: | Morgan Bazilian and Debabrata Chattopadhyay |
| Abstract: | Abstract Traditional methods of energy planning are likely to provide results that may be inappropriate in fragile and conflict-prone countries. The risks of violence and damage, or significant delays and cancellations in infrastructure development, are rife in these states. Thus, least-cost planning processes must explicitly address the inherent risks. While there are numerous statistical methods for dealing with decision making under uncertainty, few of them have been applied to power system planning and tailored for these situations. We present a general theoretical framing of the issue, and illustrate application of a very simple method to a case study of the Republic of South Sudan. We find that, in general, the resilience aspects, combined with modular and incremental benefits of distributed generation technologies and systems emerge as attractive options if the various risks of infrastructure development are included in modelling techniques. |
| Keywords: | Fragile and conflict states; Energy Planning; Power systems |
| JEL: | C6 O2 Q4 |
| Date: | 2015–11–03 |
| URL: | http://d.repec.org/n?u=RePEc:cam:camdae:1530&r=ene |
| By: | Andrew Stocking; Terry Dinan |
| Abstract: | Growing rapidly in recent decades, China’s demand for energy has nearly doubled since 2005—making China the world’s largest consumer of energy. That growth and the energy policies that China pursues increase the level and possibly the volatility of some energy prices, reduce the competitiveness of U.S. manufacturing firms in relation to Chinese firms but provide benefits for U.S. consumers, and increase greenhouse gas emissions. This paper examines trends in China’s energy consumption, the implications of those trends for U.S. households and businesses, and policy options that might help |
| JEL: | Q41 Q42 Q43 Q47 Q48 Q54 |
| Date: | 2015–06–25 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:wpaper:50216&r=ene |
| By: | Lorenz Gollwitzer (SPRU (Science Policy Research Unit), School of Business Management and Economics, University of Sussex, UK); David Ockwell (Department of Geography, ESRC STEPS Centre, Sussex Energy Group and Tyndall Centre for Climate Change Research, School of Global Studies, University of Sussex, UK); Adrian Ely (SPRU (Science Policy Research Unit), ESRC STEPS Centre, School of Business Management and Economics, University of Sussex, UK) |
| Abstract: | This paper articulates a new theoretical perspective on the management of rural mini-grids for facilitating pro-poor electricity access in developing countries. Bridging the literature on common pool resource (CPR) management/collective action (including its application to irrigation systems) with the hydraulic analogy for explaining the behaviour of electricity in closed electrical circuits, a refined theoretical framework is produced for analysing the socio-cultural institutional conditions for sustainable management of rural mini-grids. The utility of the framework is demonstrated via empirical analysis of mini-grids in rural Kenya. This yields insights on socio-cultural approaches to addressing challenges relating to sustainable mini-grid management, e.g. seasonality of demand and fair allocation of limited amounts of electricity to different consumers, in ways that are acceptable to, and to some extent also enforced by the entire group of diverse resource users. The paper contributes to both the literatures on sustainable CPR management/collective action and the literature on pro-poor sustainable energy access in developing countries, providing a novel theoretical and empirical contribution to the emerging socio-cultural turn in the latter. |
| Keywords: | innovation studies; science policy; research challenges; dark innovation |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:sru:ssewps:2015-29&r=ene |
| By: | Franziska Holz; Hanna Brauers; Philipp M. Richter; Thorsten Roobeek |
| Abstract: | The Netherlands have been a pivotal supplier in Western European natural gas markets in the last decades. Recent analyses show that the Netherlands would play an important role in replacing Russian supplies in Germany and France in case of Russian export disruption (Richter & Holz, 2015). However, the Netherlands have suffered from regular earthquakes in recent years that are related to the natural gas production in the major Groningen field. Natural gas production rates– that are politically mandated in the Netherlands – have consequently been substantially reduced, with an estimated annual production 30% below the 2013 level. We implement a realistically low production path for the next decades in the Global Gas Model and analyze the geopolitical impacts. We find that the diversification of the European natural gas imports allows spreading the replacement of Dutch gas over many alternative sources, with diverse pipeline and LNG supplies.There will be hardly any price or demand reduction effect. Even if Russia fails to supply Europe, the additional impact of the lower Dutch production is moderate. Again, alternative suppliers from various sources are able to replace the Dutch volumes. Hence, the European consumers need not to worry about the declining Dutch natural gas production and their security of supplies. |
| Keywords: | Natural gas, supply security, Europe, equilibrium modeling |
| JEL: | C69 L71 Q34 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp1516&r=ene |
| By: | Congressional Budget Office |
| Abstract: | Energy savings performance contracts (ESPCs) allow federal agencies to finance investments in energy-efficient equipment through private vendors, using anticipated reductions in energy costs to pay for investments over time. Given constraints on discretionary appropriations, ESPCs may help agencies to invest in energy-efficient equipment and reduce energy costs. However, compared with paying for such investments up front with appropriated funds, such contracts result in greater financing costs to the government. |
| JEL: | Q40 Q55 |
| Date: | 2015–02–05 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:report:498690&r=ene |
| By: | John Hassler (Institute for International Economic Studies (IIES); CEPR); Per Krusell (Institute for International Economic Studies (IIES); CEPR; NBER; CAERP); Conny Olovsson (Institute for International Economic Studies (IIES)) |
| Abstract: | We estimate an aggregate production function with constant elasticity of substitution between energy and a capital/labor composite using U.S. data. The implied measure of energy-saving technical change appears to respond strongly to the oil-price shocks in the 1970s and has a negative medium-run correlation with capital/labor-saving technical change. Our findings are suggestive of a model of directed technical change, with low short-run substitutability between energy and capital/labor but significant substitutability over longer periods through technical change. We construct such a model, calibrate it based on the historical data, and use it to discuss possibilities for the future. |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:cfm:wpaper:1529&r=ene |
| By: | Congressional Budget Office |
| Abstract: | Using the rising amounts of renewable transportation fuels required by the Renewable Fuel Standard will be difficult. CBO looks at how those requirements and alternatives would affect fuel and food prices and greenhouse gas emissions. |
| JEL: | Q10 Q16 Q18 Q20 Q28 Q40 Q42 Q48 Q50 Q54 Q58 |
| Date: | 2014–06–26 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:report:454770&r=ene |
| By: | Veselov Fedor (National Research University Higher School of Economics); Fedosova Alina (National Research University Higher School of Economics) |
| Abstract: | The paper is devoted to the issue of smart power system cost-benefit analysis. The innovative character of smart grids is defined and related obstacles for traditional cost-benefit assessment are revealed, primarily referred to external effects evaluation. Brief systematization of existing methods of smart grids assessment is provided and their weak points are defined. A new Smart Grid cost-benefit assessment approach is presented, basing on the elaborated comprehensive system of smart power system effects. The approach is tested for the system effects of smart power system implementation in the Russian Unified Energy System, quantitative results are presented. |
| Keywords: | smart grid, economic efficiency, cost-benefit analysis, prosumer |
| JEL: | L94 O22 Q47 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:hig:wpaper:49sti2015&r=ene |
| By: | Alberto Botta; Antoine Godin; Marco Missaglia |
| Abstract: | In recent years, Colombia has grown relatively rapidly, but it has been a biased growth. The energy sector (the "locomotora minero-energetica," to use the rhetorical expression of President Juan Manuel Santos) grew much faster than the rest of the economy, while the manufacturing sector registered a negative rate of growth. These are classic symptoms of the well-known "Dutch disease," but our purpose here is not to establish whether or not the Dutch disease exists, but rather to shed some light on the financial viability of several, simultaneous dynamics: (1) the existence of a traditional Dutch disease being due to a large increase in mining exports and a significant exchange rate appreciation; (2) a massive increase in foreign direct investment, particularly in the mining sector; (3) a rather passive monetary policy, aimed at increasing purchasing power via exchange rate appreciation; (4) and more recently, a large distribution of dividends from Colombia to the rest of the world and the accumulation of mounting financial liabilities. The paper shows that these dynamics constitute a potential danger for the stability of the Colombian economy. Some policy recommendations are also discussed. |
| Keywords: | Colombia; Dutch disease; Balance of payments |
| JEL: | F21 F32 F40 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:lev:wrkpap:wp_853&r=ene |
| By: | Congressional Budget Office |
| Abstract: | CBO estimates that the development of shale resources will increase GDP by about two-thirds of 1 percent in 2020 and about 1 percent in 2040, and that the increases in GDP will lead to slightly larger percentage increases in federal revenues. The effect of shale development on domestic energy prices will continue to be larger for natural gas than for oil. |
| JEL: | L70 L71 O49 Q40 Q58 |
| Date: | 2014–12–09 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:report:498150&r=ene |
| By: | Raphael Schoenle (Brandeis University); Michael Weber (University of Chicago Booth School of Bu); Ernesto Pasten (Central Bank of Chile) |
| Abstract: | In a multi-sector New-Keynesian model where input-output linkages between firms create a productive network, we study the interaction between sectoral heterogeneity in price rigidities and sectoral heterogeneous input-output linkages. Our goal is to explore the implications of these two forms of heterogeneity in (1) the real effects of monetary policy, (2) the aggregate propagation of sectoral idiosyncratic shocks, and (3) the pass-though to aggregate inflation of an oil price shocks. We show that the effects of this interaction is significant after calibrating our model to the US economy. |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:red:sed015:1217&r=ene |
| By: | Isola, W.A.; Mesagan, E.P. |
| Abstract: | This article focused on the impact of oil production on human condition in Nigeria. The study used environmental degradation, life expectancy, and infant mortality rate as proxies of human condition. The data were obtained from the statistical bulletin of the Central Bank of Nigeria and World Development Indicator. The study covered 1980 to 2012. Vector autoregressive (VAR) model and variance decomposition analysis were explored. Three striking results were reported: (i) oil production of the first period positively impacted environmental degradation, while it was negative in the second period; (ii) Its first period lag has positive relationship but second period lag has negative relationship with life expectancy; and (iii) The variance decomposition analysis showed that oil production worsened environmental degradation and adversely impacted on infant mortality rate, while it positively affected life expectancy. Two major recommendations emanated from the study: (i) since oil production has a negative impact on human condition in Nigeria, efforts should be made to control carbon emission from fuel by ending gas flaring, especially in the Niger Delta region; and (ii) Government should look for means to channel their efforts into sustainable policies that would aim at transforming some of the largess from the oil sector into the health sector, as well as into the provision of infrastructural and life enhancing facilities like good roads, portable water, and so on. These can help to enhance life expectancy beyond its current stagnating state. All these as suggested will make the oil sector to have huge positive impact on human condition. |
| Keywords: | Oil Production; Human Condition; Niger Delta; Nigeria. |
| JEL: | D62 Q56 |
| Date: | 2014–06 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:67784&r=ene |
| By: | Jean-Thomas Bernard (Department of Economics, University of Ottawa); Lynda Khalaf (Carleton University); Maral Kichian (University of Ottawa); Clement Yelou (Laval University) |
| Abstract: | Expert outlooks on the future path of oil prices are often relied on by industry participants and policymaking bodies for their forecasting needs. Yet little attention has been paid to the extent to which these are accurate. Using the regular publications by the Energy Information Administration (EIA), we examine the accuracy of annual recursive oil price forecasts generated by the National Energy Modeling System model of the Agency for forecast horizons of up to 15 years. Our results reveal that the EIA model is quite successful at beating the benchmark random walk model, but only at either end of the forecast horizons. We also show that, for the longer horizons, simple econometric forecasting models often produce similar if not better accuracy than the EIA model. Among these, time-varying specifications generally also exhibit stability in their forecast performance. Finally, while combining forecasts does not change the overall patterns, some additional accuracy gains are obtained at intermediate horizons, and in some cases forecast performance stability is also achieved. |
| Keywords: | Oil price, expert outlooks, long run forecasting, forecast combinations |
| JEL: | Q47 C20 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:ott:wpaper:1508e&r=ene |
| By: | Mariam Camarero (Department of Economics, Universitat Jaume I, Castellón, Spain); Anabel Forte (Department of Statistics and Operations Research, Universitat de València, Spain); Gonzalo García-Donato (Department of Economics and Finance, Universidad de Castilla-La Mancha, Albacete, Spain); Yurena Mendoza (Department of Applied Economics II, Universitat de València, Spain); Javier Ordóñez (Department of Economics, Universitat Jaume I, Castellón, Spain) |
| Abstract: | There is abundant empirical literature that focuses on whether energy consumption is a critical driver of economic growth. The evolution of this literature has largely consisted of attempts to solve the problems and answer the criticisms arising from earlier studies. One of the most common criticisms is that previous work concentrates on the bivariate relationship, energy consumptioneconomic growth. Many authors try to overcome this critique using control variables. However, the choice of these variables has been ad hoc, made according to the subjective economic rationale of the authors. Our contribution to this literature is to apply a robust probabilistic model to select the explanatory variables from a large set of potential candidates in the case of the US from 1949 to 2010, not only for an aggregate analysis but also for a sector analysis. The results high-light the critical role of public spending and energy intensity in the explanation of growth. Furthermore, since the study reveals different explanatory variables for each sector, it indicates the importance of policy decisions specifically aimed at different sectors. |
| Keywords: | Energy Consumption, Economic Growth, Control Variables, Causality, Probabilistic Model, Variable Selection |
| JEL: | O44 C11 C52 |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:jau:wpaper:2015/15&r=ene |
| By: | Kulinska, Emilia; Vasileva, Elka |
| Abstract: | According to the analysis of Sustainable Energy Development Agency, Bulgarian households fail to reduce significantly their energy consumption, despite rising energy prices and slowing growth in their income, they continue to improve their energy comfort at the expense to satisfy other necessities. If the trend of faster growth in energy prices compared to the income of households remains the same and if they do not receive any external support to improve the characteristics of buildings and appliances, can be expected the energy comfort of Bulgarian household to decline. This report aims to identify and analyze studies in consumer behavior regarding energy efficiency in Bulgarian households. This research is directed to innovative models for energy consumption of households in the country. The results are discussed in comparison to other European countries. |
| Keywords: | energy efficiency, household’s behavior, innovative models, Bulgaria |
| JEL: | Q48 Z13 Z18 |
| Date: | 2015–06–04 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:67698&r=ene |
| By: | Ulrich Hoffmann |
| Abstract: | Many economists and policymakers advocate a fundamental shift towards “green growth” as the new, qualitatively-different growth paradigm, largely based on enhanced material/resource/energy efficiency, structural changes towards a service-dominated economy and a switch in the energy mix favouring renewable forms of energy. “Green growth” may work well in creating new growth impulses with reduced environmental load and facilitating related technological and structural change. But can it also mitigate climate change at the required scale (i.e. significant, absolute and permanent decline of greenhouse gas (GHG) emissions at global level) and pace (i.e. in no more than two to three decades)? This paper argues that growth, technological, population-expansion and governance constraints as well as some key systemic issues cast a very long shadow on the “green growth” hopes. One should not deceive oneself into believing that such an evolutionary (and often reductionist) approach will be sufficient to cope with the complexities of climate change. It may rather give much false hope and excuses to do nothing really fundamental that should bring about a U-turn of global GHG emissions. The proponents of a resource efficiency revolution, re-structuring of economies and a drastic change in the energy mix need to scrutinize the historical evidence, in particular the arithmetic of economic and population growth. Furthermore, they need to realize that the required transformation goes far beyond innovation and structural changes to include better distribution of income and wealth, limitation of market power of economic agents that promote biased approaches to GHG reduction, and a culture of sufficiency. Climate change calls into question the global equality of opportunity for prosperity (i.e. ecological justice and development space) and is thus a huge developmental challenge for all countries, but particularly for the global South and a question of life and death for some developing countries. |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:unc:dispap:222&r=ene |
| By: | Dietz, Simon; Gollier, Christian; Kessler, Louise |
| Abstract: | Mitigation reduces the expected future damages from climate change,flbut how does it affect the aggregate risk borne by future generations?flThis raises the question of the ‘climate beta’, i.e., the elasticity of climatefldamages with respect to a change in aggregate consumption. Inflthis paper we show that the climate beta is positive if the main sourceflof uncertainty is exogenous, emissions-neutral technological progress,flimplying that mitigation has no hedging value. But these results areflreversed if the main source of uncertainty is related to the carbonclimate-flresponse and the damage intensity of warming. We then showflthat in the DICE integrated assessment model the climate beta is positivefland close to unity. In estimating the social cost of carbon, thisflwould justify using a relatively high rate to discount expected climatefldamages. However, the stream of undiscounted expected climate damagesflis also increasing in the climate beta. We show that this dominatesflthe discounting effect, so that the social cost of carbon is in fact largerflthan when discounting expected damages at the risk-free rate. |
| Keywords: | beta, climate change, discounting, integrated assessment,flmitigation, risk, social cost of carbon |
| JEL: | Q54 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:ide:wpaper:29903&r=ene |
| By: | Nathalie Berta (REGARDS - URCA - Université de Reims Champagne-Ardenne, CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS); Emmanuelle Gautherat (LS-CREST - ENSAE ParisTech - Ecole Nationale de la Statistique et de l'Administration Economique, REGARDS - URCA - Université de Reims Champagne-Ardenne); Ozgur Gun (REGARDS - URCA - Université de Reims Champagne-Ardenne) |
| Abstract: | The European Union Emissions Trading Scheme (EU ETS) is supposed to help regulated installations to cover their CO2 emissions by trading in allowances. In practice, the EU ETS is mainly a financial market used for hedging and speculation. This financial feature is regarded as a solution (hedging and liquidity) to a problem (the price risk and volatility imposed on installations) which the market has actually created itself. This paper provides an estimation of the real underpinning of the scheme, i.e. the needs of installations for allowances transfers to achieve compliance in the two first exchange periods. This estimation, which was singularly lacking in the literature, shows that compliance transactions become more and more marginal as market activity grows and that they are drowned in a whirlpool of speculation. This challenges the role of the carbon price whose financial and self-referential evaluation can obviously not reveal installations' marginal abatement costs, the condition of cost-effectiveness expected from carbon trading. |
| Abstract: | Le marché du carbone européen est créé en 2005 pour aider les installations assujetties à couvrir leurs émissions de CO2 à travers l'échange de quotas. En pratique, c'est essentiellement un marché financier dédié à l'échange de dérivés à des fins de couverture de risque et de spéculation. Cette dimension financière bien connue est présentée comme une solution (couverture de risque et liquidité) à un problème que le marché a lui-même créé (risque de prix et volatilité imposés par l'instrument, par opposition à un système de taxe). Ce papier établit une estimation du véritable sous-jacent du marché, i.e. des besoins de transferts de permis des installations à des fins de conformité. Cette estimation – singulièrement absente de la littérature – montre que les transactions à des fins de conformité sont de plus en plus marginales à mesure que l'activité sur le marché augmente, activité presque uniquement tirée par la spéculation. Se joue alors la capacité du prix du carbone à révéler les coûts marginaux des entreprises, principale condition d'efficacité attendue en théorie de ce type d'instrument. |
| Keywords: | European Union Emissions Trading Scheme,carbon market,CO2 allowance,carbon finance,marché de permis négociables,finance carbone,marché de carbone européen |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:hal:cesptp:halshs-01224552&r=ene |
| By: | Jean-Philippe Nicolaï (ETH Zurich, Switzerland) |
| Abstract: | The present paper addresses two policy objectives that the environmental regulator aims to accomplish: to implement a market for permits and make regulation acceptable for businesses. Profit-neutral permit allocations are defined as the number of permits that the regulator should give for free so that profits after regulation (i.e. profits that the firm realizes in the market for products plus the value of the allowances granted for free) are equal to profits before regulation. The paper demonstrates that a low number of free allowances is sufficient to meet these two goals. Moreover, even when the reduction is high, the regulator can fully offset losses if the concerned sectors are not in a monopoly context. The suggested model is developed by assuming that firms compete "à la Cournot", use polluting technologies and the demand function is iso-elastic. It is then illustrated by the first two phases of the EU Emissions Trading System. |
| Keywords: | Pollution permits, Cournot oligopoly, EU-ETS |
| JEL: | F18 H2 L13 L51 Q2 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:eth:wpswif:15-224&r=ene |
| By: | Johansson, Per-Olov (Stockholm School of Economics & CERE) |
| Abstract: | There is no consensus with respect to handling of tradable permits in cost–benefit analysis. The leading (organizational/governmental) manuals in North America, Europe, Asia, and Australia handle permits in different ways or ignore them. This paper offers a brief discussion of the properties of cap-and-trade systems, and contrast these to the properties of emission charges. The paper then turns to cost–benefit rules for projects using fossil fuels in a cap-and-trade system. The focus is on small projects but the paper also briefly addresses the case where a project significantly affect prices. As a service to the reader the small project rules are contrasted to the much more familiar and standardized ways of handling emission charges in cost–benefit analysis. Finally, the consequences of market power in cap-and-trade markets are briefly addressed. |
| Keywords: | Cost–benefit analysis; greenhouse gases; tradable permits; emission charges; market power. |
| JEL: | H21 H23 H41 H43 I30 L13 |
| Date: | 2015–11–07 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:slucer:2015_011&r=ene |
| By: | Sven Rudolph; Achim Lerch |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:kue:epaper:e-15-009&r=ene |
| By: | Congressional Budget Office |
| Abstract: | A carbon tax or cap-and-trade program could make emission-intensive U.S. products less competitive and increase emissions overseas. Import tariffs related to emissions could reduce those effects but would be hard to implement. |
| Date: | 2013–12–19 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:report:449710&r=ene |
| By: | Heidi Bruderer Enzler; Andreas Diekmann |
| Abstract: | Switzerland, like many other countries, has set targets to reduce greenhouse gas emissions. Private households play a significant part in achieving these aims. Therefore, it is important to know which factors are related to emissions. So far, most studies have focused on income, household size and other structural factors while neglecting the potential relevance of attitudinal variables such as environmental concern. Those studies that did examine environmental attitudes were mostly based on "intent-oriented" measures of pro-environmental behavior instead of actual environmental impacts. The present study brings these lines of research together by analyzing the relationship between emissions, income and environmental attitudes within a framework of multivariate analysis. Furthermore, three specific emissions domains – mobility, housing and food – are analyzed separately and the results are compared to those based on a scale of pro-environmental behavior. All analyses are based on data from a large representative general population survey, the Swiss Environmental Survey 2007 (n = 3,369), and a subsequent life cycle analysis. The results indicate that higher income and lower levels of environmental concern are both associated with higher emissions. Furthermore, overall emissions are higher for younger, male respondents with higher education, living in smaller households with cars. For emissions by mobility, being economically active is a further predictor of higher emissions. For housing, the pattern is slightly different, in that females and older respondents are attributed higher emissions. In the case of food, however, there is no clear-cut association between emissions and income. In conclusion, this study clearly indicates that next to income, environmental concern is an important predictor of GHG emissions, even when controlling for the effects of income. A very similar pattern of correlations was found for intent-oriented pro-environmental behavior. |
| Keywords: | Environmental impact, greenhouse gas emissions, pro-environmental behavior, income, environmental concern |
| Date: | 2015–11–02 |
| URL: | http://d.repec.org/n?u=RePEc:ets:wpaper:9&r=ene |
| By: | Christina Hood; Liwayway Adkins; Ellina Levina |
| Abstract: | In 2015, Parties to the United Nations Framework Convention on Climate Change (UNFCCC) communicated their Intended Nationally-Determined Contributions (INDCs) for the Paris climate agreement. This publication summarises the key information communicated in the mitigation components of INDCs that were submitted by 31 August 2015, and analyses the implications of this information for the clarity, transparency and understanding of individual and collective mitigation efforts.<P>Tour d'horizon des CPDN soumises au 31 août 2015<BR>En 2015, les Parties à la Convention-cadre des Nations Unies sur les changements climatiques (CCNUCC) ont communiqué leurs contributions prévues déterminées au niveau national (CPDN) dans l’optique de l’accord de Paris sur le climat. Cette publication fait la synthèse des informations relatives à l’atténuation des CPDN soumises au 31 août 2015, et elle en analyse les implications pour la clarté, la transparence et la compréhension des efforts individuels et collectifs de lutte contre le changement climatique. |
| Keywords: | mitigation, climate, UNFCCC, atténuation, climat, CCNUCC |
| JEL: | F53 O19 O30 O44 Q54 Q56 Q58 |
| Date: | 2015–09 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaab:2015/4-en&r=ene |
| By: | Zhang, Shanshan (CERE, SLU); Lundgren, Tommy (CERE, Umeå University, SLU); Zhou, Wenchao (CERUM, Umeå University) |
| Abstract: | This paper analyzes the relation between three dimensions of firm performance – productivity, energy efficiency, and environmental performance – and shed light on the role of environmental investment. Data from Swedish industry between 2002 and 2008 is utilized to generate the three performance measures at the firm level. Environmental investments are efforts to reduce environmental impact, which may also affect firm competitiveness, in terms of changes in productivity, and spur more (or less) efficient use of energy. A panel vector auto-regression (VAR) methodology is utilized to investigate the causal relationship between the three dimensions of performance and environmental investment. Results show that energy efficiency and environmental performance are integrated. Improved environmental performance and energy efficiency - induced by external or internal policy - boosts next period productivity, which would corroborate the Porter hypothesis and the notion of strategic corporate social responsibility (CSR). An increase in productivity constrains next period environmental performance and energy efficiency, while increasing environmental investments. This is indicative of “managerial opportunism” or the “available funds” hypothesis. The former suggesting in good times managers allocate resources to e.g. managerial perks rather than improving environmental and/or energy performance, while still, to avoid regulatory penalty, uphold some level of environmental investment. The latter explanation argues that managers invest in environmental capital in order to reduce environmental impacts and boost goodwill for their business, but this investment requires resources and, in the short-term, harms energy and environmental performance. Finally, an increase in environmental investment improves next period environmental performance, which would suggest that environmental investments have the intended and expected effect; it reduces the environmental burden caused by the firm. As a consequence, in a second step, the increased environmental performance will tend to increase productivity in the next period, which suggests that environmental investments can boost productivity channeled via enhanced environmental performance. |
| Keywords: | Energy Efficiency; Environmental Performance; Panel VAR; Malmquist Index; Investment |
| JEL: | D22 D24 M14 Q40 Q41 |
| Date: | 2015–11–09 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:slucer:2015_012&r=ene |