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on Energy Economics |
| By: | Noussan, Michel |
| Abstract: | The transport sector has rarely seen disruptive evolutions after the diffusion of the internal combustion engine, and today the European mobility is still heavily relying on oil derivates and on private cars. However, there is a significant push in cities towards more sustainable mobility paradigms, and digital technologies are playing a major role in unleashing possible alternatives to a car- and fossil-based mobility. Three major digital trends can be highlighted, with different levels of maturity and some potential synergies among them: Mobility as a Service, Shared Mobility and Autonomous Vehicles. The effects of these trends are also related to the strong push towards electric mobility, which currently appears as the most supported solution by companies and regulators to decarbonize the transport sector. This working paper discusses an investigation of the potential effects of digital transition, by means of a data-driven model for the calculation of the impacts of mobility demand in Europe in terms of primary energy consumption and CO2 emissions. The results show that digitalization may have a positive effect on energy consumption and CO2 emissions for passenger transport, given the strong efficiency improvements expected by technological development in the vehicles powertrains. The benefits are maximized if digital technologies are used towards a collective optimization, by increasing the share of available mobility options. Conversely, if digital technologies are limited to increase the quality of private mobility, the environmental benefits will likely remain very limited. Thus, there is a need of tailored policies supporting the right mobility models to fully exploit the potential benefits of digitalization. |
| Keywords: | Resource /Energy Economics and Policy |
| Date: | 2019–03–19 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemfe:285023&r=all |
| By: | Sachs, Jeffrey D. (Asian Development Bank Institute); Woo, Wing Thye (Asian Development Bank Institute); Yoshino, Naoyuki (Asian Development Bank Institute); Taghizadeh-Hesary, Farhad (Asian Development Bank Institute) |
| Abstract: | In 2017, global investment in renewables and energy efficiency declined by 3% and there is a risk that it will slow further; clearly fossil fuels still dominate energy investment. This could threaten the expansion of green energy needed to provide energy security and meet climate and clean air goals. Several developed and developing economies are still following pro-coal energy policies and the extra CO2 generated by new coal-fired power plants could more than wipe out any reductions in emissions made by other nations. Finance is the engine of development of infrastructure projects, including energy projects. Generally financial institutions show more interest in fossil fuel projects than green projects, mainly because there are still several risks associated with these new technologies and they offer a lower rate of return. If we want to achieve sustainable development goals, we need to open a new file for green projects and scale up the financing of investments that provide environmental benefits, through new financial instruments and new policies, such as green bonds, green banks, carbon market instruments, fiscal policy, green central banking, financial technologies, community-based green funds, etc., which are collectively known as “green finance”. |
| Keywords: | green finance; renewable energy; CO2 emissions; Paris Agreement; sustainable development goals; SDGs |
| JEL: | O44 Q56 Q59 |
| Date: | 2019–01–22 |
| URL: | http://d.repec.org/n?u=RePEc:ris:adbiwp:0917&r=all |
| By: | Evens Salies (Observatoire français des conjonctures économiques) |
| Abstract: | The gilets jaunes (“yellow vests”)[1] movement offers a striking opportunity to ask whether the Sustainable Development Goals for achieving an energy transition and reducing income inequalities are fundamentally incompatible. Our answer is no! Both objectives must and can be met simultaneously: the political acceptability of environmental policies, such as carbon pricing and subsidies for green technologies, crucially hinges upon their distributional effects. While the concept of the ‘just (fair) transition to low-carbon energy’ for workers has figured in the climate debate at the annual COP meetings[2], the issue of how to spread the cost burden of this transition among end-consumers remains somewhat out of the frame. Clear guidelines on the design of energy transition policies that have adverse effects on low-income households are still needed in France.[3] To give some context, the yellow vests movement began in November 2018 in response to a programmed rise in carbon taxes, which coincided with a 25% increase in car fuel prices (see the figure below) and followed previous hikes in oil prices and fuel taxes. The government ended up cancelling this measure in December in response to street pressure. |
| Keywords: | Carbon taxes; Energy transition; Fuel prices; Yellow vests; Industrialisation |
| Date: | 2019–02 |
| URL: | http://d.repec.org/n?u=RePEc:spo:wpmain:info:hdl:2441/3pfm3qa49f936bq9ecnfhqlj0h&r=all |
| By: | Daniel Coysh; Nick Johnstone (OECD); Tomasz Koźluk (OECD); Daniel Nachtigall (OECD); Miguel Cárdenas Rodríguez (OECD) |
| Abstract: | This paper assesses the effect of environmental regulations on plant survival and emissions using data on the extent of vintage differentiation of regulations (VDR5) regarding air pollution emission limit values for existing and new coal-fired power plants. Focussing on NOx and SOx emissions, the paper applies survival analysis techniques on a sample of generating units across 31 OECD and non-member countries between 1962 and 2012. |
| Keywords: | air pollution, coal powered plants, emission limit values, environmental policies, exit, Vintage differentiated regulation |
| JEL: | Q50 Q53 Q58 Q48 |
| Date: | 2019–03–05 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaaa:144-en&r=all |
| By: | Chi Kong Chyong (EPRG, University of Cambridge); Bowei Guo (Faculty of Economics, University of Cambridge.); David Newbery (EPRG, University of Cambridge.) |
| Keywords: | Carbon pricing, fuel mix, wind, marginal displacement factors, unit commitment model, econometrics |
| JEL: | H23 L94 Q48 Q54 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1904&r=all |
| By: | Stephie Fried; Kevin Novan; William B. Peterman |
| Abstract: | By raising the price of carbon-emitting energy sources, a carbon tax would flexibly incentivize households and businesses to reduce fossil fuel consumption and substitute towards cleaner energy sources. A carbon tax would also generate a substantial stream of government revenue. This raises an important question – how should this revenue be used? In this note, we summarize findings from our recent research (Fried et al. (2018)) that examine this question. |
| Date: | 2019–03–08 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedgfn:2019-03-08&r=all |
| By: | Kodjovi EKLOU (International Monetary Fund (IMF)); Stefania FABRIZIO (International Monetary Fund (IMF)); Roland Kangni KPODAR (International Monetary Fund (IMF)) |
| Abstract: | This paper investigates the impact of domestic fuel price increases on export growth in a sample of 77 developing countries over the period 2000-2014. Using a fixed-effect estimator and the local projection approach, we find that an increase in domestic gasoline or diesel price adversely affects real non-fuel export growth, but only in the short run as the impact phases out within two years after the shock. The results also suggest that the negative effect of fuel price increase on exports is mainly noticeable in countries with a high-energy dependency ratio and countries where access to an alternative source of energy, such as electricity, is constrained, thus preventing producers from altering energy consumption mix in response to fuel price changes. |
| JEL: | F10 O13 Q43 |
| Date: | 2019–02 |
| URL: | http://d.repec.org/n?u=RePEc:fdi:wpaper:4761&r=all |
| By: | Hao Chen (Center for Energy and Environmental Policy Research, Beijing Institute of Technology, Beijing,China - School of Management and Economics, Beijing Institute of Technology, China - Collaborative Innovation Center of Electric Vehicles in Beijing, China -Bei); Chi Kong Chyong (Energy Policy Research Group (EPRG), Cambridge Judge Business School, University of Cambridge); Jia-Ning Kang (Center for Energy and Environmental Policy Research, Beijing Institute of Technology, Beijing, China- School of Management and Economics, Beijing Institute of Technology, Beijing, China- Collaborative Innovation Center of Electric Vehicles in Beijing, Chi); Yi-Ming Wei (Center for Energy and Environmental Policy Research, Beijing Institute of Technology, China- School of Management and Economics, Beijing Institute of Technology, China - Collaborative Innovation Center of Electric Vehicles in Beijing, China - Beijing Ke) |
| Keywords: | Economic dispatch; electricity; power markets; energy saving; China; coal; optimization model |
| JEL: | P28 Q48 L94 L51 L52 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1819&r=all |
| By: | Emmanuel Hache (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles, EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique); Gondia Sokhna Seck (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles); Marine Simoen (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles); Clement Bonnet (IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles); Samuel Carcanague (IRIS - Institut de Recherche Interdisciplinaire sur les enjeux Sociaux - sciences sociales, politique, santé - UP13 - Université Paris 13 - EHESS - École des hautes études en sciences sociales - USPC - Université Sorbonne Paris Cité - INSERM - Institut National de la Santé et de la Recherche Médicale - CNRS - Centre National de la Recherche Scientifique - PSL - PSL Research University) |
| Abstract: | Integrated assessment models are generally not constrained by raw materials supply. In this article, the interactions between a wide diffusion of electric vehicles in the world transportation sector and the lithium supply are analysed in the Times Integrated Assessment Model (TIAM-IFPEN version). The lithium sector and a detailed representation of the transportation sector have been then implemented into the TIAM-IFPEN processes constituting the global energy system. Hence, the availability of this strategic material to supply the growing demand for low-carbon technologies in the context of the energy transition can be questioned. Incorporating an endogenous representation of the lithium supply chain allows investigating its dynamic criticality depending on several optimal technology paths that represent different climate and/or mobility scenarios between 2005 and 2050. It is the first detailed global bottom-up energy model with an endogenous disaggregated raw materials supply chain. Based on our simulations, the geological, geopolitical and economic dimensions of criticality are discussed. Four scenarios have been run: two climate scenarios (4°C and 2°C) with two shapes of mobility each: a high mobility where we consider the impact of urban dispersal with a huge car dependence/usage, and a low mobility in which the demand for individual road transport is lower due to a more sustainable urban planning and more public transport. The electric vehicles fleet should reach up to 1/3 of global fleet by 2050 in the 4°C scenarios, while it could be up to 3/4 in the 2°C scenarios both with high mobility, mostly located in Asian countries (China, India and other developing countries in Asia) due to the large presence of 2 and 3-wheelers. The penetration of electric vehicles has a major impact on lithium market. The cumulated demand over the period 2005-2050 reaches up to 53% of the current resources in the 2°C scenario with a high mobility. These results tend to show an absence of geological criticality. Nevertheless, they have clearly highlighted other different forms of vulnerabilities, whether economic, industrial, geopolitical or environmental. A discussion about the future risk factors on the lithium market is done at a regional scale aiming at analysing more in-depth the impact of the electric vehicle on lithium market. Our study of this particular strategic material shows that the model could be a useful decision-making tool for assessing future raw material market in the context of the energy transition and could be extended to other critical raw materials for more efficient regional and sectorial screening. |
| Keywords: | World transportation,Electrification,Critical raw materials,Lithium,Bottom-up modelling |
| Date: | 2019–04–15 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-02061459&r=all |
| By: | David Newbery (Energy Policy Research Group (EPRG) Judge Business School & Faculty of Economics Cambridge University); Michael Pollitt (Energy Policy Research Group (EPRG) Judge Business School & Faculty of Economics Cambridge University); Robert Ritz (Energy Policy Research Group (EPRG) Judge Business School & Faculty of Economics Cambridge University); Wadim Strielkowski (Energy Policy Research Group (EPRG) Judge Business School & Faculty of Economics Cambridge University) |
| Keywords: | Electricity markets, wholesale market design, renewable energy, interconnection, electricity storage, long-term contracts, capacity markets |
| JEL: | H23 L94 Q28 Q48 |
| Date: | 2017–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1711&r=all |
| By: | Hao Yu (State Grid Energy Research Institute Co, LTD, Beijing, China); David M. Reiner (Judge Business School, University of Cambridge); Hao Chen (Center for Energy and Environmental Policy Research, Beijing Institute of Technology, Beijing, China); Zhifu Mi (Tyndall Centre for Climate Change Research, School of International Development, University of East Anglia, Norwich) |
| Keywords: | Public preferences; Low carbon; Energy technologies; CCS; Wind; Nuclear |
| JEL: | C54 Q42 Q54 |
| Date: | 2018–04 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1810&r=all |
| By: | Paul Simshauser (Griffith Business School, Griffith University); Joel Gilmore (Corporate Development & Regulatory Affairs at Infigen Energy.) |
| Keywords: | Variable Renewable Energy, Electricity Prices, Power System Planning |
| JEL: | D61 L94 L11 Q40 |
| Date: | 2018–12 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1841&r=all |
| By: | Matthias A. Schnellmann (Department of Engineering, University of Cambridge); Chi-Kong Chyong (Energy Policy Research Group, Judge Business School, University of Cambridge); David M. Reiner (Energy Policy Research Group, Judge Business School, University of Cambridge); Stuart A. Scott (Department of Engineering, University of Cambridge.) |
| Keywords: | Carbon capture and storage; Flexibility; Combined cycle gas turbine (CCGT); Power plants; Electricity system; Amine solvents |
| JEL: | L94 Q4 |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1836&r=all |
| By: | Ilkka Hannula (VTT Technical Research Centre of Finland LtdVTT, Finland); David M Reiner (EPRG, Judge Business School, University of Cambridge) |
| Keywords: | Carbon-neutral synthetic fuels, electrofuels, advanced biofuels, battery electric vehicles, low-carbon transportation alternatives |
| JEL: | Q41 Q42 Q55 R41 R48 O33 |
| Date: | 2017–12 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1721&r=all |
| By: | Karim L. Anaya (Energy Policy Research Group, University of Cambridge Judge Business School); Michael G. Pollitt (Energy Policy Research Group, University of Cambridge Judge Business School) |
| Keywords: | Business models, electrical energy storage, natural gas storage, frozen food storage, cloud storage. |
| JEL: | L94 Q48 |
| Date: | 2018–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1804&r=all |
| By: | Rabindra Nepal (CDU Business School, Charles Darwin University); Tooraj Jamasb (Durham University); Anupama Sen (Oxford Institute for Energy Studies); Lawrence Cram (CDU Business School, Charles Darwin University) |
| Keywords: | electricity, reforms, renewables, island economies, territories |
| JEL: | D04 L94 Q48 L51 |
| Date: | 2017–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1709&r=all |
| By: | Victor Ajayi (EPRG, Judge Business School, University of Cambridge); David Reiner (EPRG, Judge Business School, University of Cambridge) |
| Keywords: | Industrial energy intensity, innovation, energy price, carbon tax |
| JEL: | O13 C33 Q41 Q55 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1818&r=all |
| By: | Hiroaki Ino (School of Economics, Kwansei Gakuin University); Toshihiro Matsumura (Institute of Social Science, The University of Tokyo) |
| Abstract: | This study shows the equivalence of the emission intensity regulation with tradable emission permits and the combination of emission tax and refunding of the tax revenue to consumers. If firms are symmetric, the equivalence result holds even without tradable permits. |
| Keywords: | carbon pricing, electrification, the second best |
| JEL: | Q58 Q48 L51 |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:kgu:wpaper:188&r=all |
| By: | Mengfei Jiang (Centre for Business and Climate Change, University of Edinburgh Business School, Edinburgh,); Xi Liang (Centre for Business and Climate Change, University of Edinburgh Business School, Edinburgh); David Reiner (Cambridge Judge Business School, University of Cambridge); Boqiang Lin (China Center for Energy Economics Research, Xiamen University, Xiamen, China); Maosheng Duan (Institute of Energy, Environment and Economy, Tsinghua University, Beijing, China) |
| Keywords: | Emissions trading, China, Carbon pricing; Guangdong ETS pilot; Stakeholder survey; Climate change policy; Low-carbon policy interactions |
| JEL: | H23 Q58 N45 Q48 Q54 |
| Date: | 2018–02 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1805&r=all |
| By: | David M. Newbery (Energy Policy Research Group (EPRG) Judge Business School & Faculty of Economics Cambridge University); David M. Reiner (Energy Policy Research Group (EPRG) Judge Business School & Faculty of Economics Cambridge University); Robert A. Ritz (Energy Policy Research Group (EPRG) Judge Business School & Faculty of Economics Cambridge University) |
| Keywords: | Carbon pricing, electricity markets, market failure, policy failure, political economy, price floor, price corridor |
| JEL: | H23 L94 Q48 Q54 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1816&r=all |
| By: | Thomas P. Tangerås (Research Institute of Industrial Economics (IFN), Stockholm, Sweden and Energy Policy Research Group (EPRG), University of Cambridge) |
| Keywords: | Capacity mechanism, decentralized policy making, multinational electricity market, network investment, security of supply |
| JEL: | D24 H23 L94 Q48 |
| Date: | 2017–04 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1707&r=all |
| By: | Xiaoping He (China Center for Energy Economics Research, School of Economics, Xiamen University, China); David Reiner (Energy Policy Research Group, Judge Business School, University of Cambridge.) |
| Keywords: | Consumer switching; services market participation; household engagement; multivariate probit; UK retail gas and electricity markets; information and knowledge effects |
| JEL: | C25 D21 Q49 R29 |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1835&r=all |
| By: | Clay, Karen (Carnegie Mellon University); Lewis, Joshua (University of Montreal); Severnini, Edson R. (Carnegie Mellon University) |
| Abstract: | Disparities in cross-city pandemic severity during the 1918 Influenza Pandemic remain poorly understood. This paper uses newly assembled historical data on annual mortality across 438 U.S. cities to explore the determinants of pandemic mortality. We assess the role of three broad factors: i) pre-pandemic population health and poverty, ii) air pollution, and iii) the timing of onset and proximity to military bases. Using regression analysis, we find that cities in the top tercile of the distribution of pre-pandemic infant mortality had 21 excess deaths per 10,000 residents in 1918 relative to cities in the bottom tercile. Similarly, cities in the top tercile of the distribution of proportion of illiterate residents had 21.3 excess deaths per 10,000 residents during the pandemic relative to cities in the bottom tercile. Cities in the top tercile of the distribution of coal-fired electricity generating capacity, an important source of urban air pollution, had 9.1 excess deaths per 10,000 residents in 1918 relative to cities in the bottom tercile. There was no statistically significant relationship between excess mortality and city proximity to World War I bases or the timing of onset. Together the three statistically significant factors accounted for 50 percent of cross-city variation in excess mortality in 1918. |
| Keywords: | influenza, pandemic, mortality, air pollution |
| JEL: | N32 N52 N72 Q40 Q53 O13 |
| Date: | 2019–02 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp12177&r=all |
| By: | Michael G. Pollitt (Energy Policy Research Group University of Cambridge); Lewis Dale (National Grid) |
| Keywords: | Chinese power market reform; industrial electricity price; electricity liberalization |
| JEL: | L94 |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1839&r=all |
| By: | Paul Simshauser (Griffith Business School, Griffith University) |
| Keywords: | Variable Renewable Energy, Contracts-for-Differences, Hedge Contracts |
| JEL: | D52 D53 G12 L94 Q40 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1901&r=all |
| By: | Ibrahim Abada (ENGIE); Andreas Ehrenmann (ENGIE, EPRG); Xavier Lambin (ENGIE and Toulouse Schoolf of Economics) |
| Keywords: | Energy communities, Cooperative game theory, Decentralized power production, Consumer participation, Micro-grids |
| JEL: | C71 Q42 Q48 Q55 Q21 |
| Date: | 2017–10 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1716&r=all |
| By: | Michael Grubb; David Newbery |
| Keywords: | Electricity market design, capacity auctions, renewables support |
| JEL: | L94 D44 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1817&r=all |
| By: | Elham Erfanian (Regional Research Institute, West Virginia University); Alan R. Collins (Division of Resource Economics and Management, West Virginia University) |
| Abstract: | According to the World Health Organization, 235 million people around the world currently suffer from asthma, which includes approximately 25 million in the United States. There is substantial epidemiological evidence indicating linkages between outdoor air pollution and asthma symptoms, more specifically between concentrations of particulate matter and asthma. Using county level data for 2001-2014, a spatial panel framework is imposed based upon prevailing wind patterns to investigate the direct and indirect impacts of PM2.5 concentration levels on asthma hospitalization in Pennsylvania. This model controls for population density, precipitation, smoking rate, and population demographic variables. Results show that PM2.5 concentrations as measured at the county level have positive direct and indirect effects on asthma hospitalization. A one-unit increase in PM2.5 in one Pennsylvania county will add, on average $1.29M ($754,656 direct and $539,040 indirect) to total annual asthma hospitalization costs with the state of Pennsylvania. This study highlights the need for realistic and accurate impact analyses of ambient air pollution on asthma that reflects the impacts on neighboring regions as well. In order to capture the spillover effects of health-related impacts from PM2.5 pollution, a wind direction algorithm to identify appropriate neighbors is important. |
| Keywords: | PM2.5 concentrations, Asthma, Spatial econometrics, Wind pattern weight matrix, Spillover effects |
| JEL: | Q53 I18 Q40 |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:rri:wpaper:2019wp01&r=all |
| By: | David M Newbery (Energy Policy Research Group, University of Cambridg) |
| Keywords: | renewables, market failures, locational signals, contract design |
| JEL: | D52 H23 L94 Q48 Q54 |
| Date: | 2017–12 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1719&r=all |
| By: | Ivana Capozza (OECD); Rachel Samson (Carist Consulting) |
| Abstract: | This paper provides a cross-country review of progress towards green growth in selected emerging market economies that are members or partners of the OECD. It draws on the country studies conducted within the OECD Environmental Performance Review Programme for Brazil, Chile, Colombia, Indonesia, Mexico, Peru, South Africa and Turkey between 2013 and 2019. It presents the main achievements in the countries reviewed, along with common trends and policy challenges. It provides insights into the effectiveness and efficiency of green growth policy frameworks and measures, which may provide useful lessons for other OECD and partner countries. |
| Keywords: | clean technology, environment and development, environmental policy, environmental taxes and subsidies, green growth, infrastructure, natural resources |
| JEL: | O13 O44 Q55 Q56 Q58 |
| Date: | 2019–03–15 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envddd:2019/1-en&r=all |
| By: | Michael Grubb (Energy and Climate Change, University College London); Jean-Francois Mercure (Environmental Science department, Radboud University, Nijmegen); Pablo Salas (University of Cambridge, CEENRG/Department of Land Economy); Rutger-Jan Lange (Erasmus School of Economics, Erasmus University Rotterdam); Ida Sognnaes (University of Cambridge, CEENRG/Department of Land Economy) |
| Keywords: | Innovation, path dependence, inertia, learning by doing, climate change abatement, endogenous technological change, energy systems |
| JEL: | B52 L50 O33 O38 Q40 Q54 |
| Date: | 2018–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1808&r=all |
| By: | Klinge Jacobsen, Henrik; Hevia-Koch, Pablo; Wolter, Christoph |
| Abstract: | Nearshore wind development has been seen as the cost reducing option that could shrink the cost gap between onshore and offshore development. The cost advantage is linked to more shallow water and shorter connection to shore even avoiding an offshore substation. Public tendering for offshore wind in Denmark has opened up for near-shore wind turbine farms as an alternative for lowering the cost of new offshore wind development. Whether these proposed near-shore locations will manage to significantly lower costs is not clear. The tenders have resulted in bids that are at comparable levels for the nearshore and the further offshore wind farms. We compare the cost drivers and possible cost differentials with preferences for locating wind farms further away from the coast. The main cost driver is water depth and in the Danish case water depth is increasing slowly or is not even correlated with the distance from shore. Therefore the willingness to pay for moving turbines away from the coast may be sufficiently high to balance the increased cost. The actual comparison of costs and willingness to pay must be carried out for the specific case with cost characteristics and willingness to pay by the affected population. |
| Keywords: | offshore wind; cost curve; cost drivers; preferences; nearshore |
| JEL: | Q4 Q42 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:92869&r=all |
| By: | Arjan S. Sidhu (Energy Policy Research Group University of Cambridge); Michael G. Pollitt (Energy Policy Research Group University of Cambridge); Karim L. Anaya (Energy Policy Research Group University of Cambridge) |
| Keywords: | electrical energy storage, battery, social cost benefit analysis |
| JEL: | L94 L98 Q48 D61 |
| Date: | 2017–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1710&r=all |
| By: | Eoghan O'Neill (Faculty of Economics University of Cambridge); Melvyn Weeks (Faculty of Economics and Clare College, University of Cambridge) |
| Keywords: | Machine learning, TOU tariffs, Smart metering, Household electricity demand |
| JEL: | Q41 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1906&r=all |
| By: | Brent Eldridge (Federal Energy Regulatory Commission§, Washington - Environmental Health and Engineering Department, Johns Hopkins University, Baltimore); Richard O'Neill (Federal Energy Regulatory Commission§, Washington, USA); Benjamin F. Hobbs (Environmental Health and Engineering Department, Johns Hopkins University, Baltimore.) |
| Keywords: | Unit commitment, nonconvex pricing, mixed integer programming, market design |
| JEL: | C60 C72 D44 L94 |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1840&r=all |
| By: | Michael G. Pollitt (Energy Policy Research Group University of Cambridge); Chung-Han Yang (Energy Policy Research Group University of Cambridge); Hao Chen (Energy Policy Research Group University of Cambridge) |
| Keywords: | power market reform, international experience, Guangdong, China, industrial electricity price |
| JEL: | L94 |
| Date: | 2018–02 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1807&r=all |
| By: | Jian-Xin Wu (College of Economics, Jinan University); Ling-Yun He (College of Economics, Jinan University and Nanjing University of Information Science and Technology); ZhongXiang Zhang (Tianjin University and China Academy of Energy, Environmental and Industrial Economics) |
| Abstract: | This paper examines the long-run relationship between income and urban air pollution using a joint distribution dynamics approach. This approach enables to estimate the transition process and long-run distribution and to examine the mechanisms behind the evolution process. The approach is applied to a unique panel data of CO2, SO2 and PM2.5 (particulate matter smaller than 2.5µm) for 286 Chinese cities over the period 2002-2014. Strong persistence in the transition dynamics suggests that this convergence process may require a long time. The distribution dynamics analyses indicate that multiple equilibria are the major characteristics in the long-run relationship between income and urban air pollution in China, which implies that inter-regional technology spillover may be an important way to accelerate convergence. Our results further support the existence of poverty-environmental trap in PM2.5 concentrations. Thus, new environmental models are expected to be developed to explain this new stylized fact. The findings provide strong support for taking more aggressive measures that consider income and urban environment simultaneously to reduce poverty and air pollutions together in the Chinese cities. |
| Keywords: | Income, Urban Air Pollution, Poverty-environment Trap, Distribution Dynamics Approach, China |
| JEL: | O13 O44 Q43 Q53 Q56 Q58 |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2019.05&r=all |
| By: | Mazzoni, Davide |
| Abstract: | Innovative business models supported by digital technologies, together with the widening connectivity and data collection, are already giving a big contribution in fostering the access to electricity and clean cooking in Sub-Saharan Africa. This paper gives an overview on the actual state of energy access in Sub-Saharan Africa and the current technologies used to provide it, followed by a description of the key trends and drivers of the ongoing African digital transformation. A deep analysis of the Pay-as-you-go business model in the off-grid solar sector will shed light on how this transformation started some years ago and the way it is affecting society in many ways. Strengths and opportunities — as well as weaknesses and risks of the model — are provided through a screening of the most representative business experiences in East and West Africa, financial aspects and market analysis. The perspective of both companies and end-users have been considered here. The last section gives recommendations to policy-makers on how to ride the wave of digitalization to foster the access to clean and reliable energy, by acting on the electrification planning, regulations, business environment, distribution channels and mobile money environment. |
| Keywords: | Resource /Energy Economics and Policy |
| Date: | 2019–03–19 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemfe:285024&r=all |
| By: | Paul Simshauser (Griffith Business School, Griffith University Energy Policy Research Group, University of Cambridge) |
| Keywords: | Resource Adequacy, Climate Change Policy, Electricity Prices |
| JEL: | D61 L94 L11 Q40 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1821&r=all |
| By: | Mike Brock (University of East Anglia) |
| Abstract: | Using tools from behavioural economics and psychology to establish non-financial ways to incentivise people to reduce domestic energy usage has become a popular and ever-expanding area of research. This study builds upon the existing literature by providing subjects with energy performance information at group-level in a controlled field experiment setting. Results suggest that the provision of relative information does stimulate energy-conserving behaviour, with this being most pronounced among those who held pre-trial preferences for sustainable living. These variations in usage and responsiveness indicate that the attitudes and structure of social groups are key drivers in determining the extent to which behavioural change is achievable. This in turn has relevance for energy policy, and implies that whilst both regulators and firms could improve consumer welfare and competition within the industry by issuing relative information on performance, the role of group cohesion and affiliation could heavily determine the magnitude of these benefits. |
| Keywords: | Energy Monitoring, Behavioural Nudges, Energy Economics, Group Co-ordination, Sustainability, Environmental Economics |
| JEL: | Q4 Q56 H31 L94 |
| Date: | 2018–01–30 |
| URL: | http://d.repec.org/n?u=RePEc:uea:ueaeco:2018_04&r=all |
| By: | Lapatinas, Athanasios; Garas, Antonios; Boleti, Eirini; Kyriakou, Alexandra |
| Abstract: | This paper analyzes the relationship between economic complexity and environmental performance using annual data on 88 developed and developing countries for the period of 2002-2012. We use the Economic Complexity Index, highlighting that a country’s productive structure is associated with the amount of knowledge and know-how embodied in the goods it produces. Measuring environmental performance through the Environmental Performance Index, we show that moving to higher levels of economic complexity leads to better environmental performance and therefore, that product sophistication does not induce environmental degradation. Nevertheless, the effect of economic complexity on air quality is negative, i.e., exposure to PM2.5 and CO2 emissions increases. These findings remain robust across alternative econometric specifications. Furthermore, we highlight the link between the complexity of products and environmental performance at the micro-level. We build two product-level indexes that link a product to the average level of (a) environmental performance and (b) air pollution (CO2 emissions) in the countries that export it. With these indexes, we illustrate how the development of more sophisticated products is associated with changes in environmental quality and show that the complexity of an economy captures information about the country’s level of pollution. |
| Keywords: | economic complexity; environmental performance; pollution; CO2 emissions |
| JEL: | C0 F1 F14 O1 Q5 |
| Date: | 2019–03–18 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:92833&r=all |
| By: | Stephen Littlechild (University of Birmingham, and Judge Business School, University of Cambridge) |
| Keywords: | retail energy markets, market power, efficient costs |
| JEL: | L94 L95 L51 |
| Date: | 2017–04 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1703&r=all |
| By: | Kathryn Chelminski (University of Cambridge Energy Policy Research Group and the Harvard Kennedy School Belfer Center) |
| Keywords: | clean energy development, development finance, energy policy, geothermal energy |
| JEL: | O13 Q42 N55 |
| Date: | 2018–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1803&r=all |
| By: | Szilard Benk (International Monetary Fund); Max Gillman (Department of Economics, University of Missouri-St. Louis) |
| Abstract: | Real oil prices surged from 2009 through 2014, comparable to the 1970s oil shock period. Standard explanations based on monopoly markup fall short since ination remained low after 2009. This paper contributes strong evidence of Granger (1969) predictability of nominal factors to oil prices, using one adjustment to monetary aggregates. This adjustment is the subtraction from the monetary aggregates of the 2008-2009 Federal Reserve borrowing of reserves from other Central Banks (Swaps), made after US reserves turned negative. This adjustment is key in that Granger predictability from standard monetary aggregates is found only with the Swaps subtracted. |
| Keywords: | Oil Price Shocks, Granger Predictability, Monetary Base, M1 Divisia, Swaps, Ination. |
| JEL: | Q43 E51 E52 |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:msl:workng:1016&r=all |
| By: | Tooraj Jamasb (Durham University Business School, Durham University); Manuel Llorca (Durham University Business School, Durham University); Pavan Khetrapal (Department of Electrical Engineering, National Institute of Technology, MANIT-Bhopal, India); Tripta Thakur (Department of Electrical Engineering, National Institute of Technology, MANIT-Bhopal, India) |
| Keywords: | Quality of state institutions; electricity distribution in India; heteroscedastic stochastic frontier models; inefficiency determinants. |
| JEL: | D22 L51 L94 O43 |
| Date: | 2018–03 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1809&r=all |
| By: | Mike Brock (University of East Anglia); Natalia Borzino (ETH Zurich) |
| Abstract: | Improving the efficiency with which people consume domestic energy has become a show-piece of how behavioural psychology can be applied to the field of environmental economics. This study builds upon the literature by providing subjects with energy performance information at group-level in a controlled field experiment setting. Its novelty is that it seeks to test the persistence of energy-saving habits, whether extrinsic incentives accentuate or crowd-out a motivation to save energy, and how heterogeneity in environmental attitudes impact upon action. Results suggest that providing relative information does stimulate energy-conserving behaviour, with this being most effective among those who held pre-trial preferences for sustainable living. However, the treatment variations indicate that subjects regularly fail to maintain ‘good habits’ once an intervention stops. Furthermore, we find evidence to imply that rewarding groups in this competitive environment may create perverse long-run effects. This has an important relevance for energy policy: whilst providing relative information could improve both consumer welfare and energy demand forecasting, the timescale, frequency and mechanism by which this is undertaken requires careful scrutiny and planning if these potential benefits are to be maximised and undesirable side effects prevented. |
| Keywords: | Behavioural Nudging, Extrinsic Motivation, Energy Economics, Group Co-ordination, Sustainability, Environmental Economics |
| JEL: | Q4 Q56 H31 L94 |
| Date: | 2018–01–30 |
| URL: | http://d.repec.org/n?u=RePEc:uea:ueaeco:2018_02&r=all |
| By: | Juha Teirilä (Department of Economics, University Oulu, Finland); Robert A. Ritz (Judge Business School & Energy Policy Research Group, University of Cambridge.) |
| Keywords: | capacity market, strategic behaviour, competitive benchmark analysis, restructured electricity market, auction design |
| JEL: | D44 H57 L13 L94 |
| Date: | 2018–10 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1833&r=all |
| By: | J. Scott Holladay (Department of Economics, University of Tennessee); Mohammed Mohsin (Department of Economics, University of Tennessee); Shreekar Pradhan (King Abdullah Petroleum Studies And Research Center) |
| Abstract: | We develop a dynamic stochastic general equilibrium model to understand how environmental policy instrument choice affects trade. We extend the existing literature by employing an open economy model to evaluate three environmental policy instruments: cap-and-trade, pollution taxes, and an emissions intensity standard in the face of two types of exogenous shocks. We calibrate the model to Canadian data and simulate productivity and import price shocks. We evaluate the evolution of key macroeconomic variables, including the trade balance in response to the shocks under each policy instrument. Our findings for the evolution of output and emissions under a productivity shock are consistent with previous closed economy models. Our open economy framework allows us to find that a cap-and-trade policy dampens the international trade effects of the business cycle relative to an emissions tax or intensity standard. Under an import shock, pollution taxes and intensity targets are as effective as cap-and-trade policies in reducing variance in consumption and employment. The cap-and-trade policy limits the intensity of the import competition shock suggesting that particular policy instrument might serve as a barrier to trade. |
| Keywords: | Environmental policy, Import competition, Business cycles, Macroeconomic dynamics, Open economy |
| JEL: | Q54 E32 |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:ten:wpaper:2019-01&r=all |
| By: | Karim L. Anaya (Energy Policy Research Group, Judge Business School, University of Cambridge); Michael G. Pollitt (Energy Policy Research Group, Judge Business School, University of Cambridge.) |
| Keywords: | reactive power, system operators, distributed energy resources, procurement methods, auction market design |
| JEL: | L51 Q40 Q48 |
| Date: | 2018–10 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1829&r=all |
| By: | M. R. Hesamzadeh (Electricity Market Research Group (EMReG), KTH Royal Institute of Technology, Sweden); P. Holmberg (Research Institute of Industrial Economics (IFN), Sweden -Energy Policy Research Group (EPRG), University of Cambridge); M. Sarfati (Energy Policy Research Group (EPRG), University of Cambridge) |
| Keywords: | Two-stage game, Zonal pricing, Wholesale electricity market, Bilinear programming |
| JEL: | C61 C63 C72 D43 L13 L94 |
| Date: | 2018–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1813&r=all |
| By: | Donato A. Melchiorre; Sinan Küfeoglu |
| Keywords: | electric vehicles; battery; vehicle-to-home systems; tariffs |
| JEL: | L94 |
| Date: | 2018–10 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1830&r=all |
| By: | Karim L. Anaya (Energy Policy Research Group University of Cambridge); Michael G. Pollitt (Energy Policy Research Group University of Cambridge) |
| Keywords: | Independent System Operator, Electricity, Regulation |
| JEL: | L94 |
| Date: | 2017–12 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1718&r=all |
| By: | Paul Nillesen (Strategy& (part of PwC) Dansk Energi, PwC, Cambridge University); Michael G. Pollitt (Energy Policy Research Group, Judge Business School University of Cambridge) |
| Keywords: | electricity distribution, ownership unbundling |
| JEL: | L94 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1905&r=all |
| By: | Ibrahim Abada (ENGIE); Andreas Ehrenmann (ENGIE, EPRG); Xavier Lambin (Toulouse School of Economics) |
| Keywords: | Energy communities, Cooperative game theory, Non-cooperative game theory, Decentralized power production, Consumer participation, Micro-grids |
| JEL: | C61 C71 C72 D61 O13 Q42 Q49 |
| Date: | 2018–04 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1812&r=all |
| By: | Peiyang Guo (Department of Electrical and Electronic Engineering, The University of Hong Kong, Hong Kong); Jacqueline CK Lam (Department of Electrical and Electronic Engineering, The University of Hong Kong, Hong Kong); Victor OK Li (Department of Electrical and Electronic Engineering, The University of Hong Kong, Hong Kong) |
| Keywords: | Time-based electricity pricing, price responsiveness, high-potential users, variable selection, Time of Use, machine learning |
| JEL: | Q41 |
| Date: | 2018–08 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1824&r=all |
| By: | Paul Simshauser (Griffith Business School, Griffith University Energy Policy Research Group, University of Cambridge) |
| Keywords: | Price discrimination, electricity prices, jawboning |
| JEL: | D4 L5 L9 Q4 |
| Date: | 2018–09 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1827&r=all |
| By: | Victor Ahlqvist (Research Institute of Industrial Economics (IFN), Stockholm); Pär Holmberg (Research Institute of Industrial Economics (IFN), Stockholm. Energy Policy Research Group (EPRG), University of Cambridge. Program on Energy and Sustainable Development (PESD), Stanford University.); Thomas Tangerås (Research Institute of Industrial Economics (IFN), Stockholm. Energy Policy Research Group (EPRG), University of Cambridge. Program on Energy and Sustainable Development (PESD), Stanford University.) |
| Keywords: | wholesale electricity markets, market clearing, centralization, decentralization, unit-commitment, self-dispatch |
| JEL: | D44 L13 L94 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1902&r=all |
| By: | Duro Moreno, Juan Antonio; Giménez Gómez, José M. (José Manuel); Vilella, Cori |
| Abstract: | This paper proposes to use claims models as a reasonable and operative alternative in order to allocate CO2 emissions by countries (or groups), in the framework of multilateral negotiations and the fight against climate change. This framework has two characteristics which fits this type of claims models: a restrictive global endowment (the maximum world emissions permitted) and the excess of emissions (and demand) by countries. The proposed methodology consists on establishing some requirements that any admissible distribution solution should satisfy, examining a broad group of theoretical distribution solutions emerged from the specific literature and analyzing their application according to reasonable ordering criteria linked to equity and stability properties. The proposed theoretical framework is applied empirically to an analysis by groups of countries in the period 2010- 2050, using various world endowments from Meinshausen et al. (2009), together with claims forecasts associated with the RCP scenarios. The results obtained point out that for intermediate claims scenarios the solutions associated with the constrained equal awards (CEA) and α-minimal (α-min) solutions are typically selected. In particular, these two solutions are clearly equity-sensitive, where the efforts to be made by Asia and OECD are very important, as a whole, and especially in the case of the CEA. Given these circumstances, and the better balance between equity and proportionality associated to the α-min allocation methodology maybe that one would be more operative and acceptable. Keywords: Carbon emissions, claims problem, climate change policy JEL classification: D7, H4, H8, Q58, Q54 |
| Keywords: | Emissions atmosfèriques, Canvis climàtics -- Política governamental, 32 - Política, 504 - Ciències del medi ambient, |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:urv:wpaper:2072/351585&r=all |
| By: | Michael G. Pollitt (Energy Policy Research Group University of Cambridge) |
| Keywords: | electricity single market, decarbonisation |
| JEL: | L94 |
| Date: | 2018–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1815&r=all |
| By: | Thomas Greve (Faculty of Economics, University of Cambridge); Fei Teng (Imperial College London, MINES ParisTech, PSL Research University); Michael Pollitt (Faculty of Economics, University of Cambridge); Goran Strbac (Imperial College London) |
| Keywords: | Utility function, ancillary services, system operator, energy storage, VCG mechanism |
| JEL: | D44 L94 |
| Date: | 2017–07 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1713&r=all |
| By: | Paul Simshauser (Griffith Business School, Griffith University Energy Policy Research Group, University of Cambridge); Alexandr Akimov (Griffith Business School, Griffith University.) |
| Keywords: | Electricity Utilities, Falling Demand, Stranded Assets |
| JEL: | D4 L5 L9 Q4 |
| Date: | 2018–08 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1828&r=all |
| By: | M. Sarfati (Electricity Market Research Group (EMReG), KTH Royal Institute of Technology, Sweden -Research Institute of Industrial Economics (IFN), Sweden); M.R. Hesamzadeh (Electricity Market Research Group (EMReG), KTH Royal Institute of Technology, Sweden.); P. Holmberg (Research Institute of Industrial Economics (IFN), Sweden - Energy Policy Research Group (EPRG), University of Cambridge, UK - Program on Energy and Sustainable Development (PESD), Stanford University, CA, USA) |
| Keywords: | Modified Benders decomposition, Multiple Subgame Perfect Nash equilibria, Parallel computing, Wholesale electricity market, Zonal pricing |
| JEL: | C61 C63 C72 D43 L13 L94 |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1838&r=all |
| By: | Sinan Küfeoglu (Energy Policy Research Group University of Cambridge); Michael Pollitt (Energy Policy Research Group University of Cambridge) |
| Keywords: | distribution; network; tariff; PV; EV |
| JEL: | L94 |
| Date: | 2018–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1814&r=all |
| By: | Ekaterina Abramova; Derek Bunn |
| Abstract: | This paper formulates dynamic density functions, based upon skewed-t and similar representations, to model and forecast electricity price spreads between different hours of the day. This supports an optimal day ahead storage and discharge schedule, and thereby facilitates a bidding strategy for a merchant arbitrage facility into the day-ahead auctions for wholesale electricity. The four latent moments of the density functions are dynamic and conditional upon exogenous drivers, thereby permitting the mean, variance, skewness and kurtosis of the densities to respond hourly to such factors as weather and demand forecasts. The best specification for each spread is selected based on the Pinball Loss function, following the closed form analytical solutions of the cumulative density functions. Those analytical properties also allow the calculation of risk associated with the spread arbitrages. From these spread densities, the optimal daily operation of a battery storage facility is determined. |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1903.06668&r=all |
| By: | Pengcheng You; Dennice F. Gayme; Enrique Mallada |
| Abstract: | Two-stage electricity market clearing is designed to maintain market efficiency under ideal conditions, e.g., perfect forecast and nonstrategic generation. This work demonstrates that the individual strategic behavior of inelastic load participants in a two-stage settlement electricity market can deteriorate efficiency. Our analysis further implies that virtual bidding can play a role in alleviating this loss of efficiency by mitigating market power of strategic load participants. We use real-world market data from New York ISO to validate our theory. |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1903.08341&r=all |
| By: | M. Sarfati (Electricity Market Research Group (EMReG), KTH Royal Institute of Technology, Sweden - Research Institute of Industrial Economics (IFN), Sweden); M.R. Hesamzadeh (Electricity Market Research Group (EMReG), KTH Royal Institute of Technology, Sweden.); P. Holmberg (Research Institute of Industrial Economics (IFN), Sweden -Energy Policy Research Group (EPRG), University of Cambridge, UK -Program on Energy and Sustainable Development (PESD), Stanford University, CA, USA) |
| Keywords: | Two-stage game, Zonal pricing, Two-stage equilibrium problem with equilibrium constraints, Wholesale electricity market |
| JEL: | C61 C63 C72 D43 L13 L94 |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1837&r=all |
| By: | Mahmud I. Imam (Durham University Business School, Durham University); Tooraj Jamasb (Durham University Business School, Durham University); Manuel Llorca (Durham University Business School, Durham University) |
| Keywords: | electricity sector reform; corruption; Sub-Saharan Africa; panel data; dynamic GMM |
| JEL: | Q48 D02 K23 D73 |
| Date: | 2018–05 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1801&r=all |
| By: | Jacqueline CK Lam (Department of Electrical and Electronic Engineering, The University of Hong Kong, Pokfulam, Hong Kong -Energy Policy Research Group, Judge Business School, The University of Cambridge); Victor OK Li (Department of Electrical and Electronic Engineering, The University of Hong Kong, Pokfulam, Hong Kong-Energy Policy Research Group, Judge Business School, The University of Cambridge); David M. Reiner (Energy Policy Research Group, Judge Business School, The University of Cambridge); Yang Han (Department of Electrical and Electronic Engineering, The University of Hong Kong, Pokfulam, Hong Kong); Shan Shan Wang (Department of Electrical and Electronic Engineering, The University of Hong Kong, Pokfulam, Hong Kong) |
| Keywords: | Nuclear power, risk perceptions, government trust, nuclear safety governance |
| JEL: | D81 Q42 Q48 |
| Date: | 2018–04 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1811&r=all |
| By: | Mehmet Balcilar (Department of Economics, Eastern Mediterranean University, Famagusta, via Mersin 10, Northern Cyprus, Turkey; Department of Economics, University of Pretoria, Pretoria, 0002, South Africa; Montpellier Business School, Montpellier, France.); Rangan Gupta (Department of Economics, University of Pretoria, Pretoria, South Africa); Shixuan Wang (Department of Economics, University of Reading, Reading, RG6 6AA, United Kingdom); Mark E. Wohar (College of Business Administration, University of Nebraska at Omaha, 6708 Pine Street, Omaha, NE 68182, USA, and School of Business and Economics, Loughborough University, Leicestershire, LE11 3TU, UK.) |
| Abstract: | In this paper, we analyze the predictability of the movements of bond premia of US Treasury due to oil price uncertainty over the monthly period 1953:06 to 2016:12. For our purpose, we use a higher order nonparametric causality-in-quantiles framework, which in turn, allows us to test for predictability over the entire conditional distribution of not only bond returns, but also its volatility, by controlling for misspecification due to uncaptured nonlinearity and structural breaks, which we show to exist in our data. We find that oil uncertainty not only predicts (increases) US bond returns, but also its volatility, with the effect on the latter being stronger. In addition, oil uncertainty tends to have a stronger impact on the shortest and longest maturities (2- and 5-year), and relatively weaker impact on bonds with medium-term (3- and 4-year) maturities. Our results are robust to alternative measures of oil market uncertainty and bond market volatility. |
| Keywords: | Oil Price Uncertainty, Bond Returns and Volatility, Higher-Order Nonparametric Causality-in-Quantiles Test |
| JEL: | C22 G12 Q02 |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:pre:wpaper:201919&r=all |
| By: | Geoffroy Dolphin (Cambridge Judge Business School and Energy Policy Research Group, University of Cambridge); Michael G. Pollitt (Cambridge Judge Business School and Energy Policy Research Group, University of Cambridge) |
| Keywords: | international spillovers, trade, carbon pricing |
| JEL: | F18 Q56 Q58 |
| Date: | 2018–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1802&r=all |
| By: | Richard Elkhan Sadik-Zada (Ruhr-Universität Bochum, University of the Western-Cape and Cambridge University); Andrea Gatto (Department of Economic & Legal Studies (DISEG)) |
| Abstract: | This paper investigates the major drivers of the public debt growth in 184 countries. Our analysis consists in a cross-country survey, which is conducted on the basis of the improved compilation of datasets on the central government debt for 2013. In order to differentiate between developing/transition and advanced countries, we generate dummy variables for the different country groups. Following existing literature, we employ military expenditure as a share of GNP, as a proxy of existent or potential conflict, induced driver of the public expenditure. The study finds that oil abundance, economic growth rate, the share of mineral rent in the total revenue, interest rate payments for foreign borrowings, and developing country dummy have statistically significant impact on the growth of the public debt. In contrast, defense spending, unemployment rate, and inflation rate do not have a statistically significant positive impact on the public debt rate. |
| Keywords: | Fiscal Policy, Public Debt, Gross Capital Formation, Sovereign Wealth Funds, Oil Exporters |
| JEL: | F21 F34 F36 G15 H6 N1 F3 |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:fem:femwpa:2019.04&r=all |
| By: | Manuel Llorca (Durham University Business School, Durham University); Ana Rodríguez-Álvarez (Oviedo Efficiency Group, Department of Economics, University of Oviedo, Spain); Tooraj Jamasb (Durham University Business School, Durham University.) |
| Keywords: | Fuel poverty in Spain; self-assessed health; latent class ordered probit model. |
| JEL: | C01 C25 I14 I32 Q43 |
| Date: | 2018–08 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1823&r=all |
| By: | William J. Nuttall (Energy at The Open University, Milton Keynes); Constantine Samaras (Carnegie Mellon University, Pittsburgh,USA); Morgan Bazilian (Center for Strategic and International Studies, and the Payne Institute at the Colorado School of Mines.) |
| Keywords: | Energy Technology; Defense Policy; Innovation |
| JEL: | F50 H56 Q20 N42 N44 Q40 |
| Date: | 2017–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1717&r=all |
| By: | Sinan Küfeoglu (Energy Policy Research Group University of Cambridge); Michael Pollitt (Energy Policy Research Group University of Cambridge); Karim Anaya (Energy Policy Research Group University of Cambridge) |
| Keywords: | distribution system operator; DSO; market platform; transmission system operator; TSO |
| JEL: | L94 |
| Date: | 2018–08 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1826&r=all |
| By: | Nicholas Moehle; Enzo Busseti; Stephen Boyd; Matt Wytock |
| Abstract: | We present a unified method, based on convex optimization, for managing the power produced and consumed by a network of devices over time. We start with the simple setting of optimizing power flows in a static network, and then proceed to the case of optimizing dynamic power flows, i.e., power flows that change with time over a horizon. We leverage this to develop a real-time control strategy, model predictive control, which at each time step solves a dynamic power flow optimization problem, using forecasts of future quantities such as demands, capacities, or prices, to choose the current power flow values. Finally, we consider a useful extension of model predictive control that explicitly accounts for uncertainty in the forecasts. We mirror our framework with an object-oriented software implementation, an open-source Python library for planning and controlling power flows at any scale. We demonstrate our method with various examples. Appendices give more detail about the package, and describe some basic but very effective methods for constructing forecasts from historical data. |
| Date: | 2019–03 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1903.06230&r=all |
| By: | Niyazi Gündüz (Department of Electrical Engineering and Automation, Aalto University, Espoo, Finland); Sinan Küfeoglu (Energy Policy Research Group, Judge Business School, University of Cambridge, Cambridge.); Christian Winzer (Center for Energy and Environment, School of Management and Law, Zurich University of Applied Sciences , Zurich, Switzerland.); Matti Lehtonen (Department of Electrical Engineering and Automation, Aalto University, Espoo, Finland.) |
| Keywords: | electric power outages, security of supply, customers, interruption, cost, DSO, compensation |
| JEL: | L15 L51 L94 |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1822&r=all |
| By: | Eloi Laurent (Observatoire français des conjonctures économiques) |
| Abstract: | Il y a quelque chose de profondément rassurant à voir l’ampleur grandissante des marches pour le climat dans plusieurs pays du globe. Une partie de la jeunesse prend conscience de l’injustice qu’elle subira de plein fouet du fait de choix sur lesquels elle n’a pas (encore) de prise. Mais la reconnaissance de cette inégalité intergénérationnelle se heurte au mur de l’inégalité intra-générationnelle : la mise en œuvre d’une véritable transition écologique ne pourra pas faire l’économie de la question sociale ici et maintenant et notamment de l’impératif de réduction des inégalités. Autrement dit, la transition écologique sera sociale-écologique ou ne sera pas. C’est le cas en France, où la stratégie écologique nationale, à 90% inefficace aujourd’hui, doit être revue de fond en comble, comme proposé dans le nouveau Policy Brief de l’OFCE (n° 52, 21 février 2019). [Premier paragraphe] |
| Keywords: | Fiscalité carbone; Indicateurs alternatifs de richesse; Justice alimentaire; Pollution urbaine; Transition écologique |
| Date: | 2019–02 |
| URL: | http://d.repec.org/n?u=RePEc:spo:wpmain:info:hdl:2441/93e055ebb8ada11aa55s0cdjo&r=all |
| By: | Jacqueline CK Lam (Department of Electrical and Electronic Engineering, The University of Hong Kong, Hong Kong); Lawrence YL Cheung (Department of Linguistics and Modern Languages, The Chinese University of Hong Kong, Shatin, NT, Hong Kong .); Y. Han (Department of Electrical and Electronic Engineering, The University of Hong Kong, Hong Kong); SS Wang (Department of Electrical and Electronic Engineering, The University of Hong Kong, Hong Kong) |
| Keywords: | nuclear safety, media focus, computational text analysis, regulatory governance, safety management |
| JEL: | C89 Q42 Q48 |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1834&r=all |
| By: | Tooraj Jamasb (Durham University Business School, Durham University); Manuel Llorca (Durham University Business School, Durham University.) |
| Keywords: | energy systems integration; economic principles; regulation; business models. |
| JEL: | D4 L1 L5 L9 M2 Q4 |
| Date: | 2019–01 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1903&r=all |
| By: | Sinan Küfeoglu (Energy Policy Research Group, Judge Business School, University of Cambridge); Niyazi Gündüz (Department of Electrical Engineering and Automation, Aalto University, Espoo, Finland.); Hao Chen (Center for Energy and Environmental Policy, Beijing Institute of Technology, Beijing, China.); Matti Lehtonen (Department of Electrical Engineering and Automation, Aalto University, Espoo, Finland.) |
| Keywords: | power interruption; distribution system operator; interruption cost; shadow price |
| JEL: | L42 |
| Date: | 2018–08 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1825&r=all |
| By: | Natalia Vechiu (CRET-LOG - Centre de Recherche sur le Transport et la Logistique - AMU - Aix Marseille Université) |
| Abstract: | In this paper, we focus on the relationship between foreign direct investment, environmental norms and consumers' ecological preferences. This empirical study is based on previous theoretical models showing that weak unilateral environmental regulations create pollution havens attracting FDIs, which leads to even more pollution. However, our first non parametrical estimations on data coming from both developed and developing countries show that outward FDIs decrease with local consumers' "greenness". This is further confirmed by a deeper analysis, showing that home and host consumers' "greenness" has a very strong negative impact on outward FDIs. The results also show that consumers' "greenness" may act as a counterweight to the pollution haven effect. |
| Date: | 2018–02 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-02059992&r=all |
| By: | Seung Wan Kim (Energy Policy Research Group, Cambridge Judge Business School, University of Cambridge -aEnergy Policy Research Group, Cambridge Judge Business School, University of Cambridge, Trumpington Street, Cambridge CB1 1AG, UK bElectric Power Network Economics); Michael G. Pollitt (Energy Policy Research Group, Cambridge Judge Business School, University of Cambridge); Young Gyu Jin (Power System Economics Laboratory, Department of Electrical Engineering, Jeju National University, Jeju-island, Republic of Korea); Jip Kim (Electric Power Network Economics Laboratory, Department of Electrical and Computer Engineering, Seoul National University, bElectric Power Network Economics Laboratory, Department of Electrical and Computer Engineering, Seoul National University, 1 Gwan); Yong Tae Yoon (Electric Power Network Economics Laboratory, Department of Electrical and Computer Engineering, Seoul National University, Republic of Korea) |
| Keywords: | System Balancing Responsibility, Devolution Principle, Cost-causality Principle, System Balancing Cost Allocation, Risk Hedging Contract |
| JEL: | D21 G22 L94 |
| Date: | 2017–10 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1715&r=all |
| By: | Felix Grey (Faculty of Economics & Energy Policy Research Group Cambridge University); Robert A. Ritz (Faculty of Economics & Energy Policy Research Group Cambridge University) |
| Keywords: | Cost pass-through, regulation, carbon pricing, airlines, political economy |
| JEL: | D43 H23 L51 L92 Q54 |
| Date: | 2018–10 |
| URL: | http://d.repec.org/n?u=RePEc:enp:wpaper:eprg1831&r=all |