|
on Energy Economics |
| By: | Mathias Mier; Jacqueline Adelowo; Christoph Weissbart |
| Abstract: | Current decarbonization policies neglect damages from local air pollutants. We analyze the trade-off between complementary taxation of carbon emissions and local air pollution. We quantify results for the European power market until 2050. Taxing only air pollution results in social cost of 5,890 billion € and fosters nuclear deployment. Taxing only carbon yields social cost of 716 billion € and promotes CCS deployment. Taxing both yields cost of 1,118 billion €. Moderate carbon taxation can be complementary to a primary policy of air pollution abatement. On the contrary, a primary policy of decarbonization stands in trade-off with air pollution abatement in the long-term. |
| Keywords: | Taxation, social cost, air pollution, carbon emission, externality, energy system model, power market model, decarbonization |
| JEL: | C61 H21 H23 H43 L94 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ifowps:_375&r= |
| By: | Mathias Mier; Jacqueline Adelowo |
| Abstract: | Energy system and power market models refrain from distinguishing between private and social discount rates. We devise a strategy to account for diverging private and social discount rates in intertemporal optimization frameworks, resulting in an optimal carbon tax above the marginal damage when private discount rates exceed the social one. We quantify results for the European power market until 2050. Not distinguishing between private and social discount rates yields carbon emissions of 0.83 Gt in 2050 with rising trend from 2020 onwards. Distinguishing between private and social discount rates achieves full decarbonization (–0.15 Gt in 2050) and avoids damages of 1,386 billion € until 2050. Results explain missing investments of firms and suggest that policymakers should announce high future carbon prices to incentivize sufficient investments into clean technologies. |
| Keywords: | Carbon taxation, discounting, social cost, carbon emission, externality, intertemporal optimization, power market model, decarbonization |
| JEL: | C61 H21 H23 H43 L94 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ifowps:_374&r= |
| By: | Burke, Andrew; Miller, Marshall; Sinha, Anish; Fulton, Lewis |
| Abstract: | This study evaluates the economics of various types and classes of medium-duty and heavy-duty battery-electric and hydrogen fuel cell vehicles relative to the corresponding diesel-engine powered vehicle for 2020-2040. The study includes: large passenger vans, class 3 city delivery vans, class 4 step city delivery trucks, class 6 box trucks, class 7 box trucks, class 8 box trucks, city transit buses, long haul tractor trailer trucks, city short haul tractor trailer delivery trucks, inter-city buses, and HD pickup trucks. Typical designs were formulated for each vehicle type in terms of its road driving and load characteristics and powertrain and energy storage components. The performance and energy consumption of the electrified trucks were simulated for appropriate driving cycles using the ADVISOR simulation program. The vehicle design characteristics were varied over 2020-2040 to reflect expected technology improvements. The study then focused on estimating the initial cost and total cost of ownership (TCO) for each vehicle type over the initial 5-year period and the 15-year lifetime and calculating payback periods. Calculations were done for 2020, 2025, 2030, 2035, and 2040. The analysis particularly focuses on 2025 and 2030 since these are the most relevant years for initial market penetration. For both battery and fuel cell vehicles, thanks to technology cost reductions, the initial cost generally decreases markedly in the period 2020-2030 and more modestly for 2030-2040. Assuming fairly constant electric prices, declining hydrogen prices, and slowly rising diesel prices, TCOs for the various electrified truck types typically become less than that of the corresponding diesel truck before the initial cost of the electrified trucks gets close to that for the diesel truck. For most battery-electric truck types, TCO competitiveness occurs by 2025. For that year, the payback time for most truck types is 4-6 years and is less than 4 years by 2030. Fuel cell vehicles take longer to pay back due mainly to hydrogen fuel costs remaining above diesel prices on an energy basis. Fuel cell truck payback times of 3-5 years by 2030 can be achieved if the cost of hydrogen in that year is reduced below $7/kg. Fuel cell buses have payback times of less than one year in 2030. By 2030, the purchase cost of most types of both battery-electric and hydrogen fuel cell trucks is close to that of the corresponding diesel vehicle and TCOs are competitive as long as battery costs and fuel cell costs drop per our expectations along with moderate electricity and hydrogen costs. The cost sensitivity results indicated these conclusions were not significantly changed by reasonable variations in the major cost inputs (battery, fuel cell, hydrogen, electricity and diesel fuel) assumed in the economic analyses. |
| Keywords: | Social and Behavioral Sciences |
| Date: | 2022–08–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt1g89p8dn&r= |
| By: | Chunmeng Yang; Siqi Bu; Yi Fan; Wayne Xinwei Wan; Ruoheng Wang; Aoife Foley |
| Abstract: | The paper contains the online supplementary materials for "Data-Driven Prediction and Evaluation on Future Impact of Energy Transition Policies in Smart Regions". We review the renewable energy development and policies in the three metropolitan cities/regions over recent decades. Depending on the geographic variations in the types and quantities of renewable energy resources and the levels of policymakers' commitment to carbon neutrality, we classify Singapore, London, and California as case studies at the primary, intermediate, and advanced stages of the renewable energy transition, respectively. |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2208.01433&r= |
| By: | Badr Eddine Lebrouhi (SIAME - Laboratoire des Sciences de l'Ingénieur Appliquées à la Mécanique et au génie Electrique - UPPA - Université de Pau et des Pays de l'Adour, EMI - Ecole Mohammadia d'Ingénieurs); Eric Schall (SIAME - Laboratoire des Sciences de l'Ingénieur Appliquées à la Mécanique et au génie Electrique - UPPA - Université de Pau et des Pays de l'Adour); Bilal Lamrani (Faculté des sciences de Rabat); Yassine Chaibi (UMI - Université Moulay Ismail); Tarik Kousksou (SIAME - Laboratoire des Sciences de l'Ingénieur Appliquées à la Mécanique et au génie Electrique - UPPA - Université de Pau et des Pays de l'Adour) |
| Abstract: | To address the climate emergency, France is committed to achieving carbon neutrality by 2050. It plans to significantly increase the contribution of renewable energy in its energy mix. The share of renewable energy in its electricity production, which amounts to 25.5% in 2020, should reach at least 40% in 2030. This growth poses several new challenges that require policy makers and regulators to act on the technological changes and expanding need for flexibility in power systems. This document presents the main strategies and projects developed in France as well as various recommendations to accompany and support its energy transition policy. |
| Keywords: | energy transition,energy storage,energy policy,Renewable Energy,Hydrogen energy |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03716839&r= |
| By: | Hobbie, Hannes; Lieberwirth, Martin |
| Abstract: | Integrating large amounts of hydrogen production capacities for decarbonizing energy-intensive industries in Germany can be challenging for transmission system operators. This research investigates interactions of hydrogen production deployment pathways and associated congestion management policies with the operation of the German electricity transmission system for future market projections. Hydrogen electrolysis imputes additional electricity loads above conventional levels. A scenario framework is created representing different geographic electrolyzer deployment pathways and congestion management regulations for electrolyzer operation. Fundamental electricity market modeling and load flow optimization are proposed to evaluate resulting congestion management volumes to resolve grid bottlenecks associated with the market clearing dispatch. Overall results of this work highlight the importance of designing congestion management frameworks that enable efficient utilization of electrolyzers as a redispatch capacity, primarily if a demand-oriented deployment of electrolyzer installations near energy-intensive industries is assumed to support renewable energy integration. The findings of this work assist policymakers and regulators with valuable insights into design options for future congestion management frameworks. |
| Keywords: | ELMOD,Green hydrogen,Electricity grid operation,Congestion management |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:esprep:262112&r= |
| By: | Nandeeta Neerunjun (Aix-Marseille Univ, CNRS, AMSE, Marseille, France.) |
| Abstract: | I analyze emissions pricing to support the integration of a renewable resource into an electricity mix composed of an emissions-intensive technology. I consider the intermittent nature of the resource such as wind energy and incremental externalities that become severe for high emissions levels. I show that an emissions tax is inefficient when consumers are on flat-rate electricity tariffs and cannot adapt their consumption to varying production. The tax is inefficient even with flexibility in the markets when consumers are on varying tariffs. The renewable resource induces variability in fossil-fueled electricity production and associated marginal damage that does not match a predetermined tax. I study an Emissions Trading Scheme that provides flexibility at the policy level. Emissions permits are traded at varying prices. Since the emissions cap must still be predetermined, I show that it leads to inefficient permits prices that do not match the marginal damages. I also find that the two emissions pricing instruments are not implemented equivalently since the tax differs from the prices of permits. |
| Keywords: | electricity, renewables, intermittency, emissions tax, Emissions Trading Scheme |
| JEL: | D24 D61 D62 Q41 Q42 Q48 |
| Date: | 2022–07 |
| URL: | http://d.repec.org/n?u=RePEc:aim:wpaimx:2215&r= |
| By: | Ahmadi, Iman; Farazmanesh, Ahoora; Yazdi, Saber |
| Abstract: | Passing power through transmission and distribution lines causes a loss of some electrical energy in these lines. The amount of these losses is more significant at the distribution level than the losses at the transmission level due to the low voltage level and high currents. According to the Electricity Distribution Company, the losses of this power are the difference between the delivered energy from the upstream and the delivered output energy downstream. If we consider at losses economically, losses are the difference between the energy bought and the energy sold. In other words, losses are equal to costs. The large cost of losses can be shown by an example. |
| Keywords: | Optimum placement of capacitor , distribution network, PSO |
| JEL: | O14 O32 Q32 |
| Date: | 2022–03–05 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:113898&r= |
| By: | Mr. Ippei Shibata; Rui Mano; Katharina Bergant |
| Abstract: | What are the implications of the needed climate transition for the potential reallocation of the U.S. labor force? This paper dissects green and polluting jobs in the United States across local labor markets, industries and at the household-level. We find that geography alone is not a major impediment, but green jobs tend to be systematically different than those that are either neutral or in carbon-emitting industries. Transitioning out of pollution-intensive jobs into green jobs may thus pose some challenges. However, there is a wage premium for green-intensive jobs which should encourage such transitions. To gain further insights into the impending green transition, this paper also studies the impact of the Clean Air Act. We find that the imposition of the Act caused workers to shift from pollution-intensive to greener industries, but overall employment was not affected. |
| Keywords: | Green and polluting employment; Green Labor Market Transition; Environmental Regulation; IMF working paper Western Hemisphere department; green job; polluting employment; polluting job; Employment; Environmental policy; Labor markets; Wages; Global |
| Date: | 2022–07–01 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:2022/129&r= |
| By: | Souza, Mateus; Ordonez, Pablo J. |
| Keywords: | Environmental Economics and Policy, Resource/Energy Economics and Policy, International Development |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea22:322321&r= |
| By: | Li, Meng; Meng, Bo; Gao, Yuning; Wang, Zhi; Zhang, Yaxiong; Sun, Yongping |
| Abstract: | This study integrates the new global value chain (GVC) accounting method that explicitly considers the difference in the production functions of multinational enterprises (MNEs) and domestically-owned firms into existing production- and consumption-based CO2 emissions measures. This enables us to consistently trace emissions in GVCs through trade- and foreign direct investment (FDI)-related routes at the bilateral country-sector level by firm ownership. Based on OECD data, our empirical results, reveal that emissions related to FDI account for 15.2 percent of the world's total emissions and 58.1 percent of the world's GVCs emissions, 39.2 percent of which are emissions related to FDI for foreign demands in 2015. From 2000 to 2015, south-south emission transfers experienced rapid growth with relatively high carbon intensity. MNEs play a significant role through FDI in south countries, both in generating emissions as energy users and in transferring emissions as high-carbon intensive intermediate goods users in GVCs. There is a substantial difference in the patterns of emissions creation, transfer, and absorption in GVCs by firm ownership. These findings help us to better understand who creates emissions for whom and from which route and their potential environmental responsibility along GVCs. |
| Keywords: | embodied carbon emissions,carbon footprint,global value chain,multinational enterprises,emission responsibility,GVC,FDI |
| JEL: | Q54 C67 F64 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:sgscdp:2&r= |
| By: | Hlongwane, Nyiko Worship; Daw, Olebogeng David |
| Abstract: | This study investigates the relationship between population growth and electricity consumption in South Africa for the period from 2002 to 2021 collected from StatsSA. The study utilises Seemingly Unrelated Regression model and Dumitrescu and Hurlin (2012) causality tests to analyse the relationship between the variables. Empirical results revealed that there is a negative statistically significant relationship between population growth and electricity consumption in South Africa. The results further reveal one-way causality running from population growth to electricity consumption. The study recommends that the government and policy makers must implement policies aimed at increasing renewable electricity generation to match the gap between electricity demand and growing population thereby reducing constant loadshedding in South Africa. |
| Keywords: | Electricity consumption, population growth, Seemingly Unrelated Regression (SUR) Model, Eskom, South Africa. |
| JEL: | C33 O13 O40 |
| Date: | 2022–07–10 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:113828&r= |
| By: | International Monetary Fund |
| Abstract: | Selected Issues |
| Keywords: | carbon pricing reform; tourism sector; outlook implication; assessing impact; carbon pricing scheme; Greenhouse gas emissions; Carbon tax; Natural disasters; Climate change; Global; Europe; Southern Europe |
| Date: | 2022–06–30 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfscr:2022/204&r= |
| By: | Deschenes, Olivier (University of California, Santa Barbara) |
| Abstract: | This paper reviews and extends the recent empirical literature on the impact of climate change on mortality and adaptation in the United States. The analysis produces several new facts. First, the reductions in the impact of extreme heat on mortality risk previously documented up to 2004 have continued up to 2019, consistent with continued investments in health-protecting adaptations to high temperatures. The second part of the paper examines the private and external costs of electricity generation and consumption related to high temperatures, a commonly-used proxy for measuring the consumption of adaptation services. Extreme temperatures increase electricity demand in the residential sector (relative to moderate temperatures), but not in the commercial, industrial, and transportation end-use sectors. The additional electricity demand in response to high temperatures results in significant external costs due to the release of local and global pollutants caused by the combustion of fossil fuels in order to produce electricity. These external costs, documented for the first time in this paper, are one order of magnitude larger than the private cost of adaptation associated with electricity consumption. |
| Keywords: | climate change, extreme temperature, mortality, adaptation, air pollution |
| JEL: | I1 Q4 Q5 Q54 |
| Date: | 2022–07 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp15448&r= |
| By: | Anas Abudaqa; Mohd Faiz Hilmi; Norziani Dahalan |
| Abstract: | Currently, job satisfaction and turnover intentions are the significant issues for oil and gas companies in the United Arab Emirates (UAE). These issues need to be addressed soon for the performance of the oil and gas companies. Thus, the aim related to the current study is to examine the impact of job burnout, emotional intelligence, and job satisfaction on the turnover intentions of the oil and gas companies in the UAE. The goals of this research also include the examination of mediating the influence of job satisfaction alongside the nexus of job burnout and turnover intentions of the oil and gas companies in the UAE. The questionnaire method was adopted to collect the data from the respondents, and Smart-PLS were employed to analyse the data. The results show that job burnout, emotional intelligence, and job satisfaction have a positive association with turnover intentions. In contrast, job satisfaction positively mediates the nexus between job burnout and turnover intentions. These results provide the guidelines to the policymakers that they should enhance their focus on job satisfaction and turnover intentions of the employees that improve the firm performance. |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2208.04843&r= |
| By: | Kang, Hyonyong; Suh, Dong Hee |
| Keywords: | Production Economics, Productivity Analysis, Environmental Economics and Policy |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea22:322121&r= |
| By: | Andor, Mark Andreas; Lange, Andreas; Sommer, Stephan |
| Abstract: | Exemptions from costly policy measures are frequently applied to alleviate financial burdens to specific market participants. Using a stated-choice experiment with around 6,000 German household heads, we test how exemptions for low-income households and energy-intensive companies influence the political acceptability of additional cost for the promotion of renewable energies. We find that the support for the policy is substantially higher when low-income households are exempt rather than the industry. Introducing exemptions for low-income households on top of existing exemptions for the industry increases the acceptability of the policy. We show that the support for exemptions as one example of distributional policy design is associated with individual behavioral measures like inequality aversion and fairness perceptions. |
| Keywords: | Fairness,distributional effects,environmental policy,exemptions renewable energy,political acceptance,behavioral economics,discrete choice experiment |
| JEL: | D03 D12 H41 Q20 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:rwirep:944&r= |
| By: | Cantner, Fabienne; Rolvering, Geske |
| Abstract: | To study how different economic information affect people's perceptions and attitudes towards carbon prices, we conduct an online survey experiment in a representative sample of the German voting population. We find that providing information about the efficiency of carbon prices as well as on international emission levels and carbon price initiatives changes people's perceptions and their support. Information about the possibility and benefits of revenue recycling, however, only affect the views of very specific subgroups of the population, such as individuals with low income or high trust in the government. Moreover, we find that none of the information affects the perceptions and support of climate change skeptics. |
| Keywords: | climate change,climate policies,carbon pricing,information,surveyexperiment |
| JEL: | D72 D83 D91 H23 Q58 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:upadvr:v9122&r= |
| By: | Julia Skretting |
| Abstract: | I construct a novel dataset to investigate the effects of oil income in regions of Russia. My data combines regional level data on oil endowments and a wide range of economic series for 85 geographical regions of Russia. Focusing on exogenous oil windfall gains induced by movements in oil prices, I compare outcomes in oil endowed regions to outcomes in other areas. In doing so, I show that oil resources do not seem to benefit regional economic growth. Indeed, I provide evidence that oil windfalls lead to an expansion of the local public sector and a contraction of the private sector, resulting in lower profitability and a decline in economic growth. Overall, my results indicate that only a small share of revenues benefits the local population and that there are signs of missing money. |
| Keywords: | Natural Resource Curse, Rent Seeking, Dutch Disease, Regional Windfalls |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:bny:wpaper:0105&r= |
| By: | Lynn Riggs (Motu Economic and Public Policy Research) |
| Abstract: | There are two main veins of literature examining the distributional effects of carbon policy: the effects on households and the effects on production sectors (i.e., employment). These literatures have generally arisen from two common arguments against carbon policies – that these polices disproportionately affect lower income households and that the overall effect on jobs and businesses will be negative. However, existing research finds that well-designed carbon policies are consistent with growth, development, and poverty reduction, and both literatures provide guidance for policy design in this regard. This paper brings together the guidance from both literatures. |
| Keywords: | Environmental Economics, Climate Change Mitigation, Distributional Impacts of Carbon Policies |
| JEL: | J01 Q52 R11 |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:mtu:wpaper:22_08&r= |
| By: | Brilé Anderson; Jorge Eduardo Patiño Quinchía; Rafael Prieto Curiel |
| Abstract: | The next few decades will bring an era of rapid urbanisation and unprecedented climate stress in African cities. Green spaces can boost the resilience of cities to heat waves, floods, landslides, and even coastal erosion, in addition, to enhancing sustainability by improving air quality, protecting biodiversity, and absorbing carbon. All of which can enhance well-being. Yet, data on the availability of green spaces in African urban agglomerations is scarce. This analysis fills the gap by combining new and novel data sources to estimate the availability of green spaces in 5 625 urban agglomerations with 10 000 inhabitants and above. The rest of the report then uses this novel dataset to first evaluate the dynamics between urbanisation and green spaces, and second, explore the potential of green spaces to boost the resilience and sustainability of cities in the future. The results show that as urban agglomerations become larger and more compact, green spaces disappear, exacerbating their vulnerability to climate change and deteriorating liveability. However, building taller buildings (i.e., growing vertically), offers a way for cities to grow whilst minimising loss of green space. Results show that more green space can boost sustainability by significantly lowering air pollution in African cities, which could be vital for public health in the future since outdoor air pollution is rising. The potential for green spaces to enhance resilience to climate events, like heat waves, depends on the location of green spaces throughout the city and the percentage of the population that lives close to a green space (i.e., within 300 metres). Green spaces may play a limited role in coping with heat waves in a city like Khartoum where only 3% of the population lives close to a green space, but could be a nature-based solution to heat waves in a city like Abuja, where 55% of the population can benefit from its cooling effects. Moving forward, local actors have clear evidence of the power of green spaces to build a sustainable and resilient future. Still, the report reveals that local actors need support from regional and national actors to realise the potential of green spaces. |
| Keywords: | Africa, Cities, Ecosystem-services, Green spaces, Nature-based solutions, Resilience, Sustainability |
| JEL: | Q53 Q54 Q56 Q57 R14 R15 R52 |
| Date: | 2022–07–31 |
| URL: | http://d.repec.org/n?u=RePEc:oec:swacaa:37-en&r= |
| By: | Cheng, Yang; Chen, Susan E. |
| Keywords: | Community/Rural/Urban Development, Environmental Economics and Policy, Consumer/Household Economics |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea22:322526&r= |
| By: | Richard S. J. Tol |
| Abstract: | The IPCC started at a time when climate policy was an aspiration for the future. The research assessed in the early IPCC reports was necessarily about potential climate policies, always stylized and often optimized. The IPCC has continued on this path, even though there is now a considerable literature studying actual climate policy, in all its infuriating detail, warts and all. Four case studies suggest that the IPCC, in its current form, will not be able to successfully switch from ex ante to ex post policy evaluation. This transition is key as AR7 will most likely have to confront the failure to meet the 1.5K target. The four cases are as follows. (1) The scenarios first build and later endorsed by the IPCC all project a peaceful future with steady if not rapid economic growth everywhere, more closely resembling political manifestos than facts on the ground. (2) Successive IPCC reports have studiously avoided discussing the voluminous literature suggesting that political targets for greenhouse gas emission reduction are far from optimal, although a central part of that work was awarded the Nobel Prize in 2018. (3) IPCC AR5 found it impossible to acknowledge that the international climate policy negotiations from COP1 (Berlin) to COP19 (Warsaw) were bound to fail, just months before the radical overhaul at COP20 (Lima) proved that point. (4) IPCC AR6 by and large omitted the nascent literature on ex post climate policy evaluation. Together, these cases suggest that the IPCC is too close to policy makers to criticize past and current policy mistakes. One solution would be to move control over the IPCC to the national authorities on research and higher education. |
| Date: | 2022–07 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2207.14724&r= |
| By: | Johanna Ayrault (CGS i3 - Centre de Gestion Scientifique i3 - MINES ParisTech - École nationale supérieure des mines de Paris - PSL - Université Paris sciences et lettres - CNRS - Centre National de la Recherche Scientifique); Martijn van den Hurk |
| Abstract: | Public authorities are committing to the decarbonization of economies. Public utilities especially district heating networkscould serve as critical levers for cutting carbon emissions. Heat production accounts for about fifty percent of the global energy consumption and is still heavily carbonized. Fossil-free and locally-based district heating systems are being promoted and implemented with the support of public authorities. These innovative systems raise challenges as they integrate a greater variety of stakeholders than conventional ones. To maximize the creation of public value, public authorities have been setting up co-creation processes with these stakeholders. This paper analyzes how co-creation processes are used in district heating projects, using a framework that revolves around three co-creation activities: setting up a collaborative network, defining the collaborative governance and assessing and learning from project outcomes. These activities are studied throughout the lifecycle of five projects: three innovative district heating networks and two conventional ones. Innovative projects are expected to demonstrate more articulated and elaborate forms of co-creation compared to conventional counterparts, including more activities and a greater diversity of stakeholders involved. The data comes from twenty-seven semi-structured interviews, informal discussions with project stakeholders, and an analysis of project documentspartly publicly available, partly confidential. The research findings focus on (1) demonstrating and explaining the use of co-creation within the selected cases and (2) discussing the critical limitations of and barriers to the integration of co-creation in the utility sector. |
| Keywords: | Public value co-creation,utilities,district heating |
| Date: | 2022–07–07 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03721174&r= |
| By: | Omukuti, Jessica; Barrett, Sam; White, Piran C.L.; Marchant, Robert; Averchenkova, Alina |
| Abstract: | The Paris Agreement recognizes the important role that local level actors play in ensuring climate change adaptation that contributes to meeting the global temperature goal. As a financial mechanism of the United Nations Framework Convention on Climate Change (UNFCCC) and the largest dedicated climate fund, the Green Climate Fund (GCF) is critical to achieving this goal. How GCF allocates its resources is therefore a critical area of research. This article assesses GCF’s commitment to the local delivery of adaptation finance and identifies the key barriers to GCF’s achievement of this commitment. The analysis finds that although GCF’s policies and communications fully commit to funding local level adaptation, three key barriers still prevent it from delivering finance to the local level. First, GCF lacks a unified framework for identifying and defining the local level, local actors, and local adaptation processes. Second, GCF exhibits limited transparency and accountability in relation to how approved funding for adaptation is spent, particularly for projects that claim to generate local level adaptation outcomes. Third, some Accredited Entities have limited experience and capacity for designing and implementing projects that deliver finance to the local level. This is because the local delivery of finance is not prioritized by GCF during the accreditation of entities or provision of readiness support to Accredited Entities. Our findings indicate limited evidence of GCF’s full operationalization of its commitment to supporting local adaptation. We recommend that GCF develop and apply a unified framework for defining what constitutes ‘local’. Key policy insights GCF is committed to supporting local adaptation finance in developing countries but has failed to adequately operationalize this commitment. To increase local delivery of climate finance, GCF should develop a unified framework for local delivery of adapation finance that emphasises local actors' leadership in design, implementation, and management of adaptation projects. GCF should also increase transparency and accountability of funded projects to enable independent assessments of local delivery of adaptation finance by making project information, including financial reports publicly available. GCF should ensure that Accredited Entities have capacity to develop and deliver projects that deliver adaptation finance to the local level e.g. by requiring entities to provide evidence of support for local adaptation during accreditation. |
| Keywords: | climate change adaptation; climate finance; local delivery; locally-led adaptation; transparency and accountability; UNFCCC; ES/S008381/1; awarded through through the PlaceBased Climate Action Network. |
| JEL: | F3 G3 |
| Date: | 2022–07–06 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:115623&r= |
| By: | Giuffrida, Leonardo M.; Spagnolo, Giancarlo |
| Abstract: | In this policy brief, we review the main trade-offs associated with joint procurement, or procurement 'centralization', as identified by procurement scholars. We then focus on the specific case of natural gas. Finally, we compare the procurement of natural gas to that of COVID-19 vaccines, arguing that the centralization of natural gas procurement can be expected to bring greater benefits at lower costs. |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:zewpbs:32022&r= |
| By: | Valentina Stöhr (TUMCS for Biotechnology and Sustainability, Technical University of Munich) |
| Abstract: | This paper provides insight into the impact of party cues on the public’s desire for climate protection during the COVID-19 crisis. In particular, the effects of cues from one or multiple parties as well as the mechanisms behind these effects are analyzed. Utilizing the case of Germany’s multi-party system, two online survey experiments with a representative sample of the German voting population are conducted. Despite finding rather small effect sizes overall, results show that a party statement in favor of more climate protection is effective in changing participants’ opinions towards the same direction. People appear to be even more impressionable when they receive unexpected cues or are lead to believe that all parties work together to fight climate change. Finally, respondents that do not care about or oppose climate protection are more easily persuaded. Thus, these results could be employed to shape the way politicians and parties in multi-party systems convey the need for more ambitious climate policies. |
| Keywords: | Climate Change, Party Cues, Multi-party System, Experiment |
| JEL: | C91 D91 Q54 |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:aiw:wpaper:23&r= |
| By: | Karla Hernández; Carlos Madeira |
| Abstract: | We study the impact of some weather variables (precipitation and temperatures) on GDP by using a region-industry panel data for Chile over the period 1985-2017. We find no effect of precipitation changes on GDP, but the results confirm a negative impact of higher summer temperatures on Agriculture-Silviculture and Fishing. An increase of one Celsius degree in January implies a 3% and 12% GDP reduction in Agriculture and Fishing, respectively, plus a negative effect on Construction, Electricity, Gas, and Water. Substantial uncertainty can be argued around these results due to the unavailability of region-industry GDP at a quarterly or monthly frequency and the assumption of fixed-coefficients over time. Stress test exercises for 2050 and 2100 that use all the industry coefficients estimated from our model or from an USA model imply a small effect of climate change on the overall Chilean GDP relative to a scenario without further climate change. However, these results should be taken with caution due to the overall fitness of the model. Indeed, under some parameter settings of the model, our stress test implies that the Chilean GDP would fall between -14.8% and -9% in 2050 and between -29.6% and -16.8% in 2100 relative to a scenario without further climate change. t further climate change. We also review several studies for the future impact of climate change during the 21st century. Some studies suggest that Chile is likely to suffer mild effects in terms of GDP growth, labor productivity and mortality costs. However, the studies of Kahn et al. (2019), Kalkuhl and Wenz (2020) and Swiss Re (2021) predict that Chile may suffer significant GDP costs due to the adaptation difficulties in a warmer weather. Furthermore, several studies find that Chile is facing non-GDP related problems from climate change, such as air pollution, drought, water stress, migration and changes in land classification. |
| Date: | 2021–12 |
| URL: | http://d.repec.org/n?u=RePEc:chb:bcchwp:933&r= |
| By: | Jahanshahi, Babak (Queen's University Belfast); Johnston, Brian (Ordnance Survey); McVicar, Duncan (Queen's University Belfast); McGovern, Mark E. (Rutgers University); O’Reilly, Dermot (Queen's University Belfast); Rowland, Neil (Queen's University Belfast); Vlachos, Stavros (Queen's University Belfast) |
| Abstract: | There are growing concerns about the impact of pollution on maternal and infant health. In the UK in 2018, 36% of local authorities had levels of PM2.5 where exposure exceeded the annual level recommended by the World Health Organisation at the time. Using a population database of births in Northern Ireland linked to localised geographic information on pollution in mothers’ postcodes (zip codes) of residence during pregnancy, we examine whether prenatal exposure to PM2.5 is associated with a comprehensive range of birth outcomes. Overall, we find little evidence that particulate matter is related to worse infant outcomes once we implement a fixed effects approach that accounts for time-invariant factors common to mothers. While reducing pollution remains an urgent public health priority, our results imply that improvements in short-run levels of prenatal PM2.5 exposure are unlikely to be sufficient by themselves to reduce disparities in birth outcomes. |
| Keywords: | sibling fixed-effects, infant outcomes, PM2.5, pollution, birth weight |
| JEL: | I10 J10 Q53 |
| Date: | 2022–07 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp15464&r= |
| By: | Mohiuddin, Hossain; Fitch, Dillon; Handy, Susan |
| Abstract: | Bike-share services provide an affordable and environmentally sustainable transportation option. Research has shown that bike-share use can reduce car dependence and facilitate access to public transit. Expanding the use of these services can help cities meet environmental goals and, if done right, better serve transportation-disadvantaged residents. Researchers at the University of California, Davis surveyed households and bike-share users in the Sacramento region and used both behavioral modeling and market segmentation approaches to identify opportunities for increasing demand while improving access for low-income groups. The results can inform cities’ efforts to expand bike-share services. View the NCST Project Webpage |
| Keywords: | Social and Behavioral Sciences, Bicycles, Market segmented groups, Surveys, Transportation disadvantaged persons, Travel behavior, Vehicle sharing |
| Date: | 2022–08–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt3qw7724j&r= |
| By: | Granlund, David (Department of Economics, Umeå University); Meens-Eriksson, Sef (Department of Economics, Umeå University) |
| Abstract: | We derive a theoretical model predicting that firms should mark down input prices more the longer distance a supplier has to a competitor’s plant relative to their own plant. We test this prediction using contract-level data on prices of waste burned at energy plants. To the best of our knowledge, we are the first to study whether firms price discriminate based on relative distance to the closest competitor. The empirical results confirm that longer relative distances to competitors’ plants lead to lower prices and show no evidence of additional effects of the distance to the chosen plant. |
| Keywords: | auction; market power; oligopsony; price discrimination; procurement; spatial competition; transport cost; waste incineration |
| JEL: | D43 D44 L11 L13 Q53 |
| Date: | 2022–08–17 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:umnees:1006&r= |
| By: | Zika, Gerd (Institute for Employment Research (IAB), Nuremberg, Germany); Schneemann, Christian (Institute for Employment Research (IAB), Nuremberg, Germany); Weber, Enzo (Institute for Employment Research (IAB), Nuremberg, Germany ; Univ. Regensburg); Zenk, Johanna (Institute for Employment Research (IAB), Nuremberg, Germany); Kalinowski, Michael (BIBB); Maier, Tobias (BIBB); Wolter, Marc Ingo (GWS) |
| Abstract: | "This research report describes the medium- and long-term impacts of the war in Ukraine and the energy crisis on the economy and labour market in Germany. Based on model calculations, two scenarios are simulated: one scenario that includes the current war in Ukraine and reflects the actual developments (reference scenario) and one scenario in which a war in Ukraine could have been avoided theoretically (alternative scenario “Peace in Europe”). A comparison of both scenarios illustrates the possible impacts of the war on different economic sectors and occupational groups in Germany. The results have to be interpreted within the context of high uncertainty concerning the course of war. Depending on further developments, the results may deviate from the actual future economic consequences. Nevertheless, the impact on the German economy and labour market can be shown based on the assumptions made. Further conclusions can be drawn with regard to the scope of impact on economic sectors and occupational groups. However, since there is a high degree of uncertainty, especially with regard to the further price development of energy prices, an aggravation scenario was also calculated, in which it was assumed that the energy price increases in the coming months would be twice as high as previously observed. The scenarios have been modelled based on different assumptions and findings which were derived from the escalation stage as of the end of May 2022. It is assumed that the sanctions against Russia remain in place throughout the whole period analysed, even if the war will be ended. Further assumptions relate to the number of Ukrainian refugees that migrate to Germany, the development of energy and import prices, merchandise exports, government spending on defence and national security as well as relief packages for businesses and households adopted by the government. The results show that the war in Ukraine and the energy crisis will have negative medium- and long-term impacts on the German economic output and the labour market. According to the calculations, the price-adjusted gross domestic product (GDP) will be 1.7 percent lower in 2023. The economic growth is mainly weakened by the rise in prices for fossil raw materials. They put a strain on the export industry as well as consumer spending. Lower export activities have the strongest impact on the weaker economic performance. Until 2030 the German economy loses 260 billion Euros of value added. The labour market is also negatively affected. Between 2022 and 2028 the employment decreases by an average of 150,000 workers in comparison to the expectations before the start of the war in Ukraine and the energy crisis. The labour force in Germany is increasing due to the influx of refugees. However, the weaker economic and earnings prospects lead to an almost unchanged labour supply in the first few years. Only from 2025 onwards will the influx be reflected in a higher labour supply. From a labour market perspective, the hospitality sector is - once more, after troubled times during the COVID 19-pandemic - most affected by the impacts of the war in Ukraine and the energy crisis. Lower consumer spending leads to a much-reduced demand for labour. Employment also decreases in the industry sector. Due to lower labour intensities, however, the decrease in the industry sector is less pronounced than in other labour-intensive service sectors. In contrast, the public administration, defence and social insurance institutions as well as the educational sector will have a higher demand for labour as a consequence of the war in Ukraine and the energy crisis. This holds true for the medium- and long-term and is also reflected in the occupational groups. While current labour shortages in the hospitality sector may relax due to a reduced demand for employees, the labour shortages intensify for teachers in schools of general education, social workers and curative education therapists. Differentiating for requirement levels, the war in Ukraine and the energy crisis induce a shift of employees towards more complex tasks in the long-term. A comparison of the labour market according to sector-occupational-combinations illustrates that the war in Ukraine and the energy crisis do not solely result in job reductions but also in job creation. In sum, the job reductions dominate but there will be structural changes in the labour market. This is particularly noticeable in the medium-term and diminishes over time. In view of these findings, weaker economic output, lower employment and structural changes with regard to sectors and occupations have to be expected in the upcoming years. On one hand, the challenge for policy makers and economic actors will be the reintegration of workers who have lost their jobs due to the impacts of the war in Ukraine and the energy crisis. On the other hand, reactions to tightening labour shortages are required, as shortages intensify in certain occupations as a consequence of the war in Ukraine and the energy crisis. If refugees from Ukraine settle for longer periods in Germany, their labour market integration bears an additional chance. However, if the energy price increases are twice as high as observed so far (+160%), next year's GDP would be almost four percent lower than in the alternative scenario. In 2030, GDP would be half a percent lower. Under these assumptions, 660,000 people (1.5%) fewer would be employed on the labour market after three years than in the alternative scenario "Peace in Europe". In 2030, 70,000 people (0.2%) jobs would still be affected by the downsizing." (Author's abstract, IAB-Doku) ((en)) |
| Keywords: | IAB-Open-Access-Publikation |
| Date: | 2022–08–09 |
| URL: | http://d.repec.org/n?u=RePEc:iab:iabfob:202211&r= |
| By: | Maureen L. Cropper; Nicholas Z. Muller; Yongjoon Park; Victoria Perez-Zetune |
| Abstract: | We examine whether counties designated as out of attainment with the NAAQS under the 1970 CAA experienced larger reductions in TSP during the 1970s than attainment counties. We answer this question using the official designation of nonattainment status which, between 1972 and 1978, was by Air Quality Control Region (AQCR). Data from balanced panels of TSP monitors in operation from 1969-78 and in operation from 1971-78 are used to examine the impact of nonattainment status on TSP. We also examine the impact of nonattainment on TSP using the definition in the literature, which designates a county as out of attainment if any of its monitors violated the NAAQS. Using the official designation of nonattainment, TSP, on average, fell by over 9 μg/m3 more in non-attainment than in attainment counties, controlling for county and year fixed effects, county population, employment, and per capita income. The average treatment effect is 10.2 μg/m3 using the 1969 panel and 9.1 μg/m3 using the 1971 panel. Using the definition of nonattainment in the literature yields similar, albeit smaller, average treatment effects: 6.0 μg/m3 using the 1969-78 panel and 7.7 μg/m3 using the 1971-78 panel. |
| JEL: | Q53 Q58 |
| Date: | 2022–07 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:30312&r= |
| By: | Benjamin Dennis |
| Abstract: | This article reviews the rapidly proliferating economic literature on climate change and financial policy. We find: (1) enduring challenges in estimating the statistical properties of a changed climate; (2) emerging evidence of financial markets pricing in climate-related risks; and (3) a range of significant institutional distortions preventing such pricing from being complete. Finally, we argue that geographic regions may be an especially fruitful unit of analysis for understanding the financial impact of climate change. |
| Keywords: | Climate change; Climate-finance; Climate-related risk |
| JEL: | G20 Q54 G10 |
| Date: | 2022–07–29 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedgfe:2022-48&r= |
| By: | Raouf Boucekkine (Rennes School of Business, France); Weihua Ruan (Department of Mathematics and Statistics, Purdue University Northwest, USA); Benteng Zou (DEM, University of Luxembourg) |
| Abstract: | We solve a bimodal optimal control problem with a non-concavity and uncertainty through a Poisson process underlying the transition from a mode to another. We use a dynamic programming approach and are able to uncover the global optimal dynamics (including optimal non-monotonic paths) under a few linear-quadratic assumptions, which do not get rid of the non-concavity of the problem. This is in contrast to the related literature on pollution control under irreversibility which usually explores local dynamics along monotonic solution paths to firstorder Pontryagin conditions. |
| Keywords: | Multi-stage optimal control, Poisson process, HJB equations, irreversible pollution |
| JEL: | C61 Q53 |
| Date: | 2022–07–21 |
| URL: | http://d.repec.org/n?u=RePEc:ctl:louvir:2022017&r= |
| By: | Van Moer, Geert |
| Abstract: | I analyze horizontal agreements about the use of a natural resource. I consider a Cournot duopoly where production depends on two inputs, a natural resource and a basket of other resources, according to a production technology with constant returns to scale. I compare three regimes. (1) The competitive benchmark is defined such that firms operate with the cost-minimizing input combination. (2) A joint absolute usage target lowers the absolute usage of the natural resource. It also lowers the usage in relative terms, per unit of production, except with a fixed-proportions production technology. (3) A joint relative usage target mimics the competitive benchmark. |
| Keywords: | Horizontal Agreements; Natural Resources |
| JEL: | L13 L41 Q01 Q38 |
| Date: | 2022–07–25 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:113878&r= |
| By: | Xu, Yilan; Box-Couillard, Sebastien |
| Keywords: | Environmental Economics and Policy, Institutional and Behavioral Economics, Consumer/Household Economics |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea22:322309&r= |
| By: | Eun, Sungtae |
| Keywords: | Research Methods/Statistical Methods, Environmental Economics and Policy, Community/Rural/Urban Development |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea22:322078&r= |
| By: | Aleksandrova, Mariya |
| Abstract: | Soziale Sicherung spielt eine zentrale Rolle bei der Erreichung mehrerer sozial- und umweltbezogener Ziele der Agenda 2030 für nachhaltige Entwicklung. Daher gewinnt dieser Ansatz in den internationalen Debatten an der Schnittstelle von Klimawandel und Entwicklung zunehmend an Bedeutung. Dabei wird davon ausgegangen, dass unterschiedliche Programme zur sozialen Absicherung die Kapazität vulnerabler Gruppen fördern können, wenn es um Bewältigung, Anpassung und Transformation angesichts von Klimafolgen geht. Weiterhin können soziale Sicherungsprogramme einen gerechten Übergang zu einer grünen Wirtschaft erleichtern, zur Erreichung von Umweltschutzzielen beitragen, die Widerstandsfähigkeit über verschiedene Generationen hinweg stärken und auch die Bewältigung nicht-ökonomischer Klimafolgen unterstützen. Aktuell verfügen viele der Entwicklungsländer, die am schwersten von Klimafolgen betroffen sind, jedoch nur über rudimentäre soziale Sicherungssysteme. Diese müssen klimasicher gestaltet werden, etwa indem die mit dem Klimawandel verbundenen Risiken in Richtlinien, Strategien und Mechanismen zur sozialen Sicherung berücksichtigt werden. Doch um die soziale Absicherung auszubauen, ein nationales soziales Sicherungsnetz zu etablieren und Klimafragen darin einzubeziehen, bedarf es umfangreicher zusätzlicher Finanzierungsquellen. Dieses Papier analysiert das Potenzial der wichtigsten multilateralen Klimafonds, die unter dem Dach der Klimarahmenkonvention der Vereinten Nationen (UNFCCC) eingerichtet wurden, soziale Sicherung im Rahmen klimapolitischer Maßnahmen zu finanzieren. Damit einhergehend wird gezeigt, wie wichtig es ist, soziale Sicherung in die nationalen Klimapläne (Nationally Determined Contributions, NDCs) der Länder einzubeziehen, damit diese dafür Zugang zu Klimafinanzierung erhalten. Vor diesem Hintergrund entwickelt das Papier Empfehlungen für Regierungen, Durchführungsorganisationen der Entwicklungszusammenarbeit sowie für Finanzierungsinstitutionen. Bislang fehlen gezielte Investitionen, mittels derer der Grüne Klimafonds (GCF), der Anpassungsfonds (AF) und die Globale Umweltfazilität (GEF) Klimaaspekte in Programme, Richtlinien und Mechanismen zur sozialen Sicherung einbringen könnten. Grundsätzlich können diese Klimafonds Regierungen darin unterstützen, Klimafragen in soziale Sicherungssysteme zu integrieren und die Ziele der sozialen Absicherung mit nationalen Klima- und Umweltstrategien abzustimmen. Dies wiederum kann den Ländern helfen, ihre Kapazitäten zur Bewältigung der sozialen und immateriellen Kosten des Klimawandels zu stärken. Folgende Maßnahmen werden empfohlen: * Finanzierungsinstitutionen sollten in ihren Portfolios zur Risikominderung und zum Risikomanagement ausdrücklich auf Möglichkeiten zur Finanzierung von Projekten und Programmen zur sozialen Sicherung hinweisen * Nationale Regierungen und Organisationen der internationalen Zusammenarbeit sollten auf Klimafonds zurückgreifen, um in die Stärkung sozialer Sicherungssysteme zu investieren, auf eine verbesserte Koordination von Initiativen für eine soziale Absicherung hinwirken und das Potenzial von NDCs nutzen, soziale Sicherung klimaresilient zu gestalten. * Die Befürworter einer Politik der sozialen Sicherung sollten zwei zentrale Prozesse nutzen, um soziale Absicherungen im Kontext der Klimapolitik zu stärken: die Klimakonferenzen unter dem Dach der UNFCCC und die Wiederaufbauprogramme infolge der COVID19-Pandemie. |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:dieaus:92021&r= |
| By: | N. N. |
| Abstract: | Durch die Verknappung des Gasangebots infolge des Krieges in der Ukraine sind über den Preisbildungsmechanismus der "Merit Order" die Strompreise stark angestiegen. Ein Elektrizitätsgrundkontingent zum reduzierten Fixpreis kann hohe Preissteigerungen dämpfen und private Haushalte entlasten. Im vorliegenden WIFO Research Brief werden 15 Fragen zu einem Elektrizitätsgrundkontingent beantwortet. |
| Keywords: | TP_GrueneTransformation |
| Date: | 2022–08–16 |
| URL: | http://d.repec.org/n?u=RePEc:wfo:rbrief:y:2022:i:19&r= |
| By: | Berland, Ondine |
| Keywords: | Food Consumption/Nutrition/Food Safety, Environmental Economics and Policy, Health Economics and Policy |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea22:322433&r= |