nep-ene New Economics Papers
on Energy Economics
Issue of 2022‒12‒19
forty-nine papers chosen by
Roger Fouquet
London School of Economics

  1. Peer-to-peer solar and social rewards: evidence from a field experiment By Carattini, Stefano; Gillingham, Kenneth T.; Meng, Xiangyu; Yoeli, Erez
  2. Renewable Energy Certificates Trading in India: A Decade in Review By Sawhney, Aparna
  3. Posibles efectos de la electromovilidad en la red eléctrica y su impacto en la adopción de energías renovables: metodología y análisis de caso en la Argentina y el Brasil By Leañez, Frank; Ñancupil, Ignacio; Contreras Lisperguer, Rubén; Salgado, René
  4. Profitability and Revenue Uncertainty of Wind Farms in Western Europe in Present and Future Climate By Bastien Alonzo; Silvia Concettini; Anna Creti; Philippe Drobinski; Peter Tankov
  5. Abschätzung des zukünftigen Flächenbedarfs von Photovoltaik-Freiflächenanlagen By Böhm, Jonas; Tietz, Andreas
  6. Macroeconomic performance of oil price shocks in Russia By Ayaz Zeynalov; Kristina Tiron
  7. Averting Expenditures and Willingness to Pay for Electricity Supply Reliability By Naghmeh Niroomand; Glenn P. Jenkins
  8. The U.S. Manufacturing Sector’s Response to Higher Electricity Prices: Evidence from State-Level Renewable Portfolio Standards By Ann Wolverton; Ron Shadbegian; Wayne Gray
  9. Die Folgen des Kriegs in der Ukraine und der Energiekrise für den Arbeitsmarkt in Deutschland auf regionaler Ebene By Bernardt, Florian; Schneemann, Christian; Ulrich, Philip; Kalinowski, Michael; Weber, Enzo; Zenk, Johanna; Zika, Gerd
  10. Promoting Green Buildings: Barriers, Solutions, and Policies By Azhgaliyeva, Dina; Rahut, Dil
  11. The Energy Paradox and the Adoption of Energy-Saving Technologies in the Trucking Industry By Fraas, Arthur; Lutter, Randall; Porter, Zachary; Wallace, Alexander
  13. GREEN BUILDING LITERACY AND HOUSING CHOICE By Kenneth Donkor-Hyiaman; Frank Gyamfi-Yeboah; Eric Tudzi; John Bugri
  14. Simulation-based Forecasting for Intraday Power Markets: Modelling Fundamental Drivers for Location, Shape and Scale of the Price Distribution By Simon Hirsch; Florian Ziel
  15. Potentials and Challenges of The Connected Autonomous Shared Electric Vehicle (CASE) from Urban Geography Perspective in Southeast Asia Mega-Urban Regions By Sirikhan, Kulacha
  16. The electric vehicle revolution: critical material supply chains, trade and development By Jones, Benjamin; Nguyen-Tien, Viet; Elliott, Robert J.R.
  17. The Cold Economy By Peters, Toby; Sayin, Leyla
  18. How is mobile broadband intensity affecting CO2 emissions? – A macro analysis By Edquist, Harald; Bergmark, Pernilla
  19. ICT in Zambia – Green Informatics on Strategies and Technological Innovations By Kapatamoyo, Musonda; Mbumwae, Victor
  20. Exploring New Ways to Classify Industries for Energy Analysis and Modeling By Liz Wachs; Colin McMillan; Gale Boyd; Matt Doolin
  21. A Nowcasting Model of Industrial Production using Alternative Data and Machine Learning Approaches By Kakuho Furukawa; Ryohei Hisano; Yukio Minoura; Tomoyuki Yagi
  23. Why Some Acute Health Effects of Air Pollution Could Be Inflated By Bagilet, Vincent; Zabrocki-Hallak, Léo
  24. The impact of air pollution on labour productivity in France By Clara Kögel
  25. Agglomeration, pollution, and migration: A substantial link, and policy design By Stark, Oded; Pang, Yu; Fan, Simon
  26. International Climate Agreements and the Scream of Greta By Giovanni Maggi; Robert W. Staiger
  27. On the appropriate and inappropriate uses of probability distributions in climate projections and some alternatives By Katzav, Joel; Thompson, Erica L.; Risbey, James; Stainforth, David A.; Bradley, Seamus; Frisch, Mathias
  28. Panorama de los planes de acción climática en ciudades de América Latina y el Caribe By Rondón Toro, Estefani; Reyes Pontet, Mauro; Herrera Jiménez, Juan
  29. Escenarios de emisiones hacia 2030: potencial de reducción de la presión ambiental provocada por los autobuses del transporte público en Bogotá, Buenos Aires, Ciudad de México, Santiago y São Paulo By López Restrepo, Juan Camilo; Castillo Herrera, Juan Carlos; Tibaquirá Giraldo, Juan Esteban; Ríos Osorio, Daniel Alberto
  30. RRF 2.0: Ein permanenter EU-Investitionsfonds im Kontext von Energiekrise, Klimawandel und EU-Fiskalregeln By Philipp Heimberger; Andreas Lichtenberger
  31. Are students ready to take on environmental challenges? By OECD
  32. Shadow prices and optimal cost in economic applications By Nikolay Khabarov; Alexey Smirnov; Michael Obersteiner
  33. Le nouveau corridor de fret ferroviaire Le Havre Serqueux Gisors Paris By Laurent Guihéry
  34. Exploiting Complementarity of Carbon Pricing Instruments for Low-Carbon Development in the People’s Republic of China By Wu, Jie; Fan, Ying; Timilsina, Govinda; Xia, Yan
  35. Inequality and Climate Change: Two Problems, One Solution? By Francesco Nicolli; Marianna Gilli; Francesco Vona
  36. Verkaufte Zukunft: Dilemmata des globalen Kapitalismus in der Klimakrise By Beckert, Jens
  37. On the Geographic Implications of Carbon Taxes By Bruno Conte; Klaus Desmet; Esteban Rossi-Hansberg
  38. Evaluación del potencial energético de los recursos biomásicos en Costa Rica By Tauro, Raúl J.; Caballero, José Luis; Salinas, Miguel Ángel; Álvarez, Oscar Antonio; Ghilardi, Adrián; Arroyo, José Manuel
  39. A review of macroeconomic models for the WEFE nexus assessment By Castelli, Chiara; Castellini, Marta; Ciola, Emanuele; Gusperti, Camilla; Romani, Ilenia Gaia; Vergalli, Sergio
  40. Energy4Climate : un centre pour lutter contre le changement climatique et accélérer la transition énergétique By Philippe Drobinski
  41. The Response of Green Energy and Technology Investment to Climate Policy Uncertainty: An Application of Twin Transition Strategy By Shaiara Husain; Kazi Sohag; Yanrui Wu
  42. The Advocacy Coalition Framework in fixing prices of oil and gas in the energy sectors of Bangladesh By Hossain, Akmal
  43. Optimal coalition splitting with heterogenous strategies By Raouf Boucekkine; Carmen Camacho; Weihua Ruan; Benteng Zou
  44. Natural Resources, Renewable Energy, and Governance: A path towards sustainable development By Tii N. Nchofoung; Nathanael Ojong
  45. Spatial-temporal dynamics of employment shocks in declining coal mining regions and potentialities of the 'just transition' By Ebba Mark; Ryan Rafaty; Moritz Schwarz
  46. Lineamientos para la acción climática de Santo Domingo, Distrito Nacional, 2022-2030 By De Jesús, Indhira
  47. Climate Actions, Market Beliefs, and Monetary Policy By : Dierx, Adriaan; : Ilzkovitz, Fabienne; : Pataracchia, Beatrice; : Pericoli, Filippo
  48. El rol de las energías renovables en la electrificación del transporte público y privado de las ciudades de América Latina y el Caribe: impactos, desafíos y oportunidades ambientales By Messina, Diego; Contreras Lisperguer, Rubén; Salgado, René
  49. Strategies for Sustainable Data Centers: Technology and Sustainability in Modern Society By Driskell, David

  1. By: Carattini, Stefano; Gillingham, Kenneth T.; Meng, Xiangyu; Yoeli, Erez
    Abstract: Observability and social rewards have been demonstrated to influence the adoption of pro-social behavior in a variety of contexts. This study implements a field experiment to examine the influence of observability and social rewards in the context of a novel pro-social behavior: peer-to-peer solar. Peer-to-peer solar offers an opportunity to households who cannot have solar on their homes to access solar energy from their neighbors. However, unlike solar installations, peer-to-peer solar is an invisible form of pro-environmental behavior. We implemented a set of randomized campaigns using Facebook ads in the Massachusetts cities of Cambridge and Somerville, in partnership with a peer-to-peer company, which agreed to offer to a subsample of customers the possibility to share “green reports” online, providing shareable information about their greenness. We find that interest in peer-to-peer solar increases by up to 30% when “green reports,” which would make otherwise invisible behavior visible, are mentioned in the ads
    Keywords: Peer to peer solar; pro-environmental behavior; social rewards; visibility; Facebook
    JEL: C93 D91 Q20
    Date: 2022–11–09
  2. By: Sawhney, Aparna (Asian Development Bank Institute)
    Abstract: India has witnessed significant transformation in the energy mix over the last decade, with renewables accounting for 24% of the installed grid capacity and 10% of the electricity generation today. The achievements, however, fall short in the trajectory toward the ambitious targets set for the years 2022 and 2030. The policy package for renewables included a market-based instrument of tradeable renewable energy certificates (RECs), launched in 2010–2011, which provided a channel for an alternative valuation of the green attribute of electricity generation in the country. It also provided for spatial flexibility in green power generation in resource-rich areas and compliance with the renewable portfolio obligation through REC purchase by states with shortfalls. We analyze the REC market experience over the last decade and examine the implications of the changes in the trading rules over the years. Although initially the renewable certification rate rose sharply from 2% in 2011–2012 to 15% in 2014–2015, it subsequently dropped to 6% during 2017–2019 as REC market prices plummeted and the inventory of unsold RECs accumulated. The problems of target underachievement and noncompliance of state renewable purchase obligations need to be tackled through deep reforms in the functioning of power distribution companies and not the REC mechanism per se.
    Keywords: India; renewable energy certificates; renewable portfolio obligation
    JEL: Q42 Q48
    Date: 2022–05
  3. By: Leañez, Frank; Ñancupil, Ignacio; Contreras Lisperguer, Rubén; Salgado, René
    Abstract: En este documento se introduce una metodología replicable y algunos resultados preliminares a fin de que los países de la región puedan mejorar sus capacidades de análisis sobre los efectos prospectivos de la electromovilidad en ciudades seleccionadas, mediante la modelización de escenarios computacionales para evaluar la adopción y el comportamiento de este tipo de movilidad en su interacción con otras variables. También se ofrecen alternativas de políticas públicas para el sector de energía y transporte en dichas ciudades a partir de los resultados obtenidos.
    Date: 2022–09–22
  4. By: Bastien Alonzo (DIRSE - Météo-France Direction Interrégionale Sud-Est - Météo-France); Silvia Concettini (EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique, IRJI - Institut de recherche juridique interdisciplinaire - UT - Université de Tours); Anna Creti; Philippe Drobinski (LMD - Laboratoire de Météorologie Dynamique (UMR 8539) - INSU - CNRS - Institut national des sciences de l'Univers - X - École polytechnique - ENPC - École des Ponts ParisTech - SU - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique - Département des Géosciences - ENS Paris - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres); Peter Tankov (IP Paris - Institut Polytechnique de Paris, ENSAE Paris - École Nationale de la Statistique et de l'Administration Économique)
    Abstract: Investments into wind power generation may be hampered by the uncertainty of future revenues caused by the natural variability of the wind resource, the impact of climate change on wind potential and future electricity prices, and the regulatory risks. We quantify the uncertainty of the economic value of wind farms in France, Germany, and Denmark, and evaluate the cost of support mechanisms needed to ensure the profitability of wind farms under present and future climates. To this end, we built a localised model for wind power output and a country-level model for electricity demand and prices. Our study reveals that support mechanisms are needed for current market conditions and the current climate, as well as under future climate conditions according to several scenarios for climate change and energy transition. The cost of support mechanisms during a 15-year period is evaluated to EUR 3.8 to EUR 11.5 billion per year in France, from EUR 15.5 to EUR 26.5 billion per year in Germany, and from EUR 1.2 to EUR 3.3 billion per year in Denmark, depending on the scenario considered and the level of penetration of wind energy.
    Date: 2022–09
  5. By: Böhm, Jonas; Tietz, Andreas
    Abstract: In this working paper, an estimation of the possible future demand for agricultural land for the expansion of ground-mounted photovoltaic systems in Germany is developed. For the estimation, current political goals as well as different energy scenarios are considered in order to determine the demand for installed PV capacity in a fully transformed energy system. The required PV power can be installed on different areas (e.g. rooftops, agricultural area). The number of installations on agricultural land depends on many factors and can develop very differently in the future. In addition, the future demand for land is influenced by the specific land use, i.e. how much land is needed per installed capacity. All three factors are subject to a high degree of uncertainty. The most probable development is assumed to be the current political target of 215 GWp installed capacity by 2030 and for a fully transformed energy system 400 GWp installed capacity by 2040, a share of 50 % on agricul-tural land and a specific land use of 1.4 ha/MWp. Based on this, the land use for a transformed energy system (year 2040) is 280,000 ha. This corresponds to a share of 1.7 % of the currently agricultural used area. The range of all scenarios considered is between 0.3 % and 4 %, which shows the high uncertainty of the forecast.
    Keywords: Consumer/Household Economics, Environmental Economics and Policy, Financial Economics, Land Economics/Use, Political Economy
    Date: 2022–12–06
  6. By: Ayaz Zeynalov; Kristina Tiron
    Abstract: Oil price fluctuations severely impact the economies of both oil-exporting and importing countries. High oil prices can benefit oil exporters by increasing foreign currency inflow; however, an economy can suffer from a weakening of the manufacturing sectors and experience a significant downtrend in the country's price competitiveness as the domestic currency appreciates. We investigate the oil price fluctuations from Q1, 2004 to Q3, 2021 and their impact on the Russian macroeconomic indicators, particularly industrial production, exchange rate, inflation and interest rates. We assess whether and how much the Russian macroeconomic variables have been responsive to the oil price fluctuations in recent years. The outcomes from VAR model confirm that the monetary channel is more responsive to oil price shocks than the fiscal one. Regarding fiscal channel of the oil price impact, industrial production is strongly pro-cyclical to oil price shocks. As for the monetary channel, higher oil price volatility is pressuring the Russian ruble, inflation and interest rates are substantially counter-cyclical to oil price shocks.
    Date: 2022–11
  7. By: Naghmeh Niroomand (Automotive Powertrain Technologies Laboratory, Empa - Swiss Federal Laboratories for Materials Science and Technology, Switzerland); Glenn P. Jenkins (Department of Economics, Queens University, Kingston, Ontario, Canada, K7L3N6 and Cambridge Resources International Inc.)
    Abstract: Nepal has suffered from the worst electricity shortages in South Asia. This study is an attempt to measure the willingness to pay for an improved service using a model of revealed preference. Respondents are asked about the actions they are taking to reduce the impact on their household or business of scheduled and unscheduled outages and more stable voltage. We estimate the averting expenditures that were being incurred to compensate for the lack of reliability of the electricity service. The estimated cost of the averting actions as a percentage of the electricity bills is 53 % for households, 47 % for small businesses, 46 % for medium businesses, and 35 % for large businesses. Based on the estimations, we find that in 2017 the annual benefit from improving the reliability of the electricity service would be approximately US$ 188 million with a present value over 20 years of US$ 1.6 billion.
    Keywords: averting expenditures; electricity; reliability; revealed preference; willingness to pay
    JEL: D61 Q41
    Date: 2022–12–05
  8. By: Ann Wolverton; Ron Shadbegian; Wayne Gray
    Abstract: While several papers examine the effects of renewable portfolio standards (RPS) on electricity prices, they mainly rely on state-level data and there has been little research on how RPS policies affect manufacturing activity via their effect on electricity prices. Using plant-level data for the entire U.S. manufacturing sector and all electric utilities from 1992 – 2015, we jointly estimate the effect of RPS adoption and stringency on plant-level electricity prices and production decisions. To ensure that our results are not sensitive to possible pre-existing differences across manufacturing plants in RPS and non-RPS states, we implement coarsened exact covariate matching. Our results suggest that electricity prices for plants in RPS states averaged about 2% higher than in non-RPS states, notably lower than prior estimates based on state-level data. In response to these higher electricity prices, we estimate that plant electricity usage declined by 1.2% for all plants and 1.8% for energy-intensive plants, broadly consistent with published estimates of the elasticity of electricity demand for industrial users. We find smaller declines in output, employment, and hours worked (relative to the decline in electricity use). Finally, several key RPS policy design features that vary substantially from state-to-state produce heterogeneous effects on plant-level electricity prices.
    Keywords: Cost of regulation; employment impacts; renewable portfolio standards
    JEL: Q48 Q52
    Date: 2022–10
  9. By: Bernardt, Florian (GWS); Schneemann, Christian (Institute for Employment Research (IAB), Nuremberg, Germany); Ulrich, Philip (GWS); Kalinowski, Michael (BIBB); Weber, Enzo (Institute for Employment Research (IAB), Nuremberg, Germany ; Univ. Regensburg); Zenk, Johanna (Institute for Employment Research (IAB), Nuremberg, Germany); Zika, Gerd (Institute for Employment Research (IAB), Nuremberg, Germany)
    Abstract: "This research report describes the medium- and long-term impacts of the war in Ukraine and the energy crisis for 34 labour market regions in Germany. To this end, the scenarios from the corresponding analysis for all Germany have been regionalised. A comparison of the regionalised scenarios illustrates the possible impacts of the war in Ukraine and the energy crisis on regional labour markets in Germany. A medium-term scenario by 2026 and a longer-term scenario by 2030 are calculated. In addition, the impacts of an aggravated energy crisis on the number of employed persons in the regions are considered. In this scenario a doubling of the previously assumed price increase is expected. The war of aggression on Ukraine has caused great refugee movements, already now resulting in a higher population growth in all German labour market regions. In relative terms, the total population increases strongest in the regions Rostock, Hannover and Kassel by 2026 and 2030. The higher population size in turn leads to an increase in the labour force in all labour market regions. In the long-term, this growing labour force potential results in a higher number of employed persons than in the alternative scenario “Peace in Europe”. In the medium-term however, the number of employed persons is lower in 2026 in all labour market regions in comparison to the alternative scenario due to the overall weaker economic situation. The strongest relative decline is being expected for the regions Münster/Osnabrück, Bremen and Ravensburg. In the long-term, the number of employed persons is higher in most labour market regions in comparison to the alternative scenario “Peace in Europe”. However, the regions Ravensburg, Münster/Osnabrück and Neubrandenburg continue to be affected negatively and with the strongest relative decline. Job reductions in all regions are largely attributed to accommodation and food service activities, manufacturing of machinery and equipment and land transport. Most regions also face job reductions in retail trade and the construction sector. The reductions in the respective industries and service sectors are due to higher energy prices, the resulting increase in the general price level and lower consumer spending. Depending on the region and regional economic structures, the reductions vary in size. On the other hand, additional jobs are being created in the educational sector, in public administration, defence and compulsory social security and the health sector. Job creation in these sectors is due to population growth, its demographics and additional government spending. If the energy crisis aggravates and the previously assumed energy prices were to double once again, the impacts on the labour market regions would be much more negative. In particular, regions with a high proportion of energy-intensive industries would carry an additional burden. Negative impacts are to be expected especially for the north-western regions. Employment numbers would then remain lower than in the alternative scenario “Peace in Europe” even in the long term." (Author's abstract, IAB-Doku) ((en))
    Keywords: IAB-Open-Access-Publikation
    Date: 2022–11–17
  10. By: Azhgaliyeva, Dina (Asian Development Bank Institute); Rahut, Dil (Asian Development Bank Institute)
    Abstract: The building and construction sectors contribute about 38% of the greenhouse gas (GHG) emissions and account for 35% of the total energy consumption. With the growing population (especially in developing Asia) and increasing income, the demand for construction and building will continue to rise, which means that GHG emissions from the sector will also rise. Green buildings— encompassing the use of materials and processes which are environmentally friendly and minimizing the use of resources from the design, construction, and maintenance, to demolition stages—have been recognized as an important pathway to mitigate GHG emissions from the construction and building sectors. We conduct a systematic review of the literature, standards, and policies, and provide a pathway for the implementation of green buildings, particularly in developing countries. The major challenges for green building implementation are access to construction materials and skilled laborers, followed by the high cost of low-carbon construction. Most existing policies provide for energy efficiency in buildings, rather than green buildings. Promoting energy efficiency is not an equal substitute for green building policies, as they do not support the manufacturing of low-carbon construction materials and activities. To reach net-zero carbon emissions and other nationally determined contributions, the construction and building sectors have a tremendous role, which calls for policy support for green buildings.
    Keywords: GHG emission; green building; low-carbon construction; energy-efficiency; NDCs; green building standards
    JEL: Q28 Q42 Q43 Q53
    Date: 2022–07
  11. By: Fraas, Arthur; Lutter, Randall; Porter, Zachary; Wallace, Alexander (Mercury Publication)
    Abstract: Several federal benefit-cost analyses report an energy paradox among firms in competitive markets and conclude that firms would benefit from mandates to increase the use of energy-saving technologies. Such findings appear incompatible with neoclassical vi
  12. By: Kahilu Kajimo-Shakantu; Kgodisho Tshwane; Timothy O. Ayodele
    Abstract: The gains of green buildings are replete in literature. However, the role of the property valuer in the valuation of green buildings still remains unclear. The study aims to assess the barriers and factors influencing the implementation of green building valuation in the residential property sector of South Africa. The research employs a quantitative methodology. The study utilised a closed-ended questionnaire to collect data from professionally registered Valuers at the South African Council for the Property Valuers Profession, in the Gauteng province. Statistical techniques such as frequency count, percentages and mean item score were employed in analysing the data. The result showed that the majority of the respondents agreed that the initial cost of green buildings is higher than conventional buildings. Though, the operational costs often tend to offset this initial cost in the long run. Furthermore, the study found that water and energy efficiency features and materials used for construction are key inputs in the valuation of green buildings. Also, the major challenges to green building valuation are the few numbers of the residential green building stock and the lack of cost data on green buildings. The study concludes on the need for collaboration among various stakeholders such as developers, valuers and green-certifying organizations to make cost data available to property valuers and create a sharing platform where such information can be accessed and used by valuers to arrive at credible value opinions on green buildings. Also, the role of property valuers is germane towards ensuring that the value of properties reflects the green building element, therefore their knowledge of sustainability becomes critical.
    Keywords: Green Building; Market Value; property valuers; Residential Property; sustainability
    JEL: R3
    Date: 2022–01–01
  13. By: Kenneth Donkor-Hyiaman; Frank Gyamfi-Yeboah; Eric Tudzi; John Bugri
    Abstract: Green buildings are part of the global strategy to achieve sustainable development. Efforts towards this goal are however hampered by the lack of awareness and high illiteracy about green building. Focusing on the youth, this paper measures the level of green building literacy among Ghanaian tertiary education students, how it differs according to their demographics, and its relationship with their housing choice. Following a comprehensive literature review, we used a structured online questionnaire survey to gather data from 763 Ghanaian tertiary education students. Following statical tests, the study analysed the dataset principally using mean scoring, Chi-square test and regression techniques. The results suggest that most university students have no or basic knowledge in green buildings. This low level of green building literacy is attributable in part to their demographic features including age, gender, level of education, level of study, employment status, income level of respondents, and whether the person had previously lived in a house with green features. Further analyses show that male students and built environment students have higher knowledge about green buildings and are more likely to have lived in or are currently living in a building with green features, and also more likely to choose a house with green features in the future. Policy-wise, the study shows that educating the youth about green buildings could alter their housing outcomes and preferences in favour of sustainable ones and hence, contribute to achieving Sustainable development goal 11 – Sustainable Cities and Communities.
    Keywords: Green Buildings; sustainability; Sustainable Development Ghana; Green Building Literacy; housing choice
    JEL: R3
    Date: 2022–01–01
  14. By: Simon Hirsch; Florian Ziel
    Abstract: During the last years, European intraday power markets have gained importance for balancing forecast errors due to the rising volumes of intermittent renewable generation. However, compared to day-ahead markets, the drivers for the intraday price process are still sparsely researched. In this paper, we propose a modelling strategy for the location, shape and scale parameters of the return distribution in intraday markets, based on fundamental variables. We consider wind and solar forecasts and their intraday updates, outages, price information and a novel measure for the shape of the merit-order, derived from spot auction curves as explanatory variables. We validate our modelling by simulating price paths and compare the probabilistic forecasting performance of our model to benchmark models in a forecasting study for the German market. The approach yields significant improvements in the forecasting performance, especially in the tails of the distribution. At the same time, we are able to derive the contribution of the driving variables. We find that, apart from the first lag of the price changes, none of our fundamental variables have explanatory power for the expected value of the intraday returns. This implies weak-form market efficiency as renewable forecast changes and outage information seems to be priced in by the market. We find that the volatility is driven by the merit-order regime, the time to delivery and the closure of cross-border order books. The tail of the distribution is mainly influenced by past price differences and trading activity. Our approach is directly transferable to other continuous intraday markets in Europe.
    Date: 2022–11
  15. By: Sirikhan, Kulacha
    Abstract: This study aims to raise awareness of a viable collective transportation concept that yields the most sustainable and inclusive outcomes. The connected autonomous shared electric vehicle (CASE) has been proposed as a future enabler of collective mobility that emphasizes sharing vehicles among numerous passengers and endorses multi-modal public transportation. This study demonstrates the application of an integrated scenario building approach at both the generic and place-specific levels. Then, the plausible scenarios were developed that best fit the area-based context. The scientific research trends in bibliometric analysis and the discussion on urbanization problems in spatial analysis were synergized to identify critical uncertainties, which are the input in scenario building. The discussion on urbanization problems of mega-urban regions in the SEA context captures additional challenges from a compound of mobility inequalities such as limited accessibility and fragmented paratransit, which could fuel the ignorance of collective urban mobility usage. The plausible scenario quadrants shed light on long-term strategy planning requirements in response to various autonomous mobility deployments and their consequence on urban dynamics.
    Keywords: Autonomous Vehicles,The Connected Autonomous Shared Electric Vehicle,CASE,Scenario Building,Mega-Urban Regions,Southeast Asia,Bangkok,Ho Chi Minh City
    Date: 2022
  16. By: Jones, Benjamin; Nguyen-Tien, Viet; Elliott, Robert J.R.
    Abstract: The emergence of a mass market for electric vehicles (EVs) offers development opportunities for countries that have abundant resources of cobalt, nickel, lithium, copper, aluminium and manganese. Not surprisingly, developing countries have proposed ambitious plans to expand production of these raw materials. However, an observation from the resource curse literature is that strong institutions are required if they are to mitigate the risk of poorly directed, often excessively procyclical, investment, not least because of the complexity, opacity and price volatility of many raw materials utilised by global EV value chains. This paper examines the outlook for EV demand and associated raw material usage paying attention to the drivers and sensitivities required to assess and track future market transformations. These end use shifts are then placed in the context of the broader supply chain adjustments and trends shaping the demand. For resource exporters, adapting to structural change will require fiscal, regulatory, environmental and institution reforms designed to capture shifting patterns of resource wealth in a way which takes appropriate account of comparative advantages in specific value chains and mitigates adverse environmental and social consequences from their extraction and processing.
    Keywords: critical materials; electric vehicle; global value chains; resource mobilisation
    JEL: J1
    Date: 2022–10–06
  17. By: Peters, Toby (Asian Development Bank Institute); Sayin, Leyla (Asian Development Bank Institute)
    Abstract: Lack of cooling and cold-chain access is a critical development challenge that has significant implications for people’s livelihoods, productivity, health, food, and nutritional security. While business-as-usual demand projections suggest 19 new cooling appliances will be sold every second by 2050, universal access to cooling is expected not to be a reality even at this rate of growth, leaving poor and vulnerable populations to suffer the consequences. The global demand for cooling is already pressuring the energy system and the environment and given all the social and economic benefits of cooling and cold-chain but also the environmental risks, there is now a major opportunity for governments and the private sector to develop and deploy sustainable, affordable, and resilient cooling solutions, and contribute to three internationally agreed goals simultaneously: the Paris Agreement, Sustainable Development Goals, and the Kigali Amendment to Montreal Protocol. Achieving this will require a radically different approach to cooling and cold-chain provision that starts by asking what energy services are needed and explores ways to meet them with minimum environmental impact and cost, taking into account available renewable, thermal, and waste energy resources, synergies between processes and systems, and aggregation opportunities, rather than defaulting to electricity to generate cooling. Such a system-level approach sits at the core of the Cold Economy.
    Keywords: cold economy; cooling; cold-chain; energy demand mitigation; renewable energy; waste energy recovery; sustainable development; climate change
    JEL: Q01 Q42 Q43 Q48 Q55 Q56 Q58
    Date: 2022–06
  18. By: Edquist, Harald; Bergmark, Pernilla
    Abstract: This paper investigates the association between relative mobile broadband penetration and carbon dioxide (CO2) emissions globally. The study is based on 181 countries for the period 2002-2020. The results indicate an initial increase in CO2 emissions for a country at an average emission level once mobile broadband is introduced. Possible explanations might be initial investment in network infrastructure and increased consumption of electricity. However, on average for the period 2002-2020 the continuous relationship between mobile broadband (defined as speeds of at least 256 kbps) and CO2 is significantly negative, i.e. emissions at a country level significantly reduce as mobile broadband penetration increase. Based on a two-stage model and controlling for fixed broadband and four addition control variables (i.e. population density, electricity consumption from fossil fuel, industry as a share of GDP and a regulation index), we are able to conclude that on average a 10 percentage points increase in mobile broadband penetration causes a 7 percent reduction of CO2 emissions per capita (given that the instrumental variable strategy, as assumed, identifies causal effects). Thus, the results show that investments in mobile infrastructure over longer periods of time can contribute to mitigating climate change.
    Keywords: Mobile broadband,carbon dioxide (CO2),climate change
    JEL: O13 O33 Q54
    Date: 2022
  19. By: Kapatamoyo, Musonda; Mbumwae, Victor
    Abstract: The concept of Green Strategies in the management of the environment has taken center stage world over. Zambia has not been left behind as it has ratified and adopted the concept of 'green economy' or 'green growth' through the declared priority theme for the United Nations Conference on Sustainable Development in 2012 (Rio+20) (Banda &Bass, 2014:3). The definition of green growth adopted by Zambia is "development that makes sustainable and equitable use of Zambia's natural resources within ecological limits through reinforcing the three cornerstones of sustainable development" (UNCSD, 2012: 46). The cornerstones or pillars of sustainable development are the economy, social welfare and environment. In its simplest expression, a green economy is low-carbon, resource efficient and socially inclusive. It is based on a model which underscores both economic growth and social and natural resources development as opposed to the 'brown' economic model which emphasizes economic growth over social and natural (Chileshe & Moonga, 2019). The concept of Green Economy applies much to the ICT sector as ICTs are a major contributor to environmental waste and pollution. The report of the International Telecommunications Union (ITU), the Global E-Waste Monitor 2020 reported that a record 53.6 million metric tons (Mt) of e-waste - discarded products with a battery or plug such as computers and mobile phones - is reported generated worldwide in 2019, up 9.2 Mt in five years. Toxic and hazardous substances such as mercury, brominated flame-retardants (BFR) or chlorofluorocarbons (CFCs) are found in many types of electronic equipment and pose severe risk to human health and the environment if not handled in an environmentally sound manner. (...)
    Keywords: SURF Green ICT Maturity Model,E-waste,Green ICT,Green informatics,Sustainability,Zambia
    Date: 2022
  20. By: Liz Wachs; Colin McMillan; Gale Boyd; Matt Doolin
    Abstract: Combustion, other emitting processes and fossil energy use outside the power sector have become urgent concerns given the United States’ commitment to achieving net-zero greenhouse gas emissions by 2050. Industry is an important end user of energy and relies on fossil fuels used directly for process heating and as feedstocks for a diverse range of applications. Fuel and energy use by industry is heterogeneous, meaning even a single product group can vary broadly in its production routes and associated energy use. In the United States, the North American Industry Classification System (NAICS) serves as the standard for statistical data collection and reporting. In turn, data based on NAICS are the foundation of most United States energy modeling. Thus, the effectiveness of NAICS at representing energy use is a limiting condition for current expansive planning to improve energy efficiency and alternatives to fossil fuels in industry. Facility-level data could be used to build more detail into heterogeneous sectors and thus supplement data from Bureau of the Census and U.S Energy Information Administration reporting at NAICS code levels but are scarce. This work explores alternative classification schemes for industry based on energy use characteristics and validates an approach to estimate facility-level energy use from publicly available greenhouse gas emissions data from the U.S. Environmental Protection Agency (EPA). The approaches in this study can facilitate understanding of current, as well as possible future, energy demand. First, current approaches to the construction of industrial taxonomies are summarized along with their usefulness for industrial energy modeling. Unsupervised machine learning techniques are then used to detect clusters in data reported from the U.S. Department of Energy’s Industrial Assessment Center program. Clusters of Industrial Assessment Center data show similar levels of correlation between energy use and explanatory variables as three-digit NAICS codes. Interestingly, the clusters each include a large cross section of NAICS codes, which lends additional support to the idea that NAICS may not be particularly suited for correlation between energy use and the variables studied. Fewer clusters are needed for the same level of correlation as shown in NAICS codes. Initial assessment shows a reasonable level of separation using support vector machines with higher than 80% accuracy, so machine learning approaches may be promising for further analysis. The IAC data is focused on smaller and medium-sized facilities and is biased toward higher energy users for a given facility type. Cladistics, an approach for classification developed in biology, is adapted to energy and process characteristics of industries. Cladistics applied to industrial systems seeks to understand the progression of organizations and technology as a type of evolution, wherein traits are inherited from previous systems but evolve due to the emergence of inventions and variations and a selection process driven by adaptation to pressures and favorable outcomes. A cladogram is presented for evolutionary directions in the iron and steel sector. Cladograms are a promising tool for constructing scenarios and summarizing directions of sectoral innovation. The cladogram of iron and steel is based on the drivers of energy use in the sector. Phylogenetic inference is similar to machine learning approaches as it is based on a machine-led search of the solution space, therefore avoiding some of the subjectivity of other classification systems. Our prototype approach for constructing an industry cladogram is based on process characteristics according to the innovation framework derived from Schumpeter to capture evolution in a given sector. The resulting cladogram represents a snapshot in time based on detailed study of process characteristics. This work could be an important tool for the design of scenarios for more detailed modeling. Cladograms reveal groupings of emerging or dominant processes and their implications in a way that may be helpful for policymakers and entrepreneurs, allowing them to see the larger picture, other good ideas, or competitors. Constructing a cladogram could be a good first step to analysis of many industries (e.g. nitrogenous fertilizer production, ethyl alcohol manufacturing), to understand their heterogeneity, emerging trends, and coherent groupings of related innovations. Finally, validation is performed for facility-level energy estimates from the EPA Greenhouse Gas Reporting Program. Facility-level data availability continues to be a major challenge for industrial modeling. The method outlined by (McMillan et al. 2016; McMillan and Ruth 2019) allows estimating of facility level energy use based on mandatory greenhouse gas reporting. The validation provided here is an important step for further use of this data for industrial energy modeling.
    Date: 2022–11
  21. By: Kakuho Furukawa (Bank of Japan); Ryohei Hisano (The University of Tokyo); Yukio Minoura (Bank of Japan); Tomoyuki Yagi (Bank of Japan)
    Abstract: Recent years have seen a growing trend to utilize "alternative data" in addition to traditional statistical data in order to understand and assess economic conditions in real time. In this paper, we construct a nowcasting model for the Indices of Industrial Production (IIP), which measure production activity in the manufacturing sector in Japan. The model has the following characteristics: First, it uses alternative data (mobility data and electricity demand data) that is available in real-time and can nowcast the IIP one to two months before their official release. Second, the model employs machine learning techniques to improve the nowcasting accuracy by endogenously changing the mixing ratio of nowcast values based on traditional economic statistics (the Indices of Industrial Production Forecast) and nowcast values based on alternative data, depending on the economic situation. The estimation results show that by applying machine learning techniques to alternative data, production activity can be nowcasted with high accuracy, including when it went through large fluctuations during the spread of the COVID-19 pandemic.
    Keywords: Industrial production; Mobility data; Electricity data; Nowcasting; Machine learning; COVID-19
    JEL: C49 C55 E23 E27
    Date: 2022–11–25
  22. By: Alvita, Velinda
    Abstract: This study of the relationship between oil palm and coal prices on the growth of the trade balance aims to find out how the development of palm oil prices and coal prices in Indonesia from year to year and to find out whether there is a relationship between palm oil prices and coal prices in Indonesia on the trade balance. The research was conducted by analyzing data on prices of palm oil and coal, as well as data on the value of the trade balance in 2009 to 2020 which was taken from data from the Central Statistics Agency (BPS), the Ministry of Energy and Mineral Resources, and the Asian Development Bank (ADB). In this study, the method used is a computable general equilibrium model. Based on the results of this study, it can be concluded that there is a relationship between the price of palm oil and coal on the growth of the trade balance where if the price of oil and coal increases, the value of exports will also increase, allowing a surplus in the trade balance. Meanwhile, if the price of palm oil and coal falls, the value of exports will also fall, allowing a deficit in the trade balance.
    Date: 2022–06–17
  23. By: Bagilet, Vincent; Zabrocki-Hallak, Léo
    Abstract: Hundreds of studies have shown that air pollution affects health in the very short-run. This played a key role in setting air quality standards. Yet, estimated effect sizes can vary widely across studies. Analyzing the results published in epidemiology and economics, we find that publication bias and a lack of statistical power could lead some estimates to be inflated. We then run real data simulations to identify the design parameters causing these issues. We show that this exaggeration may be driven by a small numbers of exogenous shocks, instruments with limited strength or sparse outcomes. Other literatures relying on comparable research design could also be affected by these issues. Our paper provides a principled workflow to evaluate and avoid the risk of exaggeration when conducting an observational study.
    Date: 2022
  24. By: Clara Kögel (OCDE - Organisation de Coopération et de Développement Economiques = Organisation for Economic Co-operation and Development, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique)
    Abstract: This paper investigates the effect of air pollution on labour productivity in French establishments in both manufacturing and non-financial market services sectors from 2001 to 2018. An instrumental variable approach based on planetary boundary layer height and wind speed allows identifying the causal effect of air pollution on labour productivity. The finding shows that a 10% increase in fine particulate matter leads, on average, to a 1.5% decrease in labour productivity, controlling for firm-specific characteristics and other confounding factors. The analysis also considers different dimensions of heterogeneity driving this adverse effect. The negative effect of pollution is mainly driven by service-intensive firms and sectors with a high share of highly skilled workers. This finding is in line with the expectation that air pollution affects cognitive skills, concentration, headache, and fatigue in non-routine cognitive tasks. Compared to an estimation of the marginal abatement cost of PM 2.5 reductions by the Air Quality Directive 2008/50/EC, gains only from the labour productivity channel are equivalent to one-third of the abatement cost over the implementation period. All in all, these estimates suggest that the negative impact of air pollution is much larger than previously documented in the literature.
    Keywords: air pollution,labour productivity,planetary boundary layer height
    Date: 2022–10
  25. By: Stark, Oded; Pang, Yu; Fan, Simon
    Abstract: We study a developing countries setting in which agglomeration efficiency of urban production attracts rural-to-urban migration, whereas urban pollution deters rural-to-urban migration. By means of a general equilibrium model we study the formation of policies aimed at striking a socially optimal balance between supporting efficient levels of urban agglomeration and mitigating urban pollution in the presence of endogenous rural-to-urban migration. We show that without government intervention, although rural-to-urban migration contributes to agglomeration economies, it does not improve social welfare because it also exacerbates environmental degradation. We also show that urban pollution problems cannot be resolved by means of environmental regulation alone: for example, an emissions tax aimed at curbing urban pollution can backfire as and when it increases the appeal of rural-to-urban migration. A policy of emissions tax in conjunction with a subsidy to rural individuals is an effective means of enhancing urban productivity while reducing urban pollution.
    Keywords: Environmental Economics and Policy, Labor and Human Capital, Public Economics
    Date: 2022–11–30
  26. By: Giovanni Maggi; Robert W. Staiger
    Abstract: Current policies directed at mitigating global warming appear unlikely to prevent temperatures from rising to levels that would trigger a precipitous increase in the costs of climate change. Various attempts at international cooperation to avoid this outcome have failed. Why is this problem so intractable? Can we expect an 11th-hour solution? Will some countries, or even all, succumb on the equilibrium path? We address these questions through a model that features the possibility of climate catastrophe and emphasizes the role of international externalities that a country’s policies exert on other countries and intertemporal externalities that current generations exert on future generations. Within this setting, we explore the extent to which international agreements can mitigate the problem of climate change. Our analysis illuminates the role that international climate agreements can be expected to play in addressing climate change, and it points to important limitations on what such agreements can achieve, even under the best of circumstances.
    JEL: F02 Q54
    Date: 2022–11
  27. By: Katzav, Joel; Thompson, Erica L.; Risbey, James; Stainforth, David A.; Bradley, Seamus; Frisch, Mathias
    Abstract: When do probability distribution functions (PDFs) about future climate misrepresent uncertainty? How can we recognise when such misrepresentation occurs and thus avoid it in reasoning about or communicating our uncertainty? And when we should not use a PDF, what should we do instead? In this paper, we address these three questions. We start by providing a classification of types of uncertainty and using this classification to illustrate when PDFs misrepresent our uncertainty in a way that may adversely affect decisions. We then discuss when it is reasonable and appropriate to use a PDF to reason about or communicate uncertainty about climate. We consider two perspectives on this issue. On one, which we argue is preferable, available theory and evidence in climate science basically exclude using PDFs to represent our uncertainty. On the other, PDFs can legitimately be provided when resting on appropriate expert judgement and recognition of associated risks. Once we have specified the border between appropriate and inappropriate uses of PDFs, we explore alternatives to their use. We briefly describe two formal alternatives, namely imprecise probabilities and possibilistic distribution functions, as well as informal possibilistic alternatives. We suggest that the possibilistic alternatives are preferable.
    Keywords: climate projection; deep uncertainty; possibility theory; probability; uncertainty representations
    JEL: C1
    Date: 2021–11–25
  28. By: Rondón Toro, Estefani; Reyes Pontet, Mauro; Herrera Jiménez, Juan
    Abstract: La Comisión Económica para América Latina y el Caribe (CEPAL), junto con Ciudades Capitales de las Américas frente al Cambio Climático (CC35), ha llevado a cabo un análisis y evaluación de los planes de acción climática publicados en distintas ciudades de la región. Sobre la base de una metodología de análisis cualitativo, se analizan diez planes de acción climática de ciudades de América Latina y el Caribe para hacer un diagnóstico regional de las estrategias climáticas y generar reflexiones de cara a la implementación de las acciones de mitigación y adaptación climática postuladas en los planes. La aproximación metodológica facilita la comprensión integral de los planes de acción climática con una visión ambiental, económica y social, y ofrece una guía para identificar fortalezas, debilidades y oportunidades de mejora para el diseño futuro de planes climáticos.
    Date: 2022–09–12
  29. By: López Restrepo, Juan Camilo; Castillo Herrera, Juan Carlos; Tibaquirá Giraldo, Juan Esteban; Ríos Osorio, Daniel Alberto
    Abstract: Entre las medidas más destacadas para cumplir con las contribuciones determinadas a nivel nacional se encuentra el cambio de las tecnologías de motorización y la utilización de vehículos de bajas emisiones y de emisión cero. La inclusión de este tipo de vehículos debe estudiarse a nivel de las ciudades para analizar los beneficios energéticos y ambientales, y así iniciar la transición hacia la sostenibilidad del transporte. A partir de la revisión de planes desarrollados a nivel de los países y las ciudades, se identificó el proceso de reemplazo de las flotas de autobuses que funcionan con combustible diésel por autobuses eléctricos, con la intención de reducir las concentraciones de material particulado (PM2,5) y demás emisiones contaminantes que afectan la calidad de vida de los usuarios y de las personas que habitan en zonas urbanas.
    Date: 2022–09–12
  30. By: Philipp Heimberger (The Vienna Institute for International Economic Studies, wiiw); Andreas Lichtenberger (The Vienna Institute for International Economic Studies, wiiw)
    Abstract: RRF 2.0 Ein permanenter EU-Investitionsfonds im Kontext von Energiekrise, Klimawandel und EU-Fiskalregeln This publication is available in German language only. For a brief English summary see further below. Während der Klimawandel schon länger eine grüne Wende unseres Wirtschaftens verlangt, beschleunigt die aktuelle Energiekrise die Dringlichkeit für eine Umstellung der Energie- und Transportsysteme. Die Recovery and Resilience Facility (RRF), welche zur wirtschaftlichen Abfederung der Covid-19-Krise beschlossen wurde, entspricht einer ersten groß angelegten EU-weiten Investitionsinitiative, die unter anderem Ziele im Bereich der Dekarbonisierung verfolgt. Die RRF-Ausgaben werden jedoch nicht ausreichen, um die Klimaziele in den kommenden Jahrzehnten zu erreichen. Zur Einhaltung der Klimaziele bräuchte es zusätzliche öffentliche Investitionen im Umfang von mindestens 1% der EU-Wirtschafsleistung pro Jahr. Die in Aussicht stehende Reform der EU-Fiskalregeln würde eine Steigerung der öffentlichen Investitionen auf nationaler Ebene nicht in ausreichendem Maße ermöglichen. Die Einrichtung eines permanenten EU-Klima- und Energieinvestitionsfonds mit Zuschüssen im Ausmaß von mindestens 1% der EU-Wirtschaftsleistung zur Finanzierung öffentlicher Investitionen stellt eine funktional adäquate Alternative zur goldenen Investitionsregel dar Der Spielraum in den nationalen Haushalten der EU-Mitgliedstaaten würde sich wesentlich erweitern, sodass die Regierungen einen wichtigen Schritt in Richtung einer grünen Wende setzen und gleichzeitig die EU-Fiskalregeln eher einhalten können. Die finanzierten Investitionsprojekte könnten außerdem verstärkt auf genuin europäische Projekte mit einem EU-Mehrwert gerichtet werden. Ein solcher permanenter EU-Investitionsfonds für Klima und Energie könnte die Gemeinschaft der EU-Mitgliedstaaten nicht nur von innen heraus wirtschaftlich und politisch stärken, sondern auch ihre zukünftige geostrategische Handlungsfähigkeit in unsicheren Zeiten fördern. RRF 2.0 A Permanent EU Investment Fund in the Context of the Energy Crisis, Climate Change and EU Fiscal Rules While climate change has long called for a green shift in our economies, the current energy crisis leads to an increased urgency when it comes to transforming the energy and transportation systems. The Recovery and Resilience Facility (RRF), which was adopted to support recovery from the Covid-19 crisis, corresponds to a first large-scale EU-wide investment initiative, including decarbonization goals. However, RRF spending will not be sufficient to meet climate targets in the coming decades. Meeting climate targets would require additional public investment equivalent to at least 1% of EU economic output per year. The reform of EU fiscal rules under consideration would not enable a sufficient increase in public investment at the national level. The establishment of a permanent EU climate and energy investment fund amounting to at least 1% of EU economic output to finance public investment represents a functionally adequate alternative to the golden rule of investment. The fiscal space in the national budgets of EU member states would be substantially expanded, allowing governments to take an important step in the green transition while being more likely to comply with EU fiscal rules. Investment could also be increasingly directed toward genuinely European projects with EU added value. Such a permanent EU investment fund for climate and energy would not only strengthen the community of EU member states economically and politically from within, but also promote its future geostrategic capacity to act.
    Keywords: Investitionen, EU, Europa, Klimawandel, Energiekrise, Finanzierung, RRF 2.0
    JEL: H54 H63 R42
    Date: 2022–11
  31. By: OECD
    Abstract: The world demands bold action to meet the global goal of zero net emissions by 2050. Young people will experience the consequences of climate change more directly during their lifetime than any previous generation in recent history. Education can play a pivotal role in preparing new generations for a greener future. What students learn may mean the difference between accepting the status quo and fostering sustainability to keep the world in ecological balance. Are students ready to actively address these environmental challenges? And how can education endow students with the knowledge, skills and pro-environmental attitudes they need? This policy brief points to key aspects to consider when addressing these questions.
    JEL: I F18
    Date: 2022–12–08
  32. By: Nikolay Khabarov; Alexey Smirnov; Michael Obersteiner
    Abstract: Shadow prices are well understood and are widely used in economic applications. However, there are limits to where shadow prices can be applied assuming their natural interpretation and the fact that they reflect the first order optimality conditions (FOC). In this paper, we present a simple ad-hoc example demonstrating that marginal cost associated with exercising an optimal control may exceed the respective cost estimated from shadow prices. This fact renders shadow prices generally irrelevant to estimation of optimal marginal cost. The provided illustrative optimization problem links to a similar approach of calculating social cost of carbon (SCC) in the widely used dynamic integrated model of climate and the economy (DICE).
    Date: 2022–11
  33. By: Laurent Guihéry (CY - CY Cergy Paris Université, MATRis - Mobilité, Aménagement, Transports, Risques et Société - Cerema - Centre d'Etudes et d'Expertise sur les Risques, l'Environnement, la Mobilité et l'Aménagement - CY - CY Cergy Paris Université)
    Abstract: La France va-t-elle rattraper son retard face aux ports du Northern Range ? La plupart des ports du Northern Range ont développé une stratégie de corridor ferroviaire reliant leur port, parfois même au niveau des quais comme à Rotterdam, avec l'hinterland. L'objectif est de massifier les flux grâce au transport ferroviaire, de sécuriser le transport de matières dangereuses qui n'emprunte plus la route et de dispatcher dans l'arrière-pays les très nombreux conteneurs qui saturent parfois les espaces de stockage sur les ports. En plus, sur le plan environnemental , ce corridor ferroviaire réduit fortement les émissions de GES qui découleraient d'un transport par voie routière, voire même par voie fluviale, et permet de s'inscrire dans les objectifs de l'union européenne d'une neutralité carbone en 2050.
    Keywords: port,hinterland,corridor,Le Havre,transport ferroviaire
    Date: 2022–10–22
  34. By: Wu, Jie (Asian Development Bank Institute); Fan, Ying (Asian Development Bank Institute); Timilsina, Govinda (Asian Development Bank Institute); Xia, Yan (Asian Development Bank Institute)
    Abstract: There is an urgent need to mitigate global warming for all countries around the world. The People’s Republic of China (PRC) has announced a series of energy and climate policy targets in contributing its efforts toward meeting the ambitious goals in the Paris Agreement and the newly pledged carbon-neutral target. While carbon pricing has been considered the first-best policy worldwide to combat climate change, it may not be sufficient for meeting the multiple goals in the PRC, unless it is combined with complementary policies. In an attempt to explore whether this is the case, we investigate whether a single cost-effective instrument is adequate for developing a low-carbon economy in the PRC or whether a policy portfolio would be more effective. We compare the potential impacts of an emissions trading scheme (ETS), a carbon tax (CT), and a combination of an ETS and a CT. In addition, we further evaluate the economic impacts of two different policy portfolios by combining these approaches with subsidies for energy-efficient vehicles. Our results show that, while a nationwide ETS certainly has advantages over a CT regarding GDP losses, it also performs better in promoting the transfer of labor and capital from the eastern regions to central and western regions. However, a single ETS is less effective in regard to industrial structure adjustments and emission reductions in sectors that are not included in the ETS, such as the transportation sector. The results also show that a policy portfolio could achieve the same emissions reduction target with more moderate impacts. Therefore, it is suggested that implementation of a CT for sectors that are excluded from the ETS or a subsidy for energy-efficient vehicles could be considered as supplementary policies for the ETS in the PRC.
    Keywords: carbon pricing; carbon tax; emissions trading scheme; computable general equilibrium model
    JEL: C68 O13 Q56
    Date: 2022–07
  35. By: Francesco Nicolli (Department of Economics and Management, University of Ferrara); Marianna Gilli (Department of Economics and Management, University of Ferrara); Francesco Vona (University of Milan, Fondazione Eni Enrico Mattei and OFCE, Sciences Po)
    Abstract: This paper re-examines the relationship between per capita income, inequality, and per capita emissions while accounting for nonhomotheticity in green preferences and nonlinearities in the impact of economic growth on GHG emissions. Theoretically, our research is motivated by the fact that if environmental quality is a need with low priority on the hierarchical scale, the effect of inequality on emissions should vary depending on the level of income per capita. Specifically, for a given level of income per capita, a richer median voter will be more likely to approve of more stringent environmental policies, and thus, lower inequality is beneficial for the environment. With nonhomothetic preferences, the beneficial environmental effect of reducing inequality emerges only for countries that are sufficiently rich. We test this hypothesis by augmenting a standard EKC equation with the interaction between income per capita and the Gini coefficient. Our results for CO2, SO2 and N2O emissions corroborate our main hypothesis: reducing inequality is beneficial for the environment only for rich countries.
    Keywords: Inequality, Climate Change, GHG Emissions, Environmental Kuznets Curve, Sustainable Development Goals, Political Economy
    JEL: Q53 Q56 O15
    Date: 2022–11
  36. By: Beckert, Jens
    Abstract: Warum reagieren Gesellschaften so zögerlich auf die Klimakrise? Die in dem Essay verfolgte These lautet: Die wirtschaftlichen, politischen und sozialen Prozesse moderner kapitalistischer Gesellschaften weisen Macht- und Anreizstrukturen auf, die hinreichende Reaktionen auf die Klimakrise verhindern.
    Keywords: Kapitalismus,Klimakrise,ökologischer Konsum,staatliche Steuerungsfähigkeit,Wirtschaftsmacht,capitalism,climate crisis,ecological consumption,economic power,state steer-ing capacity
    Date: 2022
  37. By: Bruno Conte; Klaus Desmet; Esteban Rossi-Hansberg
    Abstract: A unilateral carbon tax trades off the distortionary costs of taxation and the future gains from slowing down global warming. Because the cost is local and immediate, whereas the benefit is global and delayed, this tradeoff tends to be unfavorable to unilateral carbon taxes. We show that this logic breaks down in a world with trade and migration where economic geography is shaped by agglomeration economies and congestion forces. Using a multisector dynamic spatial integrated assessment model (S-IAM), this paper predicts that a carbon tax introduced by the European Union (EU) and rebated locally can, if not too large, increase the size of Europe’s economy by concentrating economic activity in its high-productivity non-agricultural core and by incentivizing immigration to the EU. The resulting change in the spatial distribution of economic activity improves global efficiency and welfare. A unilateral carbon tax with local rebating introduced by the US generates similar global welfare gains. Other forms of rebating can dilute or revert this positive effect.
    JEL: F18 H23 O13 O44 Q56 R11
    Date: 2022–11
  38. By: Tauro, Raúl J.; Caballero, José Luis; Salinas, Miguel Ángel; Álvarez, Oscar Antonio; Ghilardi, Adrián; Arroyo, José Manuel
    Abstract: En este documento se presentan las estimaciones del potencial técnico de la energía que se puede obtener en Costa Rica a través de ciertos tipos de biomasa. Los potenciales se estimaron utilizando la plataforma geoespacial para evaluar el potencial energético de los recursos biomásicos de los países del Sistema de la Integración Centroamericana (SICA), una iniciativa de la CEPAL llevada a cabo en colaboración con el Centro de Investigaciones en Geografía Ambiental (CIGA) de la Universidad Nacional Autónoma de México (UNAM). Los potenciales obtenidos mediante información geoespacial para algunos tipos de bioenergía constituyen una referencia para tomar decisiones informada sobre el uso de ciertos recursos biomásicos como fuente de energía en Costa Rica, con el fin de aumentar la participación de los recursos renovables en la matriz energética del país, en línea con la meta 2 del ODS 7 de la Agenda 2030 para el Desarrollo Sostenible de las Naciones Unidas.
    Date: 2022–09–22
  39. By: Castelli, Chiara; Castellini, Marta; Ciola, Emanuele; Gusperti, Camilla; Romani, Ilenia Gaia; Vergalli, Sergio
    Abstract: The Water, Energy, Food and Ecosystems (WEFE) nexus refers to the system of complex and highly non-linear interconnections between these four elements. It now represents the basic framework to assess and design policies characterized by an holistic environmental end economical perspective. In this work, we provide a systematic review of the macroeconomic models investigating its components as well as combinations of them and their interlinkages with the economic system. We focus on four different types of macroeconomic models: Computable General Equilibrium (CGE) models, Integrated Assessment Models (IAMs), Agent-based Models (ABMs), and Dynamic Stochastic General Equilibrium (DSGE) models. On the basis of our review, we find that the structure of IAMs is currently the most used to represent the nexus complexity, while DSGE models focus only on single components but appear to be better suited to account for the randomization of exogenous shocks. CGE models and ABMs could be more effective on the side of the policy perspective. Indeed, the former can account for interlinkages across sectors and countries, while the latter can define theoretical frameworks that better approximate reality.
    Keywords: Environmental Economics and Policy, Land Economics/Use, Research Methods/ Statistical Methods, Resource /Energy Economics and Policy
    Date: 2022–11–28
  40. By: Philippe Drobinski (LMD - Laboratoire de Météorologie Dynamique (UMR 8539) - INSU - CNRS - Institut national des sciences de l'Univers - X - École polytechnique - ENPC - École des Ponts ParisTech - SU - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique - Département des Géosciences - ENS Paris - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres)
    Date: 2022–02
  41. By: Shaiara Husain (Business School, The University of Western Australia); Kazi Sohag (Graduate School of Economics and Management, Ural Federal University); Yanrui Wu (Business School, The University of Western Australia)
    Abstract: Twin transition strategy enforces the indisputable complementary relationship between green and digital transitions. This socio-technical process necessitates a paradigmatic shift to translate policy related uncertainties into twin transition strategies. With this background, the present study investigates the responsiveness of green markets to climate policy uncertainty (CPU) in the US economy by applying the cross-quantilogram approach and recently devised indices of CPU, green equity and green bond from 30th July 2014 to 31ste March 2021. The empirical findings demonstrate that the asymmetric relationship between green financial investment and CPU is positively related in the longer memory during period of high uncertainty. At the bearish state of the market, the responsiveness of green equity returns to CPU is profound compared to green equities in the medium memory. In general, CPU provides more opportunities in the green equity market than in the green bond market. The asymmetric behaviour is more prominent in the long run, implying that both green bond and green equity indices demonstrate higher portfolio performance in the long term than in the short term. This study shows that CPU provides a better explanation for green market responsiveness than other uncertainty indices.
    Keywords: Climate Policy Uncertainty; Social Innovation; Green Bond; Green Equity; Spillover; Cross-Quantilogram
    JEL: G0 G1 Q4 O35
    Date: 2022
  42. By: Hossain, Akmal
    Abstract: The need for electricity and other forms of energy has skyrocketed in recent years in Bangladesh as a direct result of the country's robust economic growth. Despite this, the firms who supplied liquefied petroleum gas (LPG) cylinders were the ones who decided how much they would cost, and customers had no room for negotiation. From this vantage point, the purpose of this essay is to apply the Advocacy Coalition Framework (ACF) in order to gain an understanding of the process of price fixing in Bangladesh's electricity and energy sectors. This paper argued, using secondary data sources, that the three types of coalitions have occurred in order to set oil and gas prices in the power and energy sectors in Bangladesh. In this way, this paper contributes to the academic discourse on the subject.
    Date: 2022–06–05
  43. By: Raouf Boucekkine (Rennes School of Business); Carmen Camacho (Paris School of Economics & CNRS); Weihua Ruan (Purdue University Northwest); Benteng Zou (Université du Luxembourg)
    Abstract: We consider a group of players initially members of a coalition managing cooperatively a public bad, in this case, the stock of pollution. Countries are technologically heterogeneous but the pollution damage is uniform. We essentially attempt to characterize the conditions under which a country may eventually split and when it splits within an infinite horizon multi-stage differential game. In contrast to the existing literature, we do not assume that after splitting, the splitting player and the remaining coalition will adopt Markovian strategies. Instead, we assume that the latter will remain committed to the collective control of pollution and play open-loop, while the splitting player plays Markovian. Within a full linear-quadratic model, we characterize the optimal strategies. We later compare with the outcomes of the case where the splitting player and the \remaining" coalition play both Markovian. We highlight several interesting results in terms of the implications for long- term pollution levels and the duration of coalitions with heterogenous strategies.
    Keywords: Coalition splitting; environmental agreements; differential games; multistage optimal control, precommitment vs Markovian.
    JEL: C61 C73 D71
    Date: 2022
  44. By: Tii N. Nchofoung (University of Dschang, Cameroon); Nathanael Ojong (York University, Toronto, Canada)
    Abstract: Based on data for 48 African countries for the period 2000–2020, we analyse the effects of natural resources on renewable energy development and the mediating effects of governance on that relationship. For this purpose, the Ordinary Least Squares method was used to develop a baseline regression model, and the Generalized Method of Moments (GMM) approach was used for the dynamic model regression. Quantile regression was used for robustness checking across the various distributions of renewable energy. First, we find that natural resources enhance renewable energy development in Africa and that the results are robust across alternative specifications of natural resources and governance, except for forest resources, which have a negative effect on renewable energy development. When robustness is checked through a quantile regression analysis, the results show that the positive effect depends on the conditional distribution of natural resources and the type of natural resource under consideration. The negative effect of total natural resources becomes weaker as we move towards higher quantiles. Second, governance interacts with natural resource rents to generate positive effects across different governance specifications and natural resources, except for coal rent. We thereby derive some relevant implications for renewable energy financing in African countries.
    Keywords: Sustainable development, renewable energy, natural resources, governance, Africa, SDG7
    JEL: C23 Q33 Q48
    Date: 2022–01
  45. By: Ebba Mark; Ryan Rafaty; Moritz Schwarz
    Abstract: The United States, much like other countries around the world, faces significant obstacles to achieving a rapid decarbonization of its economy. Crucially, decarbonization disproportionately affects the communities that have been historically, politically, and socially embedded in the nation's fossil fuel production. However, this effect has rarely been quantified in the literature. Using econometric estimation methods that control for unobserved heterogeneity via two-way fixed effects, spatial effects, heterogeneous time trends, and grouped fixed effects, we demonstrate that mine closures induce a significant and consistent contemporaneous rise in the unemployment rate across US counties. A single mine closure can raise a county's unemployment rate by 0.056 percentage points in a given year; this effect is amplified by a factor of four when spatial econometric dynamics are considered. Although this response in the unemployment rate fades within 2-3 years, it has far-reaching effects in its immediate vicinity. Furthermore, we use cluster analysis to build a novel typology of coal counties based on qualities that are thought to facilitate a successful recovery in the face of local industrial decline. The combined findings of the econometric analysis and typology point to the importance of investing in alternative sectors in places with promising levels of economic diversity, retraining job seekers in places with lower levels of educational attainment, providing relocation (or telecommuting) support in rural areas, and subsidizing childcare and after school programs in places with low female labor force participation due to the gendered division of domestic work.
    Date: 2022–11
  46. By: De Jesús, Indhira
    Abstract: Santo Domingo de Guzmán, Distrito Nacional y capital de la República Dominicana, es una ciudad costera muy vulnerable a los efectos del cambio climático. Tiene una población cercana al millón de habitantes y una cantidad similar de personas visitan la ciudad diariamente por trabajo, estudio, comercio u otras actividades. El Ayuntamiento del Distrito Nacional ha definido el riesgo climático y la sostenibilidad ambiental como aspectos prioritarios de su gestión. Con respecto a este inquietante fenómeno, el Ayuntamiento ha planteado tres acciones principales: desarrollar un plan integral de gestión del riesgo de desastres para la ciudad, realizar proyectos que reduzcan la vulnerabilidad de los habitantes de barrios ubicados en zonas inundables y actualizar e implementar códigos y normas urbanas que promuevan un desarrollo más resiliente.
    Date: 2022–09–26
  47. By: : Dierx, Adriaan (European Commission); : Ilzkovitz, Fabienne (Universite Libre de Bruxelles); : Pataracchia, Beatrice (European Commission); : Pericoli, Filippo (EMCDDA)
    Abstract: Through its competition policy interventions the European Commission not only addresses infringements of EU competition law by the firms directly involved, but it also deters possible future anticompetitive behaviour by these firms and other market players. The present paper represents the diffusion amongst market players of such deterrent effects by a mixed-influence diffusion model, which includes both an external triggering factor and an internal propagation mechanism. Within the present context, interventions by the European Commission serve as the trigger and interactions between market players, in particular via legal counsels and law firms, stimulate the propagation of the interventions’ deterrent effects. The parameters of the mixed-influence diffusion model are calibrated using survey-based information on average deterrence multipliers and an assessment of the reputation of the European Commission as an enforcer of EU competition rules. On this basis, estimates of the deterrent effect of each individual intervention by the European Commission can be obtained.
    Keywords: diffusion; deterrent effect; competition policy; European Commission; mixed-influence model; reputation
    JEL: L40 C54 C68 E17 O43
    Date: 2022–11
  48. By: Messina, Diego; Contreras Lisperguer, Rubén; Salgado, René
    Abstract: En este documento se busca brindar respuestas a los impactos ambientales que pueden resolverse si se transforma la movilidad urbana basada en combustibles fósiles a una que sea eléctrica, sustentada por energías renovables, en apoyo a la consecución de los Objetivos de Desarrollo Sostenible de la Agenda 2030. Sin duda, la electrificación del transporte público y privado en América Latina y el Caribe ofrece amplias ventajas, no solo por ser más eficiente que las tecnologías de transporte que dependen de los combustibles fósiles, sino porque, además, reduciría significativamente el costo del transporte público y privado, dado que actualmente las energías renovables son considerablemente más económicas que los combustibles fósiles, incluido el carbón. En este documento se ofrece, además, una metodología de análisis para el estudio de los impactos ambientales y se formulan cuatro análisis de caso para Bogotá, Buenos Aires, Ciudad de México y São Paulo.
    Date: 2022–09–28
  49. By: Driskell, David
    Abstract: Since the dawn of the information age, technology providers have been concentrating a lot of their efforts on improving the energy efficiency of data centers in order to make them more efficient over the course of the last two decades. Consequently, this has proved to be beneficial for both the business, as well as the environment, as well as benefiting both the business and the environment. There has been a noticeable shift in the focus from efficiency to sustainability over the course of time with the advancement of technology. In order to establish a sustainable planet, we have to consider many factors, including renewable energy, greenhouse gas emissions, water, waste, land, ecosystems, and biodiversity, in order to achieve a sustainable future. The technology providers can be able to have a positive impact on the environment by reducing the overall carbon footprint of the data centers as well as increase the efficiency of the data centers by reducing the carbon footprint. There are a number of technology infrastructures that rely heavily on data centers, and data centers play a critical role in most of them. There is no doubt that IT infrastructure technology is hosted in a Data Center, regardless of the industry, whether it is Mobile App Development, Banking, Government, Telecommunication, or Telecom. As far as data centers are concerned, there are two types: in-house data centers and outsourced data centers. There is a great deal of effort that goes into the design and implementation of the Data Centers.
    Keywords: Green data centers, Technology and sustainability, society and carbon free data center, strategies for green data center, data center and solar power
    JEL: L0 O14 O32 O33 Q5 Q55
    Date: 2022–06–15

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