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on Energy Economics |
| By: | Daron Acemoglu (Massachusetts Institute of Technology); Philippe Aghion (Collège de France; INSEAD; London School of Economics and Political Science); Lint Barrage (ETH Zurich); David Hémous (University of Zurich) |
| Abstract: | To combat climate change without sacrificing long-term economic growth, innovation must be redirected toward green technologies. The authors review recent literature that has developed a directed technical change framework where innovation can be endogenously targeted either toward fossil-fuel enhancing technologies or clean energy sources (such as renewables). They provide empirical evidence of path dependence in firms' choice between green and dirty innovation. They then draw implications of this path dependence for the design of environmental policy and for economic growth. In particular, they show that their framework has distinctive implications regarding unilateral environmental policies, international cooperation, the use of intermediate energy sources such as natural gas, and the role of civil society. |
| Keywords: | green growth, endogenous growth, directed technical change, climate change, innovation, environmental policy |
| JEL: | F18 O30 O41 O44 Q43 Q54 Q55 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:iie:wpaper:wp23-14&r=ene |
| By: | Antweiler, Werner; Muesgens, Felix |
| Abstract: | What happens to the merit order of electricity markets when all electricity is supplied by intermittent renewable energy sources coupled with large-scale electricity storage? With near-zero marginal cost of production, will there still be a role for an energy-only electricity market? We answer these questions both analytically and empirically for electricity markets in Texas and Germany. What emerges in market equilibrium is the 'new merit order'. Our work demonstrates that as long as free entry and competition ensure effective price setting, an efficient new merit order emerges in electricity markets even when the grid is completely powered by intermittent sources with near-zero marginal costs. We find that energy only markets remain viable and functional. |
| Abstract: | Was geschieht mit der Merit-Order, wenn die Stromnachfrage allein durch erneuerbare Energiequellen und große Stromspeicher gedeckt wird? Wenn die Grenzkosten der Erzeugung nahezu null sind, kann dann das bisherige Strommarktdesign des Energy-Only-Marktes noch aufrechterhalten werden? Dieser Artikel beantwortet diese Fragen sowohl analytisch als auch empirisch für die Strommärkte in Texas und Deutschland. Es zeigt sich, dass eine effiziente neue 'Merit-Order" entstehen würdet, wenn es freien Marktzugang und Wettbewerb auf den Strommärkten gibt, selbst wenn die Nachfrage vollständig von volatilen erneuerbaren Energie-Quellen mit Grenzkosten nahe Null bedient würde. Zudem zeigt sich, dass reine Energy-Only-Märkte auch weiterhin funktionieren würden. |
| Keywords: | Renewable energy, energy storage, electricity markets |
| JEL: | D47 Q41 Q42 L11 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:rwirep:282991&r=ene |
| By: | Frankovic, Ivan; Kolb, Benedikt |
| Abstract: | We show the importance of emission disclosure for climate policies in a DSGE model for the euro area. A low-carbon energy and a fossil energy sector contribute to production and are financed by balance-sheet constrained intermediaries. The underestimation of emissions from fossil energy firms (imperfect disclosure) provides them with too much funding. While improving disclosure in isolation has limited effects, it proves most beneficial in connection with higher carbon taxes: Improving disclosure by 20 percentage points reduces GDP costs of a carbon tax by 13%. For a carbon tax increase of 50 euro/ton CO2, this implies an average GDP benefit of 47 bn euro over six years. |
| Keywords: | emission disclosure, climate-related disclosure, climate policy, carbon taxation, E-DSGE, financial frictions |
| JEL: | D82 E17 G11 G14 G18 H23 Q43 Q58 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:bubdps:282981&r=ene |
| By: | Simon Voigts; Anne-Charlotte Paret |
| Abstract: | The IMF’s Macroeconomic Model for the Energy Transition (GMMET) is applied to assess the climate-related measures in the U.S. 2022 Inflation Reduction Act (IRA). Explicitly accouting for corporate income tax funding and assuming no permitting delays for energy-related investment, the measures are expected to cut annual greenhouse gas emissions by 710 MMT by 2030, predominantly driven by more electricity generation from renewables combined with a rising share of electric vehicles. Aggregate output and inflation are not impacted significantly, while the fiscal costs amount to about $700 billion through 2030 (another $120 billion of fixed grants and loans are not modelled). In the presence of investment delays from permitting, emission cuts would be reduced by about a third. We also show that the IRA leaves room for sizable additional emission abatement at very low costs; by targeting electricity generation from coal and methane emissions from oil and gas industries. |
| Keywords: | Climate change mitigation policy; Inflation Reduction Act |
| Date: | 2024–02–09 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:2024/024&r=ene |
| By: | ITF |
| Abstract: | Like-for-like replacement of fossil-fuel-powered vehicles by identical electric-powered vehicles is thought to be the main uptake pathway for electric vehicle (EV) uptake. However, what characterises global passenger and freight EV markets is the emerging uptake of smaller, lighter and shorter-ranged vehicle types specially designed for urban areas. A shift towards a broader EV uptake could be an opportunity for more sustainable and electric urban mobility systems – with comparatively lower electricity and charging infrastructure demand and battery materials needs, lower emissions and safer city streets. This report identifies the main use cases that could be part of such a broader and sustainable EV uptake. It also quantifies the sustainability impacts of different EV uptake scenarios that vary in vehicle fleet composition and degrees of electrification ambition. Finally, it gives recommendations on how authorities could leverage the passenger and freight EV transition for more sustainable cities. |
| Date: | 2023–09–27 |
| URL: | http://d.repec.org/n?u=RePEc:oec:itfaac:123-en&r=ene |
| By: | Theis Madsen; Yiannis Kountouris; Rasmus Bramstoft; Phoebe Koundouri; Dogan Keles |
| Abstract: | Decarbonization of the energy system is a major challenge for today's energy system to combat climate change. This challenge is addressed in the EU through different political strategies and plans such as the European Green Deal, Fit-for-55, and REPowerEU, which set specific emission reduction goals for 2030 and 2050. Different mechanisms are in place to achieve these goals, such as the system-wide ETS and the country-level National Energy and Climate Plans. However, there is a difference in the enforcement level between European countries, despite their connection to the same integrated energy system. Hence, there might be discrepancies between the effectiveness of the EU system-level target and the achievements of national goals and plans. To understand and address these discrepancies, we utilize the open-source, sector-coupled energy system optimization model Balmorel to analyze the impact of different decarbonization methods in a fully interconnected, pan-European energy system. In three scenarios, we consider 1) the use of only a system-level carbon budget in line with Fit-for-55 and the European Green Deal, 2) the application of a carbon budget at the country level, and 3) the use of a carbon tax instead of a budget on all production of electricity, heat, and hydrogen. The novelty of this paper lies in the first comparison of these three decarbonization mechanisms and their impact on alignment with policy targets. We demonstrate that the pan-European energy system can reach decarbonization targets across all scenarios. Still, diving from the system perspective into the country level, challenges appear, causing nations to overshoot their allocated budgets. Country-level emission targets are more effective with little cost increase compared to the only system-level target scenario but also cause crossborder effects of fossil fuel based energy production. The carbon tax scenario is the most effective at decarbonizing but comes at up to 27 % higher costs in intermediary years, requiring more early investments. |
| Keywords: | Energy policy, Energy Transition Pathway, Decarbonization Strategies, Balmorel, Energy System Modeling |
| Date: | 2024–02–19 |
| URL: | http://d.repec.org/n?u=RePEc:aue:wpaper:2404&r=ene |
| By: | Congressional Budget Office |
| Abstract: | When producing goods, the manufacturing sector emits carbon dioxide and other greenhouse gases that cause global warming, both by burning fossil fuels and through certain industrial processes. In this report, CBO provides an overview of greenhouse gas emissions in the manufacturing sector as a whole and in specific industries. The report discusses historical changes in the factors that determine those emissions, including energy use, technology, and the composition of output. |
| JEL: | H23 Q48 Q58 |
| Date: | 2024–02–28 |
| URL: | http://d.repec.org/n?u=RePEc:cbo:report:59695&r=ene |
| By: | Stefano Di Virgilio (Bank of Italy); Ivan Faiella (Bank of Italy); Alessandro Mistretta (Bank of Italy); Simone Narizzano (Bank of Italy) |
| Abstract: | We apply a novel method to estimate the impact of a change in energy expenditure on Italian firms’ credit risk, measured as the 12-month default probability (PD). We examine a shock to energy expenditure originating from different carbon tax levels and then 1) shock energy prices; 2) re‑compute the firm-level energy mix; 3) assess the impact on the firm PD via the re‑calculation of its financial statement. The flexibility of this approach, which includes scope 2 emissions, enables us to assess the transmission channels of energy shocks and firm exposure in detail. Our results show that the introduction of carbon taxation would have a limited impact on credit risk: a carbon tax of EUR 40, EUR 90 and EUR 140 per tonne of CO2 would raise the average PD by 0.6, 2.3 and 4.1 basis points, respectively. The effect is slightly larger for the Agriculture and Services sectors, while there is no clear pattern relating to firm size. |
| Keywords: | climate change, carbon tax, credit risk |
| JEL: | Q41 Q54 Q58 |
| Date: | 2023–09 |
| URL: | http://d.repec.org/n?u=RePEc:bdi:wpmisp:mip_041_23&r=ene |
| By: | Eirik S. Amundsen |
| Abstract: | For a long time, Norway has had resource rent taxes on oil- and natural gas extraction as well as on hydropower generation. Recently, resource rent taxes have also been levied on aquaculture, and wind power generation. This paper, gives a short overview of the rent theory, the basis for rent generation in Norway, the size of rent generated, the Norwegian tax system for resource rent for each of the resources considered, and the rent taxes collected. |
| Keywords: | natural resources, rent taxes, oil and gas, hydropower, wind power, aquaculture |
| JEL: | H20 H25 Q22 Q25 Q38 Q48 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_10911&r=ene |
| By: | Goulder, Lawrence H. (Resources for the Future); Long, Xianling; Qu, Chenfei; Zhang, Da |
| Abstract: | China’s recently launched CO2 emissions trading system, already the world’s largest, aims to contribute importantly to global reductions in greenhouse gas emissions. The system, a tradable performance standard (TPS), differs importantly from cap and trade (C&T), the principal approach used in other countries. We offer a dynamic general equilibrium assessment of this new venture, employing a model that uniquely considers institutional and fiscal features of China’s economy that influence economy-wide policy costs and distributional impacts.Key findings include the following. The TPS’s environmental benefits exceed its costs by a factor of five when only the climate benefits are considered and by a significantly higher factor when health benefits from improved air quality are included. Its interactions with China’s fiscal system substantially affect its costs relative to those of C&T. Employing a single benchmark for the electricity sector would lower costs by over a third relative to the existing four-benchmark system but increase the standard deviation of percentage income losses across provinces by more than 60 percent. Introducing an auction as a complementary source of allowance supply can lower economywide costs by at least 30 percent. |
| Date: | 2024–02–22 |
| URL: | http://d.repec.org/n?u=RePEc:rff:dpaper:dp-24-02&r=ene |
| By: | Kohnert, Dirk |
| Abstract: | Human activity has transformed the planet at a pace and scale unprecedented in recorded history, causing irreversible damage to communities and ecosystems. Countries have focused their capacities on economic growth, with too little attention to externalities in terms of environmental quality. The world will not avoid catastrophic warming unless wealthy nations accelerate their reduction of own emissions and help poorer countries to do the same. North America and Europe have contributed 62 % of carbon dioxide emissions since the industrial revolution, while Africa has contributed only 3%. However, it is in sub-Saharan Africa (SSA) that the impacts are most severe and the people most vulnerable. Developed countries, in their own interests, should focus on ways to help developing countries phase out fossil fuels and transition to renewable energy. However, there are tensions between richer and poorer nations over who should pay the costs of global warming. Rich countries have a responsibility to act more quickly than their low-income counterparts. Yet governments continue to subsidise the use of fossil fuels, and banks and companies still invest more in polluting industries than in climate solutions. The consumption habits of the richest 10 % of people generate three times more pollution than those of the poorest 50 %. Emerging economies such as China and India, which plan to achieve net-zero emissions by 2060 and 2070 respectively, should join the developed world in accelerating emissions reductions. It is not just the way we produce and use energy that needs to change quickly. It's the way we consume food, the way we protect nature. It's everything, everywhere, all at once. The agricultural sector is particularly vulnerable, especially in SSA countries where agriculture is central to the economy. Among the top eight countries with the highest cumulative net emissions from agriculture, forestry and other land use are two SSA countries, Nigeria and DR Congo. Most of these emissions are embodied in trade and are caused by consumption in regions such as Europe, the United States and China. The establishment of the Loss and Damage Fund agreed at COP27 will not be enough to turn the tide, nor will it necessarily translate into climate finance commitments, given the lack of progress in delivering the promised US$100 billion in annual climate finance from rich countries. African countries themselves need to reflect on their own strengths and step up their efforts in a timely and substantial way. |
| Keywords: | Klimawandel; ökologische Nachhaltigkeit; CO2-Neutralität; Umweltverschmutzung; Treibhausgase; fossile Brennstoffe; erneuerbare Energien; Regierungsführung; Europäische Union; Industrieländer; Schwellenländer; BRICS; Subsahara-Afrika; Südafrika; Nigeria; DR Kongo; |
| JEL: | E26 F18 F54 F64 G38 H23 H84 H87 I15 I31 K32 N17 N37 N57 O13 O44 O55 Q54 Z13 |
| Date: | 2024–02–23 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:120252&r=ene |
| By: | Steven Fries (Peterson Institute for International Economics) |
| Abstract: | Decarbonization policies exhibit clear sequencing patterns within sectors and countries as well as across them. This paper explains these sequences using a Solow-Swan growth model with two distinguishing features. One is a variable elasticity of substitution production function with both fossil fuel–based and low carbon inputs. The second is a choice of decarbonization policy: a carbon price or low carbon investment subsidy. Their policy costs have significant macroeconomic impacts. One cost arises from a short-run tradeoff between decarbonizing productive activities and maintaining the level of output. There is also a second-round policy cost associated with the policy choice between a low carbon subsidy or a carbon price that varies with progress in decarbonization. The modeling shows how these policy costs can be managed by the observed policy sequence of a low carbon investment subsidy before a carbon price and initial use of this decarbonization policy in sectors where low carbon inputs are stronger substitutes for the incumbents. These macroeconomic explanations of observed decarbonization policy sequences complement others based on microeconomic considerations of efficiency in imperfect markets, distributional fairness, and economic interests in change. |
| Keywords: | aggregate productivity, climate change, climate policy, energy and growth, sustainable growth, technological change |
| JEL: | O33 O44 Q43 Q54 Q58 |
| Date: | 2023–11 |
| URL: | http://d.repec.org/n?u=RePEc:iie:wpaper:wp23-12&r=ene |
| By: | Robin Sogalla |
| Abstract: | Several empirical studies document the relevance of firm heterogeneity to assess the effect of trade and environmental policy. This paper develops a multi-country and -sector general equilibrium trade model with heterogeneous firms and analyzes the effect of domestic carbon pricing as well as carbon border adjustments. In the presence of heterogeneous firms, these unilateral carbon pricing tools affect the emission intensity both via within- and across-firm adjustments. I show that the across-firm reallocation of market shares can be quantified ex-ante using publicly available data on the share of exporting firms. Applying the model to EU climate policy, I find that emission reductions arise mainly through a lower emission intensity of production within firms, while the reallocation channel is negligible. Scale economies aggravate the output loss of emission-intensive manufacturing and the reduction of real income due to more stringent climate policy, but increase the effectiveness of border adjustments to counter carbon leakage. The selection of heterogeneous plays a more limited role for aggregate effects. |
| Keywords: | International Trade and the Environment, Firm Heterogeneity, Unilateral Climate Policy, Carbon Leakage |
| JEL: | F12 F13 F18 Q56 Q54 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp2060&r=ene |
| By: | Iuliia Myroshnychenko (Paderborn University); Thomas Gries (Paderborn University) |
| Abstract: | This paper provides a comprehensive review of methodological approaches to assessing, simulating, and projecting welfare within the dynamics of the energy transition. The shift toward renewable energy sources is causing complex socio-economic and environmental changes that require sophisticated research methods to analyze the impact of policy incentives on welfare, taking into account intergenerational trade-offs. The paper conducts a short overview of the relevant literature and a bibliometric analysis, focusing on the theories, components, and assessment techniques that underlie welfare research. Significant attention is paid to analyzing the use of integrated assessment models to simulate the impacts of energy policies and economic incentives on welfare. Additionally, a new modeling framework is introduced—the dynamic welfare-centered energy transition model—which assimilates components from the OECD's Better Life Index and integrates additional indicators for welfare simulation using integrated assessment modeling. Given the complex uncertainties of transforming energy systems, this research aims to advance techniques for guiding economically optimal, welfare-oriented policy decision-making. |
| Keywords: | welfare, energy transition, renewable energies, integrated assessment model |
| JEL: | I31 Q48 E17 |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:pdn:ciepap:157&r=ene |
| By: | David Amaglobeli; Joaquim Guilhoto; Samir Jahan; Salma Khalid; Mr. Waikei R Lam; Mr. Gregory M Legoff; Brent Meyer; Xuguang Simon Sheng; Pawel Smietanka; Sonya Waddell; Daniel Weitz |
| Abstract: | The energy price shock in 2022 led to government support for firms in some countries, sparking debate about the rationale and the nature of such support. The results from nationally representative firm surveys in the United States and Germany indicate that firms in these countries were generally resilient. Coping strategies adopted by firms included the pass-through of higher costs to consumers, adjustment of profit margins (United States) and investments in energy saving and efficiency (Germany). Firms in energy-intensive industries would have been significantly more affected if international energy prices were fully passed through to domestic prices in Europe. Survey responses further reveal that most firms are uncertain about the impact of recent policy announcments on green subsidies. Firms take advantage of fiscal incentives to accelerate their climate-related investment plans are often those that have previous plans to do so. These findings suggest better targeting and enhancing policy certainty will be important when facilitate the green transition among firms. |
| Keywords: | Energy prices; Subsidies; Survey; Cost-Push Model; Input Output Table; Firm Behavior |
| Date: | 2024–02–09 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:2024/027&r=ene |
| By: | Mar\'ia Jos\'e Presno; Manuel Landajo |
| Abstract: | This paper assesses the convergence of the EU-28 countries towards their common goal of 20% in the renewable energy share indicator by year 2020. The potential presence of clubs of convergence towards different steady state equilibria is also analyzed from both the standpoints of global convergence to the 20% goal and specific convergence to the various targets assigned to Member States. Two clubs of convergence are detected in the former case, each corresponding to different RES targets. A probit model is also fitted with the aim of better understanding the determinants of club membership, that seemingly include real GDP per capita, expenditure on environmental protection, energy dependence, and nuclear capacity, with all of them having statistically significant effects. Finally, convergence is also analyzed separately for the transport, heating and cooling, and electricity sectors. |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2402.00788&r=ene |
| By: | Robert Z. Lawrence (Peterson Institute for International Economics) |
| Abstract: | This paper considers climate policies, not from the perspective of their environmental impacts, but rather their likely effects on labor and investments. While the aggregate impact of the green transition on jobs and investment may be modest, it will require significant reallocation of labor and capital within and across industries. Although the green transition brings new opportunities for employment and investment in renewable technologies, many workers and communities tied to the fossil fuel industry may not benefit from these advances due to skills mismatch and geographic constraints. Both the United States and the European Union acknowledge the importance of achieving "climate justice" and "leaving no one behind" in their decarbonization efforts. However, current policies and resources in the United States may fall short, with inadequate assistance reaching too many communities and a narrow focus on green jobs. In Europe, while the Just Transition Fund complements existing programs, effective implementation of place-based policies remains challenging due to the need for specific, localized responses. |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:iie:wpaper:wp24-1&r=ene |
| By: | Wu, Guoyuan; Peng, Dongbo; Boriboonsomsin, Kanok |
| Abstract: | The adoption of battery electric trucks (BETs) as a replacement for diesel trucks has potential to significantly reduce greenhouse gas (GHG) emissions from the freight transportation sector. However, BETs have shorter driving range and lower payload capacity, which need to be taken into account when dispatching them. This paper addresses the energy-efficient dispatching of BET fleets, considering backhauls and time windows. To optimize vehicle utilization, customers are categorized into two groups: linehaul customers requiring deliveries and backhaul customers requiring pickups, where the deliveries need to be made following the last-in-first-out principle. The objective is to determine a set of energy-efficient routes that integrate both linehaul and backhaul customers, while considering factors such as limited driving range, payload capacity of BETs and the possibility of en route recharging. The problem is formulated as a mixed-integer linear programming (MILP) model and propose an adaptive large neighborhood search (ALNS) metaheuristic algorithm to solve it. The effectiveness of the proposed strategy is demonstrated through extensive experiments using a real-world case study from a logistics company in Southern California. The results indicate that the proposed strategy leads to a significant reduction in total energy consumption compared to the baseline strategy, ranging from 7% to 40%, while maintaining reasonable computational time. This research contributes to the development of sustainable transportation solutions in the freight sector by providing a practical and more efficient approach for dispatching BET fleets. The findings emphasize the potential of BETs in achieving energy savings and advancing the goal of green logistics. View the NCST Project Webpage |
| Keywords: | Engineering, Physical Sciences and Mathematics, Battery electric trucks, fleet dispatching, adaptive large neighborhood search |
| Date: | 2024–02–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt2qz0n2gv&r=ene |
| By: | Alessia Camplomi; Harald Fadinger; Chiara Forlati; Sabine Stillger; Ulrich J. Wagner |
| Abstract: | To prevent carbon leakage induced by unilateral carbon pricing, the EU has designed a Carbon Border Adjustment Mechanism (CBAM) that taxes imports based on their carbon content. Since estimating the carbon content of imports is very complex, CBAM will be applied only to a few emissionintensive sectors. We argue that, as a consequence of its limited applicability, CBAM is unlikely to effectively eliminate leakage. We propose a simple alternative route towards leakage prevention with significantly lower information requirements and administrative burden which can be applied to all tradable sectors: the Leakage Border Adjustment Mechanism (LBAM). LBAM offsets the cost disadvantages of domestic producers relative to foreign competitors induced by unilateral carbon pricing by implementing import tariffs and, potentially, export subsidies that hold trade constant at the level before the introduction of carbon pricing. LBAM requires knowledge only about domestic product-specific output-to-emissions elasticities and import demand and export supply elasticities but does not depend upon information on the carbon content of imports. To quantify the welfare and emission effects of LBAM and to compare it to CBAM, we simulate a unilateral carbon-price increase in the EU using a granular structural trade model with 57 countries and 121 sectors. We find that LBAM is very effective in preventing leakage, while the EU CBAM is not. |
| Keywords: | Carbon Border Adjustment, Carbon leakage, Emission trading, Carbon taxation, Trade policy |
| JEL: | F13 F64 Q54 Q56 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:bon:boncrc:crctr224_2024_495v2&r=ene |
| By: | ITF |
| Abstract: | Heavy diesel trucks emit nearly three-quarters of all CO2 from freight transport. They are also among the most difficult vehicle types to power with sustainable fuels. This report reviews which emerging technologies show the most promise to drastically cut road freight emissions. It also proposes an approach for governments to decide which technologies deserve support – and thus to speed up the urgent transition to clean trucking. |
| Date: | 2023–12–14 |
| URL: | http://d.repec.org/n?u=RePEc:oec:itfaac:127-en&r=ene |
| By: | ITF |
| Abstract: | This manual is a guide to using the ITF transport life-cycle assessment tool. The tool aims to provide a holistic assessment of different modes of transport, accounting for energy use and greenhouse gas emissions that occur in different phases of the life of the vehicles. |
| Date: | 2023–09–01 |
| URL: | http://d.repec.org/n?u=RePEc:oec:itfaac:121-en&r=ene |
| By: | Lee, Sora (Korea Institute for Industrial Economics and Trade); Lee, Minju (Korea Institute for Industrial Economics and Trade) |
| Abstract: | The Israel-Hamas War began when Hamas attacked Israel on October 7, 2023. The international community remains alertly attuned to the war’s developments, not least because conflicts in the Middle East have historically tended to fuel oil price hikes. Thus far, however, the war has not yet exerted a significant effect on global oil prices, as neither belligerent in the conflict is an oil producer. However, if a third-party country such as Iran enters the war, the international price of oil could well rise to USD 150 per barrel. Rising oil prices exert inflationary pressure first by directly increasing import prices. In South Korea, rising oil prices have been associated with higher prices of imported raw materials and intermediate goods since 2000. Higher input costs significantly raise the cost of business for Korean firms. Should business revenues fail to rise at the same pace as costs, firms stand to experience losses. Our analysis of different Korean industries reveals that rising prices have significantly elevated material costs for the chemical, primary metal, and petroleum refinery industries, with the impacts on the profitability of the chemical industry particularly severe. Our analysis also shows that the income terms of trade worsened especially for Korean chemical and steel exports under war-induced oil price hikes, while the income terms of trade for the semiconductor and automotive industries actually improved over the same period of time. Geopolitical factors can lead to abrupt fluctuations in oil prices, making it is critical to remain abreast of developments in the Israel-Hamas War. Moreover, the Korean government needs to monitor oil prices closely so as to take timely and proactive policy actions that ensure stability in domestic oil prices. Policy support should also be tailored to the needs of industries that are especially vulnerable than to oil price hikes, while measures should be introduced to enhance the competitiveness of their products. In the long run, more investment should be made in developing alternative and renewable energy sources. |
| Keywords: | Israel; Hamas; Israel-Hamas war; Middle East; oil; oil prices; oil price volatility; inflation; global trade; renewable energy; KIET; Korea |
| JEL: | F13 F51 F52 Q31 Q34 Q35 Q37 Q38 Q41 |
| Date: | 2023–10–31 |
| URL: | http://d.repec.org/n?u=RePEc:ris:kietrp:2023_019&r=ene |
| By: | Odran Bonnet; Étienne Fize; Tristan Loisel; Lionel Wilner |
| Abstract: | This article exploits both the crude oil price surge consecutive to the invasion of Ukraine and 2022 fuel excise tax rebates in France as quasi-natural experiments to infer the price sensitivity of fuel demand. Based on granular individual bank account data at the transaction level, we properly disentangle anticipation effects from price effects, and estimate an average price elasticity of -0.31. It varies little with respect to income and location but substantially decreases, in absolute, with respect to fuel spending and is higher for retirees. We evaluate financial and distributional effects of the actual tax policy as well as its impact on CO2 emissions based on counterfactual simulations. We empirically demonstrate that resorting to transfers, be they targeted or not, achieves only imperfect compensation against fuel inflation. However, we show that a policy maker subject to a tight budget constraint and seeking to alleviate excessive losses, relative to income, prefers means-tested transfers to rebates. |
| Keywords: | commodity taxation, excise tax, tax-and-transfer schemes, fuel price elasticity, anticipatory behaviour, transaction-level data |
| JEL: | C18 C51 D12 H23 H31 L71 Q31 Q35 Q41 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_10917&r=ene |
| By: | Ferguson, Beth; Sanguinetti, Angela |
| Abstract: | Micromobility—transportation using lightweight vehicles such as bicycles or scooters—has the potential to reduce greenhouse gas emissions, traffic congestion, and air pollution, particularly when it is used to replace private vehicle use and for first- and last-mile travel in conjunction with public transit. The design of the built environment in and around public transit stations plays a key role in the integration of public transit and micromobility. The San Francisco Bay Area is a potential testbed for innovative and adaptive transit station design features that support micromobility, since it has relatively high public transit and shared micromobility usage, as well as high micromobility usage rates for trips to and from transit. The region’s Bay Area Rapid Transit (BART) heavy rail stations are in the operation zone of seven shared micromobility operators. |
| Keywords: | Architecture |
| Date: | 2024–02–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt4tr5c0dm&r=ene |
| By: | ITF |
| Abstract: | This report analyses the global trade in used cars and how the transition to electric vehicles may impact it. The analysis explores the quality and age of used vehicles traded globally and maps out how they are traded from developed economies to emerging markets. The report reviews recent importer and exporter policy announcements and uses quantitative analysis, for the first time, to understand how policies may impact the flows of used vehicles between countries. It evaluates potential scenarios of electric vehicle adoption in emerging economies through used vehicle imports. |
| Date: | 2023–12–05 |
| URL: | http://d.repec.org/n?u=RePEc:oec:itfaac:125-en&r=ene |
| By: | Heiner von Lüpke |
| Abstract: | This paper investigates the implications of implementing the Just Energy Transition Partnership (JETP) in South Africa by exploring the factors that are at work when donors and recipients interact with each other. It analyses the JETP using global cooperation theories on climate change and identify mutual trust, based on shared norms; and process legitimacy via institutionalisation as the factors which can promote cooperation between donors and recipients. The paper contributes to the literature on international climate finance by providing novel insights through the analysis of the South African JETP as a single case study. It shows that the JETP is in fact a transnational policy process that needs to be institutionalised and legitimised to improve shortcomings of established conditionality instruments. The results might also inform the design of a climate club as proposed by the G7 as the JETPs are referred to as a possible instrument to cooperate with emerging economies. |
| Keywords: | Just energy transition partnerships, International climate finance, International climate cooperation, South Africa |
| JEL: | O13 Q54 H87 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp2062&r=ene |
| By: | Scott A. Brave; Thomas H. Klier; Leslie McGranahan |
| Abstract: | We utilize vehicle registration microdata for all new and used vehicles registered in the U.S. for model years 2010-2022 to study the market for used battery electric vehicles (BEVs). From these records, we establish two stylized facts: 1) BEVs enter the used market at the slowest rate compared to any other powertrain technology, and 2) BEVs are driven significantly less than vehicles featuring other powertrain technologies. We connect these facts through a statistical model of used vehicle registration counts and find that there are significant behavioral differences between BEV and other new vehicle owners in how utilization (both on average and at the margin) leads to these vehicles being resold. By way of a counterfactual exercise that equalizes average vehicle miles traveled, we then illustrate that these behavioral differences can explain from 10-30 percent of the differential rates of transition from new to used vehicle status we observe between BEVs and internal combustion engine (ICE) vehicles. |
| Keywords: | electric vehicles; depth of market |
| JEL: | L10 L62 |
| Date: | 2023–09–13 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedhwp:96973&r=ene |
| By: | Ruud de Mooij (International Monetary Fund); Vítor Gaspar (International Monetary Fund) |
| Abstract: | This paper explores the fiscal implications for countries of global climate mitigation in the medium term. If climate action is unilateral, it might be limited in scope and rely more on subsidies and spending to avert political constraints. This can put fiscal sustainability at risk. Coordinated carbon pricing or other mitigation policy can more effectively put the world on a path to 1.5 to 2 degrees C above pre-industrial temperatures, as agreed in Paris in 2015, while helping manage fiscal and political constraints. Coordination could be initiated by large players, such as China, the United States, India, the African Union, and the European Union. The authors find that the implications for fiscal revenues over time are shaped by a combination of rising carbon prices, the gradual erosion of existing fuel tax bases, and possible revenue sharing arrangements. Public spending rises during the transition to build green public infrastructure, promote innovation, and support clean technology deployment, although much of this spending could be more efficiently financed through higher sectoral prices and taxes rather than through the general budget. Countries will also need funds for compensating vulnerable households, industries, and poor countries. With well-designed climate-fiscal policy relying on carbon pricing, global decarbonization will have anything from moderately positive to moderately negative impacts on fiscal balances in high-income countries. For middle and low-income countries, net fiscal impacts are generally positive and significant. Hence, as mitigation strategies improve fiscal balances, they can accommodate development spending needs. Revenue sharing at the global level would make an historical contribution to breaching the financial divide between rich and poor countries. |
| Date: | 2023–11 |
| URL: | http://d.repec.org/n?u=RePEc:iie:wpaper:wp23-13&r=ene |
| By: | Phoebe Koundouri; Angelos Alamanos; Angelos Plataniotis; Charalampos Stavridis; Konstantinos Perifanos; Stathis Devves |
| Abstract: | The European Green Deal (EGD) is the growth strategy for Europe, covering multiple domains, and aiming to an equitable, climate neutral European Union by 2050. The UN Agenda 2030, encompassing 17 Sustainable Development Goals (SDGs), establishes the foundation for a global sustainability transition. The integration of the SDGs into the EGD is an overlooked issue in the literature, despite Europe's slow progress to achieve the sustainability targets. We employed a machine-learning text-mining method to evaluate the extent of SDG integration within the 74 EGD policy documents published during 2019�2023. The findings reveal a substantial alignment of EGD policies with SDGs related to clean energy (SDG7), climate action (SDG13), and sustainable consumption and production (SDG12). In contrast, there is a significant underrepresentation in areas related to social issues such as inequalities, poverty, hunger, health, education, gender equality, decent work, and peace, as indicated by lower alignment with SDGs 1, 2, 3, 4, 5, 8, 10, and 16. Temporal trends suggest a marginal increase in the attention given to environmental health (especially water and marine life) and gender equality. Furthermore, we illustrate the alignment of EGD policies with the six essential sustainability transformations proposed by the Sustainable Development Solutions Network (SDSN) in 2019 for the operationalization of the SDGs. The results indicate that besides the prevalence of "Energy Decarbonisation and Sustainable Industry", all areas have received attention, except for the "Health, Wellbeing and Demography". The findings call for a more integrated approach to address the complete spectrum of sustainability in a balanced manner. |
| Keywords: | European Green Dea, SDGs, Sustainability, Policy alignment, Text-mining, Machine Learning, Natural Language Processing, Sustainability Transformations |
| Date: | 2024–02–20 |
| URL: | http://d.repec.org/n?u=RePEc:aue:wpaper:2405&r=ene |
| By: | Lana, Victor; Mendes, Kassio |
| Keywords: | Agribusiness, Agricultural Finance, International Relations/Trade |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iats23:339505&r=ene |
| By: | Kendall, Alissa; Slattery, Margaret; Dunn, Jessica |
| Abstract: | Lithium-ion batteries (LIBs) are the enabling technology for modern electric vehicles (EVs), allowing them to reach driving ranges and costs comparable to internal combustion engine vehicles, an important development with EVs being integral to greenhouse gas mitigation efforts. However, LIB advancements include the use of rapidly evolving and chemically diverse batteries as well as larger battery packs, raising concerns about battery production sustainability as well as battery end-of-life (EoL). This study seeks to respond to these concerns by analyzing potential pathways for EoL EV batteries, quantifies flows of retiring EV battery materials, proposes economically and environmentally preferable LIB EoL strategies, and recommends pertinent policies with an emphasis on environmental justice. The researchers used a loosely coupled dynamic systems model that utilized life cycle assessment and material flow analysis and a mixed methods research approach. They find that the U.S. can make significant gains in securing supply chains for critical materials and decrease life cycle environmental impacts through the adoption of Recycled Content Standard policies similar to those found in the European Union. In addition, they examine the currently understood waste hierarchy in the context of LIB technology. Comparing immediate recycling to repurposing and reusing, they find that repurposing and reusing reduces life cycle environmental impacts relative to recycling. This project also includes an investigation of EoL battery collection and transportation and the vehicle afterlife ecosystem, as well as general stakeholders in the LiB life cycle, informed by expert interviews and a case study of a developing lithium industry in Imperial, California. View the NCST Project Webpage |
| Keywords: | Law, Physical Sciences and Mathematics, Electric vehicle, lithium-ion batteries, battery recycling, end-of-life, spent batteries |
| Date: | 2024–02–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt3v6047fh&r=ene |
| By: | Könneke, Jule; Adolphsen, Ole |
| Abstract: | Die Ergebnisse der 28. Weltklimakonferenz zeigen, dass internationale Zusammenarbeit trotz der geopolitisch schwierigen Lage möglich ist. Statt der befürchteten Blockade einigten sich die Staaten drei Jahrzehnte nach Beginn des COP-Prozesses erstmals auf die Abkehr von fossilen Brennstoffen in Energiesystemen. Insgesamt sind die in Dubai vereinbarten Schritte ein Kompromiss, dessen politische Signalwirkung hinter dem zurückbleibt, was aus wissenschaftlicher Sicht notwendig ist. Einerseits ist die internationale Klimakooperation weiterhin von traditionellen Konflikten zwischen Entwicklungsländern und Industriestaaten (Gerechtigkeitsfragen, finanzielle Zusagen), aber auch von neuen handelspolitischen Spannungen und einer zum Teil massiven Blockadehaltung weniger Staaten geprägt; andererseits bildeten sich in Verhandlungssträngen zu "Verlusten und Schäden" und zur globalen Energiewende dynamische Nord-Süd-Koalitionen. Diese gilt es als Ausgangspunkt für dauerhafte Allianzen gegen fossile Interessen weiter zu stärken. Die deutsche Klimaaußenpolitik kann hier durch konsequentes diplomatisches Eintreten für strukturelle Reformen des internationalen Finanzsystems und mit attraktiven Partnerschaftsangeboten einen wichtigen Beitrag leisten. |
| Keywords: | Weltklimakonferenz, Dubai, COP28, Klimaaußenpolitik, Klimakooperation, Global Stocktake, GST, Fonds für Schäden und Verluste, Nationally Determined Contributions, NDC, Carbon Border Adjustment Mechanism, CBAM, G77+China, Energiepaket, fossile Energien, Beyond Oil and Gas Alliance, High Ambition Coalition, HAC, Like-Minded Developing Countries, LMDC, New Collective Quantified Goal, NCQG, Rahmenwerk zum Globalen Anpassungsziel, GGA |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:swpakt:283047&r=ene |
| By: | Charlotte Liotta (CIRED - Centre International de Recherche sur l'Environnement et le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique, TU - Technical University of Berlin / Technische Universität Berlin); Paolo Avner (World Bank Group); Vincent Viguié (CIRED - Centre International de Recherche sur l'Environnement et le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Harris Selod (World Bank Group); Stephane Hallegatte (World Bank Group) |
| Abstract: | Opposition to climate policies is partly due to their impacts on inequality. But with most economic studies focused on income inequalities, the quantitative spatial effect of economic climate policy instruments is poorly understood. Here, using a model derived from the standard urban model of urban economics, we simulate a fuel tax in Cape Town, South Africa, decomposing its impacts by income class, housing type, and location, and over different timeframes, assuming that agents gradually adapt. We find that in the short term, there are both income and spatial inequalities, with low-income households or suburban dwellers more negatively impacted. These inequalities persist in the medium and long terms, as the poorest households, living in informal or subsidized housing, have few or no ways to adapt to fuel price increases by changing housing type, size or location, or transportation mode. Lowincome households living in formal housing are also impacted by the tax over the long term due to complex effects driven by competition with richer households in the housing market. Complementary policies promoting a flexible labor market, affordable public transportation, or subsidies that help lowincome households live closer to employment centers will be key to the social acceptability of climate policies. |
| Keywords: | Urban Economics, Land Use - Transport Integrated Models, Fuel Taxation, Emission Mitigation, Redistributive Impacts, Housing Markets |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04447509&r=ene |
| By: | Mar\'ia Jose Presno; Paula Fern\'andez Gonz\'alez; Manuel Landajo |
| Abstract: | The European Union is engaged in the fight against climate change. A crucial issue to enforce common environmental guidelines is environmental convergence. States converging in environmental variables are expected to be able to jointly develop and implement environmental policies. Convergence in environmental indicators may also help determine the efficiency and speed of those policies. This paper employs a multilevel club convergence approach to analyze convergence in the evolution of GHG emissions among the EU-28 members, on a search for countries transitioning from disequilibrium to specific steady-state positions. Overall convergence is rejected, with club composition depending on the specific period (1990-2017, 2005-2017) and emissions categories (global, ETS, ESD) analyzed. Some countries (e.g. the United Kingdom and Denmark) are consistently located in clubs outperforming the EU's average in terms of speed of emissions reductions, for both the whole and the most recent periods, and for both ETS and ESD emissions. At the other end, Germany (with a large industrial and export basis), Ireland (with the strongest GDP growth in the EU in recent years) and most Eastern EU members underperform after 2005, almost reversing their previous positions when the study begins in 1990. |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2402.01784&r=ene |
| By: | David Rios; Alex Perez; Jaime Carabali; Luis Meneses |
| Abstract: | Estudiamos el efecto de los eventos climáticos adversos sobre los precios minoristas de la electricidad. Nos enfocamos en el caso colombiano dado que este mercado se encuentra hidro-dominado y expuesto al fenómeno de El Niño, el cual provoca una reducción notable del componente hidrológico de la generación de electricidad. Diseñamos un modelo estructural para entender la formación de los precios minoristas. Posteriormente, utilizamos el modelo para estudiar cómo responden los precios a eventos climáticos severos. Los resultados muestran que, cuando no hay presencia de El Niño, las firmas minoristas tienden a traspasar de forma más que completa los choques de costos a los precios. Por otro lado, no encontramos evidencia de que el traspaso difiera cuando hay presencia de El Niño. Esto implica que el efecto de El Niño sobre los precios minoristas corre a través de su efecto sobre los costos mayoristas, exclusivamente. Encontramos evidencia de que los precios minoristas incrementan en presencia de El Niño, debido al incremento de los precios spot en el mercado mayorista de electricidad. **** Abstract We study the effect of adverse weather events on retail electricity prices. We focus on the Colombian case given that this market is hydro-dominated and exposed to the El Niño phenomenon, which causes a notable reduction in the hydrological component of electricity generation. We design a structural model to understand the formation of retail prices. We then use the model to study how prices respond to severe weather events. The results show that, under normal conditions, retail firms have control over the pass-through of wholesale cost shocks to retail prices. However, we do not find evidence that the pass-through differs when El Niño is present. This implies that El Niño’s effect on retail prices runs through its effect on wholesale costs exclusively. We find evidence that retail prices increase in the presence of El Niño, due to the increase in spot prices in the wholesale electricity market. |
| Keywords: | Mercados de electricidad, Precios minoristas, Precios mayoristas, Fenómeno de El Niño, Electricity markets, Retail prices, Wholesale prices, El Niño phenomenon |
| JEL: | D43 Q49 L11 L12 L94 |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:bdr:borrec:1266&r=ene |
| By: | Daryna Grechyna |
| Abstract: | This paper evaluates the relative importance of natural and human factors in shaping public awareness of climate change. I compare the predictive efficacy of natural factors, represented by air temperature deviations from historical norms, and human factors, encompassing noteworthy political events focused on environmental policies and movements led by environmental activists, in forecasting the salience of climate change topic over weekly and annual horizons using regional European countries’ data. The salience of climate change is proxied by the Google search intensity data. The activists’ movements are measured by weekly Friday for Future strikes. The best-performing predictor in the short term (weeks), is the size of activists’ strikes and in the longer term (years), positive deviations of maximum air temperature from historical norms and political meetings focused on environmental policies. The inter-regional spatial relations, when taken into account, significantly improve the forecasts of the future public interest in climate change. |
| Keywords: | climate change, activists’ strikes, political meetings, weather |
| JEL: | Q01 Q52 Q58 C33 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_10907&r=ene |
| By: | Jonathan Colmer; Suvy Qin; John Voorheis; Reed Walker |
| Abstract: | This paper uses administrative tax records linked to Census demographic data and high-resolution measures of fine small particulate (PM2.5) exposure to study the evolution of the Black-White pollution exposure gap over the past 40 years. In doing so, we focus on the various ways in which income may have contributed to these changes using a statistical decomposition. We decompose the overall change in the Black-White PM2.5 exposure gap into (1) components that stem from rank-preserving compression in the overall pollution distribution and (2) changes that stem from a reordering of Black and White households within the pollution distribution. We find a significant narrowing of the Black-White PM2.5 exposure gap over this time period that is overwhelmingly driven by rank-preserving changes rather than positional changes. However, the relative positions of Black and White households at the upper end of the pollution distribution have meaningfully shifted in the most recent years. |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_10895&r=ene |
| By: | S.М. Nurdavletova (L.N. Gumilyov Eurasian National University, Astana); Р.M. Yesdauletova (L.N. Gumilyov Eurasian National University, Astana); A.O. Yesdauletov (L.N. Gumilyov Eurasian National University, Astana) |
| Abstract: | As a full member of the international community, Kazakhstan contributes to ensuring geopolitical stability and international security, presenting itself as a state that is fully aware of its responsibility to provide global energy balance and security. Central Asia is increasingly becoming the new focus of Chinese diplomacy. This region is an axis linking Northeast, West and South Asia, China and Russia. The People's Republic of China (PRC) is beginning to move closer to key political and economic players in the Central Asian region. Therefore, it is necessary to consider how the new initiative of China, Belt and Road, will affect its further energy cooperation with Kazakhstan and other countries of Central Asia. Kazakh-Chinese cooperation contributes to strengthening the independence of Kazakhstan, allowing development of its energy resources and their export to European markets. But China, as a rapidly growing consumer of energy, inevitably emerges as a potential competitor to the United States and the European Union in Central Asia. Based on a scientific analysis of the strategic interests of Kazakhstan and China, the main purpose of this article is to study new systemic approaches for optimizing cooperation between these two states, which affect national, bilateral, and regional/international issues in the framework of economic development and geopolitics. In turn, based on the study, recommendations will be made for the state structures of the Republic of Kazakhstan in the field of energy policy and energy security of the country. |
| Keywords: | Kazakhstan, China, Central Asia, energy policy, oil and gas |
| Date: | 2023–08 |
| URL: | http://d.repec.org/n?u=RePEc:smo:raiswp:0314&r=ene |
| By: | Aurélie Méjean (CIRED - Centre International de Recherche sur l'Environnement et le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - EHESS - École des hautes études en sciences sociales - AgroParisTech - ENPC - École des Ponts ParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Antonin Pottier; Stéphane Zuber (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique); Marc Fleurbaey (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | Climate policy is often described by economists as an intertemporal consumption trade-off: consume all you want today and face climate damages in the future, or sacrifice consumption today to implement costly climate policies that will bring future benefits through avoided climate damages. If one assumes enduring technological progress, a society that is more averse to intertemporal inequalities should postpone climate policies and let future, richer generations pay more. Growing evidence however suggests that the trade-off is more complex: abrupt, extreme, irreversible changes to the climate may cause discontinuities to socio-economic systems, possibly leading to a sharp decline of human population and consumption per capita. In this paper, we show that, when accounting for a very small risk of catastrophic climate change, it is optimal to pursue stringent climate policies to postpone the catastrophe. Our results conform with the well-known conclusion that tight carbon budgets are preferred when aversion towards inequalities between generations is low. However, by contrast with previous studies, we show that stringent policies are also optimal when inequality aversion is high. The non-monotonicity of the influence of inequality aversion is due to the fact that, for a given investment in abatement, a higher inequality aversion gives a smaller weight to avoided future non-catastrophic damages, but a larger weight to the catastrophic outcome. We also explore the role of population ethics, and show that the size of the optimal carbon budget decreases with the social preference for large populations, although this parameter plays almost no role at extreme levels of inequality aversion. Our result demonstrates that views from opposite sides of the ethical spectrum in terms of inequality aversion converge in terms of climate policy recommendations, warranting immediate climate action. |
| Keywords: | Climate change, Catastrophic risk, Equity Population, Climate-economy model |
| Date: | 2023–12–21 |
| URL: | http://d.repec.org/n?u=RePEc:hal:ciredw:halshs-04158009&r=ene |
| By: | Lötters-Viehof, Steffen; Hilbrich, Sören; Berensmann, Kathrin; Artmann, Giovanna; Ashman, Sam; Herbold, Theresa; Monti, Agnese; Paffhausen, Felix; Roigk, Stephanie; Steenkamp, Lee-Ann |
| Abstract: | To bring our economies on a path to climate neutrality, investments in carbon-intensive production processes have to stop. At the same time, we need to mobilise large amounts of capital for investments conducive to a just transition. Reforming the financial sector in a way that allows this redirection of capital flows to take place is crucial. As one element of a comprehensive sustainable finance strategy, taxonomies can potentially play a pivotal role in this regard. By providing common definitions for sustainable economic activities, these taxonomies aim to increase transparency on financial markets and help market participants to align their investment decisions with sustainability considerations. This policy brief presents policy recommendations concerning the implementation of sustainable finance taxonomies based on experiences with the South African Green Finance Taxonomy (GFT). It mainly builds on data collected in semi-structured expert interviews with different stakeholders of the GFT conducted in South Africa between February and April 2023 (Hilbrich et al., 2023). The implementation phase of the GFT has revealed multiple challenges, including a need for improved regulatory embedding and enhanced capacities on the part of potential users. This has led to a low uptake by market participants. To address these challenges, this policy brief presents four recommendations that are of relevance not only for South Africa but also for many other countries that are currently implementing a sustainable finance taxonomy: Voluntary taxonomies are insufficient to facilitate the necessary widespread uptake. Public institutions need to set a credible signal that a taxonomy will indeed become the common standard on the financial market. National regulators should issue guidance notes on taxonomy usage and consider implementing mandatory reporting rules. Regulators or stock exchanges should require issuers of green financial instruments, including green bonds, to align their project eligibility criteria with a sustainable finance taxonomy. In addition, a good coordination and a clear distribution of responsibilities among governance actors is crucial in the implementation phase. A taxonomy can only fulfil its potential if it is meaningfully integrated into an overarching sustainability strategy. Taxonomy reporting requires both capacity and expertise. Both market and governance actors need to ensure possibilities for learning and for exchanging specialised knowledge. Pilot studies can help reduce uncertainties and train practitioners on the job. A lack of bankable green projects decreases the potential of a taxonomy to redirect capital flows and reduces incentives to adopt a taxonomy. Development banks should provide risk capital and seed funding to help develop green projects. Interoperability between different taxonomies is an essential goal. The European Union (EU) should formally recognise taxonomies of other jurisdictions that meet certain standards as equivalent to the EU taxonomy (and communicate under what conditions it is willing to do so). Accordingly, assets shown to align with a particular taxonomy would be recognised as aligned with the EU taxonomy without further assessment. |
| Keywords: | Taxonomy, Sustainable Finance, Just Transition, Green Economy, Climate neutrality, Capital mobilisation, Financial sector reform, Financial market governance, Sustainability reporting, South Africa |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:idospb:283116&r=ene |
| By: | Meens-Eriksson, Sef (Department of Economics, Umeå University) |
| Abstract: | Paper [I] In this study, a net social cost framework is applied to provide insights on policy issues relating to the cross-border trade in waste fuel. We estimate the net social cost of using imported waste fuel in a highly efficient combined heat and power plant (CHP) in a cold climate by considering both private costs and benefits as well as external costs related to energy production, alternative waste management and fuel transport. We conclude that using imported waste fuel is beneficial from a societal perspective compared to using biofuel, given the wide range of assumptions regarding technical, economic and environmental characteristics. The net social cost is mainly determined by fuel cost advantages and the external cost of greenhouse gas emissions. External costs associated with transports only marginally impact the net social cost of waste imports for incineration. The results are robust to variation in the excess heat utilisation rate, which implies that importing waste for incineration would also be beneficial in countries with warmer climates where district heating networks already exist. <p> Paper [II] In this paper, I study municipal price sensitivity of demand for disposal of residual waste (unsorted waste from households) and mechanisms underlying the relationship. First, I estimate the effect on households’ generation of residual waste with respect to municipal waste collection policies. Second, I estimate to what extent municipalities change waste policies in response to higher costs for disposal of residual waste. The empirical analysis is based on data regarding Swedish municipalities’ waste management systems and disposal costs in the period 2010–2019. Results suggests that the price elasticity of demand is in the range 0.20–0.24. The effect is almost entirely driven by municipalities’ implementation of weight-based collection tariffs for residual waste in response to costlier disposal. Besides weight-based tariffs, separate collection of food waste and joint collection of residual waste and recyclables are also found to have substantial negative effects on residual waste quantities. Nevertheless, such waste policies are not more likely to be implemented in response to higher disposal costs for the municipality. <p> Paper [III] A theoretical model of spatial price discrimination predicts that buyers should lower input prices in line with the additional transport cost a seller would incur by selling to a competitor rather than to them. We test this prediction using Swedish contract-level data on prices of waste burned a energy plants. The results confirm that higher additional transport cost associated with selling to competitors lead to lower prices and show no evidence of additional effects of transport cost to the contracted buyer. In addition, we find that the degree of price discrimination can be underestimated if—in contrast to the established theory—one includes only transport cost for selling to the contracted buyer and not the additional transport cost sellers would incur by selling to a rival buyer. <p> Paper [IV] General features of waste treatment markets include comprehensive regulations and high fixed capital costs. Hence, firms operating in them have substantial local market power, which they exploit through spatial price discrimination (Granlund and Meens-Eriksson, 2023). This paper examines effects of waste treatment firms’ spatial price discrimination on Swedish municipalities’ welfare and costs of waste disposal, as well as the associated distributional implications. Results show that the Equivalent Variation is 3.3% of a municipality’s cost for residual waste disposal, on average. Further, the welfare loss disproportionately affects a small number of municipalities, with 10% accounting for 62% of consumer welfare loss. Nearly the entire loss in consumer welfare is redistributed to firms. Considering political ambitions to transform the waste management sector, an alternative scenario is simulated, involving closure of the smallest 20% of waste incineration plants. This would increase the disposal cost for about a quarter of municipalities, and the negative welfare effect within this group would be 12% of their cost of waste disposal. |
| Keywords: | Waste economics; net social cost analysis; waste incineration; municipal waste policy; waste taxes; price discrimination; spatial competition; welfare effects |
| JEL: | D10 D43 D44 D60 L11 L13 Q01 Q48 Q50 Q53 Q56 Q58 |
| Date: | 2024–02–15 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:umnees:1022&r=ene |
| By: | Thorstensen, Vera; Hernandez, Ariel Macaspac; de Oliveira Corrêa, Rogerio; Teixeira de Brito, Dolores; Arima Júnior, Mauro Kiithi; Mota, Catherine Rebouças; Megale, Tiago Matsuoka; Zuchieri, Amanda Mitsue; Thomazella, Fábio Jorge |
| Abstract: | The work aimed to analyse the sustainability efforts - the greening - of five industry sectors in Brazil: aluminium, chemical, steel, cement, and oil and gas. These sectors were chosen because they are the industries with the highest carbon emissions. The research sought to verify the sustainability measures adopted by business and industry actors, with special emphasis on the use of Voluntary Sustainability Standards and ESG values. In order to verify the information provided by the companies, the documents that informed the measures taken by the companies and the numbers supporting their results were always sought out and explained in the text. The conclusions were that the sectors, guided by industry associations, have adopted a broad set of sustainability measures. The results of these measures, however, sometimes lack proof and sometimes lead to sporadic conduct, contrary to the precepts of environmental and social sustainability. |
| Keywords: | sustainable development goals, greening, green transition, transformation to sustainability, voluntary sustainability standards, ESG, quality infrastructures, high emitting industry sectors, Brazil |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:diedps:283128&r=ene |
| By: | María Victoria Gasca (G2Elab-SYREL - G2Elab-SYstèmes et Réseaux ELectriques - G2ELab - Laboratoire de Génie Electrique de Grenoble - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes); Rémy Rigo-Mariani (G2Elab-SYREL - G2Elab-SYstèmes et Réseaux ELectriques - G2ELab - Laboratoire de Génie Electrique de Grenoble - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes, G2ELab - Laboratoire de Génie Electrique de Grenoble - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes); Vincent Debusschere (G2ELab - Laboratoire de Génie Electrique de Grenoble - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes, G2Elab-SYREL - G2Elab-SYstèmes et Réseaux ELectriques - G2ELab - Laboratoire de Génie Electrique de Grenoble - CNRS - Centre National de la Recherche Scientifique - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes); Yousra Sidqi (Lucerne University of Applied Sciences and Arts [Luzern]); Cédric Clastres (GAEL - Laboratoire d'Economie Appliquée de Grenoble - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes) |
| Abstract: | This paper aims to give an insight on the motivation of end-users within an energy community to encourage other users to join by sponsoring them. The proposed community organization is divided in two stages: first one for energy management and second one for costs allocation in an energy community (i.e. the way the overall bill is distributed among the members). In particular, two billing allocation approaches are proposed and account for end-user's preferences and their willingness to pay. Those strategies are based on an approach designed to set individual tariffs while preserving the properties of traditional allocation methods. This work gives perspective on different end-user's preferences and facilitates the understanding of energy communities farther than merely financial enterprises. |
| Keywords: | Energy communities, Willingness to pay, Cost allocation, Energy management strategy |
| Date: | 2023–10–23 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-04431478&r=ene |
| By: | Julia M. Puaschunder (Columbia University, USA) |
| Abstract: | The European and North American Green New Deals have become springfeathers of change in the national and international accounting of natural resources. The European Sustainable Finance Taxonomy accounts for the carbon impact of industries in order to quantify economic impacts on natural resources to make industry impacts on environmental conditions more transparent and accountable. The United States Joseph Biden and Kamala Harris administration has also launched efforts to put nature on the nation’s balance sheet. The Biden-Harris White House multi-year strategy plans to connect environmental conditions with economic outcomes by collecting data and using innovative methods to capture nature’s role in the U.S. economy. On the global level, integrating natural resources into economic productivity prospects has the potential to change power dynamics and international politics driven by economic opportunities. Linking nature to the economy and productivity as well as the human standard of living is the driver for the World Bank project on “Changing Wealth of Nations.†Integrating natural capital in global macroeconomic and financial models is thereby meant to feature systematically forward-looking wealth estimates as a source to inspire restoration and conservation policies. The ‘Mapping Climate Justice’ project housed at Columbia University measures the impact of climate change on economic productivity around the world and has found vast climate injustices. Future wealth of nations was introduced by the concept of climate flexibility defined as the range of temperature variation of a country. Climate flexibility is the leeway countries have in coping with a changing climate due to a broad range of climate zones prevalent in their territory. Climate flexibility can be grounded on the relative latitude and altitude of countries around the globe. Climate flexibility directly influences a country’s productivity in agriculture production opportunities, trade possibilities, industry development favorable conditions as well as service sector offerings. Climate wealth of nations so far has also been proposed to stem from climate zones, which vary around the world. Climate justice redistribution strategies have been proposed in order to alleviate climate injustices, by which countries that benefit from a relative climate advantage are meant to redistribute some of the expected economic gains to countries that lose out the most and the fastest from global warming. The redistribution could be implemented via a taxation-bonds redistribution strategy. Overall, the concerted efforts to marry the idea of natural resource description are believed to stimulate environmental policy and protection, change sustainable development and macroeconomic calculus. Policy and regulatory settings are meant to be aligned with wealth derived from natural resources. Natural resource accounting is also likely to change the estimation of competitiveness around the world. The integration of local community assets can thereby facilitate conservation holistically. Scientifically, environmental and economics interactions are likely to inspire ground-breaking insights for monetizing the value of natural assets and stimulate the future discourse on resilient finance. |
| Keywords: | Climate Change, Climate Flexibility, Climate Wealth of Nations, Comparative Advantage, |
| Date: | 2023–08 |
| URL: | http://d.repec.org/n?u=RePEc:smo:raiswp:0300&r=ene |
| By: | S. Mauricio Medinaceli Monrroy (International consultant, experienced in energy economics and fiscal governance); Marcelo G. Velázquez Bilbao La Vieja (Partner at Energy for Sustainable Development) |
| Abstract: | The following study identifies five periods with different price regimes (for main hydrocarbons): 1) 1986-1996, where these prices are part of the Government’s fiscal policy to finance part of the structural adjustment policies after the inflationary period; 2) 19971999, when a new methodology for price determination based on three central components is implemented, international reference prices, transport, refining and sale margins and direct, indirect and consumption-specific taxes; 3) 2000-2003, period of privatization of refineries, transport and storage, where policies of stabilization of fuel prices took on greater relevance within the regulatory framework, an aspect that allowed to keep almost unchanged the final prices of gasoline and diesel, but with a considerable fiscal cost due to adjustment of the Special Tax on Hydrocarbons and their Derivatives (IEHD); 4) 2004-2005, where in 2004 a price band was determined for international reference price behavior; in this sense, international prices above USD/barrel 27.11 are not transferred to end consumers; and 5) 2005-2022, because in 2005 the last price adjustment was made (with the 2010 temporary increase exception) for gasoline, diesel oil and liquefied petroleum gas (LPG), which remained in force until 2022. Regarding the quantification of subsidies for production and consumption of hydrocarbons in Bolivia, five broad categories were considered in this document: an opportunity cost of selling production to the domestic market instead of its export; a direct import of petrol, diesel and LPG at higher prices for subsequent sale at lower prices; a non-updating of margins from the value chain of petroleum products; a fiscal sacrifice for non-collected VAT (Value Added Tax 13%) and; an incentive given to field operators in Bolivia. In total, it is estimated that by 2022 these five categories will represent 11.6% of gross domestic product (GDP), with the following disaggregation: opportunity cost (5.8%), direct import (3.1%), margin update (1.2%), tax sacrifice – VAT (1.1%), and incentive (0.4%). |
| Keywords: | Hydrocarbon prices, fiscal policy, taxes, subsidies. |
| JEL: | E62 E64 H21 L71 |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:adv:wpaper:202305&r=ene |
| By: | S. Mauricio Medinaceli Monrroy (Consultor internacional en economía energética y gobernanza fiscal); Marcelo G. Velázquez Bilbao La Vieja (Socio en Energy for Sustainable Development) |
| Abstract: | En este documento se identifican cinco periodos con regímenes de precios distintos para los principales hidrocarburos: 1) 1986-1996, cuando dichos precios forman parte de la política fiscal del gobierno para financiar su ajuste estructural luego del periodo inflacionario; 2) 1997-1999, cuando se implementa una nueva metodología para la determinación de precios basada en tres componentes centrales: a) precios de referencia internacionales, b) márgenes de transporte, refinación y comercialización y c) impuestos, directos, indirectos y al consumo específico; 3) 2000 – 2003, periodo de privatización de refinerías, transporte y almacenaje, cuando las políticas de estabilización de precios de los combustibles tomaron una mayor relevancia dentro del marco regulatorio, aspecto que permitió mantener casi inalterados los precios finales de la gasolina y el diésel, pero con un costo fiscal no trivial por ajuste del Impuesto Especial a los Hidrocarburos y sus Derivados (IEHD); 4) 2004 – 2005; cuando en el año 2004 se crea una banda de precios para el precio de referencia internacional, los precios internacionales por encima de los USD/Barril 27.11 no se trasladan al consumidor final; 5) 2005-2022, porque el año 2005 se realiza el último ajuste de precios de la gasolina, el diésel y el GLP (con excepción del incremento temporal del año 2010), lo que se mantiene vigente hasta el año 2022. Con relación a la cuantificación del subsidio a la producción y el consumo de hidrocarburos en Bolivia, este documento considera cinco grandes categorías: el costo de oportunidad por vender la producción al mercado interno en lugar de exportarla; la importación directa de la gasolina, el diésel y el Gas Licuado de Petróleo (GLP) a precios altos para su posterior venta a precios bajos; la no actualización de los márgenes en la cadena de valor de los derivados del petróleo; el sacrificio fiscal por el IVA no recaudado; el incentivo entregado a los operadores de los campos en Bolivia. En total, se estima que en el año 2022 estas cinco categorías representan el 11.6% del Producto Interno Bruto (PIB), con la siguiente desagregación: costo de oportunidad (5.8%), importación directa (3.1%), actualización de márgenes (1.2%), sacrificio fiscal por IVA (1.1%) e incentivo (0.4%). |
| Keywords: | Precios de los hidrocarburos, política fiscal, impuestos, subsidios. |
| JEL: | E62 E64 H21 L71 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:adv:wpaper:202401&r=ene |
| By: | Martin, Will |
| Keywords: | Agribusiness, Agricultural and Food Policy, Environmental Economics and Policy, International Relations/Trade |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iats23:339547&r=ene |
| By: | Sheldon, Ian; McCorriston, Steve |
| Keywords: | Agribusiness, Crop Production/Industries, Environmental Economics and Policy, International Relations/Trade |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:ags:iats23:339546&r=ene |
| By: | Charmi Mehta (xKDR Forum); Radhika Pandey (National Institute of Public Finance and Policy); Renuka Sane (TrustBridge Rule of Law Foundation); Ajay Shah (xKDR Forum) |
| Abstract: | Indian electricity utilities face significant financial stress on account of unfunded subsidies. This paper places the problem of electricity subsidies in the context of a debt sustainability analysis (dsa) for Tamil Nadu. We find the state fails on five out of six indicators for debt sustainability. We integrate the electricity sector into the conventional dsa, giving a "corrected dsa". These modifications are material in changing our sense of the fiscal situation in the state. There are concerns about the extent to which the current fiscal path is sustainable. Fiscal stress harms investibility in electricity. Resolving the problems of electricity policy are a critical component of the development of the medium-term fiscal strategy for the state government. |
| JEL: | H2 H3 H7 Q4 Q5 |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:anf:wpaper:31&r=ene |
| By: | Mar\'ia Jos\'e Presno; Manuel Landajo; Paula Fern\'andez Gonz\'alez |
| Abstract: | This paper studies stochastic convergence of per capita CO$_2$ emissions in 28 OECD countries for the 1901-2009 period. The analysis is carried out at two aggregation levels, first for the whole set of countries (joint analysis) and then separately for developed and developing states (group analysis). A powerful time series methodology, adapted to a nonlinear framework that allows for quadratic trends with possibly smooth transitions between regimes, is applied. This approach provides more robust conclusions in convergence path analysis, enabling (a) robust detection of the presence, and if so, the number of changes in the level and/or slope of the trend of the series, (b) inferences on stationarity of relative per capita CO$_2$ emissions, conditionally on the presence of breaks and smooth transitions between regimes, and (c) estimation of change locations in the convergence paths. Finally, as stochastic convergence is attained when both stationarity around a trend and $\beta$-convergence hold, the linear approach proposed by Tomljanovich and Vogelsang (2002) is extended in order to allow for more general quadratic models. Overall, joint analysis finds some evidence of stochastic convergence in per capita CO$_2$ emissions. Some dispersion in terms of $\beta$-convergence is detected by group analysis, particularly among developed countries. This is in accordance with per capita GDP not being the sole determinant of convergence in emissions, with factors like search for more efficient technologies, fossil fuel substitution, innovation, and possibly outsources of industries, also having a crucial role. |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2402.00567&r=ene |
| By: | Yunhan Zhang (Institutes of Science and Development, Chinese Academy of Sciences, Beijing 100190, China; School of Public Policy and Management, University of Chinese Academy of Sciences, Beijing 100049, China); Qiang Ji (Institutes of Science and Development, Chinese Academy of Sciences, Beijing 100190, China; School of Public Policy and Management, University of Chinese Academy of Sciences, Beijing 100049, China); David Gabauer (Academy of Data Science in Finance, Vienna, Austria; Institute of Corporate Finance, Johannes Kepler University, Linz, Austria); Rangan Gupta (Department of Economics, University of Pretoria, Private Bag X20, Hatfield 0028, South Africa) |
| Abstract: | By introducing a new generalized forecast error variance decomposition (GFEVD) approach that splits the same into its contemporaneous and lagged components, we investigate the risk spillover effects of different order moments, derived from intraday data, for the top 10 banks and top 10 oil and gas companies in the U.S., covering the period from December 29, 2017 to December 30, 2022. The study finds that, first, the dynamic total connectedness of all order moments is heterogeneous over time and economic events. Second, except realized volatility spillovers, the vast majority of overall spillovers are attributable to contemporaneous spillovers, while only a tiny fraction is associated with lagged spillovers. Finally, realized skewness (crash risk) and realized kurtosis (extreme events) in banks and oil and gas companies originate mainly from intra-industry rather than inter-industry transmission. |
| Keywords: | Banking connectedness; TVP-VAR; higher moments; dynamic connectedness; GFEVD decomposition |
| JEL: | C50 F65 G15 |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:pre:wpaper:202405&r=ene |
| By: | Jianing Song (University of Manchester, Global Development Institute, Manchester, UK) |
| Abstract: | The integration of Green Human Resource Management into organizational environmental management has increasingly gained attention as a significant topic in academic research, and the impact of GHRM on individual and organizational outcomes has received increasing attention. Despite the existence of these studies, there is still a paucity of research about a conceptual model that considers the national differences and underlying individual differences linking GHRM to employees’ engagement in multiple pro-environmental behaviors. In view of such gaps, this paper proposes a conceptual model of GHRM using the ability-motivation-opportunity framework, open-system theory, theory of reasoned action, and theory of planned behavior as theoretical foundations. The model identifies societal factors, including economic policy, cultural orientation, and level of development, as well as organizational green orientation, such as organizational green culture, green activities, and available green resources, as antecedents of GHRM practices. The proposed model also includes eight indicators of GHRM, including green selective staffing, green training, and green participation in decision-making. Additionally, the paper discusses how this framework connects GHRM practices to employees’ engagement in multiple green behaviors, such as Green formal behavior, Green Organizational Citizenship Behaviour (GOCB), and Green Interpersonal Citizenship Behaviour (GICB), through the mediating role of employee green attitude. This paper contributes to the theoretical understanding of GHRM and suggests avenues for future research. |
| Keywords: | Green Human Resource Management, Societal Antecedents, Employee Green Behaviour, Green Attitude, Organizational Green Orientation |
| Date: | 2023–11 |
| URL: | http://d.repec.org/n?u=RePEc:smo:raiswp:0349&r=ene |
| By: | Anders Anderson; David T. Robinson |
| Abstract: | We build a nationally representative sample of retirement savers in Sweden to study how asymmetric updating of beliefs about climate change affects investment decisions. After the intense heat wave of 2018, respondents in regions dominated by a right-wing, anti-climate party grow less concerned about climate change, while respondents outside these regions grow more concerned. Those growing more concerned rebalance their retirement portfolios toward climate-friendly mutual funds; those growing less concerned rebalance out of these funds, but to a smaller degree. Financial sophistication and inertia interacts with political polarization in driving these effects. |
| JEL: | G40 G51 G53 Q54 |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32131&r=ene |
| By: | Harun Alp; Matthew Klepacz; Akhil Saxena |
| Abstract: | The surge in oil prices in the wake of the post-COVID-19 economic rebound and Russia's invasion of Ukraine exerted significant upward pressure on consumer price inflation around the world. As seen in the left panel of Figure 1, Brent crude oil prices soared to nearly $130 a barrel in March 2022 and remained elevated through June, before only slowly retracing the gains. |
| Date: | 2023–12–15 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedgfn:2023-12-15-1&r=ene |
| By: | Alexandre Chirat; Basile Clerc |
| Abstract: | The concept of a necessary transition to a "war economy" in response to the ecological crisis is gaining traction. However, this discussion often overlooks the fact that a war economy primarily relies on policies such as price controls and rationing, as exemplified by the United States' economy during World War II. Whether it's for wartime efforts or addressing climate urgency, both scenarios seem justifying the suspension of market mechanisms in key sectors to achieve production goals while mitigating the social costs of transition. Nonetheless, a significant disparity lies in the social acceptability of such political measures, which proves to be considerably more challenging to establish within the context of the climate and ecological crisis. |
| Keywords: | Ecological transition - war economy - price controls |
| JEL: | Q50 Q41 |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:drm:wpaper:2024-8&r=ene |
| By: | Faus Onbargi, Alexia; Dombrowsky, Ines |
| Abstract: | Infolge des russischen Einmarschs in die Ukraine und des anschließenden Kriegs ist es bei der deutschen Energiewende zu einer politischen Neuausrichtung gekommen. Mit dem im Frühjahr 2022 gestarteten Osterpaket wurde eine Reihe ehrgeiziger Ziele im Bereich erneuerbarer Energien gesetzt und Gesetze verabschiedet, um zugleich Klimamaßnahmen und Energiesicherhheit zu ermöglichen. Deren Umsetzung soll Hand in Hand mit bestehenden Gesetzen, wie dem Kohleausstiegsgesetz und dem Bundesklimaschutzgesetz, erfolgen. Die Abstimmung politischer Maßnahmen und Ziele zur Minderung der Treibhausgas-Emissionen und zur Gewährleistung zuverlässiger und bezahlbarer Energie fordert eine konzertierte Politikkohärenz, nämlich die Maximierung von Synergien und Minimierung von Zielkonflikten in der Verfolgung einer Vielzahl von Zielen. Die Minimierung von Zielkonflikten gewinnt umso mehr an Bedeutung, wenn die Energiewende für alle gerecht sein und als Vehikel eines breiteren "gerechten Wandels" (just transition) dienen soll, und ist auch für die Erreichung der Ziele der Agenda 2030 für Nachhaltige Entwicklung (wozu auch "Niemanden zurücklassen" zählt) und des Übereinkommens von Paris von Bedeutung. In diesem Policy Brief werden, mit besonderem Fokus auf Nordrhein-Westfalen als einem der wichtigsten deutschen Kohlebergbauregionen, zunächst einige der wesentlichsten politischen Maßnahmen - und (In-)Kohärenzen - mit Blick auf die Energiewende beleuchtet. Im Anschluss werden - durch die Brille von Ideen, Interessen und Institutionen - wichtige politische Triebkräfte der (In-)Kohärenz von Politiken in zwei politischen Prozessen der Energiewende, die für den Elektrizitätssektor von besonderer Bedeutung sind - dem Kohleausstieg und dem Ausbau der Onshore-Windkraft -, untersucht. Wenngleich Solarkraft und grüner Wasserstoff für eine erfolgreiche Energiewende ebenfalls eine Schlüsselrolle spielen, werden sie hier nicht behandelt. Unsere Erkenntnisse basieren auf der Analyse relevanter Politikdokumente sowie 28 halbstrukturierter Interviews. Auf dem Weg zu einem "gerechten Wandel" werden zur Förderung der Kohärenz der deutschen Energiewende und als Beitrag zur laufenden Weiterentwicklung der NRW-Nachhaltigkeitsstrategie die folgenden Empfehlungen ausgesprochen. Diese könnten auch für den neu ernannten NRW-Nachhaltigkeitsbeirat von Interesse sein: • Abbau ideologischer, institutioneller und interessenbasierter Hürden ambitionierter Klimapolitik durch Politikkohärenz. In NRW sind die Einhaltung der jüngsten Versprechen eines Kohleausstiegs bis 2030 und einer Aufhebung der 1000-Meter-"Regel" (d. h. 1km zwischen Wohngebäuden und Windturbinen) zentral. Diese Selbstverpflichtungen sollten in die weiterentwickelte NRW-Nachhaltigkeitsstrategie einfließen und Einzug in die Gesetzgebung halten. • Förderung größerer politischer Gleichberechtigung bei allen Entscheidungsprozessen rund um die Energiewende auf allen Regierungsebenen (Bund, Länder und Kommunen) hin zu einer stärkeren Energiedemokratie im Rahmen von Beratungs- und Beteiligungsmechanismen. Die Verminderung politischer Ungleichheiten (z. B. durch die Gründung von Genossenschaften) ist für eine erhöhte öffentliche Akzeptanz von Vorhaben zu erneuerbaren Energien, einem der Ziele der aktuellen NRW-Nachhaltigkeitsstrategie, von wesentlicher Bedeutung. • Integration von Vorstellungen der sozialen und Klimagerechtigkeit in die Energiewende-Politik, um sicherzustellen, dass die deutsche Energiewende für alle Menschen, und nicht nur für deutsche Bergleute, gerecht ist. Dabei sollten Vorstellungen von Verfahrens-, Verteilungs- und Anerkennungsgerechtigkeit berücksichtigt und in der weiterentwickelten NRW-Nachhaltigkeitsstrategie betont werden. |
| Keywords: | Energiewende, Deutschland, Nordrhein-Westfalen, Kohleausstieg, politische Ungleichheit, Synergien, politische Inkohärenzen |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:idospb:283119&r=ene |
| By: | Martínez (Dir.), Astrid (FEDESARROLLO); Mosquera Daza (Inv.), Santiago (FEDESARROLLO) |
| Abstract: | El análisis explora la Resolución CREG 704 002 de la Comisión de Regulación de Energía y Gas concerniente a la distribución mayorista de combustibles líquidos, la cual establece los precios de combustibles líquidos, a saber: la gasolina, el diésel y los biocombustibles. Adicionalmente, busca establecer los regímenes de control aplicables a los márgenes de distribución con base en la dinámica del mercado, sustentada en el artículo 60 de la Ley 81 de 1988, la cual dispone de tres regímenes de control de precios. A pesar de hacer referencia a regulaciones y metodologías anteriores como la CREG 174 de 2016 y la Resolución MME 40193 de 2021, la ausencia de un estudio de competencia de mercado que lo respalde podría generar resultados no deseados en el comportamiento del mercado debido a los márgenes impuestos. Particularmente, cuando existe competencia entre agentes. De este modo, este documento inicial comienza como una consultoría, cuyo objetivo es analizar los mercados mayoristas de distribución de combustible para recomendar los regímenes de regulación de precios vigentes. Consta de una introducción, una descripción general contextual y una sección de análisis de la competencia económica subdividida en seis partes, que exploran las metodologías de mercado, el sistema de índices de Linda, la solidez, la competencia no estática, la promoción y las conclusiones. |
| Keywords: | Régimen de Regulación de Precios; Mercados Relevantes; Combustibles Líquidos; Mercados de Distribución Mayorista; Price Regulatory Regime; Relevant Markets; Liquid Fuels; Wholesale Distribution Markets |
| JEL: | L71 |
| Date: | 2023–06–28 |
| URL: | http://d.repec.org/n?u=RePEc:col:000124:021025&r=ene |
| By: | Rangan Gupta (Department of Economics, University of Pretoria, Private Bag X20, Hatfield 0028, South Africa); Sarah Nandnaba (Department of Economics, Ecole normale superieure (ENS) Paris-Saclay, 91190 Gif-sur-Yvette, France); Wei Jiang (School of Economics, University of Kent, Canterbury, Kent, CT2 7PE, United Kingdom) |
| Abstract: | We develop an overlapping generations endogenous growth model characterized by climate change, with the latter being specified as a fraction of output lost due changes in temperature anomalies. We show that growth dynamics arise in this model when changes in temperature anomalies is a positive function current economic growth, with this theoretical specification motivated through extensive empirical analyses involving 167 countries over a long span of historical data covering 1851 to 2018. In particular, two distinct oscillatory growth dynamics emerge: one convergent and the other divergent, contingent on the strength of the response of global warming, i.e., changes in temperature anomalies to current economic growth. Our theoretical results suggest that policy makers should be cognizant of the fact that unless economic growth is “green†, rapid global warming can would put economies in a fluctating divergent balanced growth. |
| Keywords: | Climate change, endogenous growth, dynamics |
| JEL: | C23 O41 Q54 |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:pre:wpaper:202404&r=ene |