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on Energy Economics |
| By: | Lu, M.; Pollitt, M. G. |
| Abstract: | China is transitioning from command-and-control energy-saving and carbon abatement policies to a carbon trading mechanism, aiming to reduce CO2 emissions more cost-effectively, replacing implicit carbon pricing with explicit carbon pricing. This shift raises a critical question: will high carbon prices reduce fossil fuel consumption in China? If so, carbon trading could serve as a pivotal tool for limiting emissions while addressing policy conflicts with Europe under the Carbon Border Adjustment Mechanism (CBAM) to some extent. Our study explores how Chinese manufacturing firms might respond to higher carbon prices by examining how they respond to energy prices. We do this by estimating long- and short-run energy price elasticities using firm-level data from 2007–2016. We leverage provincial energy price variations for long-run elasticity estimates through pooled cross-sectional analysis and examine short-run elasticity using an unbalanced panel model. The results indicate that manufacturing firms are responsive to energy price changes in the long run but largely unresponsive in the short term, likely due to the short-term effects of technology lock-in. These findings suggest that transitioning to carbon trading is an effective strategy for reducing CO2 emissions and mitigating China’s CBAM liabilities on energy-intensive exports, though ensuring policy continuity remains a significant challenge. |
| Keywords: | Carbon Price, Carbon Trading, CBAM, Energy Price Elasticity |
| JEL: | L94 |
| Date: | 2025–04–28 |
| URL: | https://d.repec.org/n?u=RePEc:cam:camdae:2527 |
| By: | Newbery, D. |
| Abstract: | At high penetration levels, the ratio of the marginal: average curtailment (mc/ac) of an extra MW of wind is typically 3+ times its average. For a portfolio of on- and off-shore wind and solar PV, the ratio is considerably higher. With increasing methods of using potentially surplus VRE (exports, storage) average curtailment falls but the mc/ac ratio rises. The marginal levelised cost of VRE is inversely proportional to the Marginal Capacity Factor, which falls as marginal curtailment increases, raising concerns that reducing average curtailment may not lower the marginal cost of VRE. This paper proves this is not the case. Reducing curtailment has a magnified effect on marginal curtailment and does indeed lower the marginal cost of VRE. |
| Keywords: | Variable Renewable Electricity, Marginal Curtailment, Average Curtailment, Levelised Cost of Electricity, VRE Support Design |
| JEL: | L94 Q42 Q48 |
| Date: | 2025–02–18 |
| URL: | https://d.repec.org/n?u=RePEc:cam:camdae:2511 |
| By: | Newbery, D.; Chyong, C. K |
| Abstract: | At high penetration levels, the marginal curtailment of an extra MW of wind is typically 3+ times its average. With a portfolio of different technologies (on- and offshore wind, solar PV), an extra MW of any single technology can increase the curtailment of all technologies, increasing the marginal: average curtailment ratio and the cost of displacing fossil generation. Higher expected future capacity factors amplify this ratio. Increasing nuclear output can also cause renewable curtailment but its effect is smaller than increasing VRE to give equivalent extra output. The choice of the VRE expansion plan depends on whether the potential, average, or marginal capacity factors are used. Storage and trade significantly increase the curtailment ratio but lower delivered costs, with higher VRE penetration in neighbouring markets further amplifying curtailment. |
| Keywords: | Variable Renewable Electricity, Marginal Curtailment, Least-Cost Expansion |
| JEL: | H23 L94 Q28 Q42 Q48 |
| Date: | 2025–04–14 |
| URL: | https://d.repec.org/n?u=RePEc:cam:camdae:2526 |
| By: | Khondaker Golam Moazzem; Faisal Quaiyyum |
| Abstract: | This study examines the psychological impact of energy crises on households, utilising the Perceived Stress Scale-10 (PSS-10) to measure the stress induced by disruptions in electricity, gas, and fuel supply and pricing. Through a multivariate analysis incorporating Ordinary Least Squares (OLS) regression, Simultaneous-Quantile Regressions (SQR), Random Forest (RF) and Ordered Probit models, the research identifies the key socio-demographic and environmental factors influencing household stress. |
| Keywords: | Energy crisis, Power outages, Gas and fuel shortages, Energy insecurity, Environmental awareness, Energy policy, Bangladesh |
| Date: | 2024–04 |
| URL: | https://d.repec.org/n?u=RePEc:pdb:opaper:156 |
| By: | Christoph Boehringer (University of Oldenburg, Department of Economics); Carsten Helm |
| Abstract: | Deep decarbonization requires electrification of energy-related processes across all sectors of the economy. This so-called sector coupling has important implications for quantity-based regulations in the electricity sector which overlap with measures that promote electricity-based technologies in other sectors, like subsidies for electric vehicles, CO2 taxes on fossil technologies, or a separate ETS in the transport and buildings sectors. We show this for emissions trading systems (ETS) and renewable portfolio standards (RPS). The switch to electricity-based technologies usually strengthens an existing RPS. For the EU ETS, the switch raises demand for emission allowances in countries with such additional policies, but emission reductions come from all countries within the ETS. There is thus a reverse waterbed effect. Numerical simulations for overlapping regulations in the EU and the US underpin the policy relevance. They suggest that overlapping policies should generally target sectors not covered by quantity instruments such as an ETS or RPS. |
| Keywords: | Sector coupling, overlapping regulation, cap and trade, renewable portfolio standards, unilateralaction, reverse waterbed effect |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:old:dpaper:453 |
| By: | Hei Kan Lou; Michael G Pollitt; David Robinson; Angel Vargas Arcos |
| Keywords: | Iberian Exception, energy crisis, gas price cap, electricity market |
| JEL: | L94 |
| Date: | 2025–05 |
| URL: | https://d.repec.org/n?u=RePEc:enp:wpaper:eprg2513 |
| By: | Simshauser, P.; Gilmore, J. |
| Abstract: | Decarbonising our power systems requires coal plant to exit and be replaced by intermittent renewables, along with a diversified fleet of flexible firming plant (viz. batteries, pumped hydro, gas turbines). It also requires electrification of the gas market. In Australia’s National Electricity Market, certain jurisdictions have sought to pursue power system decarbonisation and electrification of gas loads simultaneously. Using 40 years of weather re-analysis data in parallel electricity and gas market models, we identify the generation plant investment task required to meet the primal energy policy task of minimising cost, subject to reliability and CO2 emissions constraints. The outstanding renewable investment task is very material, and accelerating electrification may have the unintended effect of entrenching coal plant for longer. Further, a large fleet of gas turbines is required to deal with intermittency during winter months when renewables experience annual output nadirs. Yet a larger gas turbine fleet produces an acute peak (gas) demand problem during critical event winter days. Electrification of gas customers reduces annual gas demand, but ironically, gas turbine output on those critical event days means there is little change in daily maximum gas demand. This is quite a paradox – electrification policy signals the structural decline of gas networks, yet gas turbines and supporting gas storage and pipeline infrastructure become critical to maintain security of supply. Careful investment planning and policy sequencing is therefore required. |
| Keywords: | Electrification, Renewables, Natural Gas, Energy-Only Markets, Dispatchable Plant Capacity |
| JEL: | D52 D53 G12 L94 Q40 |
| Date: | 2025–01–31 |
| URL: | https://d.repec.org/n?u=RePEc:cam:camdae:2528 |
| By: | Ouafae El Ganaoui Mourlan (IFPEN - IFP Energies nouvelles); El Hadj Miliani (IFPEN - IFP Energies nouvelles); Meryem Moussadeq (IFPEN - IFP Energies nouvelles, IFP School); Bilal Kabalan (LICIT-Eco7 - Laboratoire d’Ingénierie Circulation Transport et Éco-gestion des systèmes énergétiques pour les transports - ENTPE - École Nationale des Travaux Publics de l'État - Université Gustave Eiffel) |
| Abstract: | As electric mobility gains popularity, Electric Vehicles (EVs) and their batteries are becoming more attractive due to their size and energy density advantages. However, the electric grid has not undergone similar improvements, potentially impacting power stability and affecting EV energy usage and availability. The key challenge lies in managing increasing power demands from a fully EV fleet. To address this, efforts are needed to analyze the integration of EVs into the grid and optimize power distribution. In this paper, an innovative Energy Management Strategy (EMS) is proposed to effectively control energy loads, energy sources, and EVs, incorporating Vehicle-to-Grid (V2G) capability. The EMS optimizes energy flow and storage based on time of day, potential energy production, and the cost of grid electricity. The integration of this EMS results in significant benefits, with approximately 12% savings in electricity bills compared to a reference strategy. |
| Keywords: | Electric vehicles, Renewable energy sources, Vehicle-to-grid, Smart grid, Microgrid, Energy management strategy, Optimization |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05075708 |
| By: | You, Yaxuan; Huang, Kaixing |
| Abstract: | This paper estimates the effect of renewable energy growth on infant mortality by exploiting variation in renewable energy penetration driven by global technological progress and heterogeneous regional potential for renewables. Using data covering seven million births across 427 subnational regions in 54 developing countries, we find that a 10-percentage-point increase in the share of renewables in electricity generation reduces infant mortality by 1.99 deaths per 1, 000 live births. Our results imply that the growth of renewable energy in these countries averted 1.2 million infant deaths from 1990 to 2020, corresponding to 8.23% of the total decline in infant mortality. The mortality decline is disproportionately concentrated among disadvantaged subpopulations and thus reduces inequality in infant mortality. Mechanism analysis indicates that air pollution abatement and local income growth serve as key channels. |
| Keywords: | renewable energy, infant mortality, air pollution, inequality, developing country |
| JEL: | I18 O13 O53 Q42 |
| Date: | 2025–06–15 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:125038 |
| By: | Wolf D. Grossmann (University of Graz, Austria); Iris Grossmann (Chatham University, Pittsburgh, United States); Karl W. Steininger (University of Graz, Austria) |
| Abstract: | For the transition to fully renewable energy the residual load - the portion of the load that is not yet generated from renewables - has to be replaced with renewable electricity. Photovoltaics (PV) is of particular interest given possible low electricity costs. However, firm electricity from PV is still expensive due to intermittency, in particular seasonally. We describe and apply a two-part non-linear optimization method. First, optimal percentages of solar generation capacity at different sites are determined to closely approximate a given load pattern. Results are best when sites on both hemispheres and in many time zones are connected. We then describe and apply a second method that utilizes the combination of sites determined during the first phase to find a cost-optimal pairing of PV and storage that delivers firm electricity for the given load pattern. Costs of firm electricity for common load patterns, e.g. the European Union or a linear load, could be less than USD 20/MWh, without transmission, if global generation sites are utilized. Long submarine power cables are being planned and built globally, enabling enhanced technological learning and consequently declining costs. We discuss several examples of combinations of solar generation sites with overall electricity costs including transmission depending on expected learning rates. This approach could help identify stable configurations for affordable and firm electricity from renewables and inform plans for necessary long-distance power transmission infrastructure. We also give an example of an intercontinental power cable that could be built along the known route of an existing submarine telecom cable. |
| Keywords: | renewable electricity, photovoltaics, storage, firm electricity cost, renewable system design |
| JEL: | C61 D24 Q21 Q42 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:grz:wpaper:2025-06 |
| By: | Simshauser, P.; Shellshear, E. |
| Abstract: | Renewable Energy Zones (REZ) and the associated transmission network infrastructure are an important policy development in Australia’s transitioning electricity market. REZs form the basis upon which to expand the renewable hosting capacity of the National Electricity Market (NEM) at scale, while simultaneously minimising the footprint of infrastructure – noting community, cultural heritage and environmental (i.e. biodiversity) sensitivities. In the NEM’s Queensland region, REZs are developed outside the regulatory framework as non-regulated or ‘merchant’ assets, with connecting generators paying user charges. Early REZs involved a small number of committed generators connecting to, and fully subscribing, the REZ asset. Under such conditions, cost allocation is straight forward. But when a geographically dispersed coalition of generators seek to connect over different timeframes and with longer distances involved – the cost allocation task and the tractability of merchant REZ commitment rises in complexity. Since merchant REZs are a novel concept, there is no historic practice to draw from. In this article, we identify the optimal coalition of connecting generators and rely on Shapley’s (1951) seminal work to devise a fair and efficient set of user charges, albeit in the context of renewable power project development. We also examine how to deal with transient idle capacity through structured financing and regulatory policy. |
| Keywords: | Renewable Energy Zones, Renewables, Battery Storage, Shapely Value |
| JEL: | D52 D53 G12 L94 Q40 |
| Date: | 2025–02–01 |
| URL: | https://d.repec.org/n?u=RePEc:cam:camdae:2524 |
| By: | Harrison Hong; Jeffrey D. Kubik; Edward P. Shore |
| Abstract: | We find that the price volatility of renewable assets is significantly greater than that of brown assets. Our causal estimates leverage the response of electricity and credit markets to US state-level renewable portfolio standards that require some utilities to use renewables while exempting others. This extra risk is related to more volatile electricity prices and revenues, consistent with uncertainties including renewables intermittency. Using a growth model where the share of green capital balances climate damages and diversification benefits, we find that greater green-asset volatility is a more important determinant of economy-wide decarbonization than productivity differences of green versus brown capital. |
| JEL: | G10 G11 Q20 Q4 Q54 Q56 |
| Date: | 2025–05 |
| URL: | https://d.repec.org/n?u=RePEc:nbr:nberwo:33789 |
| By: | HAN, Seoni (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)); Cho, Sunghun (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)); Kim, Yejin (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)); KIM, Joo Hye (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)); Seo, Sang-hyun (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)) |
| Abstract: | 글로벌 탄소중립과 산업 패러다임의 변화로 글로벌 경제 기반이 기존의 연료 집약적(fuel-intensive) 시스템에서 원료 집약적(material-intensive) 시스템으로 전환되는 과정에서 태양광, 태양열, 풍력, 수력, 지열 등과 같은 재생에너지 발전과 전기차 및 배터리 생산에 필수적인 핵심광물에 대한 경쟁이 갈수록 심화되고 있다. 핵심광물에 대한 수요는 2040년까지 3배 이상, 2050년까지는 6배 이상 증가할 것으로 예상된다. 핵심광물은 매장과 생산이 특정 몇몇 국가들에 집중되어 있어 수급이 안정적이지 않아 가격 변동성이 높고, 현재의 기술로는 대체가 어렵다. 따라서 규제 변화, 무역 통제, 정치적 불안정 등으로 인한 공급 불안정성이 높아 이에 대한 적절한 대응이 시급하다. 이에 미국, EU, 영국, 캐나다, 일본 등 주요국들은 핵심광물 공급망의 취약성을 국가안보에 대한 중대한 위협으로 인식하고, 자국 내 산업 육성과 소수의 특정국에 대한 의존도를 낮추는 것을 목적으로 핵심광물 공급망을 내재화하고 동맹국과의 협력을 확대하는 전략을 추진하고 있다. The green transition and shifts in industrial paradigms have intensified the global competition for critical minerals essential to renewable energy systems and electric vehicles. The rising demand for these minerals has created more complexities for global supply chains, presenting greater challenges compared to the era of fossil fuel. In response, both mineral producers and consumer countries are formulating strategies to enhance economic security and diversify mineral supply chains, promoting public-private partnerships as well as bilateral and multilateral cooperation. (the rest omitted) |
| Keywords: | The green transition; global competition; Korea-Africa cooperation; |
| Date: | 2024–12–30 |
| URL: | https://d.repec.org/n?u=RePEc:ris:kieppa:2024_025 |
| By: | Nouira, Ridha (University of Sousse); Ben Salem, Leila (University of Sousse); Saafi, Sami (University of Sousse); Rault, Christophe (University of Orléans) |
| Abstract: | This study explores the link between renewable energy consumption and international trade, with a focus on climate policy. We argue that this relationship is nonlinear and shaped by threshold effects. Using a dynamic threshold model (Seo & Shin, 2016), we analyze data from 1990 to 2023 for 29 developed and developing countries. Our results show that climate policy plays a key role in shaping the renewable energy–trade nexus, with effects depending on policy stringency and development level. In developing countries, renewable energy use consistently boosts exports, regardless of policy stringency. In contrast, in developed countries, strict policies reduce import dependence—signaling energy independence—but may also weaken renewable energy’s positive trade effects due to higher compliance costs and regulatory barriers. These findings call for tailored strategies: developed countries should balance ambitious climate goals with trade efficiency by easing regulatory burdens and promoting international policy coordination, while developing countries can use renewable energy to enhance exports, attract investment, and build technological capabilities. |
| Keywords: | climate policy stringency, international trade, renewable energy consumption, dynamic threshold model, sustainable development |
| JEL: | C5 F1 Q4 Q5 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp17955 |
| By: | Bańbura, Marta; Bobeica, Elena; Giammaria, Alessandro; Porqueddu, Mario; van Spronsen, Josha |
| Abstract: | Energy inflation is a major source of headline inflation volatility and forecast errors, therefore it is critical to model it accurately. This paper introduces a novel suite of Bayesian VAR models for euro area HICP energy inflation, which adopts a granular, bottom-up approach – disaggregating energy into subcomponents, such as fuels, gas, and electricity. The suite incorporates key features for energy prices: stochastic volatility, outlier correction, high-frequency indicators, and pre-tax price modelling. These characteristics enhance both in-sample explanatory power and forecast accuracy. Compared to standard benchmarks and official projections, our BVARs achieve better forecasting performance, particularly beyond the very short term. The suite also captures a sizable variation in the impact of commodity price shocks, pointing to higher elasticities at higher levels of commodity prices. Beyond forecasting, our framework is also useful for scenario and sensitivity analysis as an effective tool to gauge risks, which is especially relevant amid ongoing energy market transformations. JEL Classification: C32, C53, E31, E37 |
| Keywords: | Bayesian VAR, gas prices, HICP, oil prices |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:ecb:ecbwps:20253062 |
| By: | Yue Gao; Jing Zhang |
| Abstract: | Smart grids enable the alignment of energy supply and demand, enhance energy efficiency, and raise consumer awareness of energy conservation. Smart meter, a vital technological component of smart grids, enables bidirectional communication between consumers and utility companies. This paper employs the two-stage least squares panel data model to examine the effects of federal funding and state legislative actions on smart meter adoption and the resulting energy efficiency savings in the residential sector of the United States. Additionally, we use machine learning techniques to select the subset of control variables that are influential for smart meter adoption and energy efficiency savings. The findings suggest that both federal financial assistance and state legislative actions have positive effects on smart meter adoption, and the interaction of federal funding and state policy interventions have a significantly greater effect on adoption as compared to the sum of the individual policy instrument alone. Furthermore, there exists a positive association between the adoption rate and energy efficiency savings. This study presents empirical evidence that underscores the significance of multi-level governance as an effective means for policy integration regarding smart meter adoptions, and it discusses the policy implications for grid modernization and environmental policies. |
| Date: | 2025–05 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2505.05596 |
| By: | Raimi, Daniel (Resources for the Future); Prest, Brian C. (Resources for the Future); Thompson, Alexandra (Resources for the Future) |
| Abstract: | This paper presents the results of a multi-year collaborative research project between the authors, several other researchers, and the Southern Ute Indian Tribe, a natural gas-producing Tribe whose Reservation sits near the “Four Corners” region of southwestern Colorado. In this collaboration, we worked with the Tribe to inform their decision-making about future energy development by producing multiple scenarios depicting the potential for natural gas, wind, and solar development on their Reservation. We find that natural gas production on the Reservation—absent the development of new shale formations—declines under all scenarios through 2050, as do associated Tribal revenues. We also find that solar—but not wind—development may be economically viable on parts of the Reservation. Along with these quantitative results, we believe that our collaborative research approach may serve as a model for other scholars who wish to work with Tribal nations within the United States as they seek to ensure their sovereignty in a changing energy landscape. |
| Date: | 2025–06–17 |
| URL: | https://d.repec.org/n?u=RePEc:rff:dpaper:dp-25-18 |
| By: | Heuer, Felix; Sommer, Stephan |
| Abstract: | Huge low-carbon investments are required to reach the goals of the Paris Agreement. However, one obstacle for these investments may be public opposition to the installment of low-carbon technology due to high perceived net costs. In this paper, we analyze the local net costs of both wind turbines and PV farms, employing a hedonic price analysis on the universe of housing ads from German's largest online real estate platform for the period spanning from 2009 to 2021. Beyond estimating average treatment effects, we focus on distance and intensity specific effects of wind turbines and PV farms on property prices. Moreover, we add to the existing literature by estimating the effect not only of the nearest energy facility. We find that wind turbines exhibit a negative effect of 1.8-1.9% on property prices that fades out after 3 km of distance. This effect seems to become larger the more wind turbines are installed in the proximity of a property. PV farms reduce property prices more locally only up to a 2 km distance by 1.9%. |
| Abstract: | Um die Ziele des Pariser Abkommens zu erreichen, sind enorme Investitionen in kohlenstoffarme Technologien erforderlich. Ein Hindernis für diese Investitionen könnte jedoch die Ablehnung der Öffentlichkeit gegenüber der Einführung kohlenstoffarmer Technologien aufgrund der hohen wahrgenommenen Nettokosten sein. In diesem Beitrag analysieren wir die lokalen Nettokosten von Windkraftanlagen und Photovoltaikparks anhand einer hedonischen Preisanalyse der Wohnungsanzeigen auf Deutschlands größter Online-Immobilienplattform für den Zeitraum von 2009 bis 2021. Über die Schätzung der durchschnittlichen Behandlungseffekte hinaus konzentrieren wir uns auf die abstands- und intensitätsspezifischen Auswirkungen von Windkraftanlagen und Photovoltaikparks auf die Immobilienpreise. Darüber hinaus ergänzen wir die bestehende Literatur, indem wir nicht nur die Auswirkungen der nächstgelegenen Energieanlage schätzen. Wir stellen fest, dass Windkraftanlagen einen negativen Effekt von 1, 8-1, 9 % auf die Immobilienpreise haben, der nach einer Entfernung von 3 km abklingt. Dieser Effekt scheint umso größer zu werden, je mehr Windkraftanlagen in der Nähe einer Immobilie installiert sind. PV-Parks senken die Immobilienpreise lokal nur bis zu einer Entfernung von 2 km um 1, 9 %. |
| Keywords: | Renewable energy, hedonic prices, heterogeneity |
| JEL: | Q21 D12 R31 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:rwirep:319072 |
| By: | Aayushi Sharma (University of Barcelona & GiM-IREA, John M. Keynes 1, Barcelona, 08034, Spain.); Laia Maynou Pujolras (University of Barcelona & GiM-IREA, John M. Keynes 1, Barcelona, 08034, Spain.); Jordi J. Teixidó (University of Barcelona & GiM-IREA, John M. Keynes 1, Barcelona, 08034, Spain.) |
| Abstract: | This study used a natural experiment to determine how a nation-wide coal phase out strategy affects air pollution and in-turn health outcomes (physical and mental health) in England. The introduction of the Carbon Tax policy in the United Kingdom in 2013, precipitated the closure of multiple coal plants, highlighting the imperative for further investigation into its implications. Using a Staggered Difference-in-Difference estimator, we show coal plant closures improve air quality and related health outcomes. In particular, we find coal plant closures reduces hospital admissions among respiratory patients, and asthma (among adults). Additionally, they reduce mortality among the most deprived under the age of 75 years, but not among the non-deprived population. Finally, we also document improvements on mortality for mental and behavioral diseases. This results, we show, are not driven by endogenous migration flows. These findings contribute to the literature on the health effects of pollution by focusing on the effects of removing, rather than adding, pollution sources that in this case result from more stringent climate policies. |
| Keywords: | Coal-fired plants; Pollution; Physical health; Mental health JEL classification: |
| Date: | 2024–12 |
| URL: | https://d.repec.org/n?u=RePEc:ira:wpaper:202422 |
| By: | Michael G Pollitt; Rona Mitchell; Daniel Duma; Andrei Covatariu |
| Keywords: | Distribution System Operators, auction theory, queuing theory, grid connection queue |
| JEL: | D44 L94 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:enp:wpaper:eprg2512 |
| By: | Florian Fizaine (IREGE - Institut de Recherche en Gestion et en Economie - USMB [Université de Savoie] [Université de Chambéry] - Université Savoie Mont Blanc); Guillaume Le Borgne (UMR MoISA - Montpellier Interdisciplinary center on Sustainable Agri-food systems (Social and nutritional sciences) - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - IRD - Institut de Recherche pour le Développement - CIHEAM-IAMM - Centre International de Hautes Etudes Agronomiques Méditerranéennes - Institut Agronomique Méditerranéen de Montpellier - CIHEAM - Centre International de Hautes Études Agronomiques Méditerranéennes - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement) |
| Abstract: | In this paper, we investigate the causal link between individuals' objectively assessed knowledge of climate change and their personal carbon footprints. Using a novel survey of 780 participants, we comprehensively measure perceived and actual climate knowledge, as well as individual beliefs, intentions, and behaviors. We find that individuals tend to overestimate their climate knowledge, with those possessing lower actual knowledge exhibiting the highest overestimation. While simple correlations indicate a weak negative relationship between objective knowledge and carbon footprint, our instrumental variable approach reveals a substantially stronger causal effect: individuals with greater objectively assessed climate knowledge tend to exhibit significantly lower carbon footprints. This effect varies across footprint subcomponents, showing strong proportional reductions in transport-related emissions, moderate reductions in food-related emissions, and no discernible effect in housing, miscellaneous and digital consumption. Our results highlight the importance of addressing knowledge gaps as a pathway to enhancing climate action at the individual level. By using a refined knowledge scale and accounting for confounding variables, we provide robust evidence that increasing factual climate knowledge can meaningfully contribute to lowering carbon footprints -by up to 1 ton of CO 2 -equivalent per year. These findings call for targeted educational interventions that go beyond raising awareness to actively improving public understanding of effective mitigation strategies. |
| Keywords: | Climate knowledge, Literacy, Causal inference, Instrumental variables, Pro-environmental behavior |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05079084 |
| By: | Pollitt, M. G.; Mitchell, R.; Duma, D.; Covatariu, A. |
| Abstract: | The connection queue in Great Britain (GB) is recognized as a major challenge for transmission and distribution networks and for the energy transition. The queue reached 726 GW in July 2024 for generation and storage, but it is also significant on the demand side. The drivers of this problem have been identified by the government, the regulator and the industry. One of the drivers is the inability of the First Come First Served (FCFS) rule – the de facto system of allocation – to account for the feasibility, progress and value of the different projects applying for connection. This paper explores this latter aspect, by taking inspiration from the literature on auction theory, mechanism design and queuing theory. The paper discusses potential changes to the initial (primary) allocation of connection rights in light of concepts such as the beauty contest and the Knapsack problem, and to queue management by potentially introducing a secondary trading of connection rights to increase efficiency. The paper also discusses the risks and potential biases of such changes, including asymmetric information and strategic behaviour. |
| Keywords: | Distribution System Operators, Auction Theory, Queuing Theory, Grid Connection Queue |
| JEL: | D44 L94 |
| Date: | 2025–06–10 |
| URL: | https://d.repec.org/n?u=RePEc:cam:camdae:2534 |
| By: | Anna Claudia Caspani (University of Insubria, Department of Economics, Via Monte Generoso, Varese, Italy.); Elena Maggi (University of Insubria, Department of Economics, Via Monte Generoso, Varese, Italy.); Jordi J. Teixidó (GiM-IREA, Universitat de Barcelona, Spain.) |
| Abstract: | Private transport is a leading contributor to climate change and local pollution in many countries. As a result, commuting choices have become paramount. Our main research question is how gender affects these choices. This paper analyzes the gender heterogeneity of informational interventions (green nudges) on the willingness of car commuters to adopt more sustainable commuting habits. To isolate causal evidence, we conducted a survey experiment with a randomly assigned informational treatment – a visual representation of the carbon footprint associated with different commuting options – among students at a university in northern Italy. The results show that the nudge increased the participants’ willingness to forego their private car by 7-9%. Heterogeneous analyses reveal a novel gender-specific pattern in nudge effectiveness: female car commuters exhibit a consistently greater reluctance to forego private vehicles in response to the treatment compared to male car commuters. Potential mechanisms include differing mobility patterns, security concerns, and lower social desirability bias among women. In all cases, this gender discrepancy documents the importance of integrating a gender perspective in climate policy interventions to enhance both effectiveness and public support. |
| Keywords: | gender; local climate policy; commuting; green nudges; survey experiment; public support. JEL classification: D91, H23, M38, Q58. |
| Date: | 2024–02 |
| URL: | https://d.repec.org/n?u=RePEc:ira:wpaper:202412 |
| By: | Lisa Heidelmeier; Marco Sahm |
| Abstract: | We investigate the impact of an environmental award in a Bertrand duopoly with green consumers considering a three-stage game. First, the regulator designs the environmental contest. Second, firms choose their green investments, and the winner of the contest is awarded. Third, firms compete in prices, and consumption takes place. We illustrate that the award not only incentivizes green investments and may thus reduce environmental externalities. As consumers perceive the product of the awarded firm to be of superior quality, it also gives rise to vertical product differentiation. This induces market power, and thus anti-competitive effects: Rents shift from consumers to producers, and consumer surplus may decrease, particularly if marginal investment costs in green technologies are high compared to the strength of environmental damage. |
| Keywords: | Bertrand competition, contests, environmental award, green consumer, product differentiation |
| JEL: | D43 H23 L13 L51 Q52 Q58 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_11879 |
| By: | Kimberly Clausing; Jonathan Colmer; Allan Hsiao; Catherine Wolfram |
| Abstract: | We study carbon border adjustment mechanism (CBAM) policies, as currently being implemented by the EU and UK. Policy discussions have cited three motivations and one concern. CBAMs can improve domestic competitiveness in regulated markets, reduce emissions leakage to unregulated markets, and encourage other countries to tax carbon. But CBAMs may particularly disadvantage lower-income trading partners. We evaluate these forces with a quantitative equilibrium model and plant-level data on aluminium and steel production worldwide. Our data cover the most emissions-intensive and heavily traded sectors targeted in the first phase of EU and UK implementation. We find that CBAMs can effectively boost competitiveness, curb leakage, and encourage regulation, while also avoiding disproportionate impacts on lower-income countries. |
| Keywords: | carbon border adjustment mechanisms, emissions leakage, domestic competitiveness, policy spillovers, lower-income countries |
| Date: | 2025–05–02 |
| URL: | https://d.repec.org/n?u=RePEc:cep:cepdps:dp2097 |
| By: | Gellerstam, Julia (Department of Real Estate and Construction Management, Royal Institute of Technology); Palmquist, Lisa (Department of Real Estate and Construction Management, Royal Institute of Technology); Hermansson, Cecilia (Department of Real Estate and Construction Management, Royal Institute of Technology) |
| Abstract: | This study investigates whether energy use and recommended efficiency measures are capitalized into office building transaction prices in Sweden, amid the European real estate sector’s transition following the Energy Performance of Buildings Directive (EPBD). Using eight years of transaction data and a hedonic pricing model, the analysis quantifies the relationship between energy-related characteristics and market value. Complementary interviews with energy consultants provide insights into how energy measures are interpreted and applied in practice. Results show that while energy efficiency is increasingly considered in investments, its influence on prices is limited and varies across segments. Unexpectedly, higher energy use correlates with higher prices in some cases. A 1% increase in energy use corresponds to a 0.22% price increase per square meter, especially in older buildings and peripheral areas. This suggests energy inefficiency may be offset by other value drivers, such as location, historical character and redevelopment potential. The market response to EPC-recommended measures is more nuanced. Construction-related upgrades can command premiums in older buildings due to their future value potential. Conversely, installation measures are often viewed as costly liabilities, leading to price discounts. These findings reveal a distinction between flexible investment opportunities and immediate capital expenditures. By combining quantitative and qualitative methods, the study offers a comprehensive assessment of energy efficiency’s economic and operational dimensions. It contributes to the literature on green value premiums and provides actionable insights for stakeholders. At the same time, it highlights the specific dynamics of a low-energy-price context like Sweden. This adds important geographical nuance to a field often dominated by evidence from higher-cost markets. |
| Keywords: | Energy use; energy efficiency; commercial real estate; transaction price; energy efficiency measures; EPBD |
| JEL: | D25 D81 Q40 Q51 R32 |
| Date: | 2025–06–10 |
| URL: | https://d.repec.org/n?u=RePEc:hhs:kthrec:2025_004 |
| By: | Ankel-Peters, Jörg; Bensch, Gunther; Moull, Kevin; Rauschenbach, Mascha; Sievert, Maximiliane |
| Abstract: | Quantitative benchmarks for cost-effective provision of rural energy access are difficult to obtain because deployment costs vary across technologies, contexts, and technical assistance approaches - but crucially also across sustainability assumptions. As an alternative, this policy perspective provides a qualitative cost-effectiveness assessment of different energy access strategies. We discuss the different cost factors, accounting for differences in impact potentials across rural energy access options. We include on-grid and off-grid electrification and improved cooking technologies. The focus is on rural sub-Saharan Africa (SSA), where energy access rates are low. We document largely disappointing impacts of high-power electrification technologies, turning stand-alone solar into the more cost-effective electrification strategy in that setting. We conclude by emphasizing the high impact-cost ratio for energy-efficient biomass cookstoves. |
| Abstract: | Quantitative Benchmarks für eine kosteneffiziente Bereitstellung von Energiezugang in ländlichen Gebieten sind schwer zu ermitteln, da die Bereitstellungskosten je nach Technologie, Kontext und Ansatz der technischen Hilfe variieren. Entscheidend ist auch, welche Annahmen hinsichtlich der Nachhaltigkeit getroffen werden. Als Alternative bietet diese politische Perspektive eine qualitative Bewertung der Kosteneffizienz verschiedener Strategien für den Zugang zu Energie. Wir diskutieren die verschiedenen Kostenfaktoren und berücksichtigen dabei die unterschiedlichen Wirkungspotenziale der Optionen für den Zugang zu Energie in ländlichen Gebieten. Dabei berücksichtigen wir sowohl netzgebundene als auch netzunabhängige Elektrifizierung sowie verbesserte Kochtechnologien. Der Schwerpunkt liegt auf dem ländlichen Subsahara-Afrika (SSA), wo die Energieversorgungsquote niedrig ist. Wir dokumentieren weitgehend enttäuschende Auswirkungen von Hochleistungselektrifizierungstechnologien, wodurch autonome Solaranlagen in diesem Umfeld zur kosteneffizienteren Elektrifizierungsstrategie werden. Abschließend betonen wir das hohe Wirkungs-Kosten-Verhältnis energieeffizienter Biomasse-Kochherde. |
| Keywords: | Energy access, rural electrification, modern cooking energy, sub-Sahara Africa |
| JEL: | H54 O21 O33 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:rwirep:319070 |
| By: | Aswani, Jitendra; Raghunandan, Aneesh; Rajgopal, Shiva |
| JEL: | Q50 |
| Date: | 2024–01–01 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:121632 |
| By: | Bhupendra Kumar Singh; Venkatachalam Anbumozhi (Economic Research Institute for ASEAN and East Asia (ERIA)); Rakesh Kumar Agarwal |
| Abstract: | : Advancing power trade requires efficient grid connectivity. In 2018, India launched the One Sun, One World, One Grid (OSOWOG) initiative, which aims to connect India to Southeast Asia – facilitating increased power trade. Despite many challenges, such as regulatory disparities, infrastructure limitations, and geopolitical complexities, regional grid connectivity between India and Southeast Asia would bring many opportunities for investment, technology transfer, and employment generation. To achieve these, strategic interventions are required to harmonise regulatory frameworks, invest in advanced infrastructure, and foster diplomatic engagement |
| Keywords: | Cross-border power trade; grid connectivity; energy security; sustainability; regional cooperation |
| JEL: | Q41 Q43 Q35 Q37 Q48 |
| Date: | 2025–05–30 |
| URL: | https://d.repec.org/n?u=RePEc:era:wpaper:dp-2025-02 |
| By: | Cheikh T. Ndour (Cheikh Anta Diop University, Dakar, Senegal); Simplice A. Asongu (University of Johannesburg, Johannesburg, South Africa) |
| Abstract: | Purpose – This study examines the relevance of information and communication technologies in the effect of gender economic inclusion on environmental sustainability. Design/methodology/approach – The focus is on a panel of 42 sub-Saharan African countries over the period 2005-2020. The empirical evidence is based on generalized method of moments. The environmental sustainability indicator used is CO2 emissions per capita. Two indicators of women's economic inclusion are considered: women's labour force participation and women's unemployment. The chosen ICT indicators are mobile phone penetration, internet penetration and fixed broadband subscriptions. Findings – The results show that: (i) fixed broadband subscriptions represent the most relevant ICT moderator of gender economic inclusion for an effect on CO2 emissions; (ii) negative net effects are apparent for the most part with fixed broadband subscriptions (iii) both positive ICT thresholds (i.e., critical levels for complementary policies) and negative ICT thresholds (i.e., minimum ICT levels for negative net effects) are provided; (iv) ICT synergy effects are apparent for female unemployment, but not for female employment. In general, the joint effect of ICTs or their synergies and economic inclusion should be a concern for policymakers in order to better ensure sustainable development. Moreover, the relevant ICT policy thresholds and mobile phone threshold for complementary policy are essential in promoting a green economy. Originality/value –The study complements the extant literature by assessing linkages between information technology, gender economic inclusion and environmental sustainability. |
| Keywords: | ICT, Gender inclusion; Environment sustainability; Sub-Saharan Africa |
| JEL: | C52 O38 O40 O55 P37 |
| Date: | 2024–01–01 |
| URL: | https://d.repec.org/n?u=RePEc:dbm:wpaper:24/001 |
| By: | Daniel Albalate (Dept. of Econometrics, Statistics and Applied Economics, Universitat de Barcelona, Spain.); Mattia Borsati (Dept. of Econometrics, Statistics and Applied Economics, Universitat de Barcelona, Spain.); Albert Gragera (Dept. of Applied Economics, Autonomous University of Barcelona, Spain.) |
| Abstract: | We quantify the effect of public transportation fare subsidies on air quality by exploiting the sharp discontinuity in the cost of ridership introduced by policy intervention. We identify this effect by taking advantage of four months of massive discounts for transit services introduced in Spain on September 1, 2022, as part of the national plan to tackle the global energy crisis. Across pollutants and specifications, we find no evidence that low-cost or free-of-charge public transportation financing schemes have improved air quality. Our results reveal that measures aimed at reducing transit prices may fail to achieve the claimed environmental benefits through a modal shift from private to collective modes of transport, which suggests that massive fare discounts may not represent an efficient allocation of public funds. |
| Keywords: | Public transportation; Air quality; Externalities; Pollutants; Modal shift. JEL classification: L92, Q53, R41, R48. |
| Date: | 2024–02 |
| URL: | https://d.repec.org/n?u=RePEc:ira:wpaper:202414 |
| By: | Zhang, Xin; Chen, Xi; Sun, Hong; Yang, Yuanjian |
| Abstract: | This paper attempts to provide one of the first population-based causal estimates of the effect of air pollution on suicidal ideation-a key precursor to suicide attempt and completion-among school-age children. We use daily variations in the local wind direction as instruments to address endogeneity in pollution exposure. Matching a unique risk behavior survey of 55, 000 students from 273 schools with comprehensive data on air pollutants and weather conditions according to the exact date and location of schooling, our findings indicate that a 1% decline in daily PM2.5 is associated with a 0.36% reduction in the probability of suicidal ideation. Moreover, the dose-response relationship reveals that the marginal effects increase significantly and non-linearly with elevated concentration of PM2.5. The effect is particularly pronounced among younger, male, students from low-educated families, and students with lower grades. |
| Keywords: | suicidal ideation, air pollution, school-age children, risky behaviors, China |
| JEL: | I31 Q51 Q53 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:glodps:1618 |
| By: | Crawford, Ben; Whyte, David |
| Abstract: | Considering that the transition to a low-carbon economy will not be secured by mutual agreement but requires coordinated industrial organizing, this article builds upon eco-socialist critiques to identify the concrete dimensions of the underlying solidarity between workers and the rest of nature as reflected in workers’ struggles. Specifically, we argue that industrial organization in opposition to labour precarity and work intensification is fundamental to both achieving sustainable work and mitigating environmental harms to workers’ bodies. This argument presents a basis for a common response to the transition to a low-carbon economy across the labour movement and for cross-sectoral climate demands in bargaining. |
| Keywords: | climate change; just transition; trade unions; climate organizing; climate bargaining; collective bargaining |
| JEL: | R14 J01 |
| Date: | 2025–04–01 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:128229 |
| By: | Ankel-Peters, Jörg; Bensch, Gunther; Köngeter, Alexandra; Rauschenbach, Mascha; Sievert, Maximiliane |
| Abstract: | This perspective article discusses whether energy access programs in rural Sub-Saharan Africa reach the poor in a way that most policy actors claim. We examine on- and off-grid electrification as well as improved cooking. The success of pro-poor development is predicated on the programs targeting on the ultra-poor or enabling their intended poor recipients to unlock their productive potential. We therefore focus on which groups connect in typical access programs as well as on the triggered productive use potentials. Backed by the most recent literature, we argue that energy access interventions do not naturally deliver on poverty alleviation targets. If the pro-poor claims are to be met, programs need to improve their targeting. Especially for electrification, justifying investments with a rights-based argument and hence irrespective of whether they trigger broader economic development appears legitimate. This would nevertheless imply that care must be taken to also reach those too impoverished to afford improved energy access, requiring, for example, subsidization of connection costs. |
| Abstract: | In diesem Perspektivartikel wird diskutiert, ob Energieversorgungsprogramme in ländlichen Gebieten Subsahara-Afrikas die Armen tatsächlich so erreichen, wie von den meisten politischen Akteuren behauptet. Wir untersuchen Elektrifizierung mit und ohne Netzanschluss sowie verbesserte Kochmöglichkeiten. Der Erfolg einer Entwicklung, die auf die Armen abzielt, hängt davon ab, dass die Programme sich an die Ärmsten richten oder es den vorgesehenen Empfängern ermöglichen, ihr produktives Potenzial zu entfalten. Wir konzentrieren uns daher darauf, welche Gruppen von typischen Zugangsprogrammen profitieren und welche Potenziale für eine produktive Nutzung dadurch erschlossen werden. Unterstützt durch die neueste Literatur argumentieren wir, dass Maßnahmen zur Verbesserung des Zugangs zu Energie nicht automatisch zur Armutsbekämpfung beitragen. Wenn die pro-armen Ziele erreicht werden sollen, müssen die Programme besser ausgerichtet werden. Insbesondere bei der Elektrifizierung erscheint es legitim, Investitionen mit einem rechtsbasierten Argument zu rechtfertigen - unabhängig davon, ob sie eine breitere wirtschaftliche Entwicklung auslösen. Dies würde jedoch bedeuten, dass auch diejenigen erreicht werden müssen, die zu arm sind, um sich einen verbesserten Energiezugang leisten zu können. Das erfordert beispielsweise eine Subventionierung der Anschlusskosten. |
| Keywords: | Energy access, rural electrification, modern cooking energy, sub-Sahara Africa |
| JEL: | H54 O13 O21 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:rwirep:319071 |
| By: | Anne Épaulard (UP1 - Université Paris 1 Panthéon-Sorbonne, EUREQUA - Equipe Universitaire de Recherche en Economie Quantitative - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, OFCE - Observatoire français des conjonctures économiques (Sciences Po) - Sciences Po - Sciences Po); Gissela Landa (OFCE - Observatoire français des conjonctures économiques (Sciences Po) - Sciences Po - Sciences Po); Valentin Laprie (EconomiX - EconomiX - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | La Ville de Paris, comme d'autres villes en France, s'est dotée d'un plan climat ambitieux. En cohérence avec l'objectif national et européen, ce plan vise à la neutralité carbone à l'horizon 2050. Compte tenu des spécificités de chaque territoire en termes de climat, de bâti et d'organisation de la ville et des transports, une réflexion sur les actions à mener au niveau local – en sus des actions décidées au niveau national – est incontournable. Nous évaluons ici les coûts et les bénéfices liés à la décarbonation de Paris en considérant l'ensemble des parties prenantes (la Ville de Paris, les ménages, les entreprises, les bailleurs sociaux, ainsi que l'État et des opérateurs). La décarbonation nécessite des changements de comportements en termes de mobilité, des investissements importants pour la rénovation thermique des bâtiments (isolation et système de chauffage) et des investissements dans des véhicules électriques. Par rapport à un scénario tendanciel dans lequel les émissions de CO2 diminuent trop lentement pour atteindre l'objectif d'émissions nettes nulles en 2050, ces actions requièrent des investissements supplémentaires de l'ordre de 2 milliards d'euros par an d'ici 2030, puis de 1, 5 milliard par an à l'horizon 2050. Les économies sur les factures énergétiques ne suffisent pas à rentabiliser ces investissements (sauf à considérer un renchérissement important du prix des énergies fossiles par rapport à l'électricité décarbonée). Cependant, les actions de décarbonation offrent des cobénéfices liés notamment à une meilleure qualité de l'air et à la réduction des embouteillages. La prise en compte de ces co-bénéfices, en plus de la réduction de la facture énergétique, assure la rentabilité sociale des actions de décarbonation. Le partage des coûts d'investissements se pose cependant, notamment pour la rénovation des logements privés compte tenu de la faiblesse des rendements financiers pour les ménages, de leurs contraintes de financement et de l'organisation en copropriété. Les investissements nécessaires à la décarbonation créeront des emplois, particulièrement dans le secteur du bâtiment. La disponibilité d'une main-d'oeuvre qualifiée et bien formée dans la rénovation énergétique est cruciale à l'échelle régionale. Toutefois, des obstacles freinent ces investissements et l'atteinte de performances énergétiques élevées : des intérêts divergents entre propriétaires et locataires, le manque de disponibilités financières des ménages ou les difficultés d'accès au crédit et les asymétries d'information entre experts du bâtiment et propriétaires non spécialistes. Les autorités locales peuvent atténuer ces barrières grâce à des politiques ciblées. |
| Date: | 2025–05–05 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05067638 |
| By: | Abada, I.; Ehrenmann, A. |
| Abstract: | Risk-mitigation instruments are essential for fostering investments in renewable electricity-production assets and their role is all the more important in the case of market incompleteness. At the same time, such instruments may induce distortions of competition, thereby limiting the effectiveness of spot markets. An example of such an effect is the dramatic increase in negative prices observed in many power markets. Some mechanisms that protect investors from risk decouple operating incentives from spot prices, leading to inefficient trading. At the same time, those negative prices incentivize investments in storage. Such distortions have so far been overlooked in most quantitative research focused on market incompleteness. Using a bi-level programming approach, this paper proposes a framework within which to integrate market distortions when analyzing incompleteness. The lower level of the framework models the power economy via an equilibrium formulation of the two-stage investment problem under risk aversion, where agents invest in the first stage before operating in the stochastic second stage. A central planner offers a set of risk-mitigation schemes in the form of Contracts for Difference and price markups to foster investments, but these schemes can distort competitive bidding. On the upper level, the central planner tunes the design of contracts optimally so that social welfare is maximized. We provide an existence result and undertake a thorough numerical simulation inspired by the French power system, which demonstrates the potential for optimally adjusting the risk-mitigation instruments offered to electricity producers to enhance welfare and limit the prevalence of negative prices. |
| Keywords: | Incomplete Markets, Market Distortion, Bi-level Programming, Stochastic Equilibrium Models, Optimal Regulation, Power Markets |
| JEL: | D81 C72 C73 Q41 |
| Date: | 2025–03–25 |
| URL: | https://d.repec.org/n?u=RePEc:cam:camdae:2525 |
| By: | Paul Dutronc-Postel (IPP - Institut des politiques publiques); Arthur Guillouzouic (IPP - Institut des politiques publiques); Clément Malgouyres (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 nationale des ponts et chaussées - 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 nationale des ponts et chaussées - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CREST - Centre de Recherche en Économie et Statistique - ENSAI - Ecole Nationale de la Statistique et de l'Analyse de l'Information [Bruz] - GENES - Groupe des Écoles Nationales d'Économie et Statistique - X - École polytechnique - IP Paris - Institut Polytechnique de Paris - ENSAE Paris - École Nationale de la Statistique et de l'Administration Économique - GENES - Groupe des Écoles Nationales d'Économie et Statistique - IP Paris - Institut Polytechnique de Paris - CNRS - Centre National de la Recherche Scientifique, IPP - Institut des politiques publiques); Rachel Paya (ESSEC Business School, IPP - Institut des politiques publiques); Laurent Bach (ESSEC Business School) |
| Abstract: | Présentation Qui sont les entreprises françaises qui contribuent le plus aux émissions de CO2 de l'industrie française, et quelles sont leurs caractéristiques ? Quels dispositifs de réduction des émissions de CO2 s'appliquent à elles, et selon quelles modalités ? Quel rôle insoupçonné peuvent avoir les outils fiscaux généraux, a priori sans visée environnementale ? Cette note répond successivement à ces trois questions, et propose un premier cadre d'analyse pour l'évaluation ex ante des mesures de politiques publiques à destination des entreprises. Nous documentons la distribution de l'intensité carbone dans le tissu industriel français, ainsi que les tarifications effectives du carbone auxquelles sont soumis différents types d'entreprises. Enfin, nous examinons le ciblage carbone implicite de différents dispositifs fiscaux sans visée environnementale. Résultats clés Les émissions de CO2 du secteur industriel sont extrêmement concentrées ; 10 % de la valeur ajoutée représentent 75 % des émissions de CO2. Cette forte concentration est en grande partie tirée par des effets sectoriels ; la métallurgie, la chimie, les minéraux métalliques (comme le ciment), et le papier/carton sont les secteurs les plus intenses en CO2. Deux grands régimes de tarification effective du CO2 cohabitent dans l'industrie : celle des établissements soumis au marché du carbone (SCEQE, 70 % des émissions), dont la tarification effective augmente avec le temps ; et celle des établissements hors SCEQE (30 % des émissions), gelée de 2018 à 2024. En 2019, la tarification effective du CO2 des entreprises les plus émettrices est plus faible (31€/tCO2e) que celle des entreprises les moins émettrices (47€/tCO2e). En 2022, elle est plus élevée (84€/tCO2e contre 60€/tCO2e). L'allocation de quotas gratuits, dont le volume représente, en 2022, 90 % des émissions réalisées par le secteur industriel, abaisse considérablement le poids effectif du marché carbone pour les entreprises qui y sont soumises. Par leur ciblage implicite, les dispositifs fiscaux sans visée environnementale peuvent avoir un effet sur les émissions industrielles totales. En 2019, le niveau de la contribution économique territoriale (les « impôts de production », fortement allégés dans le plan France Relance) est substantiellement plus élevé pour les 10 % des entreprises les plus intenses en CO2 (3 % de la valeur ajoutée), que pour les 10 % les moins intenses (1, 2 %). Une suppression de ces impôts bénéficie donc davantage aux entreprises très émettrices. |
| Date: | 2024–01 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:halshs-04439232 |
| By: | Hjertstrand, Per (Research Institute of Industrial Economics (IFN)); Tangerås, Thomas (Mälardalen University and) |
| Abstract: | This paper develops a simple nonparametric test for perfect competition in markets for homogeneous goods. The method only requires data on prices and some aggregate of output. We then generalize the method to account for variable capacity and intertemporal production decisions. We apply the method to a sample of Swedish data from the Nordic wholesale electricity market. The main results show that the data are approximately rationalizable by perfect competition in bidding zones with low ownership concentration of generation assets, but not in bidding zones characterized by high ownership concentration. |
| Keywords: | Competition; Nonparametric methods; Nord Pool power exchange; Wholesale electricity markets |
| JEL: | D22 D43 D44 |
| Date: | 2025–06–10 |
| URL: | https://d.repec.org/n?u=RePEc:hhs:iuiwop:1527 |
| By: | Buehler, Stefan (University of St. Gallen - SEPS: Economics and Political Sciences); Chen, Rachel R. (University of California, Davis - Graduate School of Management); Halbheer, Daniel (HEC Paris); Zeng, Helen S. (University of California, Davis - Graduate School of Management) |
| Abstract: | Platforms have radically transformed many markets. Initially perceived as the harbinger of a new economy, platforms today can no longer ignore their impact on the triple bottom line of profit, planet, and people, as their adverse effects on the environment (e.g., massive energy consumption and carbon emissions) and society (e.g., misinformation, hate speech, discrimination, degradation of mental health, and privacy violations) become increasingly evident. As a result, consumers, regulators, and even business leaders demand greater transparency along the environmental (E), social (S), and governance (G) pillars of a platform’s activities. This chapter first introduces a simple economic framework to organize the literature on ESG in platform markets. It then discusses key papers and points out avenues for future research. |
| Keywords: | ESG pillars; Triple bottom line; Sustainability; Regulation |
| JEL: | Q56 |
| Date: | 2025–02–25 |
| URL: | https://d.repec.org/n?u=RePEc:ebg:heccah:1550 |
| By: | Timothy F. Power; Roman G. Smirnov |
| Abstract: | The aggregate Cobb-Douglas production function stands as a central element in the renowned Solow-Swan model in economics, providing a crucial theoretical framework for comprehending the determinants of economic growth. This model not only guides policymakers and economists but also influences their decisions, fostering sustainable and inclusive development. In this study, we utilize a one-input version of a new generalization of the Cobb-Douglas production function proposed recently, thereby extending the Solow-Swan model to incorporate energy production as a factor. We offer a rationale for this extension and conduct a comprehensive analysis employing advanced mathematical tools to explore solutions to this new model. This approach allows us to effectively integrate environmental considerations related to energy production into economic growth strategies, fostering long-term sustainability. |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2506.10864 |
| By: | Shantia, Ali (HEC Paris); Wu, Owen Q. (Indiana University - Kelley School of Business); Kapuscinski, Roman (University of Michigan, Stephen M. Ross School of Business) |
| Abstract: | Problem definition. Understanding the impact of wind intermittency on wind farms' profitability is essential to their financial viability. We examine how wind intermittency affects the profitability of wind farms and how this effect is influenced by their bidding strategy. Methodology/results. Employing the Gaussian copula approach on detailed bidding data from wind farms in the Midcontinent Independent System Operator (MISO) region, we find that wind intermittency on average increases revenue when average wind is low, but this effect reduces as average wind rises. We further demonstrate how wind farms bidding strategies, characterized by the Slope and Convexity of their bidding curves, influence the impact of intermittency on profitability. Specifically, the results show that a higher Slope magnifies the positive effect of intermittency in low-wind conditions but reduces profitability when wind levels are high. Conversely, increasing Convexity reduces the impact of intermittency in low-wind conditions but heightens it when wind levels are high. Managerial implications. By aligning their bidding strategies with the prevailing wind patterns, wind farm operators can enhance revenues derived from intermittent wind resources. Managers might exploit negative wind shocks more effectively by increasing the Slope under low-wind conditions or leverage Convexity when wind is abundant. These insights offer actionable guidance on tailoring bidding strategies to optimize profitability across diverse wind regimes. |
| Keywords: | Electricity market; wind intermittency; strategic bidding; Gaussian copula Shantia |
| JEL: | Q21 Q41 Q42 |
| Date: | 2025–02–24 |
| URL: | https://d.repec.org/n?u=RePEc:ebg:heccah:1549 |
| By: | Kim, Gyupan (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)); Lee, Hyong-Kun (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)); Lee, Boram (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)); Kim, Seung-Hyun (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)); Son, Wonju (KOREA INSTITUTE FOR INTERNATIONAL ECONOMIC POLICY (KIEP)) |
| Abstract: | 2020년대 들어 한국과 일본 양국 정부는 국내 산업기반의 DX(디지털전환), GX(녹색전환)를 추진하는 과정에서 글로벌 공급망 재편과 함께 핵심광물자원의 공급망 단절 위기에 직면하자 각종 전략, 시책, 법률 제정을 통해 핵심광물의 공급망 안정화에 정책역량을 집중하고 있다. 한국정부는 2023년 2월 「핵심광물 확보전략」을 통해 배터리 5대 금속과 희토류 등 금속광물을 핵심광물로 지정하는 것을 시작으로, 2024년 2월에는 「국가자원안보 특별법」을 제정(2025년 2월 시행)하였다. 일본 역시 한국보다는 다소 이른 시점인 2022년 5월 「경제안전보장추진법」을 제정하였고, 이에 근거하여 2022년 12월에는 핵심광물을 11개 특정중요물자(국가전략물자) 중 하나로 지정하였고, 2024년 3월에는 중국의 희귀금속 수출통제에 대한 대응의 일환으로 갈륨, 게르마늄, 우라늄을 국가전략물자로 추가 지정하였다. In the 2020s, the Korean and Japanese governments faced a crisis involving supply chain disruptions of critical mineral resources alongside the reorganization of global supply chains due to efforts to promote digital transformation (DX) and green transformation (GX) within their domestic industrial bases. To address these issues, both the Korean and Japanese governments have concentrated their policy capabilities on stabilizing the supply chain for critical minerals through various strategies, policies, and legislation related to critical minerals. (the rest omitted) |
| Keywords: | MSP; global supply chain; EV battery metal; non-ferrous metal |
| Date: | 2024–12–31 |
| URL: | https://d.repec.org/n?u=RePEc:ris:kieppa:2024_009 |
| By: | Gunther Capelle-Blancard (Université Paris 1 Panthéon-Sorbonne, Centre d'Econonomie de la Sorbonne); Avinash Persaud (Inter-American Development Bank - IADB) |
| Abstract: | Mobilising substantial new resources is essential to address the climate crisis, particularly for low-income developing countries disproportionately affected by its impacts. Financial Transactions Taxes (FTTs) on equity trading, already implemented in several countries and generating around $17 billion annually, represent an underutilised but promising revenue stream. Drawing on existing implementations, particularly in France and the UK, the paper evaluates legal feasibility and revenue potential. We argue that expanding and harmonising such levies — designed with simplicity, enforceability, and fairness in mind —could raise an additional $87 billion per year, significantly contributing to climate action, especially related loss and damage needs. In the context of the Global Solidarity Levies Task Force (GSLTF) initiated at COP28, the study highlights the FTT as a technically feasible, low-cost, and non-distortive mechanism to raise climate finance quickly and effectively, fulfilling the criteria sought by GSLTF and offering a practical path forward in the broader effort to scale up international development and climate funding |
| Keywords: | Financial transaction tax; Securities Transaction Tax; Tobin tax; Innovative financing |
| JEL: | G21 H25 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:mse:cesdoc:25011 |
| By: | Beat Hintermann; Beaumont Schoemann; Joseph Molloy; Thomas Götschi; Alberto Castro; Christopher Tchervenkov; Uros Tomic; Kay W. Axhausen |
| Abstract: | We implement Pigovian transport pricing in a field experiment in urban agglomerations of Switzerland over the course of 8 weeks. Our pricing considers the external costs from climate damages, health outcomes from pollution, accidents and physical activity, and congestion. It varies across time, space and mode of transport and is deducted from a budget provided to GPS-tracked participants. The treatment reduces the external costs of transport by 4.6% during the course of the experiment. The main underlying mechanism is a shift away from driving towards other modes, such as public transport, walking and cycling. Providing information about the external costs of transport alone is insufficient to change the transport behavior for the sample majority. We compute the welfare improvement due to mode shift to be 77 Swiss francs (or US dollars) per person and year, and that a fuel tax would achieve 70% of this gain. |
| Keywords: | transport pricing, Pigovian taxation, mobility, transportation, external costs, congestion, GPS-tracking |
| JEL: | H23 H31 I18 Q52 Q54 R41 R48 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_11871 |
| By: | Andrei Kaukin (Gaidar Institute for Economic Policy); Evgenia Miller (Gaidar Institute for Economic Policy) |
| Abstract: | In 2024, industrial production was growing, which was sustained primarily by the manufacturing sector (the reason, among other factors, could be import substitution, including don the back of the positive effect of production localization programs). The extractive sector demonstrated a downward trend for most of the year. The production and distribution of electricity, gas and water in 2024 also slightly decreased. |
| Keywords: | Russian economy, production, external and internal demand, GDP structure |
| JEL: | G28 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:gai:ppaper:ppaper-2025-1410 |
| By: | Fatih Kansoy; Dominykas Stasiulaitis |
| Abstract: | The rapid growth of sustainable investing, now exceeding 35 trillion USD globally, has transformed financial markets, yet the implications for monetary policy transmission remain underexplored. While existing literature documents heterogeneous firm responses to monetary policy through traditional channels such as size and leverage, it remains unknown whether environmental, social, and governance (ESG) characteristics create distinct transmission mechanisms. Using high-frequency identification around 160 Federal Reserve announcements from 2005 to 2025, we uncover an asymmetric pattern: high-ESG firms gain 1.6 basis points of protection from contractionary target surprises, yet suffer 2.6 basis points greater sensitivity to forward guidance shocks. This asymmetry persists within industries and intensifies with investor climate awareness. Remarkably, the Paris Agreement inverted these relationships: before December 2015, high-ESG firms were more vulnerable to contractionary policy within industries; afterward, they gained protection, representing a 186 basis point reversal. We develop a two-period model featuring heterogeneous investors with sustainability preferences that quantitatively matches these patterns. The model reveals how ESG investors' non-pecuniary utility creates differential demand elasticities, simultaneously protecting green firms from immediate rate changes while amplifying forward guidance vulnerability through their longer investment horizons. These findings establish environmental characteristics as a new dimension of monetary policy non-neutrality, with important implications as sustainable finance continues expanding. |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2506.02143 |
| By: | Andor, Mark Andreas; Hönow, Nils Christian; Hümmecke, Eva; Yang, Eva H. |
| Abstract: | This data report describes the first wave of the RWI Climate-Mobility Panel, a recurring household survey that aims in particular to investigate individual mobility behavior and preferences with regard to mobility-related policies. It further includes information on attitudes towards environmental protection and climate change of household members in Germany as well as on socio-economic individual and household characteristics. The project was conducted by the RWI - Leibniz Institute for Economic Research and funded by Stiftung Mercator. This first survey includes data from more than 7, 000 German households and was collected via forsa from April to June 2018. In combination with subsequent waves in 2019, 2022 and 2024, it is possible to monitor, for example, changes in mobility behavior and policy preferences over time. This first survey contains additional cross-sectional data on several transport-related topics, such as an assessment of the perceived costs of private car use and an experiment to assess participants' willingness to pay for public transport tickets, as well as selected psychological scales. This uniquely comprehensive dataset serves as a support to enable novel research and evidence-based policy decisions in the context of the mobility and transport transition. |
| Abstract: | Die vorliegende Datensatzbeschreibung bezieht sich auf die erste Welle des RWI Klima-Mobilitäts-Panels, einer regelmäßig durchgeführten Haushaltsbefragung, die insbesondere das individuelle Mobilitätsverhalten und die Zustimmung zu verkehrspolitischen Maßnahmen erfasst. Darüber hinaus wird die Einstellung zu Umweltschutz und Klimawandel abgefragt, ebenso wie sozioökonomische Merkmale. Das Projekt wurde vom RWI - Leibniz-Institut für Wirtschaftsforschung durchgeführt und von der Stiftung Mercator gefördert. Die erste Welle umfasst Daten von mehr als 7.000 Haushalten in Deutschland und wurde von April bis Juni 2018 von forsa erhoben. In Kombination mit den Wellen in den Jahren 2019, 2022 und 2024 können beispielsweise Veränderungen im Mobilitätsverhalten und in den Präferenzen für verkehrspolitische Maßnahmen im Zeitverlauf beobachtet werden. Zusätzlich enthält diese erste Erhebung Querschnittsdaten zu verschiedenen verkehrsrelevanten Themen, wie z. B. eine Einschätzung der wahrgenommenen Kosten der privaten Pkw-Nutzung und ein Experiment zur Ermittlung der Zahlungsbereitschaft für ÖPNV-Tickets, sowie ausgewählte psychologische Skalen. Dieser in seiner Art einzigartige und umfassende Datensatz dient als Grundlage für neue Forschungsarbeiten und evidenzbasierte politische Entscheidungen im Zusammenhang der Mobilitäts- und Verkehrswende. |
| Keywords: | Household panel, mobility, climate change, transport transition, acceptance, public transport, private transport |
| JEL: | D12 D83 L91 Q58 R41 R48 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:rwirep:319073 |
| By: | Fischer, Andreas; Diermeier, Matthias |
| Abstract: | Für eine erfolgreiche Transformation muss die Ermöglichung des Abscheidens von CO2 weit oben auf der Agenda der Bundesregierung stehen. Aufgrund geringer Kenntnisse zu dieser Technologie zeigen Akzeptanzbefragungen bisher noch kein klares Bild. Dort muss die Politik ansetzen. |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:iwkkur:318311 |
| By: | Bauer Peter; Genty Aurelien (European Commission - JRC); Lucke Friedrich |
| Abstract: | Intangible capital is a key driver of productivity growth, competitiveness and resilience. Unlike tangible investment such as machinery and equipment, investment in intangible assets, especially R&D, shows low sensitivity to adverse demand shocks. R&D intensive firms seem to be more resilient (higher employment) during crises and recover faster (higher productivity) afterwards. Productivity growth can contribute to decarbonisation, but in many instances productivity growth and decarbonisation lead to conflicting objectives, which needs to be addressed through policy action. |
| Date: | 2025–05 |
| URL: | https://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc140398 |
| By: | Alejandro González Fraga (COMISIÓN NACIONAL DE LOS MERCADOS Y LA COMPETENCIA); Aitor Lacuesta Gabarain (BANCO DE ESPAÑA); José María Labeaga Azcona (UNED); María de los Llanos Matea Rosa (BANCO DE ESPAÑA); Soledad Robles Romero (COMISIÓN NACIONAL DE LOS MERCADOS Y LA COMPETENCIA); María Valkov Lorenzo (BANCO DE ESPAÑA); Sergio Vela Ortiz (COMISIÓN NACIONAL DE LOS MERCADOS Y LA COMPETENCIA) |
| Abstract: | El despliegue de la infraestructura de puntos de recarga para los vehículos eléctricos es clave para reducir las emisiones de CO2. En comparación con los países europeos, España va rezagada tanto en la implantación de los vehículos eléctricos como en el despliegue de los puntos de recarga. En el tercer trimestre de 2024 había en España alrededor de 38.000 puntos de recarga de acceso público en funcionamiento. Esta cifra se situaría muy lejos de los 80.000-110.000 puntos de recarga establecidos como objetivo para 2023 en el Plan de Recuperación, Transformación y Resiliencia y los 500.000 estimados para poder cumplir a la vez con los objetivos fijados en el Plan Nacional Integrado de Energía y Clima para 2030. El objeto de este trabajo es analizar las relaciones entre los distintos actores de la cadena de valor de la recarga del vehículo eléctrico. A partir de la base de datos del Ministerio para la Transición Ecológica y el Reto Demográfico (MITECO) se ha estudiado la relación entre las distribuidoras de electricidad y los operadores de puntos de recarga, y se ha observado que estos tienen una mayor presencia en las zonas en las que la principal distribuidora de electricidad pertenece a su mismo grupo empresarial. No obstante, este resultado podría deberse a una sobrerrepresentación de los operadores de puntos de recarga pertenecientes a las principales distribuidoras eléctricas en la base de datos del MITECO, que está en elaboración y, por tanto, incompleta, aspecto que revela la conveniencia de revisar este vínculo una vez los datos incorporen todos los operadores de puntos de recarga. Por otro lado, con datos de la Asociación Española de Fabricantes de Automóviles y Camiones se ha analizado la relación entre los operadores de los puntos de recarga en estaciones de servicio (EESS) y las empresas propietarias de las EESS, apreciándose una cierta relación vertical, que parece haberse acentuado durante la implementación de la obligación |
| Keywords: | electrolinera, vehículo eléctrico, puntos de recarga, relaciones verticales, estaciones de servicio, distribuidoras de electricidad |
| JEL: | L22 L92 L94 Q42 R48 |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:bde:opaper:2511 |
| By: | Francesco de Cunzo; Aurelio Patelli; Angelica Sbardella; Andrea Tacchella |
| Abstract: | This paper presents new evidence on how countries are innovating in response to the growing strategic importance of critical raw materials (CRMs). Using millions of patent abstracts from the PATSTAT database, we apply a large language model (LLM) to classify CRM-related inventions into four functional roles: use, refine, recycle, and remove. A fifth category, wrong, flags false positives and improves classification accuracy. This approach moves beyond simple patent counts by identifying the specific roles CRMs play in technological development, enabling a more nuanced view of innovation strategies. Our classification reveals a significant increase in CRM-related innovation over the past two decades, with notable variation across materials, functions, and countries. While use-related patents remain dominant, recent growth in recycle and remove functions points to a shifting emphasis on circularity. Geographically, China leads across all functions, while an upward trend in recycling activity is observed across several advanced economies. A panel data analysis reveals that innovation in refining, recycling, and removing CRMs is positively associated with innovation in their use, suggesting functional complementarities that can enable both technological progress and more sustainable material strategies. These findings have important implications for policy, highlighting the value of supporting functionally diverse CRM innovation, fostering international coordination, and adopting tools for real-time innovation monitoring. By combining text mining with AI-driven functional classification of patented inventions, this study offers a scalable method for tracking material-related innovation and informing policies aimed at sustainability and technological resilience. |
| Keywords: | Critical Raw Materials, Green and Digital Technologies, Large Language Models, Text Mining |
| Date: | 2025–06 |
| URL: | https://d.repec.org/n?u=RePEc:egu:wpaper:2516 |
| By: | Christina Anderl; Guglielmo Maria Caporale |
| Abstract: | This paper uses data on 5-year gasoline price expectations from the US Michigan Survey of Consumers to investigate their role as a transmission channel for gasoline price shocks. Specifically, a Structural VAR model is estimated to carry out counterfactual analysis which shows that gasoline price expectations act as a transmitter of gasoline price shocks to US inflation and real activity. Further, nonlinear local projections with high-frequency instrumental variable identification indicate that gasoline price expectations propagate gasoline price shocks to inflation even when headline inflation expectations appear to be anchored, although their effects are not persistent and the strength of the transmission depends to some extent on the chosen definition of anchoring. |
| Keywords: | gasoline price expectations, inflation expectations, anchoring; transmission channel, counterfactual analysis, Structural VAR, nonlinear local projections |
| JEL: | C32 E31 E52 Q43 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:ces:ceswps:_11924 |
| By: | Stanislas Rigal (UMR TETIS - Territoires, Environnement, Télédétection et Information Spatiale - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - AgroParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, ESE - Ecologie Systématique et Evolution - AgroParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Coralie Calvet (MRM - Montpellier Research in Management - UPVD - Université de Perpignan Via Domitia - UM - Université de Montpellier, SENS - Savoirs, ENvironnement et Sociétés - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - IRD - Institut de Recherche pour le Développement - UMPV - Université de Montpellier Paul-Valéry); Léa Tardieu (UMR TETIS - Territoires, Environnement, Télédétection et Information Spatiale - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - AgroParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, 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 nationale des ponts et chaussées - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique); Sébastien Roussel (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier); Anne-Charlotte Vaissière (ESE - Ecologie Systématique et Evolution - AgroParisTech - Université Paris-Saclay - CNRS - Centre National de la Recherche Scientifique, ECOBIO - Ecosystèmes, biodiversité, évolution [Rennes] - UR - Université de Rennes - INEE-CNRS - Institut Ecologie et Environnement - CNRS Ecologie et Environnement - CNRS - Centre National de la Recherche Scientifique - CNRS - Centre National de la Recherche Scientifique - OSERen - Observatoire des sciences de l'environnement de Rennes - UR - Université de Rennes - INSU - CNRS - Institut national des sciences de l'Univers - UR2 - Université de Rennes 2 - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | Transport infrastructures dedicated to low-carbon public transport are seen as a central tool in public policy strategies to mitigate climate change. Yet, the development of transport infrastructures has significant direct and indirect negative effects on biodiversity and social acceptability of these impacts remain little assessed. In this study, we analyse potential impacts of 20 tramway existing projects in France and social preferences with regard to their ecological and landscape integration. Using a discrete choice experiment on 1000 respondents, we show that users, even the most time constrained, are accepting an average travel time lengthening of 15 %, if tramway project integration retains a more wooded landscape, more diverse and abundant species and access to a natural area. We show that brief information provided on the state of biodiversity through framing encourages environmental consideration. We quantify the estimated impact of these projects on the naturalness of habitats and the buffer effect that project ecological integration could allow. These results highlight the non-negligible ecological impact of low-carbon transport infrastructures. They underline the need to consider climate change mitigation strategies in tandem with biodiversity preservation, while taking into account user preferences which affect the acceptability of the ecological and landscape integration of these projects. |
| Keywords: | Choice experiment, Tram, Transport policy, Urban biodiversity |
| Date: | 2025–10 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05085536 |